Update With Site Visit

Transcription

1 Update With Site Visit Le Chateau Bellevue, WA 10/28/2011 Report #1002 Phone: Fax:

2 Le Chateau Client Info: REPORT #: 1002 STUDY TYPE: Update With Site Visit INSPECTION DATE: 9/10/2011 REPORT PERIOD: 1/1/ /31/2012 NUMBER OF UNITS: 105 Parameters: ANNUAL INFLATION RATE: 3% ANNUAL CONTRIBUTION INCREASE: 3% NET ANNUAL INVESTMENT RATE: 0.04% Results: PROJECTED STARTING RESERVE BALANCE: $543,573 THEORETICALLY IDEAL RESERVE BALANCE: $718,194 PERCENT FUNDED: 76% MOST RECENT MONTHLY RESERVE CONTRIBUTION: $6,667 RECOMMENDED 2012 MONTHLY CONTRIBUTION: $8,890 RECOMMENDED SPECIAL ASSESSMENT: $0 This document is an Update With Site Visit Reserve Study that meets all requirements of chapter RCW Article 3, Section 2. Information was gathered for this Reserve Study during our site inspection on 9/10/2011. A Reserve Study Professional performed this Reserve Study. The Association currently contributes $6,667 per month to the reserve account. Based on the findings of our report, we suggest increasing the monthly reserve contribution to $8,890 in fiscal year Please refer to the Photo Component Section for detailed component information regarding our funding decisions.

3 Funded Component Chart Remaining Useful Useful Replacement Cost Component Quantity Life Life Low High Elevated Decks - Seal/Repair Approx 11,280 square feet 5 0 $67,680 $90,240 Elevated Decks - Repair/Replace Approx 11,280 square feet $282,000 $394,800 Asphalt - Seal/Repair Approx 26,040 square feet 5 4 $18,800 $20,800 Asphalt - Overlay Approx 26,040 square feet $49,480 $54,680 HVAC - Replace (Building A) (3) Carrier 20 7 $33,000 $42,000 HVAC - Replace (Building B) (3) Carrier $33,000 $42,000 Exterior Lights - Replace (171) assorted $8,550 $11,970 Trash Compactor - Replace (1) unit 20 7 $15,000 $20,000 Wood Fence - Replace Approx 310 linear feet 20 8 $6,200 $7,750 Carpet - Replace Approx 1,300 square yards 15 7 $39,000 $65,000 Gate Operators - Replace (4) Elite 15 3 $12,000 $20,000 Entry System - Replace (2) units $8,000 $12,000 Building Exterior - Seal/Paint Approx 41,110 GSF 8 7 $30,000 $34,000 Vinyl Siding - Replace Approx 41,110 GSF $205,550 $287,770 Windows/Glass Doors - Replace (484) assorted $216,000 $270,000 Pool Deck - Resurface Approx 2,840 square feet $34,080 $45,440 Pool/Spa - Resurface Approx 1,260 square feet $12,000 $14,000 Composition Shingle Roof - Replace Approx 73,185 square feet 30 7 $256,150 $292,740 Elevators - Modernize (2) Dover $100,000 $140,000

4 Site Inspection: Our site inspection was conducted on 9/10/2011. We compiled a photographic record and visually inspected all of the common and limited common elements. We noted current condition, materials, and exposure to weather elements. The Association contact informed us of any items that are being handled from the Operational budget, not Reserves. Reserve Funds Analysis: The Reserve Fund balance is projected to be $543,573 as-of the start of your fiscal year on 1/1/2012. This is based on your actual balance provided to us by the Association contact. As of 1/1/2012, your Ideal Reserve Balance is figured to be $718,194 making your reserves 76% funded. Recommendations: The Association currently contributes $6,667 per month to the reserve account. Based on the findings of our report, we suggest increasing the monthly reserve contribution to $8,890 in fiscal year 2012.

