For most condominium projects, painting is one of the largest expenditures that the Association will incur. Consequently, it is logical that it should be included in the Association’s reserves because it is not an annual maintenance expense. For most Associations it will occur every 7 to 15 years. So why does this question arise? In […]
Category: The Physical Aspect
What About “Lifetime” Products Like Tile Roofs?
Many people think that a tile roof will last forever and therefore doesn’t need to be included in a reserve study. The truth is that the tiles themselves can last 50 years or even longer but it’s the other components of the roof that have a shorter useful life that will need to be replaced. […]
How Are Components Identified?
A “Reserve Component” is an item that is the responsibility of the association to maintain, has a limited useful life, predictable useful life expectancy, typically occurs on a timeline that exceeds 1 year and costs above an agreed upon minimum threshold cost. An “Operating Component” expense is typically expenses that occur on an annual or […]