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CONDOBUSINESS April 2016

Page 37

Canada’s Most Widely Read Condominium Magazine

EXPERIENCE

REQUIRED

April/May 2016 • Vol. 31 #2

Condo managers in demand as construction booms and licensing looms

+

PM#40063056

2nd annual Who’s Who A ranking of the T OF THE CanadianPA Rcondo industry’s major players and portfolios P A R T

O F

T H E


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Our Business is to Make Yours Shine! Whiterose is an Industry Leader with a long list of condos in the downtown and surrounding areas Whiterose Janitorial Services Ltd. believes in servicing its customers with professionalism, communication and appreciation. The Key to our success is service, quality and value. We clean beyond the surface! Quality management begins behind the scenes prior to commencing a job all employees are evaluated and or training to the whiterose standard given special attention to health and safety policies. Whiterose Janitorial Services is a full service company and a member of ACMO and CCI. Specializing in cleaning and live in & live out Superintendents for the past 30 years. Spectrum of Cleaning Services: • Facility assessment • House keeping and general cleaning services • Customized cleaning service plan • Customized cleaning schedules • Window cleaning (Exterior high rise) • Garage cleaning • Marble restoration & Polishing • Carpet cleaning

Visit our website or call us today for your no-obligation quote! WhiteroseJanitorial.com 1-877-253-3648 / 416-850-9676

Spectrum of Superintendent Services: • Building audit • Check Hvac • Perform generator tests • Cooling towers • Chillers • Compressors • Sprinkler system • Fire pump • Hot water tanks • Booster pump • On call 24/7 for emergencies

COMMITTED TO EXCELLENCE SINCE 1986


Contents FOCUS ON: MANAGEMENT

13

26

The 2nd annual Who’s Who survey of the Canadian condo industry’s major players and portfolios Talent pipeline By Michelle Ervin

IN EVERY ISSUE

8

Ask the expert

54

Smart ideas

DEPARTMENTS

18

Governance A business is a business is a business By Tania Haluk

22

How to start an energysaving campaign By Eric Plant

32

Legal Post no bills By David Thiel

36

Dispute resolution Tribunals and tribulations By Marc Bhalla

40

42

Waiting for the paint to dry By John Margaritis

46

Management A guide to executing capital projects By Philip Sarvinis

48

Design Renovate your landscape in three steps By Kent Ford

52

Technology The rise of drones By James Millbury

Maintenance Diving into indoor pool performance By Ed Carney and Ralph Kittler

PROFESSIONAL THIRD PARTY MINUTE TAKING SINCE 2008 • Convenient, Concise, Confidential • In Person, Virtual, and Audio Recorded Transcription • Minutes Returned in 5 Business Days • Meeting Summary and Newsletter Creation Proud Partner

• All Documents Reviewed by a Dedicated Editor

www.minutessolutions.com | info@minutessolutions.com | O: 647.389.1568 | TF: 888.570.1149 MinutesSolutions_Condo_April_2016.indd 1

2016-05-05 4:29 PM


Condominium Management is Our Only Business. We sell Experience, We deliver Results.

ICON utilizes a true condominium specific, accrual accounting system with general ledger, receivables and payables integration. • General Accounting • Bank Reconciliation • Budgets

365 Evans Avenue, Suite 601 Toronto, ON M8Z 1K2

Phone: 416-236-7979 E-mail: info@iconpm.ca www.iconpm.ca


EDITOR'S LETTER

Experience required

Publisher Mitchell Saltzman Editor Michelle Ervin

As industry members have described it: I could wake up tomorrow and set up shop as a condo manager. I wouldn’t, because despite the knowledge that I’ve accumulated while editing CondoBusiness over the last three years, I know that I don’t have the experience and training required to do a competent job. The industry, via the Association of Condominium Managers of Ontario (ACMO), lobbied long and hard for mandatory qualifications for condo managers. They’re coming, but they’re not here yet. In the meantime, there are plenty of folks who can and do call themselves condo managers. However, the number of seasoned professionals available for hire is finite, with some baby boomers getting ready to retire, and Toronto has seen record numbers of new condos come online in the last few years. The notion behind the push to bring in licensing for condo managers was that if you raise the bar for entry into the profession, it will boost its reputation (not to mention, protect condo owners), and ultimately make it a more desirable career path. Even with a carefully planned transition, the new layer of requirements may temporarily increase pressure on the industry's talent pipeline. Some of the colleges who have partnered with ACMO to deliver its Registered Condominium Manager (RCM) courses have observed increased interest in anticipation of the new requirements for training (although it’s not yet clear what those requirements will look like). And condo management companies are incubating talent in-house, both with RCM courses and other types of professional development. Our cover story explores the current state of the talent pool in condo management, and what challenges and opportunities lay ahead for boards, managers and management companies. Also in this management-themed issue, you will find our second annual Who’s Who survey, a look at the major players and portfolios in Canada’s condo industry. If we missed you, email Daniel Ross (danielr@mediaedge.ca) to be added to our 2017 contact list. Plus, look for articles with practical tips on how to run energy-saving campaigns and execute capital projects. With condo managers responsible for leading complex projects like these, it’s no wonder the industry has recognized a need to ensure that these professionals have adequate training. The road to licensing for condo managers may have a few bumps along the way, but the eventual ability to rely on a qualified professional promises to make the journey worthwhile. Michelle Ervin Editor, CondoBusiness michellee@mediaedge.ca

Condominium Management is Our Only Business. We sell Experience, We deliver Results.

/condomediaedge /condobusiness /condomediaedge

Advertising Sales Sean Foley, Stephanie Philbin, Daniel Ross, Hayden Jackson Senior Designer Annette Carlucci Designer Jennifer Carter Production Manager Rachel Selbie Digital & Sales Coordinator Paula Miyake Contributing Writers Marc Bhalla, Ed Carney, Kent Ford, Tania Haluk, Ralph Kittler, John Margaritis, James Millbury, Eric Plant, Philip Sarvinis, David Thiel Digital Media Director Steven Chester Subscription Rates Canada: 1 year, $60*; 2 years, $110* Single Copy Sales: Canada: $10*. Elsewhere: $12 USA: $85 International: $110 *Plus applicable taxes Reprints: Requests for permission to reprint any portion of this magazine should be sent to info@mediaedge.ca. Circulation Department Maria Siassina circulation@mediaedge.ca (416) 512-8186 ext. 246 CONDOBUSINESS is published eight times a year by

President Kevin Brown Accounting Manager Samhar Razzak Group Publisher Melissa Valentini 5255 Yonge Street, Suite 1000, Toronto, ON M2N 6P4 (416) 512-8186 Fax: (416) 512-8344 e-mail: info@mediaedge.ca CONDOBUSINESS welcomes letters but accepts no responsibility for unsolicited manuscripts or photographs. Canadian Publications Mail Product Sales Agreement No. 40063056 ISSN 0849-6714 All contents copyright MediaEdge Communications Inc. Printed in Canada on recycled paper.

365 Evans Avenue, Suite 601 Toronto, ON M8Z 1K2 Phone: 416-236-7979 E-mail: info@iconpm.ca www.iconpm.ca


THIS MONTH’S ONLINE EXCLUSIVES ALL THE BUZZ

Consultation dates released for Tarion review The Ontario government released consultation dates and locations for the Tarion review, following a stretch of silence that, for some, raised questions about the terms of engagement. Justice J. Douglas Cunningham is scheduled to meet with members of the public and industry stakeholders separately in eight cities across Ontario, starting in Toronto on April 13 and ending in Ottawa on May 31.

CMHC reports that foreign buyers own 10 per cent of condos completed in Toronto’s core since 2010.

FROM THE GREEN BIN

SCOOP to become first condo on its block SCOOP will become the first condo on its block when the boutique six-storey collection of 72 suites rises at the corner of St. Clair Avenue West and Osler Street, west of Caledonia Road. The project is slated to launch this spring, with shovels expected to be in the ground by fall 2017.

Accommodating accessibility requests in condos New condominium corporations are almost always equipped with adequate accessibility. However, some older condominiums were built before accessibility was a legislative or societal imperative. Often, when a resident with a disability moves into these older condominiums, the corporation must undertake renovations to accommodate the needs of this resident.

Changes to ASHRAE’s new indoor air quality standard include requirements for the multi-res sector.

EXPERT ADVICE

Telus’ Rob Currie talks about how Canadians are willing to pay more for homes with smart technology.

