Planning a wedding is a major event that requires careful attention to ensure everything goes smoothly. Just as a wedding planner helps manage time, costs, and decisions, a reserve study serves as a crucial tool for community associations in planning for future building repairs and replacements. It involves assessing the condition of the building’s components, predicting their remaining useful life, and estimating the costs of necessary future repairs. This information helps the board allocate funds and avoid sudden, large assessments. While reserve studies do not provide specific repair recommendations, they are essential for long-term financial stability and planning.
Following the Surfside tragedy in 2021, awareness of the importance of building safety and proper planning grew, leading to legislative action in several states. CAI has advocated for mandatory reserve studies, and in Illinois, a bill was introduced in 2024 requiring all associations to obtain reserve studies. Although the bill did not pass, CAI plans to reintroduce it in 2025 with possible adjustments, including definitions of major infrastructure and exemptions for smaller associations. Reserve studies help ensure the financial well-being of associations, preserve property values, and support transparency for future buyers.
Read the whole article in our Spring 2025 edition of the Common Interest Magazine and find more editions of the Common Interest Magazine by clicking on the link below.
By L.C. Element
CAI - Illinois Chapter
The Illinois Chapter of Community Associations Institute serves the educational, business, and networking needs of community associations in the Chicagoland Area. Members include condominium, cooperative, and homeowner...
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Lea Marcou 