5 PHOTO COMPONENT SECTION Component: Concrete Repair/Replace Comments: Fair condition with no damage or unexpected deterioration observed. We suggest regularly inspections of concrete, with repair as needed to prevent water penetration and damage. Periodically pressure wash for appearance and repair any trip hazards immediately to ensure safety. We do not expect large-scale or total replacement within the scope of this study. No reserve funding suggested. Quantity: Extensive Square Feet

6 Component: Elevated Decks Seal/Repair Comments: Generally fair condition of decks sampled during our limited scope inspection. The last reported surface coating occurred in This surface type should be cleaned and sealed every 4-6 years for waterproof integrity and appearance. We suggest annual professional inspections, repairing as needed from the general maintenance funds. We recommend reserve funding for regular intervals of sealing of elevated decks. The association reportedly is planning on sealing the elevated decks in Quantity: Approximately 11,280 Square Feet 5 Years $6/Sq Ft 0 Years $8/Sq Ft $67,680 $90,240

7 Component: Elevated Decks Repair/Replace Comments: Fair condition of decks sampled during our limited scope visual inspection. It is our understanding that all decks had significant reflashing work and repair of any necessary decking completed in approximately 2007 as part of a construction defect settlement. We recommend periodic professional evaluations of all elevated decks to assess overall condition. Forensic building evaluation is beyond the scope of a reserve study. Due to the exposure to the elements, best to set aside funds for periodic large-scale repair/replacement. Note: project costs can vary significantly; professional specifications, soliciting several estimates, and professional project oversight are recommended. Quantity: Approximately 11,280 Square Feet 30 Years $25/Sq Ft 25 Years $35/Sq Ft $282,000 $394,800

8 Component: Powder Coated Rail Repair/Replace Comments: Fair condition of powder coated aluminum rail observed during our inspection with no damage or instability apparent. Inspect regularly to ensure safety. Repair as needed from operating budget. We do not expect large-scale or total replacement within the scope of this study. No reserve funding suggested. Quantity: Approximately 540 Linear Feet

9 Component: Asphalt Seal/Repair Comments: Good surface condition observed, reportedly last sealed in 2011 at a cost of $19,800. Seal coating protects the asphalt from the weather elements and provides a uniform appearance. Incorporate any striping and curb repair into this project. Plan for regular seal coat cycles at the interval below. Quantity: Approximately 26,040 Square Feet 5 Years 4 Years $18,800 $20,800 $18,800 $20,800

10 Component: Asphalt Resurface Comments: Fair condition with no cracking or settling observed. We suggest a seal coat every five years to obtain maximum life of asphalt surface. Repair cracks, clean oil stains promptly and ensure that drains are clear. Best to plan to overlay asphalt at roughly the time frame below. Quantity: Approximately 26,040 Square Feet 30 Years $1.90/Sq Ft 19 Years $2.10/Sq Ft $49,480 $54,680

11 Component: Retaining Walls Replace Comments: Retaining walls appear to be in stable condition with no significant erosion noted. We assume that they were properly installed with adequate base and surrounding drainage. If areas of deterioration emerge, consult with civil or geotechnical engineer for repair scope. No basis for reserve funding at this time. Quantity: Extensive Linear Feet

12 Component: HVAC Units Replace (Building A) Comments: The HVAC units are reported to be functional and operating as designed. The (3) Carrier units in Building A are reportedly original to construction. Regular professional inspections and maintenance will help to extend the life of the units. Plan for replacement at the typical life expectancy indicated below. Quantity: (3) Carrier 20 Years $11,000/each 7 Years $14,000/each $33,000 $42,000

13 Component: HVAC Units Replace (Building B) Comments: The (3) Carrier units in Building B were reportedly replaced in Regular professional inspections and maintenance will help to extend the life of the units. Plan for replacement at the typical life expectancy indicated below. Quantity: (3) Carrier 20 Years $11,000/each 16 Years $14,000/each $33,000 $42,000

14 Component: Exhaust Fans Replace Comments: Fair, operational condition observed during our site inspection. No predictable large-scale expenses suitable for reserve designation. Treat as maintenance/operating issue. Quantity: (8) Fans

15 Component: Exterior Lights Replace Comments: Fair condition of assorted exterior lights. They are assumed to be in functional operating condition. Regularly inspect and change bulbs as needed. Best to plan for large-scale replacement at the interval below. Time replacement to coincide with exterior paint cycles for cost efficiency and a consistent appearance. Quantity: Approximately (171) Assorted Fixtures 20 Years $50/each 15 Years $70/each $8,550 $11,970

