1. Assess Building Conditions: Hire a third-party consultant,
such as an architect, engineer or construction consultant,
to evaluate the building envelope, mechanical systems, electrical,
interiors and common areas. Their expertise and report on
these areas will help owners prioritize.
2. Evaluate Resident Satisfaction: Listen to the concerns
of residents and property staff. Their input is crucial in
predicting leasing activity before, during and after a renovation
project.
3. Accuracy Matters: While no budget will be ever perfectly
precise, accuracy is important in helping owners prioritize
and prepare funding for major expenditures.
4. Compose a Plan: Identifying and properly planning for capital
improvements give you time to competitively bid projects and
avoid costly emergency repairs. Also, well planned projects
often combine various small projects into one large project
to minimize the disruption to their residents.
5. Analyze Annually: Capital budgets and building evaluations
should be reviewed and updated annually. Carefully planned
capital expenditures can significantly reduce overall building
maintenance while maximizing the use and enjoyment of the
property.
