Fees Exceeding $600 Per Month For Select Properties
The Low Down on CSC ServiceWorks New Fee
On May 17, CSC ServiceWorks CEO Mark Hjelle sent a letter to every leasing client informing them of a new 9.75% fee being deducted from gross collections. The purpose for the fees was to cover taxes, vandalism, and rising administrative costs. The announcement came without warning and is causing an uproar throughout the multi-family housing and community association management industries.
Who’s Impacted by CSC ServiceWorks New Fee
Multi-family, condominium/HOA, and co-op properties are being hit the hardest by these new fees. Many of these properties count on their laundry facilities to generate income for the property, so a 9.75% hit is leading to some large changes in that income stream. David Baron, president of Queens, NY based Metro Management, said they have co-op and condo properties where the fees exceeded $600 per month. As a result, he is challenging the contractual right of CSC ServiceWorks new fee. “I didn’t find any provision that gives them this authority,” Baron said in a recent article on HABITAT Magazine. “Frankly, I can’t picture anybody entering into a contract that contains such a clause. The bottom line is that they’ve underpaid what’s in the contract. This is a money grab.”
Alternative Laundry Lease Providers
While Baron contests that CSC ServiceWorks new fee violates their contract, it is unclear if there are legal grounds for his claim. One thing that is clear, property managers being adversely impacted by CSC ServiceWorks new fee are likely to search out alternative laundry lease providers. To help make that search easier, here is a list of laundry companies that provide leases in major markets around the country:
FMB Laundry – Serving all of Central and Northern Virginia, West Virginia, Washington DC, Maryland, Delaware, Eastern Pennsylvania, and New Jersey
Coin-O-Matic– Serving all of Northern Illinois and Northwest Indiana
Automatic Laundry – Serving all of New York City and New England
Caldwell & Gregory – Serving 20 states plus the District of Columbia from New Jersey to Texas.
Aaxon Laundry Systems – Serving all of Florida
Commercial Equipment Company – Serving all of Texas and Louisiana
M Laundering – Serving all of Michigan
Excalibur Laundries – Serving all of California and Arizona
Washington Automated – Serving all of Washington, Oregon, and Idaho
Automatic Industries – Serving all of New York City
WASH Multifamily Laundry Systems – Serving clients nationwide
All Valley Washer Service – Serving all of California
Coin Meter – Serving all of Oregon and southern Washington
Don’t see an option for your local market? Contact us and we will locate one for you!
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