CONNECT WITH US ON:

www.REMInetwork.com April/May 2016 7


ASK THE EXPERT

Build-a-board Not all boards are built the same. We wanted to know what it takes to form a dream team of directors, so we

turned to Twitter to crowdsource answers to the question: What qualities do the most effective boards have? Here are some of the responses we received: Being open to considering different ideas with egos aside & the shared goal to advance what is best for the overall community. –Marc Bhalla @condomediator

Active listening and responding to the concerns of the residents in a timely manner. –KB Legal Services @kblegal007

Patience. The patience to deal with people who think they live in a 5-star hotel and bear no responsibilities. –Justin Derrick @JustinDerrick

A board that encourages owners to participate in committees as way to share the workload and groom new directors. –Condo Madness @CondoMadness13

Best condo boards know & follow law & bylaws, understand their responsibilities, & are transparent and inclusive with owners. –Sandy Wagner @visoaSandy

Efficient and Effective Communication – in the Boardroom and with owners! –Nancy Houle @Nancy_Houle

The best condo Boards know that they are serving the community, not running it. Perspective encourages good decisions! –Bill Thompson @Malvernguy

An open mind and a willingness to listen and learn – none of us know everything. –David Thiel @DTCondo

Exercise sound business judgment in the best interests of the community. –Lash Condo Law @LashCondoLaw

8 CONDOBUSINESS | www.condobusiness.ca

Be consistent in how you treat other owners and make decisions. –Shawn L Pulver @ShawnLP

They must always remember th at they are d e alin g w/ p e o p l e’s h o m e & t h e i r c o m m u n i t y, l i v e s , f a m i l i e s & m o n ey. I t i s p e r s o n a l . –Maple Ridge CM @MapleRidgeCM

Empathy and openness to dif ferent perspectives and explanations helps condo directors diffuse, de - escalate & avoid disputes. –Chris Jaglowitz @chrisjaglowitz

Honest, proactive, open-minded, inclusive, resourceful, supportive, pragmatic, fair, communicative, ethical, and diligent –Don McCulloch @Don_McCulloch

Boards that focus on fostering Safety, Security, and Trust within the Association -- and they focus on representing Owners. –Better Condo Life @BetterCondoLife

Transparency. The most effective boards do their work in public. Acts behind closed doors are suspect, whether proper or not. –Chicago Condo Law @ChiCondoLaw


CONSULTING ENGINEERS

M & E Quality Services • Boiler Replacement Design • Domestic Piping • Chiller Design • Emergency Generator Design • Fire Protection Upgrade & Design • Maintenance Scheduling • Capital Planning Report • Building Audits • Project Management • Power & Lighting Design • Fire Code Compliance • Fire Safety PlanninG • Fire Alarm Design


SPONSORED CONTENT

Certified Clean Air

Tackling a serious health and safety issue Once mould begins to grow within a condo unit, things can only get worse from there. This problem of contamination is of mounting concern for industry leaders like Les Woods, president of Certified Clear Air Services, a division of The Certified Group, who points out a main catalyst for mould occurs from fan coil units in HVAC systems. The recent release of a “white paper” from the University of Toronto, which includes academic research and industry input, examines mould identification and remediation specifically related to this largely unrecognized, but problematic source of mould. As a result, the 44-year-old Mississaugabased company, a multi-unit residential service provider, is now part of an organized committee dedicated to addressing a more open and practical approach to this issue.

How does mould grow in fan coil units? Mould growth within fan coil units is an issue that has been largely unrecognized because it’s less visible. Fan coil units are individual heating and cooling systems widely installed in high-rise multi-residential buildings. They draw in air from around a room and then it is cooled or heated before being supplied back into a suite. Mould growth occurs at and above relative humidity (RH) levels of 60%. The RH levels in fan coil units are between 75 and 97%.

Insulation contains glass fibres, and when they become wet from condensation or splashing, they hold moisture in, providing an ideal environment for spores to grow and multiply. The inside of these units are out of sight and, therefore, out of mind, until a problem occurs.

What are the human health impacts? Both Health Canada and the Ontario Ministry of Labour consider mould a risk factor for health problems. Mould triggers allergic

“

If the manager fails to disclose or inform of mould conditions that they knew of, or ought to have known existed, this may put the Management Company outside the indemnity provisions of their Management Contract. If fan coil units within a building have been inspected and there is knowledge by the Board that mould contamination is present, regardless of who owns the unit, it is required by the Directors to disclose this information in the status certificate.” Lou Natale, Partner | Fogler Rubinoff LPP

effects which become a significant concern when mould growth occurs in a HVAC system. As the air from the fan blows over the mould, some of it becomes airborne, releasing particles into the suite. When inhaled, the particles scratch the esophagus, leading to symptoms such as, asthma, chronic sinusitis, coughing and more serious problems. People with weak immune systems, the elderly, pregnant and those with existing conditions are most at risk.

How do you effectively remediate mould? First and foremost, property managers and board members should be proactive in dealing with this issue. While creating a clear action plan can be confusing because of all the sales pitches and product claims, it’s important to first obtain the services of a Certified Environmental Inspector who can identify if mould contamination needs to be removed and its underlying causes remedied. Finding qualified contractors is key because they will ensure proper containment of negative air in the work area and background cleaning of surrounding air with HEPA air cleaners. Currently, there is one fan coil unit replacement option if mould is found: a CSA-approved CAFC system. After full remediation, follow-up maintenance is recommended.


SPONSORED CONTENT

What damages will occur if the problem is ignored? Cost and liability are huge factors. Property and liability insurance rarely covers the remediation of contaminated fan coil units because they are usually deemed a maintenance or repair item. Building owners, managers and directors often have no coverage against civil lawsuits, damage awards or to defend against lawsuits related to mould. They can be targeted for litigation for allegedly providing an unsafe environment, whether the claim is framed as nuisance, negligence or breach of contract. The Condominium Act, the Residential Tenancies Act, Human Rights Act and related legislation, along

“

Since the 1990’s, health scientists and building industry leaders have recognized that mould growth in indoor environments can negatively impact human health. One of the common sources of indoor mould can be found within fan coil units.” Urvashi Vyas, B.Sc, M Env.Sc | The University of Toronto

with the Occupational Health and Safety Act, all impose statutory and affirmative obligations to disclose and maintain property and equipment in a safe condition to protect occupants and employees

from mould exposure. When complaints are received, investigation should follow. Communicate any adverse findings to stakeholders and remediate mould growth as soon as possible.

We specialize in indoor air quality for the high-rise multi-residential industry.

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Phone: 905-602-1555 Email: leswoods@thecertifiedgroup.ca Connect with Les on LinkedIn today!

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TOP

TEN

IN THE CONDO BUSINESS INDUSTRY

CONDO BUILDINGS

TOTAL

CONDO UNITS

TOTAL

FirstService Residential Management Canada

1,309

FirstService Residential Management Canada

119,637

Wilson Blanchard Management Inc.

486

Brookfield Condominium Services Ltd.

74,635

Brookfield Condominium Services Ltd.

353

Del Property Management Inc.

60,000

Pacific Quorum Properties Inc.

344

Wilson Blanchard Management Inc.

32,935

Gateway Property Management Corporation

249

Rancho Management Services

31,713

AWM-Alliance Real Estate Group Ltd.

246

Pacific Quorum Properties Inc.

21,506

Del Property Management Inc.

230

AWM-Alliance Real Estate Group Ltd.

20,081

ICC Property Management Ltd.

145

Gateway Property Management Corporation

19,312

Apollo Property Management Limited

90

ICC Property Management Ltd.

16,700

Bayshore Property Management

89

Apollo Property Management Limited

10,614

16

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CONDOBUSINESS WHO’S WHO 2016 RANK

UNITS

BUILDINGS

RANK

UNITS

BUILDINGS

1

FirstService Residential Management

119,637

1,309

7

AWM-Alliance Real Estate Group Ltd.

20,081

246

2

Brookfield Condominium Services Ltd.

74,635

353

8

Gateway Property Management

19,312

249

3

Del Property Management Inc.

60,000

230

9

ICC Property Management Ltd.

16,700

145

4

Wilson Blanchard Management Inc.

32,935

486

10

Apollo Property Management Limited

10,614

90

5

Rancho Management Services

31,713

11

Royale Grande Property Management Ltd.

8,200

60

6

Pacific Quorum Properties Inc.

21,506

12

Icon Property Management

7,346

51

344

Q. A.

What are some of your recent initiatives?

We implemented AvidXchange, a web-based vendor payable program for board members. A Director of Energy has joined our team. Most notably, we are moving to a modern openconcept 19,000 sq. foot office in June.

#1

Todd E. Cooper, President www.fsresidential.com

12

Canlight Hall Management Inc.

7,300

75

13

GPM Property Management Inc.

7,240

48

14

Percel Inc.

7,040

79

15

Dorset Realty Group

6,500

70

16

A.A. Property Management

6,000

30

17

Vero Property Management Services Inc

6,000

56

19

360 Community Management Ltd.

5,993

41

20

EcoCondo Management Services Inc.

5,000

25

21

Nadlan-Harris Property Management Inc.

4,800

55

22

ComField Management Services Inc.

4,100

41

23

Bayshore Property Management

3,839

89

24

Skywater Property Management

3,000

49

25

CitiGroup Properties Limited

2,908

46

Now you can protect their investment and give them value for their money. Ensuring open communication between unit owners and their Board of Directors is just one aspect of effectively managing condominiums. CLM’s team of professionally trained managers not only provide the highest standard of service, they ensure all aspects of accounting, site operations and physical maintenance is tailored to the needs of individual properties. If it’s time to reconsider your choice of professional management services; CLM— peace of mind, worry-free living. For competitive management rates, or to find out how CLM can be of further assistance, please contact;

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Director, Business Development Office: 1.877.81CONDO (26636) x467 Cell: 647.887.5676 k.m.shahnewaz@condominiumliving.ca www.condominiumliving.ca 16 CONDOBUSINESS | www.condobusiness.ca


CONDOBUSINESS WHO’S WHO 2016 RANK

UNITS

BUILDINGS

RANK

UNITS

BUILDINGS

26

Richmond Property Group Ltd.

