The Benefits Of A Capital Replacement Study

By Author: Jessica Smith
Total Articles: 9
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An enormous number of architectural elements and structural components make up your property – from the roofing material to your HVAC equipment, balconies, foundation and wall cladding, every part of your building takes wear and tear over time. Maintenance and replacement of failed or degraded components is a vital part of the job for property owners and managers, but it can be difficult to ensure that there is adequate funding available for these needs. A capital replacement study can provide the in-depth understanding necessary for effective planning.

What Is a Capital Replacement Study?

A capital replacement study is exactly what it sounds like – a study of the ongoing replacement and maintenance needs of a property. This type of report is an essential consideration for any property owner or manager attempting to ensure they have adequate finances set aside against future repair and replacement needs. In order to ensure that the study is as accurate as possible, the creators must undertake several different steps.

First, the study should include a full review of maintenance practices at the property. ...
... This can help determine exactly what is being done to prevent deterioration and whether those steps are effective. It can also help to determine environmental and site factors that affect longevity and quality.

Second, a capital replacement study must also include a full review of original construction documentation, followed by a review of the warranty provided for any materials or workmanship. A thorough review of all maintenance records must also be performed. Additionally, the architectural firm conducting the study should also itemize a list of vital structural components and conduct an in-depth visual survey of the building in question to identify remaining lifespan within primary components and any issues that might detract from use or lifespan.

The study must also calculate the replacement/repair cost for each main component of the building while itemizing those costs in a way that helps owners and property managers both estimate lifespan and create a budget for repairs and maintenance that will work over time.

Finding the Right Architectural Firm

A capital replacement study is generally done over a 20-year period. However, there are exemptions to this, and different properties will have different needs. It’s important that you as the owner or property manager choose the right architectural firm for your needs. On what criteria should you base your decisions?

First, you need to ensure that the firm you choose is known for accuracy, quality and a dedication to providing clients with the best possible information. In-depth expertise and membership within important local and state organizations are also hallmarks of a firm worth your time. Finally, consider the other reporting and documentation services offered by the firm to ensure you get a full service provider.

J.Hershey Architecture is a premier full service architectural design and consulting firm specializes in home additions and renovations. We provides high quality HOA, FHA, and capital replacement study for properties situated in Libertyville and throughout the Illinois.