Dear Board Members:
RE: CONDO MANAGEMENT PROPOSAL FOR THE ZEN CONDOMINIUMS
APPLY Condocare TO YOUR PROPERTY!!!
Thank you for this opportunity to present to you the proposal for your property. We are confident that you will find our property management services both thorough and proficient. The key is that we will deliver on any proposal we put forth.
This submission outlines the details of our property management services that we trust will provide you with sufficient information to decide that the ongoing needs of The Owners, in the least, a meeting with us to discuss our system in detail and answer your questions.
Choosing a professional property management company should not be approached in the manner one would in securing a service contract for a vehicle or machinery. The management of real property is very much a people business and we strongly recommend that we meet with your Condo Board to hear, first hand, your specific management concerns and needs and to answer thoroughly any questions that your Council may have regarding the successful management of your property.
The Corporation agrees to pay the Manager such sum as set forth in the Annual Budget for the Corporation for its’ management services, and the Corporation authorizes the Manager to deduct directly from the monies received by it on behalf of the Corporation any such fees due to the Manager. The monthly management fee payable to the Manager is in the amount of
$1,675.00 per month (CLOSE TO $1,000 LESS THAN YOUR CURRENT CHARGE)
+ We retain all fees we charge for condo documents, key and fob programming
- Our objectives in the management of Condo developments such as yours are to:
- Ensure that your Corporation has a sound financial base; at this time your balance sheet does not appear where it should be.
- Maintain the common property elements to the highest standards possible within the constraints established by the annual operating budget, and;
- Careful long term financial planning, ensure the establishment of the Condo Corporation‘s reserve fund requirements.
- Additionally, we believe it is our responsibility to minimize the personal time commitment of each Council member without reducing Council awareness of the ongoing administration of your development. Our programs, which are described herein, are designed to that end.
- One of the greatest challenges in Condo management lies in human relations – namely the contact with and between a group of Owners with equal rights, who all must feel their rights and needs are treated equally. Therefore, establishing effective communication and building meaningful rapport is an essential component of property management to ensure a harmonious environment for all.
- Along with the standard maintenance and financial management, we are including the additional value added services at no extra cost.
- Community website at zencondos.com. Allows for document sharing, posting of news, visitor parking registration, etc.
- Vendor contract management.
- Financials are completely transparent. Board members will have access to reports at their finger tips in order to make better decisions
- Always available phone system (24/7)
- Efficient visitor parking management
- Enforcement of bylaws
- Reduce or eliminate loitering
MANAGER ACKNOWLEDGEMENTS AND COVENANTS
The Manager, by accepting such appointment, agrees to manage the property and assets on behalf of the Corporation during the term of the Agreement and any extension thereof, in a faithful, diligent and honest manner, subject to the overall control and direction of the Board and for the purpose thereof covenants and agrees to:
enter into such contracts and agreements in the name of the Corporation upon proof of workers compensation if required and liability insurance and to otherwise act on its behalf as may be necessary in the performance of such duties;
enforce the terms of the Act, by-laws, rules and regulations, as well as any and all amendments thereto which presently exist or which may hereafter be made and of which the Manager is notified in writing by the Board, further take whatever action that may be properly directed by the Board in writing to enforce the above from time to time;
(c) INFORM OWNERS
forthwith, communicate in writing to all owners the text and import of any further by-laws, rules, and/or regulations or amendments thereto;
(d) ADVISE BOARD
advise and consult with the Board with respect to any further by-laws, rules and regulations which in the opinion of the Manager are to be established to further harmonious and satisfactory operation of the property for the common benefit of the owners.
