K.T. from Snohomish County, Washington State writes:
Dear Mister Condo,
What is a good estimate to use for budgeting in the cost of preparing a Public Offering Statement?
Mister Condo replies:
K.T., Public Offering Statements (POS) for condos can be quite tricky and typically require input of several professionals familiar with similar type associations in your region. If you are the builder of the condominium complex, this is definitely something to discuss with your attorney as a faulty or misleading POS can create a huge liability for you down the road should disgruntled owners decide to bring suit. There isn’t a “one size fits all” approach to this undertaking. You will need to look at everything from the cost of operating and maintaining the amenities to the cost of local landscaping and trash removal services to management costs, taxes, insurance and more. Like I said, every community is different so you will want some local expertise to help you prepare as accurate a POS as possible. Good luck with your new community!