Safe and Sound provides detailed Reserve Fund Studies estimating capital cost and repair expenses for Condominium Corporations, Apartment, and Co-operative Housing Complexes.
A Reserve Fund Study is a financial plan, completed to ensure that adequate funding is available for the major repair, or replacement of the common elements and assets of a condominium corporation. Safe and Sound utilizes the Real Estate Institute of Canada’s Functional Reserve Study model, which is widely recognized as the most advanced reserve fund planning system in Canada. This model focuses on providing a sound financial plan, in addition to a thorough assessment of the building and its components.
Our report includes detailed photos and descriptions of the building’s components and condition, easy to interpret spread sheets detailing component information and relevant financial data, and summarized projections for ease of reference.
It provides a 30 year projection which estimates the timing and cost of major repairs and replacements. Adequacy of the present fund level and contributions by unit owners are evaluated based on anticipated factors which include, but are not limited to construction cost inflation, investment performance, and past fund performance.
If required, different methods and variations of adjusting future contribution amounts and the resultant effects can easily be explored utilizing our “Living” Fund Analysis spreadsheet. This aids us in determining the adjustments to contribution amounts that are most convenient, and optimal to unit owners.
A proper Reserve Study should make life easier by minimizing fluctuations in contribution levels, special assessments, and disruptions caused during the completion of work by planning proactively. We strive to be thorough, approachable, and receptive- and pride ourselves on building long term relationships working with our clients, not just for them. Please contact us at your convenience to discuss your needs, and allow us to provide you with, and present a sample study which further explains our process.
Please note that a reserve study is only required each 10 years by legislation in the Province of Newfoundland and Labrador. However, to achieve optimum effectivity, we recommend that a full reserve study be competed each (5) years, with an update each (3) years to meet the standards that are legislated in other provinces such as Ontario, and British Columbia. This allows us the opportunity to assess the building more frequently, and adjust contributions based on changing economic conditions.