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How are Toronto condo Fees Calculated?

I do agree regarding the 20% of fee to be put into reserve fun, however, as a past condo owner, my question is where does the rest of money go? Our condo, new, started with $650.00 mon. fee and by third year was over $850.00, for 1100 sq. ft. No concierge full time, a party room you wouldn't want to place your pet in, small workout room topped with an obnoxious, bully of a pres. of the board. Boutique condos such as the one we owned are nice, but costly on the fees.

 

Condo buildings are like a small business they produce a financial statement. 
Gross Income is all the fees they collect.  
The expeditures are where they spend their money.

In accordance with the Ontario Condo Act ( 1998)  Buildings are NOT for profit corporations.  This means that every year your income and expendures shoulod result in ZERO left overs.

Reserve Fund contributions once created cannot be withdrawn except to make payment for capital repairs.

Common element fees currently average 0.58 cents per square foot 
The highest efficiencies (cheapest building to operate) are the 30+ suites per floor with 30+ floors.

Do you know any like that?    I do.   

Waterfront Condos Toronto Along Queens QuayMost expensive are the smaller stylish condos in HOT location. It seems the most popular are the multi Tower complexes that share a Recreational Facility that otherwise a single building could not afford.

A financial statement is provided annually that is audited and provides a line by line detailed explanation of every dollar spent. You are welcome ot ask proof of each needed expense. 

By far the highest expenses in any statement are electricity, gas, water, security concierge staffing,cleaning and building maintenance then management. Don't forget that you  building needs a lawyer accountant and Insurance broker. The smaller the building the higher the expense. You voted in the Board 

All of this is available to you monthly, if you request a copy, In November in advance of any maintenance fee increase, you receive a copy of the proposed budget for teh upcoming year.   Annually at the AGM you will receive a complete version of the Financial Statements including all notes and revisions.  This is an audited statement.

Many buildings have a town hall meeting as information sessions.   Get Involved.  Its your condo Board.  Ask questions and get answers.  

Do not go to your Board seeking SPECIAL PRIVILEDGES.  If they give to one they need to make the same rulefor all. In todays litigious society, there need to be Policy's for Workplace Safety and Harassment because the condo Building itself become the workplace for so many others.

If you have other questions, please reach out...   

David Pylyp

Etobicoke Real Estate Agent

Accredited Senior Agent for York Peel and Halton Regions

Lives in Toronto and promotes Giving Value

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Comment balloon 0 commentsDavid Pylyp • March 26 2012 06:23AM

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