(e) OWNER REGISTERY MAINTENANCE
prepare and keep current the Corporation owner’s and mortgagee’s register;
- f) INSURANCE
arrange to provide to the Board for it’s approval quotations on all insurance policies coming due from time to time in amounts to be determined by the Board and arranging for insurance coverage and any appraisals in connection therewith which may be required by the Corporation pursuant to the Act and by-laws;
- g) ACCOUNTING SERVICES
maintain and keep current full and proper records of accounts of the financial transactions involved in the management of the property and within 30 days to the Board of Directors monthly statements of income and expenditures, showing comparisons to the budgeted figures for the year, assets and liabilities with respect thereto, and keep such accounts open for inspection by the Board of Directors, owners, and other persons so entitled at all reasonable times;
- h) OWNER’ STATEMENT
upon the written request by an owner in respect to his unit, promptly send a statement to that owner showing, as of the date of the last monthly financial statement, the amount of any unpaid assessment then due, interest thereon, and the amount owing on the owner’s contribution towards the common expenses and reserve fund;
- i) ARRANGING SERVICES AND REPAIRS
arrange for the supply of electricity, gas, water, telephone and other services and arrange the effective and economical operation, maintenance, and repair of the property and it’s equipment as may be required by the Corporation and to comply with the enforcement of any regulation and requirement of which the Manager is notified by the local board of Health, Police and Fire Department, any other municipal, provincial or federal authorities in the jurisdiction which affects the property and, without limiting the generality of the foregoing, such arrangements shall include (where applicable to the property) removal of litter and disposal of waste, snow and ice removal, landscaping and ground maintenance, keeping of electrical wiring circuits and lighting fixtures in the common elements in good working order and arranging the necessary light bulbs, exterior painting, alterations and any other services necessary to keep the common elements in a neat, tidy and functional condition;
- j) APPROVAL FOR EXPENSES
generally do, perform and contract (with the Board’s prior approval) for all things desirable and/or necessary for the proper and efficient management of the property (including the giving of proper attention to any complaint). To perform any other act whatsoever in or about the property to carry out the intent of the Agreement, provided, however that the Manager shall not authorize any work, repairs, alterations or redecoration estimated to cost in excess of One Thousand Dollars ($1,000.00) for any one (1) item without first obtaining the Corporation’s approval to proceed with such work, except for monthly or recurring operating charges as budgeted for and except that if any such work is urgently required to be done and failure to do such work in the Manager’s opinion, could result in a hazardous situation which could cause personal injury or damage to the property or its equipment or contents, or which could impair the value of the owners investment. If failure to do such work might expose either the Corporation or the Manager or both, the imposition of penalties, fines, imprisonment or any other liability, the Manager is hereby authorized to proceed with such work that he, in his absolute discretion, reasonably determines to be urgently necessary for the protection and preservation of the property or it’s equipment or contents or the owner’s investment therein or to protect the Corporation or the Manager from exposure to fines, penalties, imprisonment or any other liability;
- k) SITE VISITS
make regular site visits of the property and to determine what actions, if any, are advisable or necessary to preserve or improve the appearance, safety or structural integrity of the property;
- l) BOARD MEETINGS
Meet with the Board of Directors as requested and be available for attendance at board meetings plus the AGM.
- m) OWNERS MEETINGS
at the request of the Board, schedule and arrange facilities for all annual, general, or special meetings of the members of the Corporation and deliver to the members of the Corporation such notices and other information as are required in connection with the holding of such meetings and to prepare duplicate notices of meetings and other information in sufficient quantity for distribution to all persons entitled to receive same. The manager will attend all annual, general or special meetings of the members of the Corporation;
- n) CORRESPONDENCE
prepare all announcements, correspondence, notices, or any other material and distribute same in the manner described to those persons entitled to receive them as may be directed from time to time by the Board of Directors; and
- o) INFORM BOARD
inform the Board with respect to:
(i) investments beneficial to the Corporation and to make such investment as the Board may direct;
(ii) preventive maintenance programs;
(iii) planning and calculation of reserve funds;
(iv) energy conservation programs;
(v) property tax; and
(vi) statutory changes with respect to condominiums.
- P) BUDGET
in the course of each year during the term of this contract, but in any event at least 6 weeks before the then current fiscal year, the manager shall furnish the Board in writing the estimated budget for the following year setting forth by category the Manager’s best estimate based upon quotations where possible, for all expenses of the operation of the property for the coming year, including, without limiting the generality of the foregoing, any taxes payable by the Corporation insurance premiums, water, gas and electrical rates, and costs of all repairs, renewals, and maintenance of the property and including capital replacement costs.
Upon request of the Board or whenever in the opinion of the Manager any change from the expenditures forecast in the annual budget makes it desirable to do so, the Manager will submit to the Board a supplementary budget covering the operating expenses of the property for the then remaining portion of the current fiscal Year. The Manager will at all times hold himself available for consultation with the Board for the purpose of establishing or revising the common expenses to be paid by the owners under the provisions of the by-laws.
- Q) EMERGENCY
the Manager will at all times keep the Board and all owners advised of the telephone number or numbers at which an agent of the Manager may be called at any time during normal business hours in respect of any emergency or of any infraction of the declaration, by-laws or rules and regulations or at any time during the day or night in respect of any emergency at the property and the Manager will make arrangements to deal promptly with such infractions and immediately when any emergency arising in connection with the maintenance and operation of the property. The Manager shall deal in the first instance with major emergencies and infractions and shall forthwith report to the Board any major emergency or any persistent, flagrant or serious violation of the by-laws or rules and regulations. It is understood and agreed by the parties hereto that the Manager shall in it’s discretion determine whether or not an emergency exists and whether or not such emergency is of a minor or major nature, and the Manager will make available to the Corporation emergency service, twenty-four (24) hours a day, Seven (7) days per week.