2,500

40

45

Sterling Karamar Property Management

228

5

27

The Enfield Group Inc

2,471

45

46

Arnon Corp.

218

3

28

Colliers International

2,398

30

47

Summa Property Management

149

8

29

Provincial Property Management Limited

2,000

30

48

Lawrence Construction/Grant Management

128

3

30

Berkley Property Management Inc.

1,950

18

49

Shepherd Village Inc.

115

1

31

Martello-Trusted Real Estate Advisors

1,828

33

50

Landmark Properties Inc.

86

1

32

Equity Hill Properties Group

1,783

12

51

Loncom Property Management

83

1

33

Taft Management Inc.

1,636

28

52

Marklyn Management

62

2

34

G3 Property Solutions Inc.

1,175

11

53

Firm Capital Properties Inc

61

1

35

Ramland Property Management

1,100

10

54

Fyrst Avenue Property Management Inc.

38

2

36

Downing Street Property Management Inc.

1,026

29

55

WJ Properties

14

1

37

Warrington PCI Management

997

13

56

Colonnade BridgePort

2

1

38

Lionheart Property Management Inc.

915

27

39

Condominium Living Management Inc.

911

10

40

Westcorp

717

2

41

Devon Properties Ltd.

518

8

42

Huntington Properties Ltd.

465

13

43

Regional Group of Companies Inc., The

424

15

44

Prospero International Realty Inc.

283

2

#

4

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April/May 2016 17


GOVERNANCE

A business is a business is a business Prostitution is as prevalent in condominiums as it is in any

BY TANIA HALUK

other housing type or community. From freehold homes in suburban neighbourhoods to rental apartments or co-ops in major cities, it’s all the same for the property management industry. Communities typically detect this type of activity when concerns arise due to noise, perception of security risk, high traffic of strangers, and the potential for other undesirable activity to be drawn to the area. As discretion is a priority for prostitutes, it’s difficult to determine whether business is being conducted or private activities are taking place. What follows is an over view of how to identif y this problem, what legal considerations are in play and how to enforce compliance with the relevant rules.

Identifying the problem This is not just a dow ntown high - rise issue; the proper t y m a n a g e m e nt i n d u s t r y i s a w a re o f prostitution happening in all types of condominiums. As with any business, supply and demand will drive clients and professionals to the most lucrative areas. Whether prostitution is an issue i n a p a r t i c u l a r c o m m u n i t y m ay b e blatantly obvious or extremely discreet. In the latter case, the Internet is an easy way to investigate for this activity in a building. By searching an address or

18 CONDOBUSINESS | www.condobusiness.ca

service in the area online, it’s possible to identify several types of businesses, including escort, massage or prostitution. Some people have websites that clearly indicate the services they offer, along with addresses and phone numbers. Also consider monitoring online advertising, social or local media, very short-term leasing or bookings, etc. Reviewing guest or visitor logs and/ or traffic schedules may reveal other patterns. Human beings are creatures of habit and eventually behaviours become routine and predictable. The presence of


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Untitled-2 1

2016-04-20 9:27 AM

April/May 2016 19


GOVERNANCE

The presence of a ‘protector’ while a ‘guest’ is on-site may indicate a problem.

half_page_residential_ad_PRINT.pdf

1

2015-06-01

12:42 PM

a ‘protector’ while a ‘guest’ is on-site may indicate a problem, too. Understanding the legalities In Canada, prostitution is legal. The new laws that came into effect in December, 2014, allow sex to be sold, with some regulations; however, it remains illegal to purchase sex. That is an entirely different topic, though, as this article addresses prostitution in condos, not the legalities of the industry. Prostitution is a business, so from a condo perspective, the case should be made about whether a business is allowed to be conducted or not, and whether there are any restrictions on the type of business. Section 7(4) of the current Condominium Act states that, “A declaration may contain conditions or restrictions to the occupation and use of the units or common elements.” Note: A board must take care to not exclusively go after the prostitution business, but any business that fails to comply with the declaration.

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20 CONDOBUSINESS | www.condobusiness.ca


D e c l a r at i o ns v a r y fro m c o n d o to condo. Typical wording for standard residential condos would include that: the use is for private residential purposes or applicable zoning bylaws of the municipality, and residents are responsible to follow the declaration, bylaws and rules; not create any type of nuisance activity; and not compromise the building or insurance in any way. Some also include restrictions on shortterm leasing, while others are silent. If a declaration indicates residential p u r p o s e s o n l y, t h a t m e a n s u n i t s cannot be used for business purposes. Standard practice would be to allow residents to work from home; however, customer traf fic or residential units b ein g use d as warehouses /sto r a g e facilities would be prohibited. Even in some commercial condos, there are restrictions on the types of businesses allowed. Mainstream commercial condos will exclude adult enter tainment business of any kind, i n c l u d i n g s ex t r a d e , p o r n o g r a p h i c uses or purposes; mechanics shops; billiards or bingo halls; video arcades; tat too parlours; c asinos; funeral establishments; or bowling alleys. Enforcing compliance issues U s e c a u t i o n a n d d i s c ret i o n w h e n d e te r m i n i n g w h e t h e r a p e r s o n i s conducting prostitution business in a condominium. There can be liabilit y issues associated with making wrongful accusations.

Persons running prostitution businesses may be owners or tenants, and removing an unlawful business from a condo should be pursued under the guidance of the condo corporation’s solicitor. Be mindful that the goal is to correct a compliance issue; keep emotions or personal opinions out of the decision-making. Prostitution is a sensational topic, similar to drug labs and grow-ops; however, it shouldn’t be treated any differently than a hairdresser in the sense of compliance in a condo. Consider enlisting condo residents, who may be better positioned to spot prohibited activities, in monitoring for breaches of the c ondo do cuments — similar to a neighbourhood watch program. Residents in condo communities should be aware of who their neighbours are and recognize when they flout the community’s rules. No one should ever assume that someone else has witnessed an activity and has reported it. Part of being a responsible neighbour in a condo is following the declaration, bylaws and rules of that community. The actual activity in question should be taken out of the equation; think about what’s in the best interest of the community and stay in compliance with the condominiums documents. Negative impacts on any community should be of utmost concern for any resident. 1 Tania Haluk, BA , RCM, is the vice president, operations, for FirstService Residential. She can be reached at tania. haluk@fsresidential.com or 416-847-2339.

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April/May 2016 21


GOVERNANCE

How to start an energy-saving campaign M a ny b oa rd memb e r s a nd proper t y managers wou ld

BY ERIC PLANT

agree that utilities represent a tough challenge for their corporation. Not only do these expenses represent one

of the largest shares of the condominium’s operating budget, but they continue to rise, forcing many corporations to raise maintenance fees year after year to cover the costs.

22 CONDOBUSINESS | www.condobusiness.ca


GOVERNANCE

choice for buildings that want to save energy but can’t afford to replace big items such as boilers or make-up air units. Using an energy management system is like adding a brain to the building’s plumbing and HVAC systems. It keeps track of temperatures and pressures, and optimizes machines so that they use only as much energy as they need. It also allows mechanics to check the system remotely, which can save the c o r p o r at i o n ex p e nsi ve v i si t s w h e n something goes wrong.

But for all the stress that they cause, u t i l i t i e s a l s o re p re s e n t t h e s i n g l e largest potential source of savings. A condominium that does its homework and is willing to spend some money can shave tens of thousands of dollars or more off of its annual budget. This can mean a big difference in the services the condominium is able to of fer to homeowners. W hen thinking of energ y s avings m o s t p e o p l e i m m e d i a te l y t h i n k of lighting upgrades. Lights are indeed a good way to save some energy, but to do more than scratch the surface it’s necessary to dig deeper.

Creating a plan The best way to get started on an energysaving campaign isn’t actually an energysaving project at all. Create an inventory of everything in the building that consumes energy, determine how much can be saved by upgrading these items and how much each project will cost. This will serve as the board’s roadmap to saving energy. It will clearly show which items have the best payback and help the board plan its approach. A lm o st ever y energ y au d i t w ill recommend something called an energy management system, which is a great place to begin. These systems use a building’s current equipment and so may be a good

Choosing a project After the board has its roadmap, and the building’s equipment is working as efficiently as possible, it’s time to tackle the real projects. The board will need to choose the projects that fit the corporation’s budget, but as a rule of thumb the best projects are the ones with the quickest return on investment. In other words, how much will the corporation save relative to the cost of the project? Many projects can pay for themselves in less than three years, and some in less than one, making them a great place to start. Lighting Back to lighting. This is one of the easiest projects to get done, and rapid advances in technology mean that it will likely save a corporation a lot of money even if it has done a lighting retrofit recently. LED lighting has worked well for parking garages, exterior lighting, and in some cases even hallway and stairway lights. In addition to significantly reducing energy use, LEDs last much longer than traditional lighting and contain no mercury. In parking garages it is often possible April/May 2016 23


GOVERNANCE

For all the stress that they cause, utilities also represent the single largest potential source of savings.

to use the existing fluorescent fixtures, which makes this as easy as changing the bulbs. Plus, like most energy-saving projects, the government offers rebates for doing the work. Water Another great place to look for savings is water use. Much of this occurs within the units, where residents are flushing money down the toilet. By providing owners with new low -flow faucets, showerheads and toilets free of charge, the corporation can save a substantial amount of money. Depending on the age of the building, this project can be a significant source of savings. (The older the building, the more likely it is to have older, less efficient fixtures.)

