A Capital Needs Assessment (also known as a Physical Needs Assessment) is a plan for a multifamily property—a plan to address existing deferred maintenance, a plan to modernize and rehabilitate, and a plan to ensure that all the needs of the property are addressed well into the future. We listen to the needs of our clients and work with them to develop a plan that ensures the long-term success of each multifamily property.
US Housing Consultants has worked with developers, managers, and owners of affordable housing properties throughout the country on Capital Needs Assessments that are used for regular budgets, applications for funding, planning for rehabs, corrections for handicapped accessibility, and the development of plans for refreshing property interiors. For HUD, Tax Credit, and USDA RD properties, we can put together reports for you and for the necessary state agencies with a fast turn around and at a price that fits within your budget.
Simply put, a Capital Needs Assessment is a road map to understanding the life expectancy and cost of major items needed to maintain a property. Our inspectors are focused on providing a detailed estimation of how much it will cost to maintain your property in the coming years. In this way, we are able to create a budget for the future, assess what needs to be addressed immediately, and outline the expenses for urgent fixes.
After our inspectors assess a property, we give detailed reports on the building’s structure and major items in both the interior and exterior. We note specific improvement requirements and the costs associated with these changes. The CNA report also estimates the life of various building systems and gives a year-by-year assessment of when each component may need replacing or fixing.
Capital Needs Assessments are critical to the long-term viability of a multifamily property. Making sure that the funds will be there when you need is vital. Our CNA reports show you much more than a list of things to repair – it will show you what items are expected to be replaced, how long in the future the replacement is expected, and how much to budget for the replacements.
Our capital needs assessments are beneficial for HUD properties and other multifamily projects. With our CNA reports, we attempt to make this process as simple as possible. We work regularly with owners and managers of HUD Projects, particularly HUD 202 PRACs and other HUD properties with budget based rents, and these properties need Capital Needs Assessments to ensure that their project rents are properly calculated.