CapEx Vs Maintenance Reserve

[Kalp Mehta]

Hello

Difference between capex and maintenance reserve? Should I have both in my analysis?

[Account Closed]

At my local meetups, I find people have pipe dreams when it comes to this part. Scrimping here is probably the only way they can make themselves think the deals they bought looked good enough on paper. 

The only value I see in not underwriting this part correctly is helping themselves "take action". Actions they shouldn't take.

All of that has to be built into your pro forma.