Comprehensive Compliance Analysis
Growth through In-Depth Understanding
Collingwood’s multifamily operational analytics platform compares key performance indicators with business objectives to identify existing or potential risk factors affecting the financial performance of multifamily assets.
Our past experience includes overseeing the Federal Housing Administration multifamily mortgage insurance programs, as well as the risk sharing, direct loan, and capital grant programs. With direct responsibility for developing and implementing risk management protocols, we performed asset management and portfolio oversight of approximately 22,000 privately owned multifamily properties, and more than 1.2 million assisted housing units nationwide.
To ensure the long-term physical and financial viability of multifamily assets, it is crucial to conduct ongoing assessment of compliance risk and monitoring of management controls. Our team offers a third-party, objective, and independent analysis of property performance metrics and provides quality recommendations to mitigate risk, maximize returns, reduce/contain operating expenses, and sustain Net Operating Income (NOI) growth levels.
In a changing regulatory environment, a sound financial foundation combined with diligent asset oversight strengthens the institutional reputation of the owners and investors, and allows residents to have pride in the place they call home. Collingwood, through the services listed below, will play a pivotal role in identifying and mitigating risks and implementing comprehensive asset management planning to achieve your organization’s goals.
- Cost Containment Analysis — Perform cost containment analysis of property-level financial statements to quantify and correlate actual operations to operating budget and pro forma projections.
- Performance Benchmarking — Create and/or refine asset performance benchmarks utilizing pro forma, annual budget, and actual operating expenses.
- Corrective Action Plan Development — Develop and implement corrective action plan for troubled assets and/or recommend strategies to resolve material noncompliance findings.
- HUD Handbook 4350.3 Guidance — Provide expert guidance on HUD Handbook 4350.3 requirements for subsidized multifamily housing programs.
- Due Diligence Support — Advise on investor due diligence requirements and safe harbor provisions as defined by Land Use Restriction Agreements, Trust Indenture, Loan Agreement, Regulatory Agreement, and other restrictive use covenants.
- Regulatory Review/Research — Monitor regulatory changes to ensure continuing program compliance.
- Resolution Services — Provide third party issue resolution services to negotiate material noncompliance findings, False Claims Act filings, and other regulatory enforcement actions.
- Replacement Reserve Support — Evaluate and monitor replacement reserve accounts, withdrawals, and eligible expenditures for capital improvements or repairs.
- Property Costs Analysis — Review annual rent adjustment projections utilizing Operating Cost Adjustment Factors (OCAF).
- Compliance Manual Development — Write, refine, or evaluate subsidy-specific compliance manual for each stabilized property to be used to self-monitor compliance through qualified project period.
- Capital Improvement Project Guidance — Evaluate cost/benefit of capital improvement projects and research financing mechanisms to increase value and ROI of multifamily asset.
- Market Analysis Evaluation Support — Analyze industry and local market data, rent growth, operating expenses, occupancy assumptions, absorption rates, etc.
- Valuation Review — Review appraisal or valuation process to verify accuracy of multifamily asset value.