Condo Media - August 2016 - 35

he says, to analyze the current condition of the building envelope, identify
immediate and long-term maintenance
and replacement solutions, and assess
the financial impact on the community.
"We are encouraging a project scope
and specifications for communities that
will last a long time," he emphasizes,
and that can't be done quickly.
There are two ways to approach
a community's capital repair and
replacement needs, he observes. "You
can spend $2 million for a project that
will last 30 years, or you can spend
$1,000,000 or more every 10 years. We
believe the comprehensive long-term
solution is the best approach."
Tony Chiarelli, President,
RMX Northeast and
Landmark Associates
Chiarelli doesn't like longterm loans for condominium associations. And he likes the idea of

combining multiple capital projects in
one gigantic bundle even less.
Community associations that haven't
done "the right thing"-set aside reserves to finance capital projects-"are
being lured into a too-good-to-be-true"
scenario, Chiarelli says, promising to
solve all of their long-term capital planning needs with one comprehensive,
multimillion-dollar project, financed
with one, very large, 30-year loan.
Boards that buy into this idea, he
believes, "are mortgaging their future."
They aren't considering the roads,
sewer systems waste water plants, and
other common area facilities that may
need to be repaired or replaced during
a 30-year period. "If you're already
mortgaged to the hilt," he says, "no one
is going to give you another $2 million
to take care of these problems."
And what happens, he asks, if some
components of this 30-year project
don't actually last for 30 years? The

contractor provides a warranty, he
notes, "but if the contractor goes out of
business, what kind of warranty will you
have then?"
Chiarelli also questions the assumption that addressing all capital repair
issues at once is necessarily the best
option. All communities are different,
he notes. For some, a comprehensive,
all-at-once project financed with a
long-term loan might make sense, and if
it does, "that's fine," he says. "But it's important to make sure that all the work
you're doing is necessary. Just because
you need siding this year doesn't mean
you also need to replace the roof and all
the windows at the same time."

■ NENA GROSKIND IS PRESIDENT
OF ECONTENTPLUS, PROVIDING
EDITORIAL CONTENT FOR
WEBSITES, PRINT AND ELECTRONIC
NEWSLETTERS, AND MAGAZINES.

Representing Condominium Associations, Homeowner
Associations and Management Companies throughout
New Hampshire and Northern Massachusetts.
Providing representation in all areas of condominium
law from drafting and execution of condominium
instruments, amendments, collection of assessments to
litigation from trial through appeal.
For specific questions and to find out how we can
service your particular needs, please contact our office
and speak with one of our attorneys.

(603) 627-5997

45 Bay Street
Manchester, NH 03104

(603) 742-1052
3 Webb Place
Dover, NH 03820

(800) 828-3200

565 Turnpike Street
North Andover, MA 01845

www.fenigeranduliasz.com
Serving clients in all of NH and northern MA
August 2016

http://www.ccaco.com http://www.ccaco.com

Condo Media - August 2016

Table of Contents for the Digital Edition of Condo Media - August 2016