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APRIL 2013 | VOLUME 17 | NUMBER 1

CondoLifestyles

©

THE SOURCE FOR INFORMATION ON COMMUNITY ASSOCIATIONS, CONDOS, TOWNHOMES, CO-OPS & HOAS

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Skybridge is on a Mission to be a STARR F E AT U R E S

Ask an Attorney The Case of the Noisy Neighbor in Unit 24B Creating a Positive Mental Attitude Stop the Bleeding… Short Sales, Foreclosures & Delinquencies


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table of contents COVER STORY

03 Skybridge is on a Mission to be a STARR By David Mack BOARD BASICS

09 Ask an Attorney By David Mack MAINTENANCE MEMOS

12 The Case of the Noisy Neighbor  in Unit 24B By John Hershey – J. Hershey Architecture EVENT HIGHLIGHTS

16 MCD Pool Party Featuring Condolympics 18 Editors Message 19 Directory Advertising 26 Industry Happenings Compiled by Michael C. Davids & Sherri Iandolo S P E C I A L F E AT U R E

30 Creating a Positive Mental Attitude By Thomas Skweres S P E C I A L F E AT U R E

31 Stop the Bleeding… Short Sales,  Foreclosures & Delinquencies By David Mack

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CovER SToRy

By David Mack

Skybridge is on a Mission to be a STARR Taking  its  name  from  a  glass  enclosed  walkway  connecting  the  association’s two  towers  that  separate  from  the  base  at  the  14th  floor,  Skybridge  Condominiums is an outstanding example of luxury high rise living in the West loop area of Chicago; however, Skybridge would stand out in any location. Award Winning Architecture Built in 2003 by developer One North LLC, Skybridge spans 38 stories and is surrounded in a mélange of architectural elements of varying heights, from residential to hotels, to office space and other commercial uses. It has a distinctly impressive and expressive exterior consisting of white and grey toned concrete with accents of red, yellow and blue at various elevations on the façade. The design is eye catching and meritorious enough to have earned the architectural firm of Perkins & Will, a number of honors in the year of its comple-

tion, 2003, including the Distinguished Building Award from the Chicago Chapter of the American Institute of Architects, a citation as the Best New Building by the Friends of Downtown Chicago and the National Honor Award, also bestowed by the AIA.

Building Overview Skybridge Condominium has a total of 223 residential units that increase in size from 939 to 4200 square feet, have one to three bedrooms and had initial sales prices ranging from approximately $200,000 to $1,200,000 in 2003.On the top two floors nestle the mechan-

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stand as sentinels in front of the main entrance. Skybridge has been professionally managed by The Habitat Company since 2010.

Amenities The unit amenities are countless, including master bath whirlpool tubs, 9-foot ceilings, floor to ceiling windows and, in some cases, gas fireplaces. Common amenities include a state of the art fitness center on the 36th floor and an extensive roof top deck. And because the building is pet friendly, it has its own dog run for canine sniffing, spritzing, squatting and socializing. A 24 hour team of doormen monitors the human flow into and out of the building. “However, some may argue that the best amenity is the stunning views afforded from every unit,” said Marla Jackson, Vice President of Condominium Management of The Habitat Company, especially those facing the east, which look out over the Chicago skyline and Lake Michigan. Board President Glenn Canigiani and his wife own a 2 bedroom corner unit in the 08 tier and find their panoramic vista of the City very stimulating. “We have a

great view of the loop including the Willis Tower as well as views of the lake and Indiana beyond, Chinatown and U.S. Cellular Field,” said Canigiani. “Sweeping to the west, we can see the entire West Side of the City including the United Center, Harpo Studios and beyond to the suburbs.”

State Street on days when the weather is clement. His wife has an even easier pedestrian commute as, “she works in Human Resources for a large aerospace company that is in a nearby office building (and) it takes only 10 minutes to walk to work.”

Arts & Eats

The association, which has a website www.skybridgecondo.com that contains an extensive amount of information for owners, is driven by a mission statement of 5 basic principles. 1. Maintain an owner-focused community that can be enjoyed by all owners. 2. Provide financial stability, both in the short term and long term. 3. Provide an emphasis on protecting and enhancing our property values. 4. Maintain the quality of life for all residents by observing and enforcing the governing documents. 5. Create a safe and harmonious living environment within our building and community for the enjoyment and well being of all. The Mission Statement is implemented

There are numerous restaurants in the area that residents avail themselves of frequently. “We love to eat,” said Canigiani, “and we fully enjoy having Greektown as our neighbor to the south and Restaurant Row as our neighbor to the north.” In addition there are varying cultural amenities within easy walking distance. “We love the arts and appreciate that world class art, theater, music and more can be found right at our doorstep.”

Walk to Work As many building occupants are employed in the nearby loop, they are able to easily hoof it to their jobs. “I have met many owners in the building who walk to work,” said Canigiani, who does so himself over to

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CovER SToRy

by a 5 member board that sets priorities for The Habitat Company and on-site manager, Felicia Perkins, who work to support the relationship between unit owners and board members. Habitat and Skybridge share the same core values and desire to provide for service excellence. Their team members understand the value of maintaining strong relationships and working as a team to achieve the goals and objectives of owners and board members at Skybridge.

▲ Shown above at the recent open house for real estate brokers held by Skybridge Condominiums are: Felicia Perkins & Ashley Wemmell - The Habitat Company, Glenn Canigiani - Skybridge Condominium Association Board of Directors, Raj Khurana - Skybridge Condominium Association Board of Directors (now a former member), Jonathan Sales - Skybridge Condominium Association Board of Directors, Diane White & Marla Jackson - The Habitat Company, and Cindy Carlson - Skybridge Condominium Association Social and Outreach Committee.

Board & Committee Composition The Board believes in transparency and strives to keep owners informed and engaged. They keep owners informed by posting meeting minutes on their website and through their bi-monthly newsletter. A full comple-

ment of board members is necessary because of complex issues that have had to be resolved. “The board has faced some challenging situations over the past few years,” said Canigiani. Fortunately the directors are ably assisted by numerous committees, which deal with specific areas of concern- engineering, finance, house

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and grounds as well as those whose focus is on pets, the fitness center and social and outreach issues. “The social and outreach committee was formed to serve two purposes- to create a sense of community among the residents by organizing social events and to create a sense of community within the neighborhood by organizing outreach events,” explained Canigiani. One social function held the past year was a party on the roof top deck to observe the Chicago Air & Water Show. In reaching out to the surrounding area, the committee organized a Community Clean Up Day, which involved residents searching the neighborhood in a coordinated manner to remove trash and debris in recognition of Earth Day.

Building Staff & Team The employees of the building are considered part of a team and, at present, there are 14 team members, including the Property Manager, Administrative Assistant, a Chief and Assistant Chief Engineer, 3 Janitors and 3 full time, 1 part time and 3 relief Doorpersons. As an incentive to perform at their best, the association has implemented a program

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called STARR- Skybridge Team Appreciation Reward and Recognition Program. “The goal of STARR is to help motivate the Skybridge team and help them to succeed in order to produce an improved atmosphere at Skybridge,” said Canigiani. “They are eligible for rewards such as gift cards and movie tickets.”

Budget & Assessments Skybridge Condominium operates with a $2 million budget based on assessments that have remained unchanged for the last 4 years. They range from $350 to $1500. Heating and air conditioning are included in the assessments. Residents only pay for the electricity to run their individual HVAC units. Collections are not a serious problem. “The association is in a strong financial position. The delinquency rate is low and most delinquent (owners) are on some form of payment plan,” said Jackson.

Capital Reserve Fund Despite the constancy of assessments over the past few years the building reserve account has grown from $200,000 to almost

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$1,000,000 since 2006. The association has had a reserve study completed and will be updating it in 2013. “Current finances indicate that Skybridge is on track with reserves to meet the future capital needs of the building,” said Jackson. “The current board has been very conscientious regarding future capital requirements and has been aggressively funding the reserves to meet those needs.”

Special Assessment Projects Rather than dip into the reserves, Skybridge enacted a special assessment in 2010 to address some maintenance issues and building upgrades. A waterproof membrane was added to each balcony, the original waterproof membrane under the front driveway was repaired and improperly installed hallway doors were reframed. “The amount of the special assessment varied based on the percentage of ownership,” said Jackson. “There were several options for payment, one lump sum, six equal installments or 54 monthly installments.” In conjunction with the special assessment, the association applied for and was granted a 5 year, $1.8 million loan in 2010 to pay for the

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CovER SToRy

repairs with repayment based on the special assessment. However, the association only actually needed to request $489,000 of the approved loan figure, because almost $1.3 million of the special assessment was paid upfront. So far, a large proportion of the loan balance has been retired in the last 2 years.

Other Recent Enhancements Additional remodeling was completed between 2011 and 2012 in the hallways where new carpeting was installed and wallpaper hung along with some painting enhancements as well as new lighting, including low-energy ceiling retrofits. Signage was improved. Large landscape planters were added in the exterior with evergreen plants and colorful seasonal flowers to brighten the entrance. Lighting was added to the roof trellis to enhance its appearance. Furthermore, in a distinctly green move, garage lighting was upgraded to an ecofriendly low energy type. “The lighting not only will save energy but also has resulted in several rebates from ComEd,” said Canigiani. More energy reduction is likely to be achieved through the addition of a new Building

Automation System (BAS). It “was installed to help maintain vital building systems- chillers, boilers, exhaust fans, air handling units and corridor make up air units- at optimal levels, which should result in less energy use yearround.“ It is monitored and controlled by the Chief Engineer but any difficult problems are handled through a maintenance contract.

association they desire to lease to others. “Once notified they can rent their unit, owners have 45 days to rent their unit,” added Jackson. Since implementation of the rental cap began, the length of time owners must wait to lease their units has actually decreased, due in part to robust unit sales in the building over the past year.

