Pavement Lifecycle: Can it Get More Exciting Than This?
While roofs and mechanical systems get most of the attention, conscientious operators build in reserves for the replacement of all capital items including the parking lot. Usually when a capital expenditure is made, the expense is amortized over its useful life, and then collected again back over that time from the tenant(s) in the building. Be advised that replacement reserves may get transferred in sales to the buyer, similar to security deposits, for the continued replacement of capital items.