Asset Management & Reserve Studies
• Platinum Advantage
• Gold Advantage
• Silver Advantage
• Bronze Advantage
Asset management is a universal systematic approach to plan, operate, monitor, measure, maintain, repair, modify, upgrade or dispose of community tangible assets over the components’ full life cycle. Effective asset management allows an association to optimize cost, risk, performance and sustainability of their assets by prioritizing budget expenditures.
Cost feasibility studies and reserve studies are each separate segments of what comprise asset management. CM Squared, Inc. offers associations multiple options to fulfill the board of directors’ obligation with regard to proper fiduciary oversight of the community assets and determine the best way to maximize budgetary dollars.
Asset Management, Cost Feasibility Study, Reserve Study
CM Squared, Inc. offers full asset management that provides the most comprehensive understanding of community assets. Our team of experts conduct a detailed and thorough physical inspection of all major property components, including intrusive investigation when needed, and provide photo documentation of all findings. The components’ life cycles will be evaluated as we perform a full feasibility study, review funding readiness and cost analysis, prepare a repair matrix, and determine the most cost-efficient replacement products based on the needs of the community.
Taking into account all projects that will come due over the next 5, 10 or 30 years, and working in conjunction with the reserve study, we create an inclusive asset management plan that captures all common area repair and replacement projects. Looking at the community as a whole helps to keep maintenance costs to a minimum and is vital to the long-term health and funding of every community.
Cost Feasibility Study
With proper analysis and planning, unintentional special assessments can be avoided. Whether looking at one, or multiple components and with the project goal in place, the CM Squared, Inc. team will identify various approaches to the repair and/or replacement of your common area components so we can provide you with thorough renovation recommendations. Our proposals are based first and foremost on life safety. Next, we factor in water intrusion, capital preservation and the integrity of the structure, followed by aesthetics.
As part of the feasibility study we also evaluate the current property condition against its useful life expectation to provide you with an accurate prioritization of repairs. Funds are often limited, and the cost feasibility study allows us to create a project with multiple phases over several years to minimize the potential need for special assessments.
Community Assessment (1-3 years) – Detailed Reserve Study
A reserve study identifies all major common area components, the cost to repair or replace them, and their remaining useful life. It details how much money is needed by component and when. The board can then use this information to determine how to fund reserves and build this into the annual budget, which is then disclosed to the membership.
At least once every three years, the association needs to have a full reserve study completed which involves a specialist visiting the property to visually inspect all major components that the association is obligated to repair, replace, maintain or restore. CM Squared, Inc.’s reserve analysts will provide a detailed inspection report of all major components of the association, a repair matrix for each major component, and photos to document condition details. The report includes a component list that outlines estimated useful life, remaining useful life, quantities and costs, along with CM Squared, Inc.’s funding plan recommendation and reserve funding guidance.
Standard Reserve Study
CM Squared, Inc. offers a standard reserve study that is based on visual inspection and evaluation of each common area asset. A report will be created including a component list outlining estimated useful life, remaining useful life, quantities and costs, along with a funding plan recommendation and reserve funding guidance.