Palm Trees has a healthy sinking fund of $48,311, but we also have $13,178 in the administration fund spare. This gives us a combined bank balance of $61,489. This sounds like a lot but when you have a building that is 19 years old, it isn't a lot really. For this complex, we collect $20,000 each year but know that some of this will get spent. This adds $312.50 for the bedsit units and $625 for the two-bedroom units.
In total the bedsit levies for the year are $1,416.50
In total the two-bedroom unit levies for the year are $2,833.00
Using Palm Tree Apartments as my example, although there is a cost to each owner annually there are results that can be seen. The building was repainted 7 years ago, the gutters are cleaned each year, the gardens are well looked after an asset to the building, the insurance is paid - and best of all we have $61,489 in the bank to do any future works.