Property Mgmt Company raising reserve funds due to CoronaVirus???

[Christopher Buford]

My question is, what does a delinquency (can only assume they are meaning, tenant delinquencies, since the email really didn't elaborate)  have to do with repair work orders.  Maybe, I'm missing something here, please help me out if I am, but it would make more sense to me if the anticipated risk is was indeed delinquency, then the owners can better protect themselves by using the extra money to additionally beef up their own emergency reserve fund, rather than having it set in the property management companies emergency reserve fund.

Dear "Company",

Due to the recent outbreak of COVID-19, we are anticipating a spike in delinquency.
In order to continue servicing the needs of the business, effective immediately, "Your Property Management Company" will raise
reserves funds to cover the estimated cost for current work order requests that have either been
completed or are assigned(if any), and that has not been billed to you before your monthly owner
draw. Once your accounting has been reconciled, your reserve account will be reset.
By doing this, we are able to ensure that we can continue to be responsive and address any issues
as they arise.
We are committed to working diligently to keep the same level of customer service during this time of
uncertainty.

Sincerely,


Your Property Management Company

[Christopher Buford]

@Scott Mac

Scott, I sent them an email requesting an explanation and haven't heard anything back.  Yes, the fact that there were no numbers mentioned, caught my attention as well.