Expenditure normally met by withholding funds from service charges and rents received:

• Landlord costs and landlord contributions to service charge payments.
• Contractors' invoices (including expenses recoverable from tenants).
• Refurbishment costs.
• Building insurance renewal premiums.
• Expenses associated with the marketing and maintenance of vacant properties.
• Rent review fees (including legal and third party fees).
• Fees relating to tenants' licences for alterations, sub-lettings, assignments and rental.concessions (where these are not recoverable from tenants).
• Letting fees.
• Homes & Watson Partnership Ltd's management fees.

Expenditure normally met by direct funding to Homes & Watson Partnership Ltd upon written request to the client:

• Acquisition and Sale Fees (including professional and specialist contractors' fees).
• Homes & Watson Partnership Ltd may withhold funds from the income arising from any of the properties within the Client’s portfolio irrespective of which property the expenditure relates to.
• Any funds withheld for anticipated future expenditure, together with deposits, including key deposits, paid by tenants, will be placed by Homes & Watson Partnership Ltd in a designated interest-bearing account on behalf of the tenants.
• Homes & Watson Partnership Ltd will be authorised to withhold funds up to a limit agreed with the Client.
• Homes & Watson Partnership Ltd will be responsible for checking all invoices prior to payment and for this reason the Client will be required to disclose to Homes & Watson Partnership Ltd the relevant fee structure agreed with its solicitors.
• Homes & Watson Partnership Ltd will provide a regular reconciliation of receipts and disbursements including a statement of funds withheld, giving full details of interest received and amounts paid and showing whether these amounts are recoverable by the tenants. Documentation in support of each statement will be made available to the Client on request.

Acquisition and Disposal:
Homes & Watson Partnership Ltd will acquire and dispose of assets only with the prior agreement of the Client.

Disbursements:
Homes & Watson Partnership Ltd will supervise the payment of disbursements relating to properties and, depending on the nature of the expenditure, will arrange settlement of invoices by one of two methods:

• Withholding funds from rents and service charges received.
• Direct funding to Homes & Watson Partnership Ltd upon written request to the Client.