Small condo overwhelmed

V.S. writes:

Dear Paul: We are a small condo corporation with only 8 units. We are concerned that for our small group it is becoming overwhelming to deal with all the legislation, financial matters, repairs and maintenance, and reserve funds. Isn’t there some exemptions for small groups like ours?

Paul replies:

Dear V.S.: I understand how challenging it must be for your small group to handle all these issues. Unfortunately, there is not much relief that I am aware of. You are obligated to comply with the same legislation as corporations with one hundred plus units. The only exception that I know of is that a corporation with fewer than 10 units may have a reserve fund study done by someone other than the professionals specified in s. 25(1) of the regulations if it meets the criteria listed in regulation 25(3) (a) (b):

25(3) Despite subsection (1) and (2), a person may conduct a reserve fund study (other than a study required under section 50 of the Act) if:

(a) the property that is the subject of the reserve fund study meets each of the following criteria:

(i) it includes fewer than 10 units,

(ii) it does not include any building that is more than two storeys above ground,

(iii) it does not contain an elevator,

(iv) it does not include underground parking facilities; and

(b) the person is knowledgeable — in the board’s opinion and based on reasonable and objective criteria — about the items or types of items included in the component inventory, their operation or maintenance and their repair or replacement cost.

Keep in mind that in a small community such as yours you are probably all good friends (I hope) and this alone makes it a bit easier to deal with issues than having to deal with residents you do not know. For a small group, however, the financial obligations can be an undue burden, especially if your group is advancing in age and getting tired of the responsibilities associated with managing the corporation. I wish you well.

Request: If any unit owners in a small condo corporation are reading this post, let us know what your challenges are. Share your strategies for dealing with issues of living in a small condo community.

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