Homes for Islington has handed complete control of its annual £1.5 million maintenance budget to EPS Building Services.
EPS claims a deal with an arms length management organisation (ALMO) has never before been attempted on this scale.
The partners aim to cut the need for reactive repair work by increasing preventative maintenance.
The five-year maintenance contract covers maintaining and installing heating systems for more than 2,000 rented and leasehold social housing properties in the London borough.
EPS Building Services managing director Ray Johnston said: “This exciting contract gives us the chance to try out a new way of thinking that enables us to focus on assessing the current stock and rolling out a capital replacement programme.
“By doing this, we should be able to offset most of the reactive work and have more freedom to deploy our labour resources.
“People have attempted this type of deal in the past but have never really succeeded. We needed to step back and look at the whole picture before setting up the system.
“Fortunately, we have developed a strong relationship with the client and this has enabled us to look at how their heating services are managed in a completely different way.”
A dozen team members, ranging from engineers to field managers, will be responsible for ensuring the project runs smoothly on a day-to-day basis.