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December 11, 2001
Dear
Fellow Owner:
Once again I am glad to report that the Lauren continues in
good financial health and remains a wonderful place to live.
Despite the devastating effects of September 11th
on the economy of the District of Columbia, the demand for
purchasing or renting units at the Lauren is high. Dupont Circle continues to be an exciting and vibrant
neighborhood. Last year the Board expected operating costs to increase by
8%. Happily, the
increase was closer to 4% because of the relatively cool summer,
warm winter, steady energy rates, and low legal fees. As a
result, the Board expects the year to end with income slightly
exceeding expenses. For the coming year, the Board expects expenses to rise about
3% mainly in contracts, salaries, health insurance and water
bills. However, due
to the surplus and some anticipated savings, the Board approved
a budget with a 2% increase. After an extensive search by a committee headed by Brian
Larkin, the Board selected the Koger Management Group, Inc. as
our new financial firm because it offered new services including
credit card payment of condo fees, faster financial reporting
and lower fees. Last year the Board authorized a financial and engineering
reserve study. The
study identified a number of items that needed replacement in
the short term and a plan for 15 – 20 year replacement of
other items. The
report concluded that the level of capital reserves, although
lower than optimal, was strong, and recommended small increases
in the level of contributions to the reserves.
The study recommended immediate
replacement of the roof to prevent structural damage to the
building. The Board
had anticipated this and funding was in last year’s budget.
Work began in December.
People living in the building who have endured the
drilling and jack hammering will be glad to know that work
should be completed in January.
Work will then begin on the re-creation of the roof
garden. About twenty percent of the owners participated in the window
replacement option. As
one of those buyers, I have noticed a reduction in noise and
drafts. To improve building accessibility, the Board commissioned an
architectural study and approved development of detailed designs
for a lobby wheel chair lift, front door restructuring, new
ramps in the basement and roof, which is due in January.
Estimated cost for construction is $60,000. For the Board, I wish you peaceful,
happy holidays and a wonderful new year. Sincerely,
Elizabeth VanderPutten, President |
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