Rental Issues

Broker Open House

Renting is a controversial issue among condominium associations. At Skybridge, a ceiling has been placed on rentals of units to keep leasing from rising to an unacceptable level. “The board of directors adopted a rule in 2011 that limits leasing in the building to 25% of the units,” said Canigiani, and it is at that point now. While that has had an adverse economic impact on owners who would like to rent because of a slow sales market, “we understand that having leasing limitations is vital to retaining unit value,” and feel that, “the good of the community outweighs the temporary financial burden of individual owners and investors.” A waiting list is maintained and owners go on it when they notify the

The Habitat Company recently organized a Broker Open House to show off all of the recent enhancements to Skybridge. The building had been on several lenders “Do Not Lend’ lists which made it difficult for some prospective buyers to obtain financing. Now that the litigation has been resolved, and the special assessment projects are complete, the building is no longer on any lender’s “Do Not Lend List”, so the Board felt that it was the ideal time to reintroduce Skybridge to the broker community and their clients. At the Open House, Brokers had an opportunity to speak with Board and committee members to obtain their opinions from a resident’s point of view. Habitat Corporate

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team members, as well as the Skybridge management and maintenance team were also on hand during the event. Tours were given of the common area, as well as to two units that were showcased by their proud owners. “The Broker Open House was a success and an additional Open House is being planned in the month of April” said Jackson. We are excited to have the opportunity to partner with the Board to showcase Skybridge and increase its visibility to the Broker community.”

Sales Prices Over the past year, several units have been listed or sold from a low of $251,000 for a 1 bedroom to well over $600,000 for a 3 bedroom. One rental of $4,995 is also listed at a Chicago real estate website.

Board Member Profile – Glenn Canigiani Skybridge Condominium board president Glenn Canigiani and his wife moved to Chicago form California in 2006 when he took a professional job at Robert Morris University, whose main campus is in downtown Chicago across from the

Harold Washington library. Approximately three quarters of the units had been sold at Skybridge when they made their decision to buy, in the main, for space and convenience reasons. “We bought one of the few remaining unfinished units,” said Canigiani. “Coming from a large house in the suburbs, we wanted an apartment that was spacious and did not feel like an apartment (and) Skybridge hit the mark on both counts.” And as noted in the main article they both can walk to work.  The Canigianis have a corner 2-bedroom unit which is spacious enough to easily hold both all their bedroom furniture as well as all the furnishings formerly in the family room of their prior residence. “This allows the bedroom to serve as a second living area,” he said. Canigiani has always emphasized volunteerism in his life and found running for the board, at the urging of a friend, to be consistent with that facet of his personal integration with the issues affecting not only himself but also those around him. It has not been an easy job as the leader of the association. “Being a board member has proven to be a very challenging endeavor,” he said, and, “is certainly a lot more work than I anticipated.” The number of comments and input he gets from other owners is almost overwhelming.

But he hasn’t gotten discouraged in the face of having to make difficult decisions in his board role because of the satisfaction he gets, “in doing the right thing for the community.” His goals have changed as he has moved forward. At the outset he strove to improve the association’s financial position, which was achieved by implementing cost cutting practices, by seeing that contracts favored the association to the extent possible and by placing the money saved from these measures in the capital reserve account. “I consider our efforts a success because we were able to almost quadruple our reserves while at the same time keeping assessments unchanged,” said Canigiani. Now his focus has shifted to the two-pronged objective of improving the quality of life at the property and the sense of community both in the building and with respect to the large external community. “our board has made great strides toward these goals,” he said enthusiastically. Y

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BoARD BASICS

By David Mack

Ask an Attorney

Liability

The customary last session at major ACTHA conferences is “Ask an Attorney” during which lawyers specializing in association issues are queried by the audience.

A

t the most recent event in March of this year, the panel of attorneys consisted of Gabriella Comstock of Keough & Moody, P.C. and Jim Slowikowski of Dickler Kahn Slowikowski & Zavell with Chuck VanderVennett serving as the moderator.

Not Legal Advice vandervennett’s cautionary opening remarks concerning the objective of his legal colleagues were, “they are not trying to give you definitive answers to take back to your associations because this is not legal advice. They’re here to give very valuable general information about the law but not legal advice,” that would not necessarily apply to any questioner’s specific circumstances.

E-Mail Address Subject to Discovery Q/ If directors on a board use their personal e-mail addresses when dealing with association business, can they be made part of any lawsuit against their association? A/ yes, they are subject to discovery by the other side.

Checking Accounts Q/ What authority do board members have regarding association checking accounts? A/ Individual board members have no authority by themselves unless conferred upon them by the full board or the governing documents. (for example, the treasurer or president or both could be approved as authorized check signers). To reiterate, an individual board member has no control over any account unless the board officially and specifically authorizes that member to handle specific matters relating to it.

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Q/ I am president of a 4 unit association. Do I have any personal liability if I choose to step down as president? A/ you are not liable by simply having been president and then stepping down but you could be liable for what you did on the board. (For example, if you embezzled money there would be liability.)  

Unilateral Action Q/ Can an individual board member take unilateral action for the full board if the other board members are not available or unwilling to act in a matter? A/ No. Anything an Association board does must be approved by majority vote. (of course, in an emergency situation when other members are not available, an individual board member can exercise his/her discretion to act but such action must be officially approved later by a majority.)

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Newsletter Ads

Spanish Court Ruling

Attorney Retainer or As Needed

Q/ Can we sell ads in our association newsletter to help defray the cost of printing and distributing it?

Q/ Can you explain the ruling in the Spanish Court case and how it applies to other associations?

Q/ How does a board decide whether to hire an attorney on a retainer or on an as needed basis?

A/ Boards have done that but an Association board has to stop and ask itself are we promoting somebody or something in an ad that we shouldn’t be. There’s more than just offsetting the cost to consider. Perhaps an ad might be for a company or service that turns out to be disreputable. It’s not illegal or wrong to sell ads but advertisers should be vetted beforehand.   

A/ A unit owner in the Spanish Court Association stopped paying assessments because, she claimed, the board wouldn’t correct some exterior physical problems that affected the interior of her unit. The trial court decided in favor of the association but the 2nd District appellate court reversed that ruling and the case is now before the Illinois Supreme court. The big question to be decided is whether the unit owner is relieved of paying assessments if the property is not maintained as the appellate court has decided. This decision is now only applicable in lake and McHenry Counties, not in Cook, whose judges, in the main, disagree with the ruling. Neither lower court has provided any direction on how the decision applies to other associations- are all owners relieved of paying their assessments or just the party in the litigation? A board should be maintaining its property but assessments are needed to pay for this maintenance. The situation now is a mess. We hope the Supreme Court will deal with it accordingly and reverse the decision.

A/ A retainer helps you budget for legal expenses because you have a known amount to pay. But there’s not a blanket answer to the question. If you want to do a retainer, don’t lock yourself into one that you can’t get out of for a very long time. However, some associations are on a retainer and don’t use legal services for months at a time. They’re not getting their money’s worth. you should get together with your law firm to determine what works best for your association. Determine as well as possible how much in the way of legal services you will need each month.

Vendor Insurance Q/ Does a board have any liability in connection with reviewing insurance of vendors? A/ If it’s a contractor working on a unit, let the homeowner review it. If it’s a contractor doing work for the association, you should review the policy if you are qualified to do so. If not, let an insurance agent or attorney review for adequacy. (The condo act requires contractors and vendors with contracts exceeding $10,000 per year to provide a certificate of coverage). It is very important that an association not allow any one to do work on its property without having liability and workmen’s compensation coverage. If a contractor or individual does not have appropriate or adequate insurance, the association could be liable, especially under workmen’s compensation. 

Who Pays for Interior Unit Damage? Q/ A homeowner who is also a board member wants to sue the board and management over the inside of his unit, which allegedly has been damaged due to cracks in exterior walls. The association’s insurance company doesn’t cover interiors. A/ one thing to first determine is who is responsible for what damages according to the declaration. The board may have some liability here even if the association’s insurance carrier refuses to cover the damage. It’s also possible that management could have some responsibility depending on the circumstances. The homeowner/board member should not be involved in

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BoARD BASICS any board votes regarding the matter because of their impact on him. The board should make sure it consults with its attorney in the matter.

New Rules & Regulations Q/ Who is responsible for preparing new rules and regulations? A/ No one individual board member does it exclusively. It is the whole board’s function to adopt rules and regulations. If you are a new association, you might be struggling with which rules will work best for your association. It would be good to get together early on with your attorney and management to go over which rules serve your association best. one board member can be delegated to lead the effort but no one person is solely responsible. you should all work together on this effort. Keep in mind that rules and regulations must be discussed in a meeting with unit owners and changes can be made based on the results of that meeting but the final authority to approve rules rests solely with the board. See Section 18(4) (h) of the Condo Act.

Leasing Restriction/Who is Family Member? Q/ We have a leasing restriction in our association that only permits leasing by an owner to another member of his/her family. Who specifically is considered a family member? A/ That usually should be spelled out in the association document dealing with leasing. Who can be included in a family can vary. Sometimes only immediate family members such as sons and daughters and parents and siblings are eligible but you should check to be sure.

Installment Contract or Lease? Q/ Our association prohibits leasing but in one situation an owner claims that he is selling his unit to another party under an installment contract. How do we know for sure that this is not just a lease? A/ This is a way some people have found to get around a leasing restriction. The board should ask for a copy of the contract and look at its terms, the financial obligations and whether the contract has been recorded. you should also ask for a sworn certification from the “buyer” that it is truly an installment contract rather than a sham lease. And don’t accept the contract document on its face by yourselves- have your attorney review the terms and conditions.

Financial Records Review Q/ A unit owner has the right to view an association’s financial records based on a written request stating a proper purpose. How quickly must the association respond? In Chicago there is an ordinance requiring a reply within 3 days which may not be enough time. A/ I think the association can meet the ordinance requirements by responding within 3 days that it will provide for the records to be reviewed as soon as possible.