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Mechanical Pumps and fans are another good place to find savings. Many of them are running full time, and take a lot of power to do so. Adding variable frequency drives allows pumps to run at different speeds depending on need, which can lower electrical costs. Energy management systems link up with these drives, and they work together to save a corporation even more money. The key to curbing energy use in a condominium is to create a plan that wo r k s fo r t h e c o r p o r a t i o n . En e rg y prices will continue to rise, but a board of directors that does its homework c a n d o a l ot to ke e p u t i l i t y c o s t s down and help reduce the building’s environmental footprint. 1

Eric Plant is a director at Brilliant Property Management Inc. He can be reached at eric@brilliantproperty.ca.

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TALENT P COVER STORY


PIPELINE COVER STORY

BY MICHELLE ERVIN

A confluence of demographic, economic and legislative factors is poised to send ripples through the condo management industry. Amid this current of change, which is ultimately expected to raise the profile of the profession, the labour pool might ebb before new talent starts to flow.

April/May 2016 27


COVER STORY

CONDOMINIUM MANAGERS BY THE NUMBERS

2,700 to 3,000

The estimated number of condominium managers in Ontario.

The condo management industry is poised for change as it faces a confluence of factors with the potential to send ripples through the labour pool. Demographic pressures are forcing management companies to think about succession planning, Toronto’s enduring condo boom is testing the industry’s talent pipeline and the Ontario government is currently working out the details of a licensing system that will set minimum standards for condo managers. The Condominium Management Ser vices Act promises to protect condo owners from malpractice by ensuring that the individuals managing their condo corporations are qualified, trained and regulated. It also promises to improve the reputation of a profession that has struggled to establish itself as a career of choice. It’s not yet known when the province will roll out the legislation, but the licensing system is expected to be accompanied by transitionary measures.

900

The number of Registered Condominium Managers (RCMs) in Ontario.

In other words, it won’t take full force immediately. Neither are its hoped-for benefits likely to be felt immediately. That means that as baby boomers leave the workforce, new developments continue to reach completion and barriers to entry into the field rise, the labour pool of experienced managers might ebb before new talent starts to flow. Succession planning Andy Robling is vice president of client development at Hays, a recruitment agency that counts construction and property among its specialties. He affirms that demand for condo managers in the GTA is strong, noting the opportunities for seasoned professionals to progress not only to stewarding large buildings but also portfolios. Salaries start as low as in the $30,000s, but can crack six figures once a manager has more than 10 years of experience under his or her belt. The greying of baby boomers, which is not unique to the condo management

28 CONDOBUSINESS | www.condobusiness.ca

200

The estimated number of registrants in Humber College’s Condominium Management and Administration courses every semester.

industry, is one wrinkle on the supply side of the people equation. As members of the demographic cohort get ready to retire, companies are grappling with succession planning. “There is a concern that there are not enough good people entering at the junior end,” says Robling. “We’ve been having discussions with clients about how they can attract talent outside of condo management, even outside of property, and look at other areas that have transferrable skillsets.” Since there are no universit y level programs geared toward condo management, companies tend to look for trade cer tifications and the Registered Condominium Manager (RCM) designation. Some of the transferrable skillsets that make candidates working outside of condo management attractive include customer service and project management, which can be found in professionals with backgrounds ranging from health and safety to hospitality.


COVER STORY

Incubating talent Hospitality is one of the fields that Roger Thompson, executive vice president of FirstService Residential, targets when d o in g o u t re a c h to p o s t - s e c o n d a r y students. However, the achievable salary levels for condo managers remain a roadblock to attracting skilled people. Salaries are connected to management fees, which are constrained by the budgets of non-profit condo corporations, he explains. Six figures is not the norm for condo managers — although it should be more common, he says. Meanwhile, the pace of growth in the GTA condo market has placed increasing demand on the industry’s talent pipeline. “Management companies have to get creative in the way that they staff,” says Thompson. “Every condo will ask for a condo manager with five-plus years of experience … That’s what everybody wants, so how do you create a team to service their condominium?” To achieve deep experience, as well as mentoring opportunities and local service, the company he helps lead assigns senior managers to small portfolios for which they oversee small groups of junior managers. The company also incubates talent in-house at its Centre of Service Excellence, where support staff such as front desk supervisors can apply to take its property management courses. It’s a model that has enabled the c o m p any to all o c ate s o m e of the administration to support staff, who may have quiet perio ds while, for examp le, m anning the front d esk . This frees managers to focus on other responsibilities, while support staff get an opportunity to gain experience. A s the condo boom continues in Toronto, Thompson predicts that the coming licensing and its associated costs will lead to some consolidation within the industry. This could squeeze the labour supply further before licensing and its anticipated benefits attract more newcomers to the field. Licensing transition “While we may say that some people will be driven out of the industry because of licensing, I think that will be more than offset by the number of young people that are drawn to the condo management

profession at a young age because of the Act rolls out. For its part, the industry formalized regulatory process,” says Dean association is asking the government to McCabe, who sits on the Association recognize RCMs as having satisfied the of Condominium Managers of Ontario’s education requirements for licensing. (ACMO) board of directors. ACMO estimates that in Ontario there are McC abe allows that there may be currently 2,700 to 3,000 condo managers, some “hiccups” during the changeover, of whom 900 possess its professional but he points out that the provincial designation. The supply is there to meet government has committed to providing demand from freshly constructed buildings t r a n s i t i o n a r y m e a s u r e s w h e n t h e as they come online, he says, although JermarkPIPE_Condo_Apr09.pdf 5/1/09 4:00:12 PM Condominium Management Ser vices he acknowledges that older, smaller

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COVER STORY

“Every condo will ask for a condo manager with five-plus years of experience… That’s what everyone wants, so how do you create a team to service their condominium?”

communities may be losing experienced managers to new mega-towers that have the buying power to outspend them. At the s ame time, some of the industry’s trailblazers are starting to retire, so the association is trying to retain their institutional knowledge by keeping them engaged in some capacity, whether that’s as a course instructor or guest speaker. It used to be common for condo managers to enter the field as a second career, after being exposed to it in roles such as board director, McCabe observes, but there are signs that that may be changing, with young people pursuing the profession in their late twenties, in some cases after spending some time as a security guard. H e se e s g re at o p p o r tuni tie s fo r managers starting out today, adding the caveat that they need to have patience, as they won’t be assigned to a severalhundred-unit building, with a salary to match, from day one on the job. That said, he does expect that by setting minimum standards for the industr y, licensing will lift remuneration along with the profession’s profile. Educating managers ACMO hopes to remain involved in educating condo managers, as does Humber C ollege, which, through a partnership with the industry association, is one of the Ontario colleges that hosts its RCM courses. Lisa Tubia is the program liaison for association and partnership programs in Humber College’s continuing education stream. Tubia says that every semester about 200 students register for courses in the school’s Condominium Management and Administration certificate program, which has no admissions requirements.

The cer tificate program comprises four mandatory courses, Condominium Administration and Human Relations, C ondominium L aw, Financial M anag ement and P hysic al Building Management, and one elective. Eligible elective courses include Communications, Managing Change, Leading Responsibly and Tenancy Law in Ontario. The elective course allows students to obtain a cer tificate from Humber C o ll e g e, ex p l a i n s Tu b i a , b u t m a ny students tend to complete the four mandatory courses that they need to write their RCM exam and move on to earn their designation as quickly as possible. Most students are adults completing the program while continuing to work, often in positions alongside property managers, such as office assistant. “Right now, bec ause of the new l e g i s l a t i o n c o m i n g i n to e f fe c t , o r anticipated, we are getting a lot of calls from people in the field asking about the program,” says Tubia. It’s not yet known whether the new training requirements for condo managers will follow the template set by ACMO’s RCM program, as was more or less laid out in an expert panel’s recommendations report during stage two of the Ontario government’s three-stage Condominium Act review. Whatever form the requirements take, the college is interested in helping deliver the new credential, much like it does other government-sanctioned credentials (such as Ontario Building Code – 16 BCIN Credential Examinations), and has plans to expand its existing program with additional seats.

