Depreciation Reports - British Columbia
The Depreciation Report assists in determining an adequate funding level of the capital reserve fund in order to meet future repair and replacement expenses. The Depreciation Report is an important tool to be utilized by Property Managers and Strata Council to maintain and enhance the major common property assets of the Strata Corporation. Our Depreciation Reports provide each Strata Corporation with at least 3 funding models of the thirty-year cash flow plans for major capital expenditures.
We use a Hybrid Funding Model, focusing on an adequate level of funding in projecting Reserve Fund requirements. Our Depreciation Reports help Strata Corporations plan major capital projects and budgets over a 30-year horizon. The Depreciation Report recommendations assist in ensuring that the capital replacement reserve fund remains adequate for current and future owners. This approach satisfies individual Strata unit owners in that their annual contributions are sufficient to meet the Strata Corporations estimated expenditures, and that they are not over-contributing to an excessively funded reserve fund. The recommended minimum amount will vary by property; our Depreciation Reports are tailored to the individual Strata Corporation.
At Delta Appraisal, we tailor our Depreciation Reports to meet the specific needs of each Strata Property. In British Columbia the Strata Property Act, requires Strata Corporations with 5 or more units to complete a Depreciation Report every 3 years or to obtain 3/4 approval to waive the requirement. A copy of the Strata Property Act can be found here and the Regulations here.
Our only interest, the provision of quality Depreciation Reports. We are not competitors in project or property management, building repair or maintenance contracts. Our functional Depreciation Reports are easy to read and understand, meeting or exceeding the legislative requirements of the Strata Property Act.