What are the Financial Obligations of a Building’s Board of Managers | Harlem Property Management

What are the Financial Obligations of a Building's Board of Managers Harlem Property Management - article banner

Harlem Property Management is the authority on co-op and condo building management in Upper Manhattan and a member of the Real Estate Board of New York. We specialize in managing condos, co-ops, and multi-family buildings up to 99 units and have developed strategies that help balance your property’s financial obligations.

You need to manage your building’s finances in order to ensure that people have a safe place to live and that the owners’ investments get good returns. To do so, you’ll need to meet immediate needs and create a long-term plan for your building.

Meet Your Building’s Immediate Needs

As part of the management board, you must ensure that there are enough funds for your building’s day-to-day requirements. This may include:

  • Insurance
  • Utility bills
  • Repairs and maintenance
  • Cleaning and supplies for common areas
  • Salaries
  • Security measures
  • Property taxes for co-op buildings

This is not the most extensive list, but it already shows that the property has a lot of expenses for its different areas that must be paid with the limited income that your building earns. It’s a fine balancing act that you can’t get wrong or else everything topples down. 

Instead of stressing out about how to balance your income and expenses, get Harlem Property Management to handle your building’s immediate management needs. As specialists in multi-family residential  building management, we’ve developed strategies that can minimize your costs, especially when you’re crunched for cash.

Fulfill Long-Term Plans for Your Building

Apart from the daily expenses, your co-op or condo board must also think of the future. How can you maintain the building so that it’s structurally sound and a great place to live for years to come?

There are two big financial obligations for you to consider: the recommendations in an engineering report and capital projects.

Your Engineering Report

In NYC, a residential building must be examined by an engineer every 5 years. From the rooftop to the basement, the engineer will check the core structure of the building and its façade. They will then prepare a report that will either classify your building as safe, unsafe, or safe with a repair and maintenance program (SWARMP). 

Obviously, no one wants to live in an unsafe building. Your best hope is that your residence is classified as safe because you won’t have extra expenses to pay. However, if it is classified as SWARMP, then you need to fix the issues that have been highlighted – and do so within a defined time period. This can turn into a big, expensive headache—especially if you don’t have pre-allocated funds.

Your Capital Projects

Improving your residential building improves returns on investment for shareholders or condo owners. So, you’ll need to plan for capital projects like getting a new elevator or ensuring that a boiler nearing the end of its life gets replaced before it explodes. Planning these projects requires you to know the average lifecycle of building equipment. It also involves consulting and communicating with owners to avoid a shocked reaction with their next bill.

These stressful considerations will leave your board scrambling. But, what you need is to invest in Harlem property management services. With over 50 years of combined experience, our team knows how to plan for and execute major projects that will improve your building. We know what to consider in capital planning and we plan for loan repayments before they are urgently needed.

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Contact us at Harlem Property Management today before the stress hits the fan. We’ll take care of your building’s short-term and long-term financial needs.