RESERVE FUNDING
Case Study: How Engagement and Collaboration Produce Actionable Reserve Studies COMMUNITY PROFILE • Property Type: High-rise condominium with adjoining garage association • Location: Urban Midwestern metropolitan area • Structure: 36-story residential tower and separate garage association • Age: More than 20 years old • Reserve Study History: – First reserve study completed in 2022. – New reserve study provider engaged in 2025. CHALLENGE: A RESERVE STUDY THAT COULD NOT BE USED By 2025, this high-rise condominium association was approaching a critical planning period with several large-scale capital projects anticipated within the next decade. Management recognized the need for an updated reserve study to guide future budget decisions. However, the board lacked confidence in the association’s existing reserve study completed in 2022. That study left the board unable to effectively apply its findings due to several significant shortcomings: • Assets were misclassified between the condominium association and the adjoining garage association. • A major roofing project was underestimated by approximately $360,000. • Little to no post-study support was provided to help the board interpret or apply the results.
As a result, the reserve study failed to function as a practical planning tool, limiting its value in budgeting and long-term decision-making.
SELECTING A NEW APPROACH Recognizing the issue was not simply the numbers, but the process behind them, the board focused on finding a reserve study provider that could deliver both technical accuracy and ongo- ing engagement.
In 2025, the association selected a new reserve study firm with an emphasis on collaboration, education, and post-study support.
COLLABORATIVE EVALUATION AND STUDY DEVELOPMENT At the outset of the engagement, the reserve specialist worked closely with the board and man- agement to understand the shortcomings of the prior study and tailor the new process accordingly.
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