30 CONDOBUSINESS | www.condobusiness.ca

Recruiting newcomers Michael Le Page, president and CEO of Maple Ridge Community Management (MRCM), treats the RCM program as a minimum standard. His company provides in-house training for the RCM designation, which it expects its condo managers to either possess or be pursuing. The company also runs its own program, Leadership Evolution and Development (LEAD), which covers everything from business writing and computer skills to dealing effectively with different personalities. The company’s in-house training has proven to be a useful recruitment tool, confirms human resources manager Sharon Bellissimo. The company also c onduc t s a ptitud e, p er son alit y and writing testing as par t of its hiring pro cess to evalu ate c andid ates for foundational skills and fit. Like other management companies, it has t a p p e d into the p otential of professionals with experience outside o f t h e c o n d o i n d u s t r y, i n c l u d i n g hires with backgrounds as diverse as broadc asting and I T. A long with its training, the company also pairs junior managers with senior managers for ongoing mentorship. Looking back, Le Page recognizes that the industry has made significant strides over the years, but he believes it has farther to go as the profession continues to be undervalued. “I’m the only career property manager that I know,” he said. “This is the first job I had out of college, and it’s the only career I’ve had. “We have to get this profession to where young people aspire to want to be us.” 1


Untitled-4 1

April/May 31 15-03-12 2016 10:51 AM


LEGAL

Post no bills

A recent dec ision of t he BY DAVID THIEL H u m a n R i g h t s Tr i b u n a l of Ontario, Welkiyi v. Rouge Valley Co-operative

Homes Inc. 2016, conf irms and explains the obligations of a ‘ hou s i n g prov id e r ’ w he n d i s c r i m i n ator y a nd harassing behaviour occurs within a multi-unit residential community. While the Rouge Valley decision involved a housing co-operative, it will

become plain from the discussion below that the decision should apply to condominiums as well. Condominium managers, directors and owners ought to be familiar with the decision’s implications.

32 CONDOBUSINESS | www.condobusiness.ca


LEGAL

In the Rouge Valley case, a series of offensive and discriminatory messages were posted at the co-operative building over a series of months. The messages referred in a derogator y manner, for example, to certain suite numbers and alleged physical disabilities, all of which was extremely offensive. The applicants in the Rouge Valley case comprised 10 of the individuals to whom the offensive postings were directed. T hey applied to the Human Rights Tribunal, claiming damages and other relief against the co-operative and several of its directors, for failure to take adequate steps to address the postings. The bottom line in the Rouge Valley decision was that the co-operative was found not to have taken adequate steps in response to the postings. As a result, the co-operative was ordered to pay $30,000 in damages ($3,000 to each of the 10 applicants). The co-operative was also ordered to post a copy of the decision and to provide to its residents a notice summarizing certain aspects of the decision.

The person who posted or authored the postings was not identified. Clearly, the Ontario Human Rights Code would have applied to the perpetrator assuming that such person was a resident of the building. For example, section 2(2) of the code provides that “Every person who occupies accommodation has a right to freedom from harassment by the landlord or agent of the landlord or by an occupant of the same building” (emphasis added) because of the stated discriminator y grounds in the code. What is not immediately clear is the role and responsibility of the ‘housing provider,’ in this case the co-operative. The co-operative itself did not make the postings. However, the parties in this case acknowledged that the tribunal’s past decisions concerning the right to be free from discrimination and harassment in the occupancy of accommodation imposed an obligation on ‘housing providers’ to address complaints of code violations. While condominiums were not specifically mentioned in the decision as ‘housing providers,’ the reasoning of the

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decision should apply in a condominium setting as well. T he tribunal was c ritic al of the co-operative’s response to the postings, including that: (a) there was inadequate communication with the applicants, and (b) there was inadequate notice to the residents in general denouncing the behaviour. In this case, the co-operative had communicated to owners but the tribunal considered that the notices did not initially identify the nature of the harassment. So, how should a condominium deal with such situations to create an environment free from discrimination and harassment, comply with its obligations under the code and minimize its liability? Each situation will be different of course and condominiums should seek legal advice at an early stage in any event. The Rouge Valley decision is lengthy (some 87 pages) and it is difficult to summarize in brief, but based upon the principles in the decision, a condominium should consider the following three general areas for action:

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1. Awareness Be generally aware of human rights obligations, especially those relating to discrimination and harassment. Training for representatives is helpful, as would be a discrimination/harassment policy. The tribunal in this decision did, however, emphasize that these are not necessarily requirements, and that the actions of the housing provider after receiving a complaint are more important than these background considerations. Again, this is not necessarily a requirement, but consider either expanding upon existing workplace violence and harassment policies to include more specific provisions relating to Human Rights Code issues or creating a standalone policy.

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2. Post-complaint Take complaints seriously, handling them sensitively and promptly. Investigate the complaint, plan action and maintain communication with the complainants.

3. Resolution The condominium needs to provide a reasonable solution in all of the 2015-11-09 2:08 PM circumstances. Communicate findings and actions to the complainant. In the case of 2016-05-04 3:26 PM discriminatory public postings, it is likely necessary to give clear notice to residents describing the offensive conduct and denouncing same, especially in the case of persistent postings. It is also important to take some steps in Building Science such a situation to identify the perpetrator. & Restoration Consider additional security measures (e.g. installing security cameras if appropriate or Consultants thought effective) or other measures that would reduce the likelihood of the conduct Building Envelope continuing. The decision suggests that it Assessment & would be desirable to seek input from police Remediation where applicable as to steps to combat such Structural Restoration harassment. Due Diligence/ Overall, the main point for condominium Pre-Purchase boards and managers to take from the Assessment Rouge Valley decision is to be vigilant for instances of discriminatory conduct and Property Condition harassment, and that the condominium itself Assessment could be held responsible in such situations if Structural Engineering it does nothing or does not act promptly. 1

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David Thiel is a partner in the condominium law group at Fogler, Rubinoff LLP. He can be contacted at dthiel@foglers.com or 416-864-9700.


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DISPUTE RESOLUTION

Tribunals and tribulations BY MARC BHALLA L it t l e i s c u r r e nt l y k no w n about the tribunal envisioned in the recently passed Bill 106, the Protecting

Condominium Owners Act. The legislation, which will update current condo laws once proclaimed into force, leaves it to the coming Condominium Authority and regulations to make appear. However, the very notion of introducing a tribunal to help address condominium conf lict has been intriguing to many involved in Ontario’s condominium landscape. With the introduction of new legislation in 2015 came headlines claiming that condominium disputes would be settled faster and on a less costly basis. As everyone awaits particulars as to how exactly this is going to be achieved, speculation and a view of what is being done to enhance condominium conflict management in other regions offer plenty to think about. The legislation envisions a tribunal available to condominium corporations and unit owners (possibly others) that would both direct and decide disputes. While it remains to be seen exactly which disputes will fall within the tribunal’s purview, it is believed that the tribunal will have jurisdiction over a

limited set of issues. The notion is similar to other tribunals in the province, such as the Human Rights Tribunal and the Landlord and Tenant Board, in that issues will be decided outside of the courts. It is also believed that decisions will be difficult to appeal and monetary awards will be easy to collect through, or off-set against, common expenses. The nature of how awards will be collected and the fact that the self-funded tribunal will in part rely on a monthly fee levied on unit owners may well explain why tenants and others could be excluded. The benefits of introducing a place that is focused on condominium disputes include easing the current burden on a backlogged

36 CONDOBUSINESS | www.condobusiness.ca

court system and (hopefully) involving decision makers and conflict guiders who appreciate condominium law and the realities of “condo life”. Under the current system, it takes time to bring a case to court, and then once it gets there, there is no guarantee that the judge deciding the case will have familiarity with the intricacies of condominium. Concerns about the proposed tribunal include the risk of replacing one backlogged system with another if the tribunal is not set up to be able to promptly address all of the cases it receives. Conversely, there is also a fear of the fees collected from unit ow n e r s g o i n g to w a s te i f i t we re


DISPUTE RESOLUTION

ove r s t af fe d . Q u e s t i o ns a ro u n d t h e qualification and training of tribunal staff remain a material consideration as well. One need not look too far to see where similar structures have stumbled in the past. It can literally take years to work through the process of the Ontario Human Rights Tribunal currently. Similarly, in 2012, the Financial Services Commission of Ontario outsourced up to 2,000 mediation files per month in an attempt to catch up and maintain normal workloads for its in-house personnel. Te c h n o l o g y m a y e n d u p b e i n g the saving grace here as it is highly anticipated that the tribunal will incorporate online dispute resolution processes. Those keen to get a better grasp of how this may work can look to what is happening currently in British C o lu m b i a w i t h i t s C i v il R e s o lu t i o n Tribunal (CRT). B.C.’s CRT is designed to provide 24/7 access to resources that can help address condominium disputes, including a Solution Explorer (in beta testing at the time of this writing). The Solution Explorer will take parties through a process where they can identify their problem, find out what information they may need to address it, understand what they can do to improve the situation and learn about possible next steps, including the recommended path. Presumably, Ontario can establish something similar that can help educate and inform those experiencing condominium issues easily and quickly, without being costly. While likely limited in the degree to which it can take unique circumstances into account, a system of this nature can streamline the process by directing parties to the appropriate path to conflict resolution. In another example, the Cit y of Mississaug a’s By - law Enforcement Department has incorporated a less automated and less formal system similar to what is being envisioned in Ontario. The department’s website dedicates sections to various common complaints it receives (noise, fences, debris, etc.), and each section provides information — such as which by-laws apply and how to lodge a complaint — in an easy-to-access format. After a complaint has been submitted and initially reviewed, the department’s website encourages parties to follow a particular path to address their conflict — mediation, court

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MAINTENANCE

Diving into indoor pool performance The environmental conditions of a poorly maintained indoor

BY ED CARNEY AND RALPH KITTLER

pool room can deteriorate quickly due to its unique mix of humidity, temperature, air distribution and airborne pool chemicals. These deteriorating conditions often go unnoticed until something catastrophic occurs,

such as building envelope damage, costly dehumidifier repairs or respiratory issues associated with indoor air quality (IAQ ). The performance of an indoor pool room relies on proper architectural building design, materials selection and installation techniques. These architectural factors work in synergy with the HVAC dehumidifiers, air distribution and pool water chemistry for a healthy environment free of mould, toxic chloramines, excessive moisture and other effects of overlooked maintenance.

