Beyond Compliance: Building Your Strata’s Blueprint for Long-Term Success Using Depreciation Reports as Strategic Planning Tools

Compliance Is Just the Beginning

British Columbia’s new strata legislation, effective July 1, 2024, has put depreciation reports in the spotlight. For many strata councils, the initial focus has been on meeting the updated legal requirements: mandatory reports every five years, no more 3/4 vote waivers, and strict professional qualifications by 2025.

But the smartest strata corporations aren’t just aiming to check a box. They’re using depreciation reports as blueprints for long-term property success.

From Obligation to Opportunity: What Strategic Stratas Do Differently

A well-prepared depreciation report can do more than satisfy the Strata Property Act — it can:

• Guide annual budgeting and financial planning

• Identify opportunities to phase or sequence major projects

• Support council decisions with clear technical data

• Build owner confidence and reduce levy opposition

• Help preserve or even enhance property value

Strata corporations that treat their reports as active planning tools outperform those that file them away until the next deadline.

The Cost of "Compliance-Only" Thinking

Some strata corporations meet the bare minimum: they commission a report to fulfill their legal duty, then shelve it until renewal time.

But this approach often leads to:

• Poorly timed or rushed capital projects

• Owner confusion about special levies

• Incomplete communication during AGMs

• Missed opportunities to align spending with real-world needs

A depreciation report should be more than a technical document — it should be a cornerstone of your governance strategy.

How to Turn Your Depreciation Report into a Living Blueprint

Here’s how forward-thinking strata corporations use their reports to guide decisions:

1. Embed the Report into Annual Budgeting

Use the report's projected expenditures to inform next year's budget and update it annually.

2. Create a Capital Repair Timeline

Phase major work to align with seasons, contractor availability, or owner preferences.

3. Communicate Clearly with Owners

Summarize key recommendations in AGM packages or newsletters to foster transparency.

4. Tie Reserve Planning to Insurance and Maintenance

Align depreciation reporting with risk assessments, policy renewals, and preventative maintenance.

5. Build Institutional Memory

New council members change annually. A strategic report keeps priorities consistent.

Blueprint Thinking in Action: Real Examples

At Jackson & Associates, we've worked with strata corporations across Vancouver Island that have transformed the way they plan:

• A bare land strata used its report to phase in stormwater upgrades over six years, avoiding a $200,000 one-time levy.

• An urban townhouse complex aligned its depreciation funding plan with anticipated window replacement, reducing owner pushback.

• A two building apartment complex used our customized scenarios to time a balcony door replacement project to correspond with both window replacements and siding repairs.

  
  

Why Our Reports Are Designed for Action, Not Just Compliance

We bring 45 years of insight to every depreciation report, combining:

• Accurate, localized cost data

• Qualified professionals (AACI and CRP designated)

• Clear visuals and summaries designed for use at council meetings

• Tailored funding scenarios based on your strata’s real goals

Our reports are written to be used — not just filed.

Ready to Build a Smarter Plan?

Whether you need your first report under the new legislation or want to get more from your current one, we’re here to help you plan smarter, not just meet minimums.

📞 Book a consultation today or visit us at www.reservefund.ca

Jackson & Associates Ltd. — Your Partner in Strata Reserve Planning