16 Component: Pole Lights Replace Comments: Fair condition with no damage or unexpected deterioration evident. They are assumed to be in functional operating condition. Regularly inspect and change bulbs as needed, apply touch up paint to posts. We do not expect large-scale or total replacement within the scope of this study. No reserve funding suggested. Quantity: (5) Metal Pole Lights

17 Component: Interior Lights Replace Comments: Fair condition with no damage or unexpected deterioration observed. Regularly inspect and change bulbs as needed. We do not expect large-scale or total replacement at these protected interior locations. Evaluate periodically and replace individual fixtures, as needed using general maintenance funds. Quantity: Approximately (540) Assorted Fixtures

18 Component: Mailboxes Replace Comments: Fair condition apparent; no damage or unusual wear. Inspect regularly, clean and repair as needed from operating budget. No anticipation of total replacement within the scope of the report. No reserve funding suggested. Quantity: Approximately (107) Metal

19 Component: Trash Compactor Replace Comments: No reported problems at this time. Assumed to be functional and in good operating order. These units typically last approximately 20 years. Plan to replace at roughly the time frame below. Quantity: (1) Unit 20 Years 7 Years $15,000/unit $20,000/unit $15,000 $20,000

20 Component: Wood Fence Replace Comments: Fair condition with no significant instability or damage noted. Inspect regularly for any damage or deterioration and repair as needed. Try to avoid contact with the ground and surrounding vegetation. We suggest planning to replace the wood fence at roughly the time frame below. Quantity: Approximately 310 linear feet 20 Years $20/Linear Foot 8 Years $25/Linear Foot $6,200 $7,750

21 Component: Patio Furniture Replace Comments: Varying condition of assorted patio furniture; appear to be stable and functional. Clean periodically and store indoors during off-season. Replace on an asneeded basis from operating budget, not as cyclical reserve project. No reserve funding suggested. Quantity: Extensive Amount of Assorted Pieces

22 Component: Carpet Replace Comments: Fair condition of carpet observed during our inspection with no staining or tearing evident. Vacuum regularly and professionally clean as needed. We recommend regular intervals of replacement to maintain a quality appearance. Quantity: Approximately 1,300 Square Yards 15 Years $30/Sq Yd 7 Years $50/Sq Yd $39,000 $65,000

23 Component: Entry/ Utility Doors Replace Comments: Fair condition of assorted doors observed during our inspection. Repair as needed from general maintenance budget. Clean and paint along with other building surfaces. No reserve funding required. Quantity: Extensive Amount of Assorted Doors

24 Component: Metal Gates Replace Comments: Gates appear to be in good working order and operating as designed. Inspect regularly and repair as needed. The failure rate of this component is typically difficult to predict. Best suited to be handled thru the operating budget. No basis for reserve funding at this time. Quantity: (4) Metal

25 Component: Gate Operators Replace Comments: No operational problems observed at this time. Inspect operator regularly and perform any repairs from the operating budget. Best to plan for replacement at the interval below. Quantity: (4) Elite 15 Years $3,000/each 3 Years $5,000/each $12,000 $20,000

26 Component: Entry System Replace Comments: Fair appearance with no significant damage observed and no reported problems at this time. Professional inspections and maintenance are recommended. Plan for replacement at roughly the interval below, due to constant usage and exposure to weather elements. Quantity: (2) Units 15 Years $4,000/each 12 Years $6,000/each $8,000 $12,000

27 Component: Exercise Equipment Replace Comments: Fair condition of assorted equipment, all assumed to be functioning and in operating order. Maintain and repair promptly as needed from operating budget to ensure safety. The failure rate of this component is typically difficult to predict. Best suited to be handled thru the operating budget. No basis for reserve funding at this time. Quantity: Assorted Pieces

28 Component: Furniture Replace Comments: Fair condition of assorted lobby furniture observed during our inspection. No expectation for regular or large-scale replacement, so we recommend that any replacement when needed be factored into operating/maintenance budget, not reserves. Quantity: Assorted Pieces

29 Component: Kitchen Refurbish Comments: Fair condition with no reported problems. Simple, durable materials typically have an extended useful life, many communities choose to refurbish the kitchen periodically for functionality and aesthetic updating; these may include kitchen cabinets (reface), sinks, counter tops, appliances, etc. No expectation for large-scale replacement within the scope of this report. We recommend that eventual replacement be factored into the general maintenance budget, not reserves. Quantity: Assorted Pieces