Review of Meeting Minutes Q/ How can an owner get a board to provide minutes of board meetings in a timely manner? A/ A board has 30 days to respond to a request to review minutes of up to the seven preceding years of  operation but a requester must wait for the last minutes to be officially approved at the next board meeting before they can be released for review. It is also possible to make a request under Section 19 of the Condo Act for documents that might more specifically relate to an owner’s concerns.

Review of Ballots & Proxies Q/ Can a unit owner review ballots and proxies and contact information for other owners? A/ Both can be reviewed under Section 19. They are in items 7 and 8 under that section and a unit owner may submit a written request stating a proper purpose to be able to look at them. A board has 30 days to respond. Y No part of the publication may be reproduced whatsoever without written consent from the publisher. All material herein is copyrighted 2013©.

04.13

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By John Hershey – J. Hershey Architecture

The Case Of The Noisy Neighbor In Unit 24b B

ob recently moved into his condo with full height windows that allowed a terrific view of Lake Michigan. The concrete frame structure building was perfectly located with easy access to everything. All his 1970’s era condo needed was a little paint and some new flooring. He thought nothing would look better than the latest Bamboo laminate flooring he saw in a magazine to replace the old shag carpeting. The red carpet just didn’t go with the new paint scheme.

Minor Remodeling? A month later Liz could not take it any-

more and yelled at Bob who had no idea why she was so upset. Bob thought she was crazy. Didn’t she know the building has thick concrete floors. He thought there was no way she could hear him walking around in his condo. She called the manager to complain about all the noise the young new resident was making in the unit above hers. She thought the last owners were never this loud and something had to be done. The manager didn’t even know that Bob had replaced his floor. Bob didn’t think to discuss the work with the manager, since he owned the unit and it was only a minor modification. The work is already

done… now what needs to happen?

Floor/Ceiling Assemblies Transmit Noise The most common noise and vibration problem in condominiums is transmission through floor / ceiling assemblies and it falls mainly into four categories: 1) airborne, 2) footfall, 3) structural deflection, and 4) floor squeak.

Airborne Noise Airborne noise is created in one space and is transmitted through the air and through an intervening partition into the adjacent space. Sources might include TV, stereo, or simple conversation. The isolation of airborne noise such as speech is well characterized by the Sound Transmission Class (STC) rating. The STC rating is the result of a

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MAINTENANCE MEMoS

test performed in accordance with ASTM E 90 or ISO 140 laboratory test standards. To do the test a partition is built into a heavy wall separating two concrete test chambers in a laboratory. A standard sound is created in one room, called the source room, and transmitted through the partition and into the receiver room. The difference between the levels in the source and receiver room, adjusted for the area of the partition and the absorption in the receiver room is the transmission loss in decibels. The measured transmission loss values in 16 third-octave frequency bands are compared to a standard curve (ASTM E413) to determine the STC rating. The higher the STC rating, the better the partition is at stopping airborne noise. Under field (F) conditions the measured FSTC rating is about five points lower than the laboratory rating, and this difference is acknowledged in the building codes. Thus if an STC 50 is the required laboratory rating, a field test of 45 is equivalent.

level of quality expected by the buyer. As the perceived quality of a residence increases, so too do the expectations for a quiet environment. This expectation of quality may be based on cost, location, sales information provided to the buyer, or because a person is purchasing a permanent home rather than renting an apartment. Unfortunately, too often builders put money into the appearance of a residential building but little into noise isolation. Many cities and states have adopted standards for the STC ratings in multifamily dwellings and these can be used to develop prudent design objectives for various levels of construction quality. The legally mandated minimum STC ratings are usually set to 50, however in some cases stricter standards have been adopted. An STC 50 may be the code required rating for a given partition. This does not necessarily mean that it yields acoustical privacy between units or that it represents a level of quality that guarantees owner satisfaction.

Expectations for Quiet Environment

Structures for Airborne Noise Isolation

In selecting the appropriate design criterion for a given level of quality, the designer should consider the type of building and the

A simple concrete slab of sufficient thickness can provide a good floor / ceiling. A six inch thick slab has an STC rating of 50

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04.13

to 55 and is sufficient by itself for a minimum quality floor. Six-inch concrete slabs with a suspended gypsum board ceiling and fiberglass insulating batt above can provide enough isolation for airborne noise to be used in medium quality construction. For high quality construction, even with concrete slabs, a gypsum board ceiling suspended from neoprene isolators is required. In wood construction, the structures are light and stiff. The problem with wood floors for airborne noise isolation is the lack of mass. Lightweight-concrete fill is often poured to a thickness of 1.5 inches on the plywood subfloor of wood floor construction as a common way to increase the floor mass. Composite floor / ceiling systems fall somewhere in between wood and concrete for sound. A composite floor can be constructed using a three inch concrete fill poured into a corrugated sheet metal deck over a steel structure. With this configuration, a gypsum board ceiling is required even for the minimum quality design standard.

Footfall Noise The act of walking across a floor generates noise due to two mechanisms: footfall

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and structural deflection. Footfall noise is created by the impact of a hard object, such as a heel, striking the surface of a floor. A heel is relatively lightweight and the noise associated with its fall is considered separately from the transfer of weight due to walking. Impact noise can be measured using a standard tapping machine as a source, which leads to an Impact Insulation Class (IIC) rating. The IIC test measures the reaction of a floor system to a series of small hammers dropped from a standard height. Although this may accurately

characterize the noise of a heel tap against the floor surface, it does not measure the effect of loading and unloading under the full weight of a person walking. Thus the achievement of a particular IIC rating in a given floor / ceiling system does not guarantee that footfall noise will not be a problem, or that the sound of walking will not be audible in the spaces below. The level of impact noise in the lower space is primarily dependent on the softness of the floor covering, and is best attenuated using a thick carpet and pad. Hard surface

floors must be installed on thick resilient underlayments. To achieve better results a vibrationally-isolated ceiling should be installed in addition to the resilient floor underlayment.

Impact Insulation Class—IIC The Impact Insulation Class (IIC) is a laboratory rating much like the Sound Transmission Class; however, it represents the isolation provided by a floor system subjected to a controlled impulsive load. Since there is no standard footstep, the impulsive loads are generated by a tapping machine consisting of a row of cylindrical hammers which are raised by a cam mechanism and dropped sequentially from a height of 4 cm (1.6 inch) onto the surface of the floor at a rate of 10 impacts per second. There are test standards in the United States and in Europe that regulate the laboratory (ASTM E 492 and ISO 140/6) as well as field (ASTM E 1007 and ISO 140/7) test methodologies. Spatially averaged sound pressure levels measured in the room below are adjusted for the absorption in the receiving room and compared to standard values to obtain an overall rating. Minimum IIC ratings are set to 50 in the UBC with a minimum field tested FIIC of 45 allowed. At this rating, footfall noise is quite pronounced and very audible in the unit below. In response some cities and condominium associations have adopted more stringent laws. The point at which footfall-generated impact noise becomes inaudible is closer to an IIC of 75. The level of quality due a buyer in the control of impact-generated noise is numerically higher than that for airborne noise.

Floor Coverings It is relatively easy to achieve high impact insulation class ratings by using carpet and pad. When hard surface materials such as ceramic tile, marble, or hardwood floors are installed, low impact ratings are obtained unless relatively thick isolating underlayments are utilized. A number of products are commercially available, which are intended as resilient underlayments for these hard surface floorings. Thin layers of resilient material can raise the IIC ratings modestly but seldom provide sufficient deflection to achieve the impact isolation necessary for condominium construction. Thicker composite mats give better results. Where the appearance of wood or tile is desired consider using the hard sur-

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MAINTENANCE MEMoS

face material in non-walking areas or as a decorative room border with carpet recessed where walking traffic occurs to be flush with the border. If hard surface flooring is desired throughout a space consider placing an area rug with pad over it to soften the impact. In all cases, refer to laboratory tests published by the manufacturers of the underlayment to be used. What we often come across unfortunately is information provided by the Unit Owner or flooring contractor that is printed from the manufacturer’s sales literature or website. This information is often misleading as it does not include all the specifications. It is worth noting that it is extremely expensive for manufacturers to conduct independent testing for their particular product. Therefore they may have a single test performed for a floor / ceiling assembly and publish their product as having an IIC rating of 62 for example. What if the test is for a concrete floor structure and the building has wood frame joists? The literature does not often provide adequate detail as to the type of assembly this rating is associated with. When they do list the type of

assembly they do not always call out all the components. Let’s say a Unit Owner does their due diligence in selecting a resilient underlayment to go with their Bamboo laminate flooring which they will be installing as a “floating floor”. The literature may say this flooring with their underlayment product installed on a six inch thick concrete floor structure will provide an IIC rating of 62. The Unit Owner may think they are home free because the Condominium Association requires a FIIC rating of 55 minimum. The flooring contractor tells the Unit Owner that he would guess the difference in rating for this floor (based on what someone told him on another project) is approximately five decibels; therefore the 62 IIC is similar to a 57 FIIC which still exceeds the Association’s minimum requirements. So what’s the problem? No one has taken into account that the 62 IIC rating in the literature is for an assembly that has a suspended gypsum board ceiling. Unfortunately, the ceiling in Liz’s building is a layer of paint finish applied directly to the underside of the concrete structure. So what we have is a proposed flooring system with an

underlayment that probably does not meet the minimum sound deadening requirement of the Association.

Result in Unit 24B Fortunately for the Property Manager and Liz, the Association has a thorough set of flooring guidelines for the Unit Owners to follow. Since Bob did not follow the Association’s procedures for requesting an approval of the new flooring before the work was performed they have given him two options. He can remove the newly installed flooring and replace it with a flooring and underlayment that the Association and their Architectural Consultant has approved, or they have given him the option at his cost to have a field impact test performed by an independent consultant to check the FIIC rating. If the test shows the FIIC rating is below the minimum required by the Association he will still need to remove and replace the flooring. Bob now has a beautiful residence with a very expensive floor. Y

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MCD Pool Party featuring Con over  250  guests  joined  MCD  Media  at  the  16th  annual  MCD  Pool  Party  on March  15th,2013  at  the  Pyramid  Club  located  at  236  West  lake  Street  in Addison, Il.  over $3000 was raised for Special olympics at the event. 

