Reserve Studies

A Reserve Study is a long-term capital budget planning tool which utilizes integrates information gained through document review, client interviews, and a top-to-bottom walk-through of the property.

A Reserve Study is a planning tool designed to help owners anticipate, and prepare for, the property’s major repair and replacement projects. Examples of such projects may include roof replacement, window replacement, interior remodeling/renovations, elevator upgrades, riser replacement, mechanical system replacements, etc.

Klein and Hoffman (K&H) typically coordinates the study and reports on architectural and structural components.

Consulting engineers, contracted by K&H, report on the mechanical, electrical, plumbing, fire protection, and elevator components. Each component in the report includes photographs, a written description of that component and an analysis. The analysis includes: an evaluation of condition (good, fair or poor); an estimate of remaining useful life (based on a visual assessment, industry standards and maintenance history) and the anticipated replacement cost. A Reserve Study prepared by K&H results in a single unified report, customized to each building.

Age is not the only factor determining remaining useful life.

While a Reserve Study is not intended to be an in-depth investigation, K&H builds on our extensive knowledge of building systems and services to provide a realistic assessment of replacement costs and timeline. The assessment is based on a variety of factors such as experience, observations of actual condition, industry standards, and a history of repair and maintenance. We rely on team input – architectural mechanical, electrical plumbing, etc. – as well as building management and maintenance staff to fully develop our understanding of a building component’s function or non-function and its associated needs.

In the end, a Reserve Study should function as a tool, not just a report.

While it may deliver bad news, it also helps our clients plan and prepare for upcoming capital programs. K&H often partners with Owners to go beyond the Reserve Report, to coordinate various programs and to implement them in a manner that is the most economical and practical for the Owner.