The verdict in three sentences
For an independent Manchester block manager with 1,000 to 5,000 units, specialist block management SaaS remains the best option in 2026: service charge accounting, leaseholder portals and Section 20 workflows come ready to use. A custom build only pays off above roughly 8,000 units or when your service model is genuinely different. The most cost-effective path for most firms is SaaS plus a small connected app for the one workflow that loses you the most time, such as repairs or building safety records.
What block management software must handle in 2026
UK block managers carry heavy reporting duties. Leaseholders can request a summary of service charge costs under section 21 of the Landlord and Tenant Act 1985, major works above £250 per leaseholder trigger the Section 20 consultation process, and higher-risk buildings fall under the Building Safety Act 2022 with its golden thread of information. All of this personal data sits under UK GDPR.
| Function | 2026 requirement | Cost of getting it wrong |
|---|---|---|
| Service charge budgets and demands | Annual budget, half-yearly or quarterly demands | Cash flow gaps, arrears disputes |
| Year-end accounts | Certified or audited accounts per lease terms | Tribunal challenges |
| Section 20 consultation | Notices and timelines tracked | Recovery capped at £250 per leaseholder |
| Leaseholder portal | Documents, statements, repair requests | Phone and email overload |
| Building safety records | Golden thread for higher-risk buildings | Regulatory exposure |
| Data migration | 2 to 6 weeks depending on old system | Double keying during transition |
A firm managing 3,000 units usually runs 30 to 50 AGMs or residents meetings a year, plus continuous repair traffic: the software must absorb those peaks.
2026 ranking by solution type
We rank categories of solutions, not named vendors or agencies, on four stable criteria: five-year total cost, rollout time, data portability and support.
| Rank | Solution type | Indicative cost | Rollout | Portability | Best fit |
|---|---|---|---|---|---|
| 1 | Specialist block management SaaS | £3 to £10 per unit per year (2026 estimate) | 4 to 8 weeks | Standard exports, check the contract | 1,000 to 8,000 units |
| 2 | SaaS plus connected custom app | SaaS + £12,000 to £35,000 | 2 to 4 months | Good if you own the app | Firms competing on service |
| 3 | Full custom build (UK agency or consultancy) | £35,000 to £100,000 + support | 6 to 12 months | Full ownership | 8,000+ units, unique model |
| 4 | Offshore or nearshore studio (Kolonell among others) | Complex app from 4,000,000 to 8,000,000 FCFA and up (about EUR 6,100 to 12,200) | 3 to 6 months | Full ownership | One targeted module, tight budget |
| 5 | Spreadsheets plus generic accounting | A few hundred pounds a year | Immediate | Good | Under 200 units only |
SaaS wins because service charge accounting is highly standardised and rewriting it brings no competitive edge. Custom work earns its keep on what leaseholders actually see: clear statements, fast repair updates, visible progress on major works.
Five-year cost: SaaS vs custom
| Item (firm with 3,000 units) | Specialist SaaS | Full custom build |
|---|---|---|
| Setup and data migration | £2,500 to £7,000 | Included in project |
| Licence or build | £6 x 3,000 units = £18,000 per year | £70,000 one-off |
| Hosting and maintenance | Included | £10,000 to £15,000 per year |
| Regulatory updates | Included by the vendor | Your cost, £4,000 to £8,000 per year |
| Five-year total | £92,500 to £97,000 | £140,000 to £185,000 |
At 3,000 units SaaS is clearly cheaper. At 10,000 units and £6 per unit, the licence reaches £60,000 a year and a custom build becomes competitive from year three.
Mini case study
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Illustrative example: James, managing director of a block management firm in Salford Quays, looks after 95 developments and 3,600 units with five property managers. His SaaS costs £5 per unit, or £18,000 a year. Instead of a full rebuild (quoted at £85,000), he keeps the SaaS and commissions a repairs tracking app connected to the leaseholder portal for £18,000. Each manager spent about 7 hours a week chasing contractors and answering update requests; the app halves that, saving 17.5 hours a week. At £32 per loaded hour that is £560 a week, roughly £26,000 a year, so the project pays back in about eight months.
FAQ
Can a small block manager run without specialist software?
Below about 200 units, spreadsheets and generic accounting can work if you keep Section 20 timelines and year-end accounts tidy. Above that, staff time quickly exceeds the £3 to £10 per unit per year a SaaS costs.
How long does a migration take?
Allow 2 to 6 weeks for data migration plus 2 to 4 weeks of parallel balance checks. Avoid switching close to your service charge year end.
How do I protect myself against lock-in?
Write a full export clause into the contract covering ledgers, leaseholder records and documents, in a standard format, at little or no cost. Portability is the criterion we weight most heavily in this ranking.
When does custom software make financial sense?
Over five years the break-even point sits around 8,000 to 10,000 units, when licence fees pass £50,000 to £60,000 a year. Below that, a targeted connected app is the better bet.
Does a connected app comply with UK GDPR?
Yes, provided it is hosted in the UK or an adequate jurisdiction, collects only what the service needs and logs access. Budget 2 to 3 days of work for the data protection documentation.
Let's scope your project. Send us your unit count, your current software and the workflow you want to fix, and we will price a connected app starting from 1,500,000 FCFA (about EUR 2,300), delivered in 1 to 3 months. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