30 Component: Bathrooms Refurbish Comments: Fair condition with no reported problems at this time. Inspect regularly, perform any needed repairs promptly utilizing operating budget. No expectation for regular or large-scale replacement, so we recommend that any replacement when needed be factored into general maintenance budget, not reserves. Quantity: (2) Bathrooms

31 Component: Irrigation System Refurbish Comments: No reported problems at this time. Regularly test system and repair as needed from maintenance budget. Follow proper winterization and spring start up procedures. If the system was properly installed the elements within this component are generally low cost and have a failure rate that is difficult to predict. Best suited to be handled thru the operating budget. No basis for reserve funding at this time. Quantity: Extensive System

32 Component: Interior Surfaces Repaint Comments: Fair condition observed during our site inspection with no deterioration or fading evident. Regular cycles of paint are recommended to maintain appearance. We were informed that in-house staff handles painting projects. No reserve funding under this pattern of care. Quantity: Approximately 17,200 Square Feet

33 Component: Building Exterior Seal/Paint Comments: Fair condition of painted surfaces observed at this time. The buildings were reportedly cleaned and some touch up painting done in 2011 at a total cost of $32,000. Exterior surfaces consist primarily of vinyl siding with a moderate amount of wood surfaces. Touch up and repair locally as needed using general maintenance funds. Best to plan for regular cycles of seal/paint at the level below. Note: project costs can vary significantly; professional specifications, soliciting several estimates, and professional project oversight are recommended. Quantity: Approximately 41,110 GSF 8 Years 7 Years $30,000 $34,000 $30,000 $34,000

34 Component: Vinyl Siding - Replace Comments: Fair condition of vinyl siding observed during our limited scope visual inspection. No significant cracking, damage or instability apparent. No reported water intrusion at this time. We assume the siding was installed properly with adequate moisture barrier and waterproofing details. We recommend periodic evaluations of all siding with prompt repair as needed to ensure building waterproofing. Vinyl is a low maintenance product, but eventual replacement will be needed as vinyl will typically become brittle and worn over time. Best to plan for replacement at the interval indicated below. Note: project costs can vary significantly; professional specifications, soliciting several estimates, and professional project oversight are recommended. Quantity: Approximately 41,110 GSF 35 Years $5/Square Foot 22 Years $7/Square Foot $205,550 $287,770

35 Component: Windows/Glass Doors Replace Comments: No problems noted or reported during our visual scope inspection. We assume the windows to have been installed properly with adequate waterproofing details. We recommend periodic evaluations with prompt repair as needed to ensure building waterproofing and help prevent structural damage. Plan to replace windows and glass doors at roughly the time frame indicated below. Note: project costs can vary significantly; professional specifications, soliciting several estimates, and professional project oversight are recommended. Quantity: Approximately (484) Assorted Sizes 35 Years $2,000/unit (x108) 22 Years $2,500/unit (x108) $216,000 $270,000

36 Component: Pool Deck Resurface Comments: Fair condition with no significant cracking evident at this time. Pressure wash regularly for appearance and fill any cracks that may develop to minimize further damage. Best to plan for total resurfacing at interval indicated below. Quantity: Approximately 2,840 Square Feet 30 Years $12/Sq Ft 17 Years $16/Sq Ft $34,080 $45,440

37 Component: Pool/Spa Resurface Comments: Fair condition of surface noted. Professional cleaning and maintenance are recommended to maximize life of this component. Best to plan for regular intervals of pool/spa resurfacing to maintain functionality and a quality appearance. Quantity: Approximately 1,260 Square Feet 15 Years $12,000 allowance 13 Years $14,000 allowance $12,000 $14,000

38 Component: Pool/Spa Filters Replace Comments: Fair and functional condition of filters. Clean regularly and maintain as needed. Replacement cycles of filters are difficult to predict and they are at a relatively low cost. Replacement is best suited as general maintenance expense, not as reserve component. No reserve funding suggested. Quantity: (2) Assorted

39 Component: Pool/Spa Heater Replace Comments: No reported or observed problems at this time. We recommend regular professional maintenance and repair to help maximize life cycles. Replacement is best suited as general maintenance expense, not as reserve component. No reserve funding suggested. Quantity: (2) Heaters