Winners of the various 2013 Condolympics events are listed below: SPECIAL OLYMPICS DONATIONS Gold: Property Specialists Silver: Alan Horticultural Enterprises Bronze: Quality Restorations

POOL TOURNAMENT Gold: Cathy Ryan/Mike Strauss Silver: Christy Ulrich/Ryan Newland Bronze: Carrie Suratt/Steve Regan

DARTS TOURNAMENT Gold: Mitzi Buttner/ Rob Schumann Silver: Patty Petersen/Ralph Liquori Bronze: Carrie Suratt/Steve Regan

PING PONG Gold: Russ Fleagle Silver: Greg Semmer Bronze: Ralph Liquori

BEADS GAME Gold: Brittney Ryan Silver: Maggie Moersechbachler Bronze: Michelle Gehrke

BAGS TOURNAMENT Gold: Mike Whiteyes/Billy Price Silver: Nicole Franz/Tom Gruber Bronze: Mike Piel/Lourdes Becerra M A j o R   S P o N S o R S   o F   T H I S  y E A R ’ S   E v E N T   W E R E  

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SAFARI BUCKHUNT Gold: Maggie Moersechbachler/Tom Sattler Silver: Jaime Williams/Ron Gorz Bronze: Jodi Gerber/John Doody

Condolympics Committee Members: Cathy Ryan, Chairperson Kevin Block, Head Scorekeeper Tairre Dever-Sutton, lead judge Lourdes Becerra, Karen Corral, Tony Dister, Tracy Davis, Lindsey Daehnke, Natalie Drapac, Aleka Ernst, Liz Foley, Sherri Iandolo, Mydraine Janvier, Brian Kelly, Mary Knoll, Suzanne Kupp, Jackie Loftis, Erica Horndasch, Sheila Malchiodi, Suzy Martin, Patty Petersen, Greg Semmer, Tom Skweres, Arlene Wold and Tom Wykle.

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EvENT HIGHlIGHTS

ndolympics

For more information on mcd media special  events visit www.condolifestyles.net view more MCD Media event photos  at Facebook.com/mcd media

Baum

PROPERTY MANAGEMENT

Professional Community Management C O N TA C T

Michael D. Baum, CPM, PCAM

630-897-0500 www.BaumProp.com

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From the Editor

T

he snow events of February and March broke a few weather

records  and  Spring  seemed  like  it  just  didn’t  want  to  get

started. The tardiness of Spring’s typically warmer tempera-

CondoLifestyles

®

▲ Mike Davids

tures has resulted in a late start to some of the exterior maintenance, repair, and  restoration  projects  that  normally  begin  to  take  place  at  community  associations  all  over Chicagoland.  

APRIL 2013 | VOLUME 17 | NUMBER 1

our cover story profiles SkyBridge Condominiums in Chicago and their efforts to overcome challenges that faced many condos that were built just prior to our economic and real estate slump that

Editor & Publisher Michael C. Davids Vice President Sherri Iandolo Art Director Rick Dykhuis Special Events Coordinator Mary Knoll Contributing Writers Pamela Dittmer McKuen, Jim Fizzell, David Mack, and Cathy Walker Circulation Arlene Wold Administration Cindy Jacob and Carol Iandolo Condo Lifestyles Magazine is published quarterly by MCD Media, a wholly owned subsidiary MCD Marketing Associates, Inc. For editorial, advertising and subscription information contact: 935 Curtiss Street, Suite 5, Downers Grove, IL 60515. 630-932-5551 or 630-202-3006. Circulation: Condo Lifestyles is available for a single issue price of $8.95 or at a $30.00 annual subscription. Distribution is direct mailing and delivery direct through authorized distributors to over 5,000 officers and directors of Common Interest Communities, 500 property managers, 400 realtors, 400 developers and 400 public officials. Total Circulation is 7,000.

began in 2007 and 2008. To help promote their accomplishments and support unit owner sales at the property, SkyBridge recently held an open house event for real estate brokers and others. our second story is a summary of a recently held “Ask an Attorney” seminar. Questions and issues are many and varied for those charged with the responsibility of serving on the board of directors at a community association. Hopefully you can learn from the answers provided by a panel of attorneys and detailed in this article. In a special feature article, we revisit the topic of unit owner foreclosures & evictions as many associations continue to deal with these challenges. These unfortunate situations are troubling in a number of ways for everyone involved and it’s important for all boards to become knowledgeable on the related issues that involve your association. our Maintenance Memos column features a story about how a simple flooring project done by a unit owner can impact other unit owners and the association if not handled properly.  Inside this issue we again offer our regular Industry Happenings column and highlights from a variety of special events.  A special thank you to everyone who attended our Condo lifestyles’ Condolympics event on March 15th. The donations we raised benefit Special olympics Illinois.     Upcoming MCD special events include our annual golf outing, which will be held on july 12 and a luncheon in the Million Room at Arlington International Racecourse on August 29. If your association(s) has a special need or challenge, there will be a variety of experts specializing in community association issues including many members of our advisory board who will attend these events.

Condo Lifestyles attempts to provide its readership with a wide range of information on community associations, and when appropriate, differing opinions on community association issues.

MCD special events provide a terrific forum for association leaders to get questions answered, meet new vendors, share a story idea, or socialize with other volunteers and professionals. Thanks to the many new subscribers that have found our publication useful and informative. Spe-

All material herein is copyrighted 2013©. No part of the publication may be reproduced whatsoever without written consent from the publisher. This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is issued with the understanding that the publisher is not engaged in rendering legal or accounting services. If legal advice is required, services should be sought. Advertisers assume liability for all content of advertisements printed, and also assume personal liability for any claims arising therefrom against the publisher relating to advertising content. The publisher and editors reserve the right to reject advertising or editorial deemed inappropriate for the publication.

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cial thanks to the firms, associations and groups that are Authorized Distributors of Condo lifestyles. Those of you who are not current subscribers can find subscription information at www.condolifestyles.net  We encourage you to take this opportunity to make your association and your community all it can be. If you have an idea that would benefit other Community Associations, a success story to share, or some advice on how to avoid a problem or failure, please call our office at 630-932-5551. you can also send us an e-mail (mdavids@condolifestyles.net).  Y Michael C. Davids Editor and publisher

04.13

No part of the publication may be reproduced whatsoever without written consent from the publisher. All material herein is copyrighted 2013©.


SERvICE DIRECToRy

ACCOUNTANTS

ARCHITECTS/ENGINEERS

ATTORNEYS

CANTEY ASSOCIATES, CPA’S (630) 681-9400

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Audits Reviews Compilations Income Taxes Board of Directors Training Monthly Services: Collection of Assessments Paying of Bills Monthly Financial Statements Consulting for Developer Turnover  and Major projects

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MICHAEL J. COCHRANE, CPA (847) 301-0377

Daniel Baigelman, AIA dan@fullcirclearchitects.com Capital Improvements • Reserve Studies Engineering Reports www.fullcirclearchitects.com 85 REvERE DRIvE, SUITE B, NoRTHBRooK, Il 60062

greg_hodder@hotmail.com

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KEOUGH & MOODY, P.C. (630) 369-2700

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Accounting Solutions for Management  Companies & Self-Managed Associations Audit & Accounting Services Income Tax Reduction & Planning

FROST, RUTTENBERG & ROTHBLATT, P.C. 847-282-6340 CERTIFIED PUBLIC ACCOUNTANTS

Contact:  Steve Silberman, CPA

ARCHITECTS/ENGINEERS

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pcostello@keaycostello.com www.keaycostello.com

MAXIMA CONSULTANTS CORPORATION 312-223-8414

KOVITZ SHIFRIN NESBIT (847) 537-0500

Reserve Studies & Transition and Condition Assessment Reports Facade/ Roofing / Windows Garage Evaluations,  Water Infiltration Investigations Fire Escape/Balcony/Porch Evaluations,  life Safety Evaluations www.maximaconsultants.com

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CODER TAYLOR ASSOCIATES

MCD MEDIA

Gregory R. Hodder, Atty

J. HERSHEY ARCHITECTURE (847) 549-5900

A Division of Schneider, Cupuro & Associates, LTD. CONTACT BRAD SCHNEIDER Brad@CondoCPA.com

THE HODDER LAW GROUP 206-909-2462 Community Association Governing Documents, vendor Contracts, Collections & litigation

Specializing in Accounting Services for Homeowner Associations.

630-832-2222 EXT 113

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LAW OFFICES OF KEAY & COSTELLO (630) 690-6446

www.ksnlaw.com Covenant Drafting & Enforcement Advising & Consulting with Boards Construction Defect litigation Collecting Delinquent Assessments

ORUM & ROTH, LTD. (312) 922-6262 Intellectual Property law Trademarks • Patents Condominium law • General litigation Contact Mark D. Roth

ATTORNEYS DICKLER, KAHN, SLOWIKOWSKI & ZAVELL, LTD. (847) 593-5595 www.dicklerlaw.com.com

For Display or Professional Services Directory Advertising Info, Call (630) 202-3006

July 12, at2io0n 1vis3it For more inform les.net www.condolifesty

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BANKING ALLIANCE ASSOCIATION FINANCIAL SERVICES (815) 342-4228 Full service banking and lending solutions for management companies and associations. www.aafin.com

BUILDING RESTORATIONS

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HOLTON BROTHERS, INC.

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Masonry Repair Services, Tuckpointing, Caulking and Concrete Restoration

(847) 253-3886 TEL / (847) 253-3255 FAX John@holtonbrothers.com www.holtonbrothers.com

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LS CONTRACTING GROUP, INC. T (773) 279-1122 F (773) 279-1133

loans, Reserve Investments & lock Box Services www.communityadvantage.com

Contact: Tom laird tlaird@lscontrtacting.com www.lscontracting.com

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Masonry and Concrete Restoration www.bralrestoration.com

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RIGGIO/BORON, LTD.

