The Advertising Standards Authority (ASA) today published a complaint about Ace Relocations, a hybrid HMO landlord that offers professional renters in London rooms within shared properties and blocks of flats and calls itself a ‘house share company’.

The complaint was about an advert that the company had place on Spareroom.com, which stated that all bills were included and a cleaner provided. The ASA considered that the advert was likely to have breached its advertising code because “it does not make it clear that the cleaner, and some other costs, are not included in the monthly rent despite the main claim made in the ad”, the ASA said.

Ace Relocations agreed to amend both its current website listings and any future adverts, and the ASA file case was closed.

What this highlights is the emerging world of hybrid-landlords-cum-property-managers like Ace Relocations. It offers agents and indirectly landlords the opportunity to rent properties outside the traditional tenancy model. Ace Relocations says it is ‘not an estate agent’. It rents properties directly from agents via a ‘commercial contract’ and then rents them to professional tenants.

The company doesn’t describe itself as a landlord but, like one, collects the rent and holds the deposit while, like an agent, it charges agency fees when tenants move in. On the other hand it also fulfils the role of a managing agent on behalf of the original landlord because it cleans the property and manages repairs and maintenance.

Ace Relocations does not mention deposit protection on its website but the company’s relocation manager Greg Elliot (pictured) says “all our deposits are held legally”.

“We also employ the most established property lawyers in the country – Anthony Gold – at great expense in order to ensure that we work strictly within the law. They create all of our licences, deeds, company contracts and advise us of any impending legislation way in advance so we can prepare and adapt to any situation.

“Also, we work closely with the National HMO Network and in particular, [consultant] Michele Glazebrook…who has been very impressed with how seriously we take the law and regularly comments on how she wishes other company’s would care and operate like we do.”

The company was set up just under three years ago by managing director Christopher Florence, who on the company’s website says he established Ace Relocations because he believed ‘the lettings market was outdated and recognised the ever growing demand for all-inclusive living for professional people in London’.