What challenges exist in managing small leasehold blocks?

Managing small leasehold blocks presents specific challenges that can impact both operational efficiency and the willingness of professional management firms to become involved. The answer highlighting self-management as a common scenario accurately reflects the realities faced by smaller leasehold blocks.

In these situations, property owners often take on responsibilities themselves rather than hiring outside firms. This self-management can lead to a range of issues, such as lack of expertise in property management, inadequate maintenance, and difficulties in enforcing lease terms. Moreover, the perceived profitability for professional management firms tends to be lower for these smaller blocks, discouraging them from engaging with them. Consequently, without professional oversight, self-managed blocks may struggle to maintain a high standard of service and property upkeep, potentially leading to dissatisfaction among leaseholders.

In contrast, the other options do not accurately capture the primary challenges related to small leasehold blocks. For instance, while government oversight can be a factor, it is more pertinent to larger developments or those in specific regulatory frameworks rather than small blocks. The notion that small blocks are typically managed by professional firms is misleading, as the opposite is often true; many are self-managed due to cost considerations. Lastly, the idea that they are usually owned by large corporations does not align with the characteristics of small leasehold