Reserve Studies


Condo
 
 

Resort
 
 

A Reserve Study is a budget planning tool which provides a 20-30 year projection of non-annual maintenance and replacement costs for assets designated as common property. This study and its schedule of anticipated maintenance and replacement costs is the only viable method to project such long term costs which are significant line item in your annual operating budget. Reserve Studies consider the current condition, life expectancy, remaining life expectancy and the associated maintenance and replacement costs of all such assets and their subcomponents. This analysis therefore has two parts: the physical inspection and analysis and the financial analysis.

Our Reserve Studies include:

  1. A list of items of concern and items observed during the site inspection which needs attention
  2. list of observed items excluded from the study and the basis of their exclusion
  3. review of the draft funding plans with the Board of Directors or their representatives
  4. A review of priorities and improvements currently being considered by the Board and their funding options

The scope of our site inspection and the Reserve Study are focused on gathering data and reviewing the condition of your common property assets so as to create a long term budget as described above. This study is not to be confused with or a substitute for a “property inspection” report which is typically a more micro inspection of a property and its components to generate a detailed listing of deficiencies, repair options, priorities and costs to repair or replacement if repair is not possible but does not include analysis necessary to project life expectancies, remaining life expectancies and long term non-annual cost of maintenance and replacement.