CAPS Maintenance and Capital Improvements 2

Question 1

Which building system typically represents the largest capital replacement cost in an aging multifamily portfolio?

Accepted Answer

Roofing systems

Answer

Landscaping and hardscape

Answer

Interior appliances

Answer

Parking lot striping

Question 2

What does a '5-year capital plan' provide a CAPS manager?

Accepted Answer

A forecasted schedule and cost estimate for major repairs and replacements over five years

Answer

A marketing strategy for lease-up over five years

Answer

A five-year operating expense projection

Answer

A staffing plan for maintenance technicians

Question 3

A CAPS manager wants to reduce energy costs across a 1,000-unit portfolio. Which capital improvement typically delivers the fastest ROI?

Accepted Answer

LED lighting retrofits in common areas

Answer

Full window replacement in all units

Answer

Solar panel installation on all rooftops

Answer

Geothermal HVAC system installation

Question 4

When managing vendor contracts for maintenance services across a portfolio, what contract clause is most important for controlling costs?

Accepted Answer

Not-to-exceed (NTE) pricing limits on time-and-materials work

Answer

Automatic annual price increases tied to CPI

Answer

Exclusive vendor rights for a 5-year term

Answer

Vendor-supplied insurance indemnifying the management company

Question 5

What is 'deferred maintenance' and why is it a significant risk in portfolio management?

Accepted Answer

Maintenance that has been postponed, which accumulates into larger, costlier repair needs over time

Answer

Maintenance scheduled for a future date per the preventive plan

Answer

Vendor invoices unpaid beyond 30 days

Answer

Maintenance that residents are responsible for under their lease

Question 6

Which inspection type focuses specifically on ensuring a unit is returned to its original condition, minus normal wear and tear, at move-out?

Accepted Answer

Move-Out Inspection

Answer

Annual Unit Inspection

Answer

Property Condition Assessment

Answer

Certificate of Occupancy Inspection