President's Circular — December 2023
| Reference | 2023-president-newsletter-dec |
|---|---|
| Document Type | President's Report president-report |
| Date | 2023-12-05 (4 December 2023) |
| Issued by | Presidente, Conjunto Señorío de Aloha |
| Affects | All buildings (5 of 5) |
| Available in | ENESSVARFR |
| Storage ?Cryptographic hash for verifying that this file matches the original on record. | r2://2023/Newsletter_Autumn_2023_Spanish.pdf |
Owner-prepared summary. Original document is the authoritative source.
At a glance
- The ordinary budget has spent 66 % of its funds by the end of the third quarter, with about 90 % of owners paying their community fees.
- Total community debt is approximately €410,000, with six owners accounting for more than half of that amount and around 25 debtors subject to legal proceedings.
- The extraordinary budget received €430,000 from the 2022 special levy, which is expected to be fully spent by the end of 2023.
- Ongoing projects include installation of ventilation extractors in basement storage areas at €6,000 per portal and replacement of water pipes at roughly €2,000 each.
- Legal actions include a hearing on 22 November against contractor FCC and a trial in May 2024 concerning a €138,000 claim from Pinturas JJ; the community has also settled a €50,000 claim from Multimalaga and paid €131,000 to various creditors since January 2022.
- An energy consultant reported a 50 % cost reduction equivalent to €20,000 for the period January–August, and water‑pipe upgrades have reduced consumption compared with the previous year.
Page 1
OWNERS’ ASSOCIATION
SEÑORIO DE ALOHA
SEÑORIO DE ALOHA – Autumn Newsletter
Dear Owner,
In order to provide you with a general overview of the community without delving into overwhelming details, I have attached some of the most notable aspects and challenges of this year.
FINANCIAL MATTERS
Given that we are now in the fourth quarter of the accounting year, I can confirm that the key objective of maintaining good financial stability is being met. In fact, the Ordinary Budget (derived from community fees) has spent 66% of the funds in 75% of the time (end of third quarter). A busy fourth quarter means that expenses will be in line with the budget.
It is essential to highlight that approximately 90% of owners are paying their community fees. Late payers and those in default are being penalized with a 20%, as previously approved. Approximately 25 debtors are subject to legal proceedings. In most cases, the community debt takes priority over other claimants.
The total debt is approximately €410,000, a significant amount of which is difficult to recover. Six owners represent more than 50% of the debt.
The Extraordinary Budget received €430,000 from the 2022 levy. All this money will have been spent by the end of this year. The 2023 accounts will detail the use of these funds.
ACTIVITIES
The repairs and improvements to the pools received very positive feedback from users. The three pools were completely occupied during the summer period.
The HELP maintenance team has been working 22 hours a day and has carried out numerous painting and repair works throughout the community. As they work at night, we ask them to be vigilant for any antisocial behavior and suspicious activity.
The storage areas in the basement, which have suffered from humidity and ventilation problems due to burst water pipes or overflowing drains, are being equipped with air extractors and ventilation ducts after a successful experimental system in Alhambra. With a cost of €6,000 per portal, these systems will be implemented as needed, with the next installation in Portal 5 of Mezquita.
The gardening contractor Jaydo, who has done a very good job, will not renew their contract in February. They have been contracted by the Meliá group and our gardeners will be reassigned. Good gardening contractors are scarce, and we are now looking for a replacement.
The summer season was very challenging for the management and maintenance teams due to the negative impact of short-term rentals. We received many complaints from owners who were disturbed by the antisocial behavior of short-term rental guests. Our staff and the police were called out several times during the night. The behavior varied from open use of Class A narcotics, marijuana, inhalation of nitrous oxide balloons, to excessive noise inside and outside apartments and the use of the pools at night, as well as the break-in of portals. These incidents cost the community a lot of time and money. Better control by owners/agents, improved community rules, and means of enforcement are required.
Page 2
OWNERS’ ASSOCIATION
SEÑORIO DE ALOHA
The lawsuit initiated in 2004/05 against the Señorío General Contractor, FCC, has a court hearing scheduled for 22 November. Originally scheduled for 2020 but postponed due to the pandemic. In a previous hearing several years ago, the judge instructed an independent valuation of the repair costs caused by defects in the workmanship. This was due to the large difference in the estimates presented by the Community and FCC. As more time passes, the repair costs continue to increase and will be inevitable for the community. We therefore depend on our long-standing lawyer, Mr. Urquia of DUA Lawyers, to make adequate representations to the court. Adenjo, Victor Porras, and I will be in court on 22 November.
Another inherited problem is that of Pinturas JJ, which has presented a claim for €138k for painting works carried out in 2017/18. These were additional to the main agreement of 2015/16 to paint the community for approximately €850k. The trial is scheduled for May 2024, and in the meantime, different payment options are being considered. As discussed at the AGM, paying such a significant amount is difficult from the community fee cash flow, especially if there is no agreed-upon staged payment plan.
Regarding the judgment in the Multimalaga procedure (a claim presented over ten years ago by a security company) which awarded the claimants almost €50,000, including interest and costs. Adenjo’s efforts to pursue the debts of owners, combined with careful management of our expenses, made it possible to settle this unexpected debt through cash flow. The same applies to our historical creditors HELP and several external lawyers who were paid €33K. The value of Adenjo’s unexpected debt collection work has allowed us to pay our creditors approximately €131K since their appointment in January 2022.
We have very good news about the initiative to use an energy consultant to review the community’s configurations and tariffs. The interannual comparison, from January to August, shows a reduction in cost of 50%, equivalent to €20K.
The work carried out on the community’s water pipe network, including irrigation and pools, has significantly reduced consumption and cost compared to last year.
However, we are still experiencing random bursts of pipes that carry water from the meter rooms to individual apartments. A replacement pipe costs approximately €2k. With 250 throughout the community, we are proactively trying to optimize water pressures to preserve the pipes.
Many owners are exacerbated by the renovations carried out by their neighbors
Owners and their builders, for the most part, have little respect for the disturbances they cause.
A small number of owners have shown a willingness to inform Adenjo and Victor Porras in advance about their plans. The majority choose not to cooperate, and it is fair to assume that they are carrying out works that contravene Spanish construction regulations and community rules.
We have requested the intervention of the local council and police in real-time, but to date with little effect. It is worth noting that when the local council intervenes, this can lead to a court case against the owner with substantial financial fines and demolition of illegal works. We will also request a resolution at the AGM to initiate legal action against owners who, without resorting to the Administration, carry out works openly in breach of the regulations.
Several owners have inquired about chimney cleaning. Recently, a successful cleaning operation was carried out in Doñana. No major repairs were required; it simply appears that they had never been cleaned since they were built. Owners with problems with their chimneys should contact Adenjo to participate in the next round of cleaning.
Page 3
OWNERS’ ASSOCIATION
SEÑORIO DE ALOHA
The NAÔ Pool Club was in operation daily throughout the summer. The club consistently violated residential noise regulations, and the antisocial behavior of many guests was highly disturbing to many residents in the vicinity of the club. The club was registered several times for drug control, and numerous violations of traffic and violent behavior were observed. Our joint efforts with our neighbors to curb illegal operations continue.
A cordial greeting,
John Riley –
President, Señorio de Aloha.