SMART ELEVATORS CO. (630) 544-6829

(847) 531-5700 A Total Exterior Facade Restoration Company www.RiggioBoron.net

L E A K R E PA I R S MASoNRy, CoNCRETE,  TUCKPoINTING, CAUlKING See our ad on page 9 for more details  or visit our website at: www.ForumGroupInc.com

GOLF CONSTRUCTION (219) 933-3420 www.golfconstruction.net

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CoNDo lIFESTylES

www.smartelevatorsco.com smartin@smartelevatorsco.com

ENERGY GAS & ELECTRIC CARPET CLEANING

COST CONTAINMENT INTL. LLC (877) 265-2799

SUPER STEAM, INC. (847) 568-1440

Tuckpointing  ~  Masonry Repairs Waterproofing  ~  Terra Cotta Repairs Caulking & Sealants  ~  Structual Repairs Cleaning  ~  Balcony Restoration Concrete Restoration www.dakotaevans.com

Peter.Maneyski@ForumGroupInc.com 

WOODLAND WINDOWS & DOORS 630-529-DOOR (3667)

QUALITY RESTORATIONS (630) 595-0990

DAKOTA EVANS RESTORATION, INC. 847-439-5367

FORUM GROUP, INC. (773) 732-3051

DOORS

Window and Related Masonry Interior & Exterior Doors | Siding & Gutters www.woodlandwindows.com

BUILDING RESTORATIONS BRAL RESTORATION, LLC. (847) 839-1100

Raising Settled Concrete  throughout Chicagoland wwwWeCanRaiseIt.com

Contact: Hans Herrmann www.c2intl.com

Call Ed or Sam for a free quote.

SELECT ENERGY PARTNERS LLC (312) 593-6412

CONCRETE FM&J ASPHALT PAVING, INC. 708-544-6700 / 630-279-0303

Contact: Ryan Anthony www.selectenergypartners.com

FHA/FANNIE MAE CONDOMINIUM PROJECT APPROVALS

Concrete & Asphalt Paving Pavers & Color Stamping Drainage Systems & Sewer Repairs Sealcoating, Crack Filling & Striping www.fmjasphalt.com

HARD SURFACE SOLUTIONS (847) 228-7230 / (630) 674-4520

CONDO APPROVAL PROFESSIONALS LLC (847)293-2962 contact: Steve Stenger www.condo-approval.com

Concrete Flatwork Specialists Asphalt Paving Curbs & Driveways | Sidewalks Footings & Foundations Colored Concrete Stamped Concrete Aggregate Finish Concrete www.hsshardsurfacesolutions.com

04.13

No part of the publication may be reproduced whatsoever without written consent from the publisher. All material herein is copyrighted 2013©.


SERvICE DIRECToRy

FIRE SAFETY & PROTECTION

FIRE SAFETY & PROTECTION

CONTECH MSI CO. 847-483-3803

THE RESTORATION GROUP, LLC (630) 580-5584

Fire Detection & Signaling Systems Fire Alarm Systems Chicago life Safety Evaluation Solutions Security Systems/CCTv Card Access Systems See our ad on page 9 www.contechco.com

www.trgrestore.com

EMCOR TEAM MECHANICAL FIRE PRoTECTIoN DIvISIoN (847) 229-7600 www.emcortmi.com

NORTHERN ILLINOIS FIRE SPRINKLER ADVISORY BOARD (NIFSAB) 866-2NIFSAB (866-264-3722) 708-403-4468 www.firesprinklerassoc.org

BROUWER BROS. SERVICES (800) CLEAN54 (708) 396-1477 www.bbsteamatic.com

INSURANCE

SUPER STEAM, INC. (847) 568-1440

HOLLINGER SERVICES, INC. (847) 437-2184

Call Ed or Sam for a free quote.

FITNESS SOLUTIONS DIRECT FITNESS SOLUTIONS (847) 680-9300 cgallagher@directfitnesssolutions.com www.directfitnesssolutions.com

Property Casualty • Employee Benefits Workers Compensation www.HollingerInsurance.com

MESIROW FINANCIAL (312) 595-8135 Nancy Ayers

GARBAGE CHUTE CLEANING BROUWER BROS. SERVICES (800) CLEAN54

JANITORIAL SERVICES

(708) 396-1477 www.bbsteamatic.com

DJR CLEANING ENTERPRISES (773) 640-1588

SIMPLEX GRINNELL (630) 948-1235 Fire Alarm / Sprinkler Systems Fire Pumps / Extinguishers Fire Panel Monitoring Installation / Testing / Maintenance 24/7 Service: (630) 948-1200 www.simplexgrinnell.com

GOVERNING DOCUMENTS HOMEWISE DOCS (773) 936-3270

“GREEN” janitorial & Sanitizing Services for hospitality businesses, health care providers and commercial, industrial and multi-unit residential buildings. David Melone www.djrcleaning.com

kcorral@homewisedocs.com www.homewisedocs.com

FIRE/FLOOD RESTORATION

TOWER BUILDING SERVICES 312-404-3943

HVAC

BROUWER BROS. SERVICES (800) CLEAN54 All types of environmental cleaning. (708) 396-1477 | www.bbsteamatic.com

H V A C CLEANING

ALTHOFF INDUSTRIES 312.332.5700

www.towerservices.net

Mechanical - Plumbing - Electrical - Building Automation www.althoffind.com

GENESIS CONSTRUCTION, INC. (847) 895-4422 www.genesisconstruction.com

EMCOR SERVICES TEAM MECHANICAL (847) 229-7600

Cost efficient Janitorial & Maintenance services for homeowners associations. Carpet cleaning, pressure washing,  snow removal, etc.

LAKE & POND MANAGEMENT ACRES GROUP (888) 231-1300 / (847) 526-4554

www.emcortmi.com

QCI RESTORATION 847-891-2929 866-832-6724

Ceritfied Aquatic Applicator Department of Agriculture www.acresgroup.com

www.QCIrestoration.com

No part of the publication may be reproduced whatsoever without written consent from the publisher. All material herein is copyrighted 2013©.

04.13

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CoNDo lIFESTylES

LANDSCAPE CONTRACTORS

LAUNDRY SERVICES & EQUIPMENT

PAINTERS

ACRES GROUP (888) 231-1300 / (847) 526-4554

FAMILY PRIDE LLC (630) 827-6362

Professional landscaping and Snow Removal www.acresgroup.com

Contact Paul Anzell paula@hughesenterprises.net

AAA PAINTING CONTRACTORS, INC. (630) 231-8350

ALAN HORTICULTURAL ENTERPRISES, INC. (630) 739-0205

LAWN CARE

A.L.M. GROUP (630) 529-5386

ILT VIGNOCCHI (847) 487-5200

Quality Painting & Decorating since 1973 Our Mission: Guaranteed Committment to Quality Now offering Parking lot Painting www.Abbottpainting.com

MAILBOXES

landscape, Snow Plowing, Concrete www.almgroup.com

www.BalancedEnvironmentsInc.com

ABBOTT PAINTING, INC. 312-636-8400 773-725-9800

SPRING-GREEN LAWN CARE (800) 830-5914

www.alanhorticultural.com

BALANCED ENVIRONMENTS, INC. (847) 395-7120

www.aaapaintco.com

MAILBOX WORKS (630) 355-9989 (773) 528-3111

CERTAPRO PAINTERS 630-742-5119

large variety of Commercial and Residential Mailboxes Intercoms and Tele-Entry Address Signage & Engraved Nameplates Installation Services Since 1989

www.MailboxWorks.com

PARKING GARAGE CLEANING

MOLD REMEDIATION

EXTREME POWER CLEANING INC. (630) 532-0345

QCI RESTORATION (847) 891-2929 866-832-6724

www.ExtremePowerCleaning.com info@extremepowercleaning.com

www.qcirestoration.com

PAVING

www.iltvignocchi.com

KINSELLA LANDSCAPE, INC. (708) 371-0830 Creating lifestyles From The outside In…™ www.kinsellalandscape.com

LANDSCAPE CONCEPTS MANAGEMENT, INC. (847) 223-3800

DUBOIS PAVING (847) 634-6089 (800) 884-4728

NON PROFIT/EDUCATION ACTHA 312-987-1906

www.landscapeconcepts.com

www.duboispaving.com

Association of Townhome and Condominium Associations

SEBERT LANDSCAPING, INC. 630-497-1000 www.sebert.com

ZENITH LANDSCAPE GROUP (847) 417-7554

Interior & Exterior Painting • Wallcoverings Stucco, Masonry & EFIS Repair • Drywall Repair www.certapro.com bkurschner@certapro.com

actha@actha.org | www.actha.org

COMMUNITY ASSOCIATIONS INSTITUTE OF ILLINOIS 847-301-7505 Exposition @ Arlington Park Racecourse Education Exhibits

www.zenithlandscapegroup.com

info@cai-illinois.org www.cai-illinois.org

FM&J ASPHALT PAVING, INC. 708-544-6700 / 630-279-0303 Concrete & Asphalt Paving Pavers & Color Stamping Drainage Systems & Sewer Repairs Sealcoating, Crack Filling & Striping www.fmjasphalt.com

HARD SURFACE SOLUTIONS (630) 674-4520 www.hsshardsurfacesolutions.com

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CoNDo lIFESTylES

04.13

No part of the publication may be reproduced whatsoever without written consent from the publisher. All material herein is copyrighted 2013©.