Facility maintenance The design of an indoor pool should provide a comfortable air temperature, water temperature and relative humidity of 5 0 to 6 0 p er c ent . T he c o n d o c o r p o r atio n c an a d just p o o l water and air temperature set points to the community’s preferences, which should be documented during the design phase

40 CONDOBUSINESS | www.condobusiness.ca

to ensure the engineer executes the space’s environmental needs. Pools that are operated the most economically typically have an air temperature slightly warmer than the pool water temperature, such as 28 degrees Celcius (82 degrees Fahrenheit) and 27 degrees Celcius (80 degrees Fahrenheit), respectively. This slight differential helps minimize evaporation


MAINTENANCE

a properly operating indoor pool room and should never be detected in non-pool areas.

and reduce the size of equipment required as well as operating costs. Lowering the space’s temperature by as few as two degrees increases the humidity load on the dehumidifier by 35 per cent, which could surpass the capacity for which it was sized. Thus, the relative humidity could remain well above comfortable levels and dramatically increase operating costs. Ventilation plays a vital role, too. Poorly distributed air, either from a substandard airflow or inadequate ductwork layout, can result in IAQ issues and window condensation in winter seasons. Most importantly, dehumidifier supply air must reach the breathing zone of occupants of the indoor pool room. These rooms must also be designed to have a negative pressure, whereas the HVAC system exhausts slightly more air than supplied as outdoor air. Rooms with poor or badly calibrated ventilation systems may revert to positive pressure, which potentially pushes humid, chemical-laden pool air into the condo building’s non-pool areas. Worse yet, a positive pressure will push pool air through the building walls, which will damage the building’s envelope and possibly its structural integrity. Pool chemical odours should be minimally noticeable, if at all, in

Equipment replacement Even when the integral parts of an indoor pool room are performing as they should, there are two reasons a condo corporation may want to consider replacing an aging dehumidifier before the end of its useful life. For one, the refrigerant R-22 is currently being phased out. For another, advances in technology have improved the energy efficiency of the equipment. Most HVAC dehumidifiers manufac tured b efore 2 010 op erate with R -22. The refrigerant is a hydrochlorofluorocarbon (HCFC) currently mandated by an international treaty for phase-out, because the gaseous chlorine or the “chloro” in its composition has the potential to deplete ozone. The R-22 phase-out — which currently calls for a complete production ban by 2020 — has already spiked prices due to dwindling supplies. Plus, all refrigeration coils and field piping will probably leak at least once and possibly multiple times during their lifecycle. Add to that the inevitable event of losing all the R-22 in an indoor pool dehumidifier and it could cost a condo corporation thousands of dollars just in refrigerant material costs. Condo corporations can hedge against this risk by replacing their dehumidifier with equipment that uses a more environmentally friendly and subsequently less expensive refrigerant. N ew fe atures inc lu d ing Inter net monitoring, direct drive fans and heat recovery have made some of today’s dehumidifiers more energy efficient than models manufactured 15 or more years ago. Other improvements are simpler maintenance and more reliable operation. This translates into energy savings along with lower service/maintenance costs. For energy - conscious, long - range planning, look for a mechanical dehumidifier that offers heat-recovery for free poolwater heating and possibly heat recovery of exhaust air to pre-heat or pre-cool the incoming outdoor air that is required for ventilation. These features cost more upfront, but payback in energy cost savings represents a fraction of the unit’s expected 20-year life cycle.

Perhaps the most significant technological innovation is web-based monitoring and control. Some manufacturers provide an on-board microprocessor controller that reports dozens of operating parameters, including real-time refrigeration operating pressures, and send email alarms to an authorized condo board member, maintenance staff member or preferred mechanical service contractor. What’s more, factory engineers can troubleshoot the dehumidifier’s real-time and historically recorded operating parameters via the Internet to assist on-site local service contractors not familiar with the unique features of an indoor pool system. In the absence of an on-site engineering expert, web -based monitoring/control can immediately detect deteriorating environmental conditions and lead to an intervention. They include dysfunctions such as high humidity, a leaking coil, poor temperature control and dozens of mechanical operating parameters. This speedy response minimizes the risks of IAQ health issues, indoor air comfort or building envelope damage. To recap, it is important to understand how building materials/technique, mechanical equipment, ventilation and water chemistry all work together. When one or more of its integral parts underperform, an indoor pool room can slow degrade over months or maybe years before anyone notices. Frequently review the facility, especially for humidity and temperature imbalances, over its lifespan to prevent building damage and unhealthy conditions. 1

Ed C arney is a p artner at Kilmer Environmental, a Mississauga- based manufacturer’s representative/contractor specializing in humidity control. Kilmer specializes in indoor pool projects of all sizes. He can be reached at ed@kilmerenv.com. Ralph Kittler, P.Eng., is vice president, Seresco Technologies, Ottawa, North A m e ri c a’s l a rg e st m a nufa ctu re r of mechanical dehumidifiers for indoor pools. Seresco offers a free one-hour video on proper indoor pool room design and operation at www.serescodehumidifiers. com. He can be reached at ralphkittler@ serescodehumidifiers.com. April/May 2016 41


MAINTENANCE

Waiting for the paint to dry

The main point of entrance BY JOHN MARGARITIS for most residents, ow ner s and visitors in a high-rise condominium is the

underground parking garage, and the condition of the garage says a lot about the propert y, the corporation and the management. Unfortunately, in many cases, the underground parking facility is not

viewed as a high priority, resulting in poorly lit areas, f laking paint on ceilings and walls, and rusting, unmarked pipes — all of which leaves the garage unsightly and unsafe. Some garages don’t even meet the basic requirements mandated in municipal bylaws and the provincial fire code. So, why aren't underground parking garages in condominiums better maintained? In a word, logistics. Between project management, product specification and bylaw compliance, these types of painting projects can be daunting — but they don’t have to be. To help shed light on the process, here are answers to questions board directors and property managers commonly ask.

When should painting occur? Garage painting can take place anytime from spring to fall, but planning should start as early as possible. Cars must be removed from the garage while the painting takes place, and it’s easier to get the city to accommodate temporary street parking before summer festivals and events start. Also, preparing and painting a garage creates

42 CONDOBUSINESS | www.condobusiness.ca

a lot of soot, especially after the pipes are sanded, so delay power sweeping and drain and catch basin cleaning until afterwards to avoid having to repeat these processes. Where do the cars go? Anywhere but inside. Cars can usually return to the underground parking garage after 5 p.m., but must be out by 9 a.m. There are


MAINTENANCE

several ways to accommodate cars during the day. Some buildings have enough visitor parking and above-ground parking to accommodate the extra cars. Otherwise, find out whether the city can accommodate street parking or see if it’s possible to make arrangements with a neighbouring building. In one project, management set up a shuttle service from the building to a local shopping mall parking lot where residents were temporarily allowed to park. What kind of paint should be used? Use only high-quality products for a paint job that will last 10 to 15 years. For walls and ceilings, use 100 per cent acrylic exterior paint. For pipes, use industrial rust primer and urethane enamel. The contractor should supply product data sheets, which can be consulted to verify that high-quality products are being used.

The board of directors and property manager should meet with their contractor to figure out the logistics of emptying the garage so painting can occur.

