Navigating A La Carte Pricing and Owner Responsibilities in HOA Management: Lessons and Future Planning for Wafco Mills
Wafco Mills, a historic 66-unit condominium community in Greensboro, NC, has been self-managed since 2021, with Priestly Management providing financials-only services after transitioning from full-service management. As a board member for nearly ten years and a volunteer on another HOA board, I’ve seen that management companies—Slatter, Prestige, AMG, and Priestly—offer limited guidance on projects or board processes, relying on basic owner portals with only essential assessment information and lacking robust communication or maintenance tools. Many long-term landlord-owners, unaware of updated laws like the North Carolina Condominium Act, may not realize their responsibility to share Rules and Regulations with tenants or maintain unit utilities, adding work for our volunteer board, especially during incidents like leaks in stacked units. This post explores a la carte pricing impacts, invites landlords to engage, outlines 2021 Reserve Study recommendations, and notes the 2020 parking lot leak’s role in special assessments alongside roof replacements.
A La Carte Pricing Challenges
HOA management companies charge a base fee for routine tasks like dues collection, but additional services for projects—such as bids, oversight, or communications—are billed separately. At Wafco Mills, projects like brickwork, the trash enclosure, roof replacements, and the 2020 parking lot leak repairs incurred significant fees. When landlords don’t educate tenants on rules or handle unit-specific repairs (e.g., plumbing, per governing documents), tenant issues trigger extra fees, straining board time and budgets. A la carte pricing requires careful budgeting, given the minimal guidance from management companies.
Experiences and Landlord Support
Since 2015, management companies struggled to secure three bids for projects or enforce violations consistently, burdening our board. Priestly’s financials-only role since 2021 has helped control costs. Many landlords, owning units for decades, may not be aware of modern regulations, leading to tenant violations or misdirected repair requests (e.g., tenants contacting Priestly for unit plumbing). While most rentals are not problematic, issues often arise from tenants unaware of community rules. We warmly invite (this is a requirement of our governing documents) landlords to include Rules and Regulations in leases, monitor units, and ensure tenants are respectful, while encouraging participation through volunteering or attending meetings. To support owners and landlords, we’re developing clear resources on our WafcoMills.com website to clarify duties for unit maintenance and tenant compliance, fostering cooperation in our high-density community.
The 2020 parking lot leak, roof replacements, and landlord/tenant issues depleted reserves, requiring two $3,000-per-unit assessments. Past oversights, like lost documents or rare favoritism (e.g., a parking pad repair or improper plumbing coverage), led to our self-managed model. Transparent processes now ensure fairness and unbiased application of all governing documents across all units.
2021 Reserve Study Recommendations
The 2021 Reserve Study (Giles Flythe Engineers, March 22, 2021) projects $966,800 in repairs ($1,261,092 with 3.5% inflation) over 20 years, recommending a $217,800 special assessment (2022) and $43,560 annual contributions (5% annual increases). Post-November 2025, the board must oversee:
Current Projects (2025–2026)
Siding/Trim Repair, Painting (2025, $95,000): Repair and paint exterior elements, needing three bids for rot-resistant materials.
Mailbox Inserts (2025, $5,000): Replace two inserts, prioritizing durable materials.
Decks/Balconies (2026, $192,500): Replace 5,500 sq. ft., coordinating owner access.
Concrete Flatwork (2025, $13,200): Repair 5% of sidewalks/driveways, including grinding.
Drainage Improvements (2026, $8,000): Fix inlet basins, consider piping inspections (2020 leak lesson).
Future Projects (2027–2041)
Chimney Caps (2028, $32,250): Replace 43 caps, bids by 2027.
Curb/Gutter (2027, 2032, 2037, $2,475 each): Replace 5% every five years.
Piping Repairs (2027, 2037, $15,000 each): Fix common area lines, inspect by 2026.
Asphalt Sealing (2032, 2037, $6,200 each): Seal/stripe 3,100 sq. yds.
Asphalt Resurfacing (2032, $86,800): Mill/resurface, bids by 2030.
Retaining Walls (2037, $50,000): Repair near unit 405H, monitor cracking.
Siding/Trim (2032, 2039, $95,000 each): Seven-year cycle repairs.
Flatwork (2030, 2035, 2040, $13,200 each): Five-year cycle repairs.
Drainage (2032, 2037, $8,000 each): Upgrade systems, inspect by 2030.
Board Responsibilities Post-November 2025
Bids: Secure three bids per project, using study estimates (e.g., $192,500 for decks) with 3.5% inflation adjustments.
Owner Engagement: Share updates via WafcoMills.com, emails, and town halls, with owner and landlord resources on unit/tenant duties.
Reserves: Follow study funding, verify balances with Priestly, learning from 2020 leak strain.
Maintenance: Fund interim tasks (e.g., tree trimming) via operating budget.
Study Update: Schedule new study by 2026 for updated estimates.
Why Self-Management with Financial Support?
In 2021, we shifted to self-management to cut a la carte fees from projects like the 2020 leak and tenant issues, while Priestly’s financials-only role supports budgeting. Limited management guidance and landlord unawareness of regulations drove this change, enabling direct project oversight and community-focused decisions, with robust communication via WafcoMills.com filling portal gaps.
Tips for the Board and Owners
Clarify Roles: Define contract services, like Priestly’s financials focus, for clarity.
Estimate Costs: Request project fee breakdowns, compare with study estimates.
Supplement Guidance: Use consultants or owners with real estate and development experience for project support.
Educate Landlords: Share governing document resources, urge rule inclusion in leases, and invite volunteering.
Strengthen Reserves: Follow study funding to avoid assessments, enforce landlord accountability.
Owners and landlords can engage by reviewing budgets, attending meetings, and volunteering. Landlords, please include Rules and Regulations in leases and ensure tenants contact you, not Priestly or our volunteer board of directors, for unit repairs to utilites such as plumbing, windows, doors, HVAC, reducing board workload which will also make serving as a volunteer board member more attractive.
Looking Ahead
Wafco Mills is dedicated to preserving our community while managing costs. Supported by Priestly since 2021, our board is advancing brickwork, the trash enclosure, and more. The 2020 leak and roof replacements highlighted reserve planning needs, while landlord education can reduce tenant issues. As I step down in November 2025, I urge the board to follow the 2021 study, secure bids, and support landlords with clear resources. Owners, visit WafcoMills.com, review our FAQ, and share feedback via WeLoveWafcoMills@gmail.com to keep Wafco Mills vibrant.
