A long-established letting agent has gone bust, leaving more than 200 deposits unprotected and many landlords without tenancy agreements and gas and EPC certificates.

Pendley Estates in Kings Langley, Hertfordshire, was a formerly reputable firm that had been trading since the 1980s, but suddenly closed its doors earlier this month.

One local letting agent says that out of 300 managed properties, only 90 had their deposits protected. He tells LandlordZONE: “We know this figure adds up to at least £325,000 but it’s definitely going to be more.”

He has also uncovered issues of rent going missing, while some landlords have found out there were no tenancy agreements, gas or EPC certificates.

He adds: “With those landlords I have taken on, they are going to write their tenants cheques for the deposit and start a new agreement which will close the hole.”

One landlord, who lost £1,100, is now going through an official deposit protection scheme, knowing he won’t get that money back.

“I’m cheesed off, but at least I’m no longer paying Pendley Estates any more commission,” he tells LandlordZONE. “I don’t think some people realise it’s down to the landlord to protect the deposit and I’ve made sure I’ve clarified the situation with my other properties.”

Administrator’s comments

A spokeswoman for the administrator Buchler Phillips Group tells LandlordZONE: “Once the company is in liquidation, steps will be taken to advise all stakeholders of the position as regard to funds held or deposited in their name.

“At present, we are unable to make any comments as to the recoverability of funds for landlords, tenants, or other creditors. We are aware that certain deposits may not have been protected – this matter will be urgently investigated once a liquidator has been appointed.”

Belvoir Watford is working with Buchler Philips to take over the management of Pendley Estates’ property portfolio. 

LandlordZONE has approached Pendley Estates for comment.

Read more about deposits and collapsed property firms.

5 COMMENTS

  1. The very reason I fully manage my property myself. When I became a LL one office of a very well known chain of estate agents told me porkies. They thought I would not find out. Result: I did not use them to let my properties knowing how my tenants would be bullshited and how unreliable they would. Was a bit scared as a complete newbie but with a proper LL accreditation I did just fine. Thousands in fees saved since then and a close sound relationship with my tenants. Unless leaving far from your properties agents are parasites

  2. When will idiot LL learn regarding their dealings with Letting Agents!?

    Trust but VERIFY!!!!!!

    These idiot LL victims are entirely to blame for the situation they now find temselves in.
    Not that I would ever countenance using a LA but if I did no way would I allow the LA to manage depoisits or rents.

    95% of LL own no more than 2 letting properties.
    It really isn’t difficult for LL to manage rent payments and deposits.
    LA can issue monthly invoices and take payment by DD for the varying amounts.

    But these idiot LL will have been taught a very expensive lesson.

    If ANY of these LL need to evict existing occupants threy will enter a whole new world of hurt.

    Gonna cost even more!!

    • It is pathetic, crass and uncouth for you to repeated describe landlords who use LAs as “Idiot landlords”. How dare you! Most LLs are business people who made business decisions to use the service of LAs. The fact that the odd relationship or two end up in disaster does not mean LAs don’t add value to their LL clients. It also does not mean that the LLs who had relationship with them are “idiots”. So, please get off your holier than thou high horse and show decorum and respect to fellow LLs.

      • Absolutely incorrect.
        These arr IDIOT LL.
        They made poor business decisions in using UNREGULATED LA.

        That is their fault.

        LL must always assess business risk.
        Clearly these idiot LL didn’t.
        They didn’t even check that the LA had carried out their responsibilities.

        Talk about thick or what.

        There are many INCOMPETENT LL out there.
        Only a fool would trust a LA without VERIFYING!!

        There are it seems lots of LL fools!

        Of course it is OUTRAGEOUS that this LA has caused LL clients so much financial damage.

        But this is a risk that LL run when using UNREGULATED LA.

        Trust but VERIFY!!

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