RDA helps your high-rise community maintain luxury and protect investments.
A reserve study is an essential tool for the successful management of high rise communities. High rise associations are in charge of maintaining common elements and facilities. Over time, though, these elements and components will deteriorate and require replacements or repairs.
Although a high rise community uses regular dues to pay for day-to-day expenses, major replacements or repairs usually need larger funding. Therefore, it is important for a high rise community to maintain a reserve fund, thereby preparing the association for future costs.
High rise association capital planning helps communities discern the level of funding they need at any given time. It includes an assessment of the association’s components and current funding balance, which are then used to come up with a funding plan. A reserve study basically lets you know how much money you need in your reserves and how much each member must contribute to the fund within a set period of time.
Without a reserve study, a high rise community would have no way to know whether its reserve fund is adequately funded. If it faces a major cost, a high rise association would then have no choice but to levy special assessments or take out a significant loan.
In addition to the above, here are other reasons why a high rise association reserve study is important:
Board members have a fiduciary obligation to maintain common areas and elements.
Certain states have laws requiring associations to maintain reserve funds and undergo a reserve study.
Lending institutions sometimes ask for a copy of the high rise’s reserve study to determine the association’s ability to repay the loan. Many mortgage companies also ask owners to supply them with a copy of the association’s reserve study to display the long-term financial strength of the association.
Reserve Data Analysis provides each community with an RDA report as part of our community association reserve study service.
Our report includes the following:
A comprehensive analysis of the client’s operating guidelines and the governing documents to determine the extent of the client’s maintenance and reserve obligations;
A detailed inventory of all assets that fall under the client’s responsibility (for on-site inspections);
Detailed reports for each asset;
A summary of assets by category;
Distribution of accumulated reserves report;
Required monthly contribution report; and,
All of our high rise association reserve analysis reports are generated using localized cost guides as well as economic and investment parameters. Throughout the process, all of our clients receive our undivided attention and commitment. Our complete support and guidance continue through the entire year, so you can reach out to us for any questions or concerns about budgeting and long-term planning.
Reserve Data Analysis offers four levels of service for high rise association reserve studies. All levels come with the following:
An evaluation of remaining life and replacement costs for all components;
A detailed RDA report with an owner’s summary, budgeting charts, precise measurements of structures, and pictures of every component;
Help with determining the right funding strategy for your high rise;
A one-hour free consultation and Q&A with board members;
One free revision of your report; and,
Live support from our corporate office.
This level of service comes with a physical on-site walkthrough of your high rise association to determine the condition of your components and to take precise measurements.
This level of service comes with a physical on-site walkthrough of your high rise association to determine the condition of your components, but there are no measurements taken.
This level of service does not include a site visit or inspection but comes with a readjustment of your funding plan using your prior high rise association reserve fund study calculations to compensate for such things as inflation, price hikes on materials, investments, and yields on your investments.
This level of service does not include a site visit or inspection. Instead, you can save money and learn about your high rise association by conducting the inspection yourself. It includes a step-by-step guide through the collection process of components and measurements. Using the data you’ve collected, our corporate office compiles your measurements and validates your information to ensure no costly mistakes.
RDA’s self-made and self-contained software is a fully integrated management, computational, and projection tool. Our software allows for greater detail, more accurate projections, and more intricate computations without the limitation of a 20- to 30-year window.
Using this software, our report also comes with a 3D MODEL of your facilities with a detailed breakdown of square footage.