- R) CERTIFICATE OF INSURANCE
the Manager shall during the term of this Agreement provide the Corporation with a certificate of Insurance, from the insurer or its agent certifying that the Manager is maintaining adequate liability and blanket fidelity insurance for the purpose of indemnifying the Corporation pursuant to this Agreement, which certificate shall include an undertaking that the insurer will provide the Corporation with at least sixty (60) days prior written notice of cancellation or any material change in the provisions of such insurance policy.
THE CORPORATION AGREES TO:
(a) reimburse the Manager promptly for any monies which the Manager may elect to advance, as the Board of Directors in writing may request from time to time, to the account of the Corporation provided that nothing herein contained shall be constructed as to obligate the Manager to make any such advance;
(b) save and except where there is no insurance coverage as set forth herein, to indemnify and save the Manager harmless from and against all claims demands, actions causes or actions and suits in connection with the Condominium and from liability for damage to property and injuries or the death of any owner or any officer, agent or employee of the corporation or other person whosoever and to carry at its own expense public liability and property damage insurance naming the Corporation and the Manager as insureds, which insurance shall be in form, substance and in amounts satisfactory to the Manager and the Corporation and to furnish to the Manager certificates evidencing the existence of such insurance upon request. Insurance coverage which complies with the Act and By-Laws shall be deemed to be satisfactory insurance.
(c) to pay all expenses incurred by the Manager including without limitation, legal fees and disbursements on a solicitor client basis for counsel employed to represent the Manager or Corporation in any proceeding or suit involving an alleged violation by the Corporation Manager as its agent, or any one or more of them, of any provision, statue, ordinance, law or regulation including without restricting the generality of the foregoing, any law relating to environmental protection, fair housing or fair employment (unless in either case the Manager is finally adjudged to have personally and not in a representative capacity violated such provision, statute, ordinance, law or regulation), but nothing herein contained shall require the Manager to employ counsel to represent the Corporation in any such proceeding or suit, nor prevent the Corporation from seeking indemnity from the Manager.
(d) to provide the Manager with all documents and records available to the Corporation which may be required by the Manager properly to manage and operate the Condominium and to perform its duties hereunder. The Manager acknowledges that it has received and is aware of the provisions of the by-laws of the Corporation and the Act.
(e) to provide the Manager with a registered copy of the by-laws of the Corporation and to notify the Manager from time to time of any amendments or additions thereto.
(f) to grant full signing authority to the manager provided all receipts are deposited in a bank account in the Corporation’s name.
NOTWITHSTANDING the foregoing, the Corporation shall not be obliged to make any payment to or reimburse the manager for any cost or expense incurred by the Manager while acting outside of the course of its employment or in conducting or operatingits own business offices.
The Manager may not engage any parent or subsidiary corporation or any person, firm, or Corporation associated, affiliated or otherwise connected with it (hereinafter called “Affiliate”) to perform any work or services for the Corporation without first obtaining the Board’s authority in writing to permit the engagement of such Affiliate.
Notwithstanding the other provisions hereof, this Agreement shall terminate upon any of the following events:
- a) the insolvency or bankruptcy of the Manager or upon the Manager taking steps to wind up its business voluntarily or otherwise.
- b) on termination of the Condominium status of any building within the Condominium plan as it presently exists or as it may be amended.
- c) if the Manager is insubordinate, careless or negligent in performing its duties hereunder.
- d) if the Manager shall be in breach of trust in respect of any monies of the Corporation.
- e) in the event of any third party complaint, defect, failure or omission on the part of the Manager or any breach or default by the Manager in respect of this Agreement, the Corporation will give the Manager Sixty (60) days written notice to cure such complaint, defect, failure, omission, breach or default and provide that such complaint defect, failure, omission, breach or default is within the control of the Manager and all reasonable attempts have been made to cure the same, should the same not be cured or dealt with to the reasonable satisfaction of the Corporation within such time, then, upon further written notice given by the Corporation to the Manager, this Agreement shall terminate on the last day of the month during which such further notice was given.
(f) the Manager may terminate this Agreement upon giving thirty (30) days notice in writing to the Corporation to that effect.
Upon termination of this Agreement the Manager on Termination shall within thirty (30) days:
- a) render a final accounting to the Corporation and pay over any monies due to the Corporation;
- b) surrender to the Corporation all contracts, records, files and other information or documents which may be pertinent to the continuing operation of the property;
- c) surrender all post-dated cheques from unit owners or rental units together with their ledger card and addresses and all the keys to the property immediately upon termination of this Agreement; and
- d) do everything in his power for the smooth transfer of management.
If there are any areas requiring further clarification please do not hestitate to contact me. If you would like to proceed please send call or send me an email to that effect, and I will be happy to send you a formal contract for your review.
Austin D. Nguyen
Real Estate Broker/ Manager
Chartered Professional Accountant