3.0 Project Services Case Study

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At-a-Glance

Project Type: Central Boiler System Replacement (Heat and Domestic Hot Water)

Location: The Villas HOA, Denver, CO

Units Affected: 40 Condominium units, 1 subterranean utility room

Duration: October 2024 – June 2025 (8 months)

Vendors Coordinated: Plumbing & HVAC, Electrical, MEP Engineer

Special Features: Temporary heat provided by mobile boiler

Financial Tools: Insurance claim, refinance of existing loan, special assessment

Project Cost: $815,000 total

Project Overview

The Villas is a 40-unit condominium community in Denver, CO built in the early 1960s. Over the past several years, the Board of Directors have actively addressed deferred maintenance and critical capital improvement projects, with the overarching goal of modernizing the property’s infrastructure and building a robust financial outlook for the association. 

In the Fall of 2024, the property’s central boiler system failed suddenly, leaving only an undersized, backup boiler to provide heat and hot water to the residents with the heating season approaching quickly. The Board retained 3.0 Project Services to plan and manage a successful project which included an insurance claim, administration of a special assessment, coordination of engineering design, installation bidding, and weekly project management in the field.

Challenges Addressed

• Emergency failure of aging boiler system just before peak heating season

• Expedited timeline to engage with required contractors for bidding

• Owner communication during frequent water shut offs and shortages in availability

• Navigating insurance and special assessment logistics

• Coordination of multiple construction disciplines simultaneously

• Logistics of demolition and removal of 60-year-old equipment

• Required upgrades to gas and electricity infrastructure

Solutions Delivered

• Led a successful insurance claim process on behalf of the association and its equipment breakdown policy

• Presented and approved a special assessment with clear homeowner communication and expectations

• Sourced, deployed, and installed a temporary mobile boiler system during construction

• Scheduled and managed all vendor timelines and scopes

• Assisted with design of new system, utilizing 3 boilers for increased availability and backup ability

• Maintained resident access to utilities throughout

Communication Strategy

• Zoom and in-person meetings with the Board during planning phase and throughout the duration of the project

• Special meeting of Owners to conduct Special Assessment

• Weekly email updates to residents with look-ahead notes and milestones achieved

• On-site signage regarding water shut offs and safety barriers around temporary boilers

• Emergency phone support for residents after hours

Financial Management

• Total Project Cost: $815,000

• Insurance payout: $458,000

• Total Special Assessment: $357,000

• Special Assessment Per Unit: $8,950

Project Outcomes

• New, efficient central boiler installed for reliable heat and domestic hot water

• Provided temporary heating solutions to minimize resident discomfort

• Facilitated homeowner engagement sessions to gain support on Special Assessment

• Positive feedback from residents and Board Members

Key Takeaways

• Board Members who can articulate a strategic plan for the community are likely to receive better support from owners

• A successful association project is more than just the construction aspects, but also the financial and communication strategies and execution

• The boiler replacement was tentatively planned for 2026. The ability for a Board and management team to pivot based on critical failures is part of a successful project