SERvICE DIRECToRy

PAVING

PROPERTY MANAGEMENT

PROPERTY MANAGEMENT

MAUL ASPHALT & SEALCOATING (630) 420-8765

FIRST COMMUNITY MANAGEMENT (312) 829-8900

PROPERTY MANAGEMENT SPECIALISTS, LTD. (847) 845-6067

Sealcoating / Crack-sealing / Striping Asphalt Installation www.maulasphalt.com

www.condomanagement.com

“A Management Company with values” contact: James Krech service@pmgrs.com

G&D PROPERTY MANAGEMENT (630) 812-6400

PEST CONTROL

PROPERTY SPECIALISTS INC. (847) 806-6121 (630) 633-5450

www.gd-pm.com

SMITHEREEN PEST MANAGEMENT SERVICES (847) 647-0010 / (800) 336-3500

WOODRIDGE OFFICE

HEIL, HEIL, SMART & GOLEE (847) 866-7400

www.smithereen.com

www.psimanagement.net

SUDLER PROPERTY MANAGEMENT (312) 751-0900

www.hhsg.net

PROPERTY MANAGEMENT BAUM PROPERTY MANAGEMENT, LTD. (630) 897-0500

HILLCREST MANAGEMENT (630) 627-3303 / (312) 379-0692 www.hillcrestmgmt.com

www.BaumProp.com

CARUSO MANAGEMENT GROUP, INC.

LEGUM & NORMAN MIDWEST (312) 944-2611

RESIDENTIAl & CoMMERCIAl

www.lnchicago.com

(630) 717-7188 www.carusomanagementgroup.com

CHICAGO PROPERTY SERVICES, INC. (312) 455-0107 X102

LIEBERMAN MANAGEMENT SERVICES (847) 459-0000 www.lmsnet.com

www.chicagopropertyservices.com

www.sudlerpropertymanagement.com

TAIRRE MANAGEMENT SERVICES (847) 299-5740 tsutton@tairremgmt.com

WERK MANAGEMENT (630) 241-0001 For All your Property Needs www.werkmanagement.com

WOLIN-LEVIN INC. (312) 335-1950 Contact Jennifer Feldman, Tom Skweres

“Premier Community Management”

www.wolin-levin.com

MCGILL MANAGEMENT, INC. (847) 259-1331

CHICAGOLAND COMMUNITY MANAGEMENT (312) 729-1300

REAL ESTATE TAX ATTORNEY

www.mcgillmanagement.com

ELLIOTT & ASSOCIATES (847) 298-8300

PARAGON PROPERTY MANAGEMENT (847) 465-1483

www.chicagoland-inc.com

COMMUNITY SPECIALISTS (312) 337-8691

www.elliottlaw.com

www.communityspecialists.net

contact: Tracy Davis tracy@paragonmanagement-inc.com www.paragonmanagement-inc.com

THE HABITAT COMPANY (312) 527-5400

PRESTIGE MANAGEMENT SOLUTIONS, LLC (847) 517-2733

www.habitat.com

www.prestigemanagementsolutions.com

No part of the publication may be reproduced whatsoever without written consent from the publisher. All material herein is copyrighted 2013©.

04.13

REMODELING/REPAIRS MANCIONE IMPROVEMENTS, INC. (630) 241-0001 www.mancioneinc.com

CoNDo lIFESTylES

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REMODELING/REPAIRS

ROOFING

S&S CUSTOM BUILDERS AND RESTORATION SERVICES (847) 568-1440

PRO★TOP ROOFING (847) 559-9119

SNOW REMOVAL HARD SURFACE SOLUTIONS (630) 674-4520

We’re Here When you Need Us! www.protoproofing.com

Call Ed or Sam for a free quote.

RESERVE STUDIES

S&D ROOFING SERVICE (630) 279-6600

THE WINTER WERKS (630) 241-0001

J. HERSHEY ARCHITECTURE (847) 549-5900

100,000 roofs installed TEAR OFFS • SHINGLES • FLAT ROOFS our experience & technical know-how gets the job done right the first time! Serving the area since 1963 www.sdroofing.com sales@sdroofing.com

www.mancioneinc.com

www.jhersheyarchitecture.com

RESERVE ADVISORS, INC.

ZENITH LANDSCAPE GROUP (847) 417-7554 www.zenithlandscapegroup.com

Reserve Studies & Transition Defect Studies

1-800-221-9882

SECURITY SERVICES

Conducted by Professional Engineers Enhanced Report / Most Customized Studies www.reserveadvisors.com long-term Thinking.  Everyday Commitment.

ADMIRAL SECURITY DOOR STAFF SOLUTIONS (847) 588-0888

SWIMMING POOLS SPMS 630-692-1500

www.admiralsecuritychicago.com

ROOFING

PREMIER SECURITY CORPORATION (773) 867-8813

ACTIVE ROOFING CO., INC. (773) 238-0338 (708) 430-8080

www.premiersecuritycorp.com

B.T. LAKESIDE ROOFING (630) 628-0093 www.lakeroof.com

A comprehensive aboricultural firm  building relationships in every season for more information, please visit our website: www.autumntree.com

ACCURATE EXTERIORS (630) 830-9191

KRAMER TREE SPECIALISTS, INC. 630-293-5444

B.T. LAKESIDE ROOFING (630) 628-0093

Tree Pruning, Tree Removal,  Cable Bracing, Plant Health Care,  Tree Planting & Transplanting www.kramertree.com

www.lakeroof.com

CSR ROOFING CONTRACTORS (708) 848-9119

WOODLAND WINDOWS & DOORS 630-529-DOOR (3667)

www.csr-roofing.com See our ad on page 8.

TREE CARE AUTUMN TREE CARE EXPERTS, INC. (847) 729-1963

SIDING / RENOVATIONS

Established 1965 Maintenance & Repairs Roofing/Sheet Metal/Tuckpointing www.activeroofing.com

Heaters Pumps • Repairs • Chemicals Pool Maintenance • Complete Water Analysis    Pool Guards, Inc. ross@spmspools.com

TV-BULK CABLE & SATELLITE

Window and Related Masonry Interior & Exterior Doors | Siding & Gutters www.woodlandwindows.com

COMCAST (866) 594-1234 www.comcast.com

For Display or Professional Services Directory Advertising Info, Call (630) 202-3006 24

CoNDo lIFESTylES

04.13

No part of the publication may be reproduced whatsoever without written consent from the publisher. All material herein is copyrighted 2013©.


SERvICE DIRECToRy

TV-BULK CABLE & SATELLITE

WINDOWS/REPLACEMENTS

WINDOW RESTORATION

CHICAGO WINDOW SYSTEMS, INC. (312) 915-0591

WINDOW WALL SERVICES, INC. THE CAULKING COMPANY (708) 361-9333

Window and Patio Door Replacement Aluminum and Wood Clad Steel Ul Rated Windows Aluminum Store Fronts www.cwins10@yahoo.com

www.windowwallservices.com

RCN (312) 955-2322 rcnchicagoapts@rcn.net www.rcn.com

USA WIRELESS SATELLITE TVS/DIRECT TV 847-831-4561

All Types of Window Restoration Weather Stripping / Hinges Handles and Adjustments Curtain Wall Repair Specialists

www.usadishtv.com

WASTE SERVICES

WOODLAND WINDOWS & DOORS 630-529-DOOR (3667)

WOODLAND WINDOWS & DOORS 630-529-DOOR (3667)

LAKESHORE WASTE SERVICES (773) 685-8811

Window and Related Masonry Interior & Exterior Doors | Siding & Gutters www.woodlandwindows.com

Window and Related Masonry Interior & Exterior Doors | Siding & Gutters www.woodlandwindows.com

www.lakeshorewaste.com

For Display or Professional Services Directory Advertising Info, Call (630) 202-3006

E D U C AT I O N A L

SEMINAR

Managing & Preventing Water Leaks * R E G I S T R AT I O N

IS

OPEN*

Please join us for a Seminar full of Experts in various fields to discuss the topic of water leaks. The main focus will be on Prevention, Maintenance, and Repair. When:

May 8, 2013, 4pm-6pm

Where:

Wintrust, 9700 West Higgins Rd, Rosemont, IL 60018

Cost:

$25/person *Dinner is included*

Registration: Go online to www.woodlandwindows.com, Click on “Upcoming Events”. If you’d like to mail a check, please send it to Woodland Windows & Doors at 25W355 St, Roselle, IL 60172 Questions? Call Liz Foley at 630.767.9660. Sponsored by:

CondoLifestyles

No part of the publication may be reproduced whatsoever without written consent from the publisher. All material herein is copyrighted 2013©.

®

04.13

CoNDo lIFESTylES

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CoNDo lIFESTylES

industry happenings Associa Partners with National Night Out Associa and Associa Supports Kids partnered for the second  year  with  the  National  Association  of  Town Watch  and  National  Night  out  (NNo)  to  create  safer communities across the country.

and  communities  to  create  a  safer  nation,  and  safer neighborhoods. It is a unique crime and drug prevention  event  sponsored  by  the  National  Association  of Town Watch (NATW) and focused on working with citizens, law enforcement, businesses, neighborhood organizations  and  local  officials  to  make  an  impact  in communities and cities. 

“By working alongside National Night out, Associa has the opportunity to go beyond managing associations and  truly  build  emotional  equity  among  our  homeowners,” said john Carona, Associa’s president and CEo. “our mission is to deliver unsurpassed management and lifestyle services to our communities. As a national sponsor for NNo, we have an opportunity to build engagement  within  the  community  and  among  our homeowners to bolster strong, united neighborhoods.” 

As a national sponsor, Associa will raise awareness for NNo and work with communities through the Associa Supports Kids program to educate parents and children about safety in and around the neighborhood.     Communities interested in impacting their neighborhoods and joining the 37 million people who participate in NNo can find more information about National Night out at www.nno.org/nno. Communities that register to host an NNo event will receive a free NNo organizational kit with everything needed to plan for NNo.

