HOW TO RUN YOUR BUILDING! (S1)

Communication at co-ops is more than a two way street, not just between board directors, but between boards and shareholders. And sometimes management has to step in and act as a liaison between the board and the residents. In this episode, Eleni Magoulas, President of All Area Realty Services, presents a real-world example of when this works, and what it takes.

Complying with New York City's Climate Mobilization Act is not an easy task. You need a report from an energy professional and you need time to digest the information and find funding. Michael Wolfe, President of Property Management and Principal of FirstService Residential, shares some insights on what is needed, what boards can require of owners to prepare for the future and why ignoring the CMA is not a route he would recommend.

Nobody wants a monthly maintenance increase, but today that is practically unavoidable. Stuart Halper, Vice President and Co-Owner of Impact Real Estate Management,  says the most important thing a board can do is to keep shareholders and unit owners informed. Sounds simple, but is often overlooked.

Co-op and condo boards have to be focused on the value of apartments in their buildings and adopt policies that support this. But these policies need to reviewed regularly because sometimes what worked one year doesn't work the next. Neil Davidowitz, President of Orsid New York, speaks about three common building policies that often need a re-think.

When a condo is making the transition from sponsor to board control serious structural issues are often uncovered. That's when management, says Drew Posner, Senior Vice President and Director of Client Services at Maxwell-Kates, turns to the bylaws and, most important, the Schedule B.  

It's all about preparation, not only for the topics covered, but most importantly for vote taking. Mark Levine, Principal of EBMG, walks through the prep steps and vote tally process of running a virtual annual meeting.

A co-op's reserve fund reveals a lot about how well it operates. It sends a message about board planning, available resources and budgeting capabilities. Ignoring it is dangerous, and replenishing it takes planning and stick-to-itiveness. Mitch Unger, Controller and Principal of The Lovett Group, explains how one of their clients opted for replenishment and the way it accomplished it. 

With the cost of building projects getting more expensive each year co-op and condo boards need to anticipate owner concern. Here, Peter von Simson, CEO of New Bedford Management,  suggests it's well worth the time for board directors to discuss current and future projects - and the potential finances involved in tackling them - with apartment owners so they can plan accordingly.

Given today's rising interest rates, it may be tempting for boards whose mortgage is coming due to put off refinancing until the last minute. But whether interest rates are up or down, procrastination is never a good idea. Dawn Dickstein, President of MD Squared Property Group, shares a story of one co-op who learned this lesson the hard way.

Sometimes board directors are understandably reluctant to raise monthly fees, or even to take care of building areas that don't affect them personally. But, says Daniel Wollman, CEO of Gumley Haft, it's management's job to guide boards into being better business thinkers sometimes take more progressive stances.