Capital Works/Sinking Funds

Good property management recognises that all owners contribute to a buildings wear and tear and that all owners should contribute to repairing that wear and tear during their ownership.
A professionally prepared capital works/sinking fund provides owners with an independent estimate of the money to set aside each year for non-recurrent common property expenditure by identifying various capital works/sinking fund items, their anticipated life and reinstatement costs.
This forward planning allows owners to maintain the buildings desired quality through reasonable and justifiable annual capital works/sinking fund contributions

Building budget

Owner corporations need to estimate the money to set aside each year for non-recurrent common property expenses. An adequately prepared capital works/sinking fund allow owners to maintain their buildings desired quality and the forward planning avoids excessive contributions while ensuring sufficient funds are set aside for required capital works/sinking fund expenses such as painting, air-conditioning and lifts.

Report content

Our easy to read and understand reports provide the owners corporation with an annual capital works/sinking fund budget which is reviewable and customisable to comply with each owners corporations requirements. Clear objectives are achieved through a ten year cash flow which provides:

A list of items anticipated to require capital works/sinking fund expenditure
The anticipated expenditure of each asset in today’s dollars
The life expectancy of each asset
An allowance for inflation as costs to reinstate increase over time
The annual contribution to reinstate each and every asset
The anticipated annual expenditure for each and every asset
Recommendations to reduce capital works/sinking fund expenses
Identify questionable capital works/sinking fund assets

Quality consultants and procedures

QS Solutions are capital works/sinking fund specialists. Our qualified consultants

Is involved from the initial inquiry through to the presentation of the final report
Is a qualified construction cost expert and plant and machinery valuer
Personally visits and photographs the property, its plant and common property items
Thoroughly inspects your property and compiles a comprehensive list of capital works/sinking fund assets specific to your property
Understands specific building issues which effect capital works/sinking fund contributions
Reviews all available data to ensures an accurate report
Customises each capital works/sinking fund report to reflect the unique characteristics of property
Ensures each report complies with relevant legislation
Provides an unbiased view of the required capital works/sinking fund contributions and expenditure
Co-ordinates with the owners corporation, its contractors and consultants to ensure owners expectations and specific building issues are addressed
Continuously monitor and research strata legislation

Project library

A few sample projects are provided below.

King Street Wharf, Lime Street, Sydney NSW Community development Five-hectare development with residential, commercial and retail strata buildings. Includes global facilities and shared facilities.
Wharf at Woolloomooloo, Cowper Wharf Road, NSW Community development Heritage wharf development with residential, commercial, hotel, car parking and shared facilities.
Walker Street, North Sydney NSW Office Development Eight storey office building with common basement car parking, amenities and corridors.
Park Regis, 27 Park Street, Sydney NSW High rise residential 50 storey hotel and residential building with car parking, pool and common amenities.
Park Regis, 27 Park Street, Sydney NSW High rise residential 50 storey hotel and residential building with car parking, pool and common amenities.
Hyde Park Plaza, College Street, Sydney, NSW Hotel 15 storey strata building with 2 levels of car parking and roof top pool, sauna, spa and gym.