Celebrating its 30th year heightening crime awareness and  generating  support  for  anticrime  programs,  National Night out is Aug. 6 nationwide.  For 30 years, NNo has brought together homeowners

Community Specialists Community Specialists recently announced the following new property management assignments: CS  recently  became  managing  agent  for  2625  Clark Street Private Residences Condominium Association, a 20 floor building located in the lincoln Park neighborhood. Paris Flores, who worked as Assistant Manager at the ParkShore, was hired as their new property manager. Effective April 1, CS became managing agent for 1720 S. Michigan Avenue Condominium Association, a 498 unit property  located  in  Chicago’s  South  loop  neighborhood. Monica Melchiori is the property manager. Community  Specialists  also  made  the  following  employee announcements: Property manager Alice Leahy retired and Larry Novak is now property manager at 555 Cornelia Association. larry  previously  served  as  Assistant  manager  at Cityview Condominium Association.  CS recently welcomed back Irma Ruiz-Collins as Manager of 900/910 lake Shore Drive Condominium Association after a two year leave to tend to her new family. She is joined by Penelope Hughes who also is a former CS employee as Assistant Manager. Shannon Grealy joined  Community  Specialists  in March  as  property  manager  of The  South  Commons Phase 1 Condo Assoc. Sewellyn Cate is now the Property Manager for Horizon House Condominium, which allows her to work a three day week. Former Manager for HorizonHouse, Vicki Keene, left to continue her career selling real estate full-time. CS corporate office has added Latoiya Sims in the accounting department (payroll and accounts payable).

Man Lift Training Seminar

Tom Engblom

Larry Myers

CMCA AMS PCAM

Assistant Regional Account Executive

Vice President/Regional Account Executive

Shown above is a recent training seminar on the use of Man lifts that was held for Chief Engineers of buildings managed by Community Specialists . Man lifts are used commonly by building maintenance personnel and others  to  perform  various  tasks  that  require  elevation. oSHA now requires employees that operate Man lift Elevators be Certified. Also, the lifts (even those that are moved manually) must be inspected every 13 months.

779.435.2937 Toll Free 866.800.4656 ext. 7429 larry.myers@ mutualofomahabank.com

312.209.2623 Toll Free 866.800.4656 ext. 7498 tom.engblom@ mutualofomahabank.com

ACTHA Expos

)0"#BOLJOHt*OUFSOFU$BTI.BOBHFNFOU )0"-PBOTt0OMJOF1BZNFOU4ZTUFNT %FEJDBUFE$VTUPNFS4FSWJDF AFN44519_0112

26

Member FDIC. Equal Housing Lender

CoNDo lIFESTylES

National Corporate Member of Community Associations Institute.

04.13

ACTHA will host two half-day expos on Saturday, September  21 at the Tinley Park Convention Center and Saturday, october 12 at the Westin Hotel in Wheeling. Both events offer a free trade show and exhibitor showcase presentations from 8 – 11:30 a.m. owners, board members and managers are also invited to register for educational offerings. There will be a total of four seminars (TBA) with two scheduled from 8:30 – 9:30 and another two from 11:30 – 1 p.m. For more information and to register, visit www.actha.org

No part of the publication may be reproduced whatsoever without written consent from the publisher. All material herein is copyrighted 2009©. 2013©.


INDUSTRy HAPPENINGS

industry happenings First Community Management First Community Management recently announced that Gail Filkowski will fill the newly created role of vice President by overseeing the portfolio management department and assisting President Michael Rutkowski with sales and marketing initiatives.  “We are excited to have Gail back on the First Community Management team as our vice President. She will take the lead on overseeing our current portfolio of more than 45 communities, as well as developing initiatives for enhancing our current services and bringing in new business.” Ms. Filkowski has had various responsibilities in community association management over the past ten years. She  developed  the  community  management  department of Bucktown-based realty company in the early stage of her career, and later gained additional experience managing a portfolio of properties with First Community Management. She eventually pursued a career in the western suburbs, where she led all marketing and

sales  efforts  with  a large  community  association  management company. “I’ve  heard  from  numerous  board  members how pleased they are  that  Gail  is  back with  the  company. She  always  provided excellent  service  to her boards and many of them are looking forward to working with her in her new  role  at  First  Community  Management,”  adds Rutkowski.

Legum & Norman, Mid-West legum & Norman, Mid-West, an Associa company, announced executive-level promotions for three employees.  Matthew Hohl was  promoted  to  vice  President  of  Property  Management,  while  Stephanie Vittas Skelley earned the vice President of operations title. Philip Zmurk is now Controller and Director of Financial Services. “Each  of  these  promotions  is  well  earned.  Matthew, Stephanie and Philip exemplify what it means to serve clients with exceptional service and dedication,” said l&N Mid-West President and CEo Donald Kekstadt. “I am proud of them and of their accomplishments.” As vice President of Property Management, Hohl oversees the l&N Mid-West management team. He joined the company in 2009 as a property supervisor, overseeing a portfolio of on-site property managers, while maintaining  his  own  associations  within  the  Chicago association management community. Hohl has 14 years of experience in the industry and holds a Certified Manager of Community Associations designation through the National Board of Certification for Community Association Managers (NBC-CAM). Previous to l&N Mid-West, he managed multi-million dollar capital improvement

projects and secured special assessment financing as well as set up ongoing maintenance programs. He is a graduate of Indiana University. 

www.carusomanagementgroup.com

Skelley, a graduate of Texas Tech University, joined l&N Mid-West in 2006 as a community manager, and is currently the vice President of operations. Prior to her current  position,  she  held  both  on-site  high  rise management  and  portfolio  management  positions. Skelley previously worked in hospitality management and private club membership. She is a Certified Manager of Community Associations and Association Management  Specialist  through  NBC-CAM  and  the Community Associations Institute (CAI).  As Controller and Director of Financial Services, Zmurk oversees nearly 50 community association financials, including all accounts payable and receivable functions. Zmurk joined l&N Mid-West in 2011, and is a graduate of Kent State University. He has more than 15 years of accounting experience in the construction industry and more than five years as a controller. He specializes in cost accounting, which has proven beneficial in community management.

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industry happenings Keough & Moody, P.C.

CAI Illinois

Maya Ziv-El concentrates her practice on representation of community associations in collection of assessments, foreclosures and bankruptcy actions. Maya graduated cum laude from Michigan State University College of law in 2008 and received her bachelor of arts degree from University of Wisconsin-Madison in 2003. Prior to working at Keough and Moody, Maya worked as an associate at another firm which also represented community associations. Maya is a member of the Illinois State Bar Association and is licensed to practice law in Illinois. 

The CAI Illinois Chapter held its 31st Annual Conference & Exposition at Arlington Park Racecourse on February 1-2, 2013. The is year’s theme was: TEAM CAI—Together Everyone Achieves More.  over 1300 people registered attendees  (record  attendance)  took  part  in  seminars that offered 10 hours of education and visited display booths of over 170 exhibitors. over 500 attended a special networking reception held on Friday.

Stephanie Hermann joins our team with 5 years of experience  in  the  association  industry,  where  she  has spearheaded  collection  efforts  for  associations.  She works closely with the firm’s attorneys to provide our association clients with hands-on, personal service. Her goals are simple, provide timely responses. 

CSR Roofing CSR Roofing Contractors Inc. is proud to announce that they have been honored by the BBB with the ‘Better Business Bureaus 2012 Complaint Free Award’, in recognition for superior performance in the area of ethical business practices and commitment to customer satisfaction. This is the third straight year CSR has earned this prestigious award, adding to the 2011 and 2010 awards.  

Upcoming CAI events include: 24th  Annual  Golf  outing—Cog  Hill—Wed,  june  5— NEW loCATIoN legal Forum—Hyatt Regency Chicago—Fri, july 19

James Tyree Foundation More than 500 of Mr. jim Tyree's friends, business associates and family members paid tribute to him on February 28 by raising more than $500,000 for charity at the first annual james Tyree Foundation cocktail reception and fundraiser. Held at the River North headquarters of Mesirow Financial,  the  event  was  a  reflection  of  the  man  who served as the company's chairman and CEo- from hors d'oeuvres provided by Chicago's Harry Caray's restaurant to the music from his favorite band, Earth Wind & Fire.  Emceed  by WMAQ-Tv  News  co-anchors  Allison Rosati  and  Rob  Stafford,  the  evening's  speakers  included Mesirow chairman and CEo Richard Price, Dr. Miriam Pike of Wolcott School and Mr. Tyree's wife, Eve Tyree, who thanked the many volunteers and attendees who made the evening possible.

Summer  Social—Spirit  of  Chicago  lunch  Cruise— 12Noon-2:30—Wed, August 7 Also, CAI is moving its office in May to 1821 Walden office Square, Suite 100, Schaumburg, Il  visit www.cai-illinois.org for more information

Waldman Engineerig Waldman Engineering recently announced that in addition  to  the  company's  Naperville,  Il  location,  they have opened a new office located at 30 S. Wacker Drive, Suite No. 2200, Chicago, Il 60606

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habitat.com


CoNDo lIFESTylES

by Thomas Skweres - Wolin-Levin, Inc.

CREATING A POSITIVE MENTAL ATTITUDE H

Positive thinking helps reduce stress and enjoy life more. It can even improve your health.

