New York's Cooperative and Condominium Community

Habitat Magazine Insider Guide



How to Soften the Sting of an Assessment

The Challenge

In the past 10 to 15 years, the city has imposed an ever-increasing collection of rules and regulations. Meeting these obligations is a big challenge for co-ops and condos, which are often struggling to find money to pay for projects mandated by the city. We manage a condo that found a way to pay for needed work and make it palatable for the unit-owners.

The Solution

The problem with assessments is that they are usually large and unexpected, not allowing unit-owners to budget for the expense. To counter that, the board and the treasurer came up with a long-term assessment plan, in which the upfront amount would be drawn from the reserves, and the unit-owners would spread the repayment over a long period. Even after the reserve fund is replenished, unit-owners still pay small increments every month, which allows the board to collect money for future obligations. This way, there is no need to hit unit-owners with hefty assessments in one shot. In effect, it is a standing assessment.

The Lesson

Planning ahead is a major factor. Proper planning is a must. We can always do these small assessments spread over time and make things go more smoothly for everyone.

Subscriber Login

Ask the Experts

learn more

Learn all the basics of NYC co-op and condo management, with straight talk from heavy hitters in the field of co-op or condo apartments

Professionals in some of the key fields of co-op and condo board governance and building management answer common questions in their areas of expertise

Source Guide

see the guide

Looking for a vendor?