|re: allocation of common costs||<– Date –> <– Thread –>|
|From: cynthia . e . carpenter (cynthia.e.carpenterus.arthurandersen.com)|
|Date: Mon, 3 Aug 1998 09:27:55 -0500|
Stephanie Fassnacht wrote: >How have other groups allocated these costs? per household? adult? >square footage? number of bedrooms? What's worked and what hasn't? We allocate most of them on the basis of our condo ownership share, which is based on our unit's price as a proportion of the whole project's cost. This is either very common practice or law around here (I' m not sure which), and seemed as good an approach as the others you mentioned. They all have drawbacks and selling points. One thing that helps to make this method feel fair is the number of factors that went into our pricing of our units. We had a committee that worked long and hard on pricing, and took into account factors such as square footage, number of bedrooms, amount and kind of land deeded to the unit, number and kind of exposures (thus the amount of light), floor in building (higher floors have a higher market value because of view), etc. We tried to tie the prices to their eventual open-market price, not just the actual cost of building them. To a certain extent, people chose units on the basis of what they could afford, so charging common costs according to the ownership share continues to allocate costs on the basis of what people can afford. We've debated many alternatives for allocating energy costs (which are not metered individually), and so far haven't found a better approach than ownership shares. Tracking the number of people, in particular, gets very sticky very fast. Does the part-time resident lover count? For how much? How about the college student home for breaks? Or the new baby? You get the picture. Good luck! - Cindy Carpenter Cambridge Cohousing Privileged/Confidential Information may be contained in this message. If you are not the addressee indicated in this message (or responsible for delivery of the message to such person), you may not copy or deliver this message to anyone. In such case, you should destroy this message, and please notify us immediately. Please advise immediately if you or your employer does not consent to Internet email for messages of this kind. Opinions, conclusions and other information expressed in this message are not given or endorsed by my firm or employer unless otherwise indicated by an authorized representative independent of this message.
allocation of common costs Stephanie Fassnacht, July 31 1998
- Re: allocation of common costs Lynn Nadeau, July 31 1998
- re: allocation of common costs cynthia . e . carpenter, August 3 1998
- Re: allocation of common costs Anno Langen, August 3 1998
- Re: allocation of common costs Judy Baxter, August 3 1998
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