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ow you answer the age old question of “is the water glass halfempty or half-fullâ€? reflects on your outlook of life, your attitude and whether you are an optimist or a pessimist. One of the ways to create positive thinking is to concentrate on your “self-talkâ€?. Self-talk is the constant stream of thoughts that run through your head every day. Thoughts that can be good, which come from logic and reason, or bad thoughts that may arise from misconceptions that are created due to a lack of information, understanding or conjecture. How can you identify negative thinking? It’s concentrating on the bad things that have occurred in our life instead of looking at all the good that also occurs in our life. It’s looking at only black and white and not seeing all of the gray areas of life. It’s also always anticipating that the worst will happen in any situation. So, focus on positive thinking. Evaluate how you are looking at life. Look for humor in your day. Follow a healthy lifestyle and encourage yourself with good “self-talk’. Here are some ways to help you have a positive mental attitude: Âť Live for what makes you happy. You can’t be a positive influence on someone else’s life if you are not happy with your own life. Âť Understand that even though you can’t always control outside circumstances, you can control how you react to them. Âť Slow down. Doing a task the right way once, even if it takes you longer, is better than having to do it again if you rushed through it. Âť Try to learn something new every day. Let curiosity play a role in your life. Âť Count the good things in your life, often. Âť Help make someone else’s day good. Âť When your state of mind is optimistic you will be better able to handle the stresses of everyday life. Y

04.13

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S P E C I A l   F E AT U R E

By David Mack

Stop the Bleeding… Short Sales, Foreclosures & Delinquencies In their combined appearance at the ACTHA winter conference Attorney Chuck vandervennett of the law offices of Charles T. vandervennett, P.C. and Salvatore Sciacca of Chicago Property Services presented a seminar on the subjects of Short Sales, Foreclosures & Delinquencies, subtitled, “Stop the Bleeding.” Collection Cases Sciacca presented first, giving advice on how his management company deals with the problem of unpaid assessments. As he so emphatically put it, the financial health of an association starts with collections and in this area things have been taking a turn for the worse at the associations his company manages. “We’ve seen pretty much a doubling of collection cases with associations,” he lamented, adding, though, that conditions in this area have been getting better recently. “lately, however, we’ve seen somewhat of an improvement.” This earlier diminution of collections is probably not unlike the trend that other associations have been experiencing due to the implications of the financial crisis manifested in higher unemployment.

Clear Policy Important Sciacca noted that despite the recent pickup in collections at the company’s associations, there 

exists in these and other communities a lot of deferred maintenance, which will only increase until associations really dig in and go diligently after the money they are owed. “The most important thing is to have a very clear collection policy,” he said, but beyond that associations must see that the policy is enforced. This is not always happening even with professionals in charge. “I’m sorry to say, even if you have a management company, that doesn’t mean your collection policy is being enforced,”, and, “it must be enforced consistently,” with all owners.  vandervennett added at that point, “I heartily endorse the idea of having the collection policy in writing, board approved and made a part of the rules and regulations.”

Consistency Counts Sciacca stepped away briefly from collections to comment on late fees in terms of the idea of consistency. Boards often ask his concurrence in

waiving late fees. “I discourage that but if they must do it, it should be done consistently too,” he said. A collection policy should discuss payment plan options in terms of percentage down, amount per month, term length and default consequences. What happens if the owner fails to adhere to a payment plan? The property manager should know what to do when a default occurs and should not require board approval at each step in the process. Usually, “about 5% of the time eviction will result,” said Sciacca.

When Eviction is Required When it comes time for eviction, an association or its management will have to arrange for movers to show up. In Cook County, the sheriff’s office no longer is involved in the heavy lifting or in directing it. Sometimes delinquent residents magically come up with the dough at the last minute. “There have been times when we’ve had movers show up and the resident paid the debt,” said Sciacca.

Lender Foreclosure lender foreclosure is another issue facing boards more frequently now. “They have really spiked over the last couple of years,” said Sciacca. To keep up with their occurrence an association should have a registered agent, who could be

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There is plenty of time to do this as there are typically 12 to 24 months from the first notice to when the lender can take over the unit, and during that period the board can assume temporary possession to be eligible to rent the unit and collect assessments if it presses its legal right to do so through eviction.

Physical Condition

anyone representing the association, attorney or otherwise, and who receives all notices of such legal action. Generally it will be the board’s lawyer receiving the paperwork so they can monitor the flow of the proceedings.

Rent to Collect Assessments The key to being on top of any foreclosure situation, “is to be able to potentially gain possession of the unit and have the right to rent the unit to collect assessments due,” explained Sciacca.

Associations have to be aware of the physical condition of a unit before pursuing the right of possession following judicial direction. ”We’ve found the condition of a unit was so bad that it would not make sense to spend money to make the place rentable,” said Sciacca. In the alternative, there have been occasions where rental of a unit has been so successful before foreclosure is completed that a rental surplus was accrued that exceeded what the evicted resident had owed along with expenses of the association connected with leasing. That excess, “should be placed in a separate account,” said Sciacca and the funds eventually returned to the owner who had undergone foreclosure. vandervennett recalled one such case in which an association accumulated $3000 more than it was owed. “We ended up sending the owner the money,” he said.

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S P E C I A l   F E AT U R E

Collecting Delinquent Assessments from New Owner once foreclosure is completed, the association’s lien expires and possession is taken by the lender or someone else who may acquire it at the foreclosure sale.   When that latter event does not occur, the lender is on the hook for assessments until it does resell the unit to another buyer. At the point where a new buyer takes over, an association must have its attorney submit a 30 day demand letter to be eligible to collect up to 6 months of prior delinquent assessments plus legal fees from the new owner. The bank is not subject to the payment of that debt.

“It will be a rare time when a board can take less than the full amount. “you can waive late charges but assessments are a whole different story.”

Renting a Unit in Foreclosure Following up on leasing from Sciacca, vandervennett said a possession order for a unit while it is in foreclosure is a cash flow matter for an association. A unit can be leased for 13 months and the agreement can be renewed as some foreclosure proceedings can extend for as long as 2 years. Associations are, “entitled to use the property to receive assessment income and to cover the cost of repairs,” he said.

Returning to foreclosure, vandervennett bluntly stated, the process, “ is a complication associations need to deal with as the lender takes action.”  lender’s rights are ultimately superior to those of the association but as is most typically the scenario the unit owner will stop paying assessments during the process.  But, as Sciacca had explained, associations have a right to go after the delinquent assessments until the lender or another buyer takes possession. While the process may be more streamlined now than it has been, it still can take up to those 12 to 24 months to run its course but associations should move quickly to get temporary possession. “It may take you 6 months to

Bankruptcy Occurs Least In the case of bankruptcy, Sciacca has rarely seen it in his 13 years in the management field. “That’s the least occurring scenario,” he said. When an association gets notice of one, it should let its lawyer know immediately. Depending on the nature of the bankruptcy, an association may be able to claim some or the total of the pre-filing balance due but it may collect none at all. In most cases, it will only be the post claim balance that is collectible and it will be subject to the association’s collection policy. The association, “should have someone monitor the post claim assessment balance- usually its attorney- as the bankruptcy goes through,” said Sciacca.

Impact Of Foreclosure Overwhelming vandervennett picked up on foreclosure again at this point. “The impact of foreclosure can be overwhelming,” he said. “I handled 3 of 14 foreclosures in one association.” 

Chapter 7 or Chapter 13 Bankruptcies take place under either Chapter 7 or 13 of the federal bankruptcy statute. Typically, as part of any bankruptcy, most of an association resident’s debts are discharged, including pre-filing assessments.  But as the result of bankruptcy, reiterating what Sciacca had said, vandervennett pointed out that the individual will be held accountable for unpaid post petition assessments in a reorganization plan. When it comes to evictions, vandervennett noted that Illinois is the only State in the Country that allows associations to go straight to seeking the ouster of a resident when there is no other course for collection. ”It’s only a temporary taking not a permanent action,” he reemphasized. It’s a business matter intended to collect assessments. He underscored a board’s obligation to collect what is due it. It, ”cannot forebear payment of assessments,” he said. Speaking to board members, he added emphatically,”it’s your job to collect them.

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get to the point where you can rent the unit,” vandervennett cautioned.

Gaining Possession is Timely If an association wastes too much time at the beginning of the possession gaining process, it won’t have sufficient time to get to where it can rent a unit and it will lose money. An association, therefore, needs to, ”pursue its collection policy and begin possession action at or before foreclosure begins,” vandervennett added.

Monitor Legal Action Whether or not an association gets possession of a unit in foreclosure and rents it out during the procedure, it should monitor the legal action so they know when everything is completed. At that point, ”you will want the judicial sale to happen,” vandervennett said. “That triggers the day when the new owner must begin to pay assessments,” whether it be the lender or another buyer.

Short Sale Process

tion more than the property is worth and requests the lender to take less in the sale that it is owed and then release his claim to the property. “That’s a short sale in a nut shell,” said vandervennett. It’s up to the lender to agree to or decline the proposition but the lender may agree conditionally, saying it will take less if everyone else doesincluding the real estate broker and  the association. The seller  will then likely ask the board if it will take less than owed in back and current assessments. “My advice to you (the association) is to just say no,” said vandervennett. “There is no requirement for you to have to take less.” However, that may be a very difficult question for the board to deal with- whether to take less money than no money at all. Reflecting on that dire alternative of nothing, vandervennett added that under certain conditions” it might be reasonable to take less.”  When a unit is in foreclosure, a lender is likely to turn thumbs down on a short sale because of the money it has already invested in the foreclosure process. But, said vandervennett, “Sometimes they will go along.”

Super Lien vandervennett elaborated a bit on an association’s super lien, which became effective by law in january of 2007 and which gives associations, the right, already noted above, in Section 9(g) (4) of the Illinois Condo Act to recover from a buyer other than the lender at a foreclosure sale up to 6 months of assessments plus legal costs that accrue after a collection action has been initiated. Noncondo associations became eligible for the same recovery of delinquent assessments under the Illinois Mortgage Foreclosure Act of july, 2010 but were not extended the same consideration for legal fees involved in the collection action, vandervennett explained. However, the 2010 law is unclear in its application to non-condominiums but since there has yet been no legal action against the common interpretation of the law now in favor of collection, vandervennett considers it reasonable to assume the super lien claim is applicable for non-condos until some legislative body or court decides to the contrary, Y

vandervennett went into the concept of a short sale, which is a process by which a   homeowner/seller tells the lender he owes the institu-

34

CoNDo lIFESTylES

04.13

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Consistent, Award Winning Quality BY KINSELLA LANDSCAPE, LLC. 2011 ILCA Silver Award, Multi-Family Landscape Maintenance, Fay's Point Chicago

2012 ILCA Gold Award, Multi-Family Landscape Maintenance, University Commons Chicago

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CREATING

2009 ILCA Silver Award, Multi Family Landscape Maintenance, Bridgeport Village, Chicago

LIFESTYLES ~ FROM THE ~

OUTSIDE IN

C O R P O R AT E O F F I C E

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www.kinsellalandscape.com


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