Membership in the Certified Rental Building Program (CRBP) is an effective means of maintaining a high standard of quality when managing your building or working with tenants. When prospective or existing tenants see the familiar green CRB Program logo and checkmark on your property, they will immediately know that they can “Rent With Confidence”.
The CRB Program, North America’s only multi-residential certification program, was founded under six disciplines which all affiliated property managers must comply with in order to receive the certification for their buildings. In this six-part series, we will examine each of the disciplines in detail and explain their importance to the program.
Discipline 6 – State of Condition Management or Asset Management
State of Condition Management or Asset Management (SoCM) is the newest Standard of Practice (SOP) discipline area to be added to CRBP. It was developed to provide owners and property managers alike with the opportunity to have their building/property assessed from a municipal property standards perspective.
Unlike the other five disciplines that are generally assessed by CRBP’s third-party auditors as being either compliant/non-compliant or not applicable, SoCM requirements are assessed based on the auditor’s conditional evaluation in areas that directly relate to the condition of asset or physical state of building. CRBP refers to this audit practice as a “State of Condition Assessment.” It includes looking at the following areas:
State of Condition
- Elevator (Landing(s) & Cab(s)
- Elevator Licences & Room
- Roof & Roof Anchor, where applicable
- Garbage Chutes
- Laundry Facilities
- Storage Lockers
- Workshop/Maintenance/Cleaning Room
- Boiler Room
- Compactor Room
- Waste/Recycling Area
- Outdoor Covered
- Underground Garage
CRBP’s Use of Independent Third-Party Auditors
Use of independent third-party auditors ensures credibility and respectability with rental-housing consumers and outside political stakeholder communities. FRPO CRBP has contracted with three respected and reputable independent third-party auditing firms as a means to ensure that each property enrolled in the CRBP is in compliance with program’s SOPs.
SoCM Assessment Audit
There is a level of subjectivity in each auditor’s State of Condition building assessment audit. CRBP is fortunate to have three auditing firms that have experienced personnel who have quite literally audited hundreds of apartment buildings across the province. The auditor’s job is to ensure that CRBP-approved properties are properly maintained and meet the CRBP benchmark standard of being “well-maintained.”
Their assessment report provides asset managers/owners/property managers alike with an independent third-party assessment on the conditional state of physical asset or the building itself. Note: CRBP’s three auditing firms are not providing an engineer’s assessment. Rather, it is a professional property assessment similar to that undertaken in detailed municipal property standard review.
SoCM Audit Assessment – Benchmark Rating
Additionally, our auditors provide a SoCM rating for each building. It is benchmarked against CRBP’s established benchmark rating. Participating members must meet or exceed the benchmark rating to qualify as CRBP’s “Best of the Best” apartment property – well-run, professionally-managed, and well-maintained buildings.
SoCM Audit Assessment – Why is it Important?
- Lets renters know that an apartment building/property is being well-maintained
- Industry tool to assist in the prevention of municipal/provincial licensing
- Provides an independent third-party assessment on the conditional state of an asset
- Identification of any critical areas impacting life, safety, and health for residents and staff
- May identify building conditional issues/areas in need of capital improvement
- Improves the value of the asset, mitigates shareholder/investor risk, and enhances resident satisfaction
If you have been following along and reviewing CRBP’s Six Standard of Practice Disciplines, then you will no doubt realize that this program is detailed in perspective and covers the very inputs/policies/practices that define what professional property management means in the Canadian and North American multi-res market. FRPO’s CRBP was designed and developed to change the image of the industry and to demonstrate self-governance. At the same time, it indicates to your shareholders and investors alike that by being a part of CRBP, your organization is taking a proactive approach to mitigate/manage risk, enhance your public image/reputation, and equally as important, provide a value-added apartment homes and living for Canadians.
For further information about the CRBP and how to apply for the certification, please contact the Federation of Rental-housing Providers of Ontario (FRPO) – Ted Whitehead, Director of Certification, or visit our website today at www.frpo.org.