40 Component: Pool/Spa Pumps Replace Comments: Assumed to be in functional condition and operating as designed. Replacement cycles of pumps are difficult to predict and they are at a relatively low cost. Replacement is best suited as general maintenance expense, not as reserve component. No reserve funding suggested. Quantity: (2) Pumps

41 Component: Pool Fence Replace Comments: Fair condition observed during our inspection with no significant deterioration or instability apparent. This metal rail can last for an extended period of time if not damaged or abused. Inspect regularly to ensure safety. Repair and paint as needed from operating budget. We do not expect large-scale or total replacement within the scope of this study. No reserve funding suggested. Quantity: Approximately 245 Linear Feet

42 Component: Composition Shingle Roofs Replace Comments: Generally fair condition with no significant damage, unevenness or missing shingles observed during our limited scope visual inspection. No reported problems at this time. We assume the roof to have been correctly installed per the manufacturers specifications. We suggest regular professional inspections and prompt repairs as needed to ensure waterproof integrity. Keep gutters and downspouts clear and free of debris. Plan for replacement at roughly the time frame below. Quantity: Approximately 73,185 Square Feet 30 Years $3.50/Sq Ft 7 Years $4.00/Sq Ft $256,150 $292,740

43 Component: Gutters/Downspouts Repair/Replace Comments: Fair condition with no damage observed. Inspect regularly and keep gutters and downspouts free of debris. Repair as needed from general maintenance funds. No anticipation of total replacement within the scope of this report. Repair/replace isolated areas as needed from general maintenance funds. Quantity: Approximately 3,650 Linear Feet

44 Component: Entry Monument Replace Comments: Fair condition with no significant fading or deterioration apparent. Clean and apply touch up paint for appearance as needed. Make minor repairs from operating budget. No anticipation of total replacement within the scope of this report. No reserve funding suggested. Quantity: (1) Monument

45 Component: Elevators Modernize Comments: Fair operational condition of elevators observed during our inspection. We suggest the Association provide for regular professional inspections and maintenance. Best to plan for eventual large-scale modernization, which may include electrical updates, controllers, mechanical door components, pump replacement, etc at the interval below. Quantity: (2) Dover 30 Years $50,000/each 17 Years $70,000/each $100,000 $140,000

46 Component: Elevator Cabs Remodel Comments: Fair condition with no damage or unexpected deterioration observed. Periodically wipe down interior surfaces with an appropriate cleaner, being careful to avoid control buttons. Many communities choose to remodel the elevator cab periodically for functionality and aesthetic updating. We recommend that eventual remodeling projects be factored into the general maintenance budget, not reserves. Quantity: (2) Elevator Interior Cabs

47 Component: Fire Panels Replace Comments: These fire panels appear to be in good working order and operating as designed. We suggest regular professional inspections of the fire panels. The failure rate of these types of communicators is typically difficult to predict. Best suited to be handled thru the operating budget. No basis for reserve funding at this time. Quantity: (2) Panels

48 Component: Drainage System Repair/Refurbish Comments: Fair condition with no reported problems at this time. We assumed the community was properly designed with adequate provisions for drainage. As routine maintenance, inspect regularly and keep drains and grates free of debris to ensure water is evacuating as designed. Pump out sediments if needed utilizing mobile evacuator service fund from the maintenance budget. We do not expect any large-scale expenses within the scope of this study. No reserve funding suggested. Quantity: Extensive System

49 Component: Electrical System Repair/Replace Comments: Analysis of electrical system is beyond the scope of a reserve study. There is no predictable time frame for large-scale repair/replacement expenses within the scope of our report. Treat minor repairs as ongoing maintenance expense. No basis for reserve funding at this time. Quantity: Extensive System

50 Component: Plumbing Repair/Replace Comments: No reported problems at this time. Analysis of plumbing system is beyond the scope of a reserve study. There is no predictable time frame for large-scale repair/replacement expenses within the scope of our report. If leaks, poor flow/water quality, etc become evident, have qualified plumber or engineer inspect closely and develop scope of repair/replacement. Treat minor repairs as an ongoing maintenance expense. No basis for reserve funding at this time. Quantity: Extensive Throughout