What are the most critical workplace hazards? Exposure to carbon monoxide (CO) and vehicle traffic. The gas-powered power washers that the contractor uses increases workers’ exposure to CO. Workers should wear a personal CO gas detector so they are alerted if CO levels increase. To increase air

exchange, ensure that all exhaust vents are operating during the power-washing phase. One of the top four workplace hazards that cause injury or death of workers in Ontario is being struck by a vehicle. Workers should wear high visibility vests and cordon off of their work area. Depending on the project size, using additional convex mirrors

April/May 2016 43


MAINTENANCE

or temporary traffic signals can help prevent vehicles from entering the areas where workers are present. What are the minimum requirements? Toronto’s property standards bylaw requires walls, pillars and ceilings to be free of peeling paint, cracks, and holes, and all walls and pillars to be painted white with a solid black dado (a wide band). The same bylaw also requires emergency exit doors and frames, plus part of the wall, to be painted green with all appropriate signage present and visible. The Ontario Fire Code states that all sprinkler systems and other fire protection equipment must be protected from corroding. Sprinklers must be painted safety red, gas and physical hazards yellow, and drainage grey or black. Non-compliant underground garages are not only unsafe but leave the corporation, directors and management open to liability in the event of an accident. What should the board look for in a contractor? Experience and reputation. Contractors that

paint several garages every year should be aware of pertinent bylaws and codes. As well, there are hundreds of gallons of paint involved, so consider whether contractors have buying power with their suppliers. Paint accounts for approximately 35 per cent of the cost of a garage project, and inexpensive paint will end up costing more if re-painting is required well before the 10-year mark. Also, check references. Should the board meet with the contractor beforehand? Yes, the contractor needs to work with the board of directors and property manager to develop a schedule that makes sense for production and also addresses owners’ concerns. One reason underground garages aren't painted as often as they should be is due to the logistics involved in emptying large sections of a garage daily. The contractor will want to know: Do most owners drive to work? Is there a language barrier? Are there many seniors? Are there owners on extended vacation? Have owners been cooperative or difficult in the past with similar projects? These factors will inform

the production schedule, the accountability protocols for owners that refuse to cooperate, the communication frequency and style, plus the level of involvement required from building security and staff. The simple truth is that garage painting inconveniences owners, so it can be difficult to organize and execute these plans. The contractor should educate the board on the intricacies of garage painting, and the board should educate the contractor on the makeup and dynamics of the community. T hat information, combined with effective communication and strong project management, should set these types of projects up for success and ultimately produce bright, clean and safe underground parking garages. 1 John Margaritis is a senior project manager with ArmourCo Solutions, providing full service maintenance painting and caulking for townhome, high-rise and underground parking projects based in Oakville, serving the GTA and Golden Horseshoe condominium marketplace. For more information, visit www.armourco.condos.

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MANAGEMENT

A guide to executing capital projects For a condominium corporation, a capital project is typically required

BY PHILIP SARVINIS

when one of the components or systems in the complex has failed or reached the end of its effective service life.

Such projects can include podium deck rehabilitation, exterior wall rehabilitation, mechanical upgrades, etc. When a capital project is required, it is in the best interest of all the residents, through the board of directors and management team, to ensure that the project successfully resolves the issue, and that the repair, replacement or renewal continues to perform for the long term. These projects come with significant costs — financial and/or labour — and disrupt residents and building operations for their duration, so it’s important to get them right the first time. To set a capital project up for success, star t by correctly assessing the

problem and selecting a repair strategy, rehabilitation program, or retrofit that will meet the long-term goals for the asset. Next, recognize possible project pitfalls and plan early to effectively execute any project. Planning should include creating a long-term strategy for managing project costs, establishing the true condition of the component or systems, matching the budget to the scope of the project as well as scheduling, tracking deficiencies and dealing with changes. A manager’s time is best spent doing what he or she does best — managing buildings,

46 CONDOBUSINESS | www.condobusiness.ca

budgets, and residents — so it follows that managers should hire people with the experience to carry out a capital renewal project. It takes the right team (i.e. consultant, contractor, property manager and owners) to work together effectively to get the project completed on time, on budget, and as specified. Establish and nurture trust in these team relationships, as they play a large part in the successful undertaking of a capital renewal project in an occupied building. With these general guidelines in mind, here is a more in-depth breakdown of each step:


FEATURE Stage 1: Capital planning and investigating asset Capital planning is the big-picture stage that looks at financial impacts (budget) and project schedule, and outlines an overall needs analysis for the facility. Retain the right team of professionals to ensure that this high-level review is as accurate as possible (given it is typically only a visual review). Do not use the findings of this assessment to seek formal approval for a project. Stage 2: Detailed condition assessment A detailed condition assessment determines the true condition of the capital component. It digs deeper into the condition of the system, it establishes the ideal repair/retrofit strategy, and it refines the budget. Budgets are not effective if the scope of a project is developed on the fly. Stage 3: Conceptual and detailed design development After concept development comes the detailed design. Detailed drawings and specifications should accurately define the project, so that it can be tendered to contractors, issued for building permit, and be suitable for construction. The accuracy of the documents will ensure the solution performs for the long term, there are no ambiguities during construction, and most importantly, costly extras are avoided during construction. The packages need to include not only the required work, but also the logistics of the project (site restrictions, accountable work hours, phasing requirements, bonding, insurance, warranty, etc.) Stage 4: Tendering the project Tender t h e p r o j e c t t o a q u a l i f i e d contractor who not only specializes in the type of work being performed, but also one who understands how to work in o ccupied buildings. T he cheapest contractor is not always the ideal contractor for a project. Look for contractors with proven track records and who understand budgets and schedules. O n c e ten d er in g h as c l ose d , the project manager/consultants need to review all bids for completeness, errors, bonding, conditions, etc., and then make recommendations to the owners so the owners can make an informed decision on moving forward with the project.

Stage 5: Construction contracts Once the project has been awarded, the contracts need to be prepared and signed by all parties. Given the size of a typical capital expenditure project, the contract should be in the form of a Canadian Construction Document Committee (CCDC) 2, 3, or 4, and not a purchase order. This ensures that the roles and responsibilities of each party are accurately defined and protects all parties should the project go sideways. Stage 6: Construction implementation During construction, the design team/project managers need to regularly review the construction activity to verify that the work is being performed in accordance with the drawings and specifications. There should also be regular project meetings to discuss the progress of the project, issues that may arise, schedule, etc. Stage 7: Project close-out When the construction activity has been completed, it is time to get the project closeout documents. The corporation needs to obtain the warranties, maintenance manuals and project as-built documents from the contractors and certify and pay the final invoices. Stage 8: Warranty period and asset maintenance During the warranty period, monitor and maintain the performance of the replaced system/component in accordance with the maintenance manuals to maintain the warranties. Just before the warranty expires, have the design team review the system so that any deficiencies can be corrected at no cost to the corporation. In summary, a successful capital expenditure project involves upfront planning and a good team. That includes an accurate assessment of the project, a well-defined scope of work, good drawings, specifications and tender, and a realistic budget, along with good project management and a good contractor. 1 Philip Sarvinis, P.Eng., is the managing principal for Read Jones Christoffersen Ltd. Toronto office. He has 27 years of experience in the evaluation, rehabilitation, and protection of buildings and is currently licensed to practice engineering in Ontario, Manitoba, Saskatchewan, New Brunswick, Newfoundland, and Nova Scotia. He is also the president of the Building and Concrete Restoration Association of Ontario.

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April/May 2016 47


DESIGN

Renovate your landscape in three steps The key to rea lizing a condominium’s f u l l va lue in

BY KENT FORD

today’s expanding real estate market is to realize its full exterior value. Developers often fail to unlock the landscape potential of a

property — particularly when it comes to planting design — when they only carry out what the local municipality requires of them to gain site plan approval.

48 CONDOBUSINESS | www.condobusiness.ca


DESIGN

There is a misperception that landscape design planning should only take place in the early spring, for the upcoming season. While this is viable, it often rushes the design and budget process, which then overlaps with the installation itself. Condominium managers and boards of directors should consider the planning for such renovations a year-round process. A good rule of thumb is to plan in the spring/ summer for implementation in the fall and plan in the fall/winter for the following spring/ summer. Here’s how to plan a successful landscape renovation in three steps.

The problem is that unit owners who leave behind landscaped detached homes are demanding of what they see in the common area landscaping when they move into a condominium. This is the first scenario where renovation to condominium landscapes becomes essential. The second scenario occurs in older condominiums where 15, 20 or 30 -yearold landscapes become overgrown, illmaintained and in need of updating. If these older proper ties did not begin with good planting design and have not followed proper maintenance, it b e c o m e s p a r t i c u l a r l y i m p o r t a nt to renovate trees, shrubs seasonal beds and turf areas. A third scenario can occur if replacements or waterproofing of the structural slab affects whatever landscaping exists above. In some cases, this process wipes properties clean of all plant materials.

1. Take an inventory. Analy ze existing trees and shrubs, particularly in older condominiums, where certain plantings may hold sentimental value for owners, even if the plantings are overgrown or improperly maintained. In all cases, it is advisable to poll the residents for feedback about plant materials. Even if removal is the only solution, owners are less prone to becoming upset about losing what they deem to be valuable landscape plants, if they were given the chance to voice their opinions in advance.

2. Draw a survey. Have a legal surveyor or a laser measuring company draw a legal survey or site plan of the property in AUTOCAD. Then have a certified landscape designer or landscape architect use the survey or site plan as a base drawing to develop a detailed blueprint. C A D ultim atel y allows for quick changes and updates to a landscape plan, which are essential as the years go by on a property. This upfront work also helps to avoid mistakes and enables long-term budgeting and plan implementation. 3. Reduce turf and bedding annuals. Adopt an approach that reduces turf grass and bedding annuals wherever possible. There is a wide misunderstanding about turf grass somehow being low maintenance, when in fact it is maintenance intensive compared to trees, shrubs and perennials. While annuals are easy to appreciate, as they have instant effect, they are not cost effective, requiring replacement every year. Replacing bedding annuals with perennials and reducing the amount of grass cut to be fertilized, mown, trimmed and weeded on a regular basis can save any condominium thousands, year after year.

April/May 2016 49


DESIGN

Applewood Place replaced high-maintenance turf areas with low-maintenance, all-season blooming perennials.

