Frequently Asked Questions...
As more questions come in from our community, we will share them in this section.
I ALREADY RECEIVE EMAILS FROM BMR AND THE CONDO BOARD,
WHY DO I NEED TO REGISTER HERE AS WELL?
When you register with RMA2020, you will be provided with a username and password to access the secure login section of this site. This is where we will post important documents, notices and progress reports that may not be appropriate for public distribution due to privacy or other concerns. Amendments to various by-laws, declarations and other pertinent management documents will likely be recommended throughout this process, so when your direct input is required, the private login will provides two way secure communication to complete the process.
I've registered on this site but haven't heard anything
back yet or received my secure login or any updates?
We are currently working through the process of confirming everyone as the actual owner of the units they have registered for. This can take some time as we work through ensuring all owners privacy and information are protected. As soon as this process is complete, you will receive an invitation to register on the secure login and we anticipate having the secure login attached to this site by August 27, 2018.
Why do we even need to change anything,
can’t we renew what we have?
Whether you are an original owner (almost 200 unit owners are) or a new owner, the unfortunate reality is that comparing cost vs rental revenue income and amortizing renovation costs over 7 years, the 414 units in the village core are not breaking even. This doesn’t even account for loss of earnings through owner usage and it doesn’t include any consideration for financing costs.
The resale market for village properties is completely depressed compared to the surrounding area and the rest of the province. The single biggest factor to that equity depression is the governing document, the RMA, which was designed in the 1990’s and largely based on the Whistler model of that era. It is outdated and not reflective of the marketplace in our region and there should be no doubt that simply reusing the existing agreement is not going to improve anything.
Isn’t this just a small group of disgruntled owners
who want to get rid of BMR at any cost?
Absolutely not. The objective of the RMA2020 Committee is to develop and present to owners, several viable solutions for their properties beyond November 2020. This objective will be achieved through ongoing dialogue and transparency with all owners, maintaining a focus on the following two equally important components:
(i) Maximizing financial benefits of unit ownership, specifically but not limited to net income (i.e. rental revenue less all owner expenses); and
(ii) Maximizing owner enjoyment of their property.
This in no way excludes BMR or any other viable rental manager.
Why would you bother talking to anyone other than BMR?
The obligation is to investigate and present to owners, all viable options so that they can collectively make an informed decision. If we are to truly get an RMA that is representative of a fair and equitable arrangement for owners, any experienced negotiator will agree that it makes no sense to expect BMR to negotiate or compete with themselves, why would they. Even BMR have acknowledged that we should have potentially 3 or more rental managers vying for the business with a fair mechanism in place to choose the most suitable.
Isn’t the drop in equity due to the real estate market
crash in 2008 and not BMR or the RMA’s fault?
A simple google search will disclose that property across Ontario dipped by an average 9% during the real estate market crash. From 2013 to 2017, real estate steadily recovered back to the 2007 highs in the rest of the country, even in Collingwood and Blue Mountains. However the property values in the village are still 25% lower than their original purchase prices. Intrawest Placemaking, the original resort builders sold off most of Mosaic and a large chunk of Westin units for 50% less than original asking prices throughout the crash. This was the largest most devastating blow to the other village property values, so it is fair to say that BMR had no say or involvement in that decision. However what has transpired is that the village property annual average occupancy has proudly gone from 45% to 64% and owners are still not breaking even in costs vs revenue. That is an unmistakable imbalance that is directly related to the RMA.
I understand that the plan is to hire professionals to carry out the investigation required and eventually the negotiations but how much is all that going to cost me?
The boards at GG and S@B under the authority of by-law 8 are budgeting for RMA2020 professional fees from surplus condo fees that their owners are already contributing to. At this point there is no reason to believe that any separate owner contributions will be required to cover these costs and all fees will be audited and accounted for within the condo corporation accounts.
I heard at one of the meetings that there is a risk of the tax bill tripling
if we make radical changes, how do we avoid that?
The MPAC position is quite clear in that so long as we maintain an owner usage component, nothing will change. There has been no suggestion of removing the owner usage component in any RMA2020 discussions, so there is no reason to believe that tax would be impacted.
i am a new owner and my cost vs revenue analysis shows i'm in the black. how can it be any different for old owners?
We have conducted a thorough review of the performance of all three buildings combined and regardless of your purchase price, they are not currently breaking even operationally. We have found that most owners claiming to be "in the black" have not amortized the refurbishment cost into their annual budget. All owners are contractually bound by the RMA to carry out and pay for a refurbishment every 7 years or so. There is plenty of past data available to determine how much you should amortize for your unit.