51 Component: Landscaping Refurbish Comments: This component may be utilized for setting aside funds for larger expenses that do not occur on an annual basis, such as: large-scale plantings, bark mulch or landscape improvement projects. No reserve funding suggested at this time. Quantity: Extensive Square Feet

52 Component: Reserve Study With Site Visit Comments: Per Washington law, chapter RCW Article 3, Section 1 reserve study updates with site inspections are to occur every three years to assess changes in condition and the resulting effect on the community's long-term reserve plan. This expense should be factored within the operating budget, not reserves. Quantity: Every Three Years

53 Year-By-Year Summary Chart Starting Ideal Annual Projected Reserve Reserve Percent Reserve Special Interest Reserve Year Balance Balance Funded Rating Contributions Assessments Income Expenses 2012 $543,573 $718, % Strong $106,680 $0 $223 $78, $571,516 $737, % Strong $109,880 $0 $251 $ $681,647 $841, % Strong $113,177 $0 $295 $ $795,119 $950, % Strong $116,572 $0 $338 $17, $894,546 $1,047, % Strong $120,069 $0 $377 $22, $992,707 $1,144, % Strong $123,671 $0 $404 $91, $1,025,246 $1,176, % Strong $127,381 $0 $436 $ $1,153,063 $1,306, % Strong $131,203 $0 $386 $508, $776,167 $918, % Strong $135,139 $0 $336 $8, $902,806 $1,037, % Strong $139,193 $0 $384 $25, $1,016,548 $1,145, % Strong $143,369 $0 $414 $106, $1,054,216 $1,176, % Strong $147,670 $0 $451 $ $1,202,337 $1,321, % Strong $152,100 $0 $509 $14, $1,340,688 $1,458, % Strong $156,663 $0 $564 $19, $1,478,824 $1,599, % Strong $161,363 $0 $618 $29, $1,610,856 $1,735, % Strong $166,204 $0 $640 $188, $1,588,843 $1,716, % Strong $171,190 $0 $658 $60, $1,700,515 $1,833, % Strong $176,326 $0 $663 $264, $1,613,444 $1,746, % Strong $181,616 $0 $676 $27, $1,768,497 $1,905, % Strong $187,064 $0 $720 $126, $1,830,239 $1,971, % Strong $192,676 $0 $742 $142, $1,881,047 $2,027, % Strong $198,456 $0 $792 $ $2,080,295 $2,235, % Strong $204,410 $0 $666 $1,037, $1,247,494 $1,384, % Strong $210,542 $0 $529 $63, $1,395,410 $1,517, % Strong $216,858 $0 $594 $40, $1,572,613 $1,682, % Strong $223,364 $0 $499 $873, $922,617 $998, % Strong $230,065 $0 $415 $ $1,153,097 $1,198, % Strong $236,967 $0 $480 $144, $1,246,160 $1,261, % Strong $244,076 $0 $538 $45, $1,445,073 $1,433, % Strong $251,398 $0 $619 $46,660

54 Disclosures Washington State disclosure, per Senate Bill 6215: This reserve study should be reviewed carefully. It may not include all common and limited common element components that will require major maintenance, repair or replacement in future years, and may not include regular contributions to a reserve account for the cost of such maintenance, repair, or replacement. The failure to include a component in a reserve study, or to provide contributions to a reserve account for a component, may, under some circumstances, require you to pay on demand as a special assessment your share of common expenses for the cost of major maintenance, repair or replacement of a reserve component. This Reserve Study is based on observations and data obtained from the on-site visit, field measurements, general age of the property and its components, information provided by the association on recent repairs, replacements and maintenance of the common and limited common areas of the site. Reserve Solutions relied upon the Association contact to provide the current reserve balance and the rate of interest earnings. In addition, we have considered the Association and the Association vendor s representation of current and historical reserve projects reliable. No destructive or intrusive inspections of any of the common or limited common area elements were performed. The estimated replacement and maintenance values in the reserve study are derived from appropriate local industry sources (such as contractors, service providers, etc.), the association historic records, and/or professional experience. The anticipated useful life of each component is based on industry standards, manufacturer warranties or recommended maintenance and/or replacement. Phone: Fax: jeremy@reservesolutions.net