Balancing reserve funds and knowing how and when to modernize an elevator can be a challenging task for many community managers. To compound the problem, the community may not have established a reserve fund for elevators, creating a potential unwanted special assessment.
Two benefits of a reserve fund analysis for elevators
Communities that establish a thoughtful reserve fund for elevators benefit by:
- Having capital funds when needed – Planning for a modernization at the end of the useful life of the elevator ensures that the funds will be available when needed.
- Insisting that elevator contractors properly maintain and protect an elevator investment for the useful life of that asset. Often elevator contractors don’t perform to their maintenance commitment, thereby creating degradation in your elevator components and a need for premature repairs and modernization. Let’s face it; with proper maintenance your elevator system should function as designed throughout its useful life.
A Good Reserve Study
Charter Elevator understands that a good reserve study should highlight the useful remaining life of each major component, detail the current replacement cost for that component, present an analysis using inflation and interest rates, and demonstrate an understand of your current reserves. The study should have the flexibility to be updated and adjusted annually based upon market conditions.
Charter Elevator works with Community Managers, Boards, and reserve study experts to help develop a thoughtful and robust reserve study. Using CharterView to deliver the study, Communities can not only manage and update their reserve study, but also see pictures and conditions of their existing equipment.
Customers who engage Charter Elevator for modernization and maintenance can then monitor maintenance and repairs throughout the useful life of the elevator system. It is the only tool of its type that helps you plan and budget for upgrades, while ensuring that the proper maintenance is being performed to protect and extend the life of your elevator asset.
Contact Charter today for a free consultation.