For the past number of years, a Board Committee has been working on a Paver/Landscape project for Tortuga. The project was started initially as a fallout of an investigation into a requirement to repair/replace the asphalt driveways at Tortuga.
After almost two years of investigation, deliberation and evaluation, the committee has made a recommendation to the Tortuga Board. After a review, the Board has unanimously approved the project and is ready to bring it to the owners for approval.
As previously discussed, the overall design was developed through owner inputs and professional advice. The bids for all elements of the project were reviewed, evaluated and “best price” negotiations were conducted to arrive at a total final potential cost of $363,000.
The overall design was developed through owner inputs and the services of a professional Landscape Designer. The bids for the entire project (Landscaping, Pavers, Irrigation and Lighting) were reviewed, evaluated and “best price” negotiations were conducted to arrive at a final project costs. The project included using Pavers (including revamped drainage and sub-surface improvements).
Note: As is outlined in the attached “Frequently Asked Questions (FAQ’s)”, the Landscaping, Lighting and Irrigation elements of this project (approximately $101,000) have been pulled out of this project and have been dealt with separately by the Board.
How does this project benefit a Tortuga owner?
Based upon information we have received from local real estate agents and the National Appraisal Association, the expected improvement to current property values range from 10% and up. The cost of the Paver portion of the project is approximately $262,000. This is the element of the project that requires approval by the owners. The cost per unit is summarized on the chart below.
The Board is recommending a three-year payback to the reserves, to be paid quarterly beginning
in January 2016.
Total Cost 3-year Payback to Reserves-Quarterly
Unit A $2,096 $175
Unit B $3,013 $251
Unit C $3,720 $310
Unit D $5,240 $437
Unit E $6,812 $568
Notwithstanding the dramatic positive change in the “look” of Tortuga, the improvement in drainage and reduction in long-term maintenance costs (e.g. sealing, crack repairs to asphalt), there will be a significant positive financial “return” to each owner.
For the purpose of a financial evaluation of this project, on a personal basis, we have prepared a cost/benefit analysis for each unit owner. In the chart below, a “Market Value” for each unit is based on current market values of $381/sq. ft. (June 2015 data) x’s sq. ft. of each unit. “Market Value Appreciation” was calculated using 10% (based upon inputs from National Appraisal Association and local Real Estate experts) and 2.5% (a conservative valuation).
If you compare either of the “Market Appreciation” numbers for your unit, you will see a “significant” return on the investment each unit owner can expect.
Unit Market Value 10% Market Value 2.5% Market Value Your Cost
(based on current Appreciation Appreciation -----------
market value of $381/sq. Total
ft./x sq. ft. unit)
Unit A $301,732 $30,173 $7,543 $2,096
Unit B $423,189 $42,318 $10,579 $3,013
Unit C $533,952 $53,395 $13,348 $3,720
Unit D $907,489 $90,748 $22,687 $5,240
Unit E $1,069,432 $106,943 $26,735 $6,812