Replacing bedding annuals with perennials and reducing the amount of grass cut to be fertilized, mown, trimmed and

weeded on a regular basis can save any condominium thousands, year after year. This approach was applied to two very different condominiums. The traditionally themed Governors Manor, a low-rise, rowhouse condo in Toronto, is 88 years old. The contemporary Applewood Place, a high-rise tower in Mississauga, was built in the early 1970s. However, they shared a number of similarities when it came time to renovate their landscapes. They both had existing trees and shrubs that had to be removed and re-thought. They also both relied too heavily on bedding annuals and could afford the savings associated with new perennials. Shrubs flowering as early as mid-February through to July replaced overgrown and ill-pruned junipers and blue spruce. The new shrubs included Witch Hazel, Eastern Redbud, Japanese Stewartia and Chinese

Flowering Dogwood. The renovations also merged small existing garden beds into larger ones and eliminated awkward strips and tight corners of grass. The design paid close attention to perennials and shrubs with long and repeat bloom habits. The planting plan incorporated Floribunda and Grandiflora families of roses and Geranium, Rudbeckia and Heliopsis families of perennials. The design also took into account the damaging effects of de-icing salts used by snow removal contractors. Salt-tolerant Shore Juniper and a slow-growing low evergreen groundcover that would not creep onto the adjacent walk or driveway replaced sod strips next to walks and driveways that had to be repaired or replaced each spring due to salt damage. Salt-tolerant perennial families

50 CONDOBUSINESS | www.condobusiness.ca

included Alchemilla, Armeria and Hemerocallis. In the case of Governor’s Manor, the corporation saved $50,000 over 10 years using this approach. In the case of Applewood place, the corporation realized $10,000 in savings in the first year by not only avoiding annuals but reducing turf. As these case studies show, it’s possible to unlock the potential of a condo property’s landscape with a view lowering long-term costs. All it takes is some upfront planning to set up these renovation projects for success. 1 Kent Ford is principal and founder of Kent Ford Design Group Inc., a Toronto-based landscape design and project management firm specializing in the renovation of condominium properties. He can be reached at kent@ kentforddesign.com or by phone 416-368-7175.


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TECHNOLOGY

The rise of drone technology In the past, the remotecontrol led a ircra f ts k now n as

BY JAMES MILLBURY

unmanned aerial vehicles (UAV), or drones, were typically used by government agencies for military

applications. Recently, drones have become available to the general public on a large scale, which has resulted in numerous opportunities in the commercial world. Drones provide aerial, first-person views via an onboard camera. They are used largely to take photographs, inspect critical infrastructure, respond to emergencies, survey construction and monitor weather. The condominium industry has also identified numerous applications for unmanned aircrafts. The technology makes it possible to inspect sloped roofs and overhangs, which are not easily accessible, up close, safely from ground level, decreasing risk for both the building owner and UAV operator. Likewise, it can be used to routinely inspect

and monitor flat roofs for maintenance to prevent water damage to interiors. Similarly, drones make it possible to inspect building envelopes, including caulking, windows, walls and balconies, closely and with ease from ground level, rather than requiring the use of a suspended stage. Plus, they provide realtime information on the operational status of antennas, chimneys, plumbing stacks, vents and mechanical units. The technology lets building owners or property managers see inspections first hand. Following inspections, they get

52 CONDOBUSINESS | www.condobusiness.ca

information including real-time photos and videos, layout diagrams and a detailed report with findings and recommendations. UAV can also be used to survey remote properties and land for development and site planning. This type of high-altitude aerial survey is commonly used to prepare projects and monitor progress. Monitoring ongoing condominium projects via drones can improve quality control and productivity. Not only can drones can be used to monitor large construction projects, but also revitalization projects, such as roof replacement, to ensure they comply


TECHNOLOGY R J CHEMICALS

www.rjchemicalscanada.com with project specifications. What’s more, 1-(855) 458-0888 ext 203 operational managers are able to remotely monitor sites to confirm all safety procedures are in place. “Presenting NEW TECHNOLOGY!! Post-construction, UAV eliminate the To eliminate ALL” need to use manned aircraft to capture highMOLD Email: garnet.eagan@eagansecurity.com BACTERIA resolution aerial photography and videos for Phone: (416) 915-4848 SPORES real estate sales and marketing. Additionally, Fax: (416) 913-4848 VIRUSES in new condominium construction, the FROM EVERY PROBLEM AREA IN YOUR BUILDING eagansecurity.com SAFE / QUICK / HEALTH CANADA DIN CERTIFIED technology makes it possible to present Ask for a free demonstration. potential customers with 3D building info@rjchemicalscanada.com elevation layouts, along with the view of a particular suite, before a building is erected. The benefits of using drones are many. The aerial inspections or property surveys RJChemicals_Condo_April_2016.indd 1 2016-05-09 5:43 PM EaganSecurity_Condo_April_2016.indd 1 2016-05-05 11:44 AM that used to require a manned aircraft can now be completed with a drone. Difficultto-reach or out-of-view areas can now be ■ Reserve Fund Studies ■ Performance Audits easily accessed. Also, the technology makes Your complete solution for all ■ Condition Assessments it possible to complete inspections more restoration requirements ■ Specifications & Tendering accurately and more frequently. And since ■ Forensic Engineering it reports real-time information, building ■ Roof Consulting owners or managers can immediately set in ■ Construction Review Preventive Maintenance ■ Contract Administration motion necessary repairs or maintenance. Balcony Reconstruction Drones can contribute significantly to quality Garage Slab Waterproofing www.brownbeattie.com assurance, building monitoring and risk www.usrl.ca • 905.669.0105 ConRep_Condo_April_2016_FINAL.pdf 1 2016■ PRACTICAL APPROACHES SteamSauna_Condo_April_2016_FINAL.pdf 1 2016-05-10 10:13 AMSENSIBLE RESULTS management. Given the benefits of using drones, it’s no surprise that Transport Canada has noticed 12159_BrownBeattie_2012.indd 1 12-11-01 3:25 PM 1 2016-05-10 10:12 AM increased demand to operate UAV for UniversalStructural_Condo_April_2016.indd both 416 230 1132 conrep@sympatico.ca commercial and recreational purposes. AsC a result, it has introduced regulations to ensure M these activities comply with national aviation Y 2576 Dunwin Drive Unit 7 Linda Liew authorities and the safety of the airspace. Mississauga, ON CM Today’s regulations make it difficult to MY legally operate a UAV for commercial use, Caulking • Masonry • Brick and Mortar • General Repairs especially in built-up areas. Operators must CY Preventative Measures obtain a Special Flight Operations Certificate Early Detection and Repair CMY Avoid Further Damages and Expensive Repairs (SFOC) and document correct safety Call to make appointment for K Maintain Property Value free Inspection & Estimation protocols, training and certification before any work is authorized to begin. Restore Repair Resurface Nelligan_Condo_April_2016_FINAL.pdf 1 201 www.steam-sauna.com Drones have numerous applications and We Do Blinds_OD15_OD Sixth page 2014-10-31 3: benefits in the commercial world, including in the condominium industry. However, with Transport Canada’s strict enforcement, it is imperative for those who wish to take NO MORE DIRTY BLINDS advantage of the technology to engage a Safe, Fast, Easy Way to Clean Blinds Utrasonicaly trained UAV operator that complies with Add Value, Elegance and Beauty back. federal regulations. 1 All types of blinds cleaned & repaired.

James Millbury is a consultant at PROACTIVE Group, a commercial roof inspection and aerial media firm serving southern Ontario that uses methods including drone inspection and thermal infrared scanning. He can be reached at 905-922-9201 or info@proactiveroof.com.

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SMART IDEAS

Under surveillance New IP video technology with applications in condos promises to record ultrahigh-definition images with fewer cameras

Toshiba recently introduced its first Ultra HD 4K IP video surveillance camera, which records at a resolution of 3840 x 2160, or four times the resolution of the HD cameras (1080p) currently considered cutting edge. Recording 25 frames per second, the IKS-WB9518 captures images so detailed that it’s possible to monitor large areas, such as condo lobbies and parking lots, with close to half the number of standard HD cameras that would be required. “Adding four times the pixels into a video frame lets security professionals cover large areas as well as zoom into the picture for amazing details without sacrificing quality, even at great distances,” said Greg Hartzell, director of Toshiba Surveillance & IP Video Products, in a news release. “It also makes for better facial recognition scans, and provides for improved content analysis opportunities in people counting or vehicle plate recognition.” The camera’s wide dynamic range adjusts the gamma value to enhance dark areas, optimizing image quality and minimizing image deterioration for consistent sharpness across the frame. During the day, the camera’s True Day Night imaging filters out infrared to enhance colour images. At night, the camera operates like a night-vision camera in conditions where light is as low as 0.005 lux (B/W). Other features include H.264 video compression technology, which addresses concerns about the 4K video’s large file sizes, and multiple streams, which allows users to simultaneously watch live video in 1080p while recording in 4K. Plus, when power outages occur, a built-in microSD slot that supports cards up to 64GB enables edge recording. With Power over Ethernet (PoE), the compact IKS-WB9518 can be installed in small spaces without running power cables. The camera is compatible with third-party IP equipment and video management software, thanks to ONVIF compliance. For more information, visit www.toshibasecurity.com.

54 CONDOBUSINESS | www.condobusiness.ca


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