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Condo Ownership = Shares in a Non-Profit Corporation

Buying or selling a condo can be complicated. This is because condo ownership is not just an individual unit, but shares in a non-profit corporation. Understanding the health of that corporation requires a review of its physical, legal and financial characteristics. Unit owners are also agreeing to bylaws and rules that they have to be certain they are comfortable abiding by.

Which documents matter?

There is no one document or piece of

In Alberta, legislation speaks to the reserve fund study, the reserve fund report, and the reserve fund plan. These three terms are often used interchangeably but legislation defines them uniquely.

1. The Reserve Fund Study: Collection of data

A reserve fund study provider will collect relevant data through observations, review of documents, and correspondence with stakeholders. The provider needs the financial elements, and to identify building components, discern their quantity, verify the current costs to replace, and estimate replacement timing.