Definitions for "REPLACEMENT RESERVE"
The amount set aside at the time of initial occupancy, or each month thereafter, for the future replacement of items including, but not limited to, flooring, plumbing systems, heating systems, security systems, electrical systems, roofs, and window and door units, as approved by DHCR.
a reserve fund to provide savings for the timely replacement of major appliances, building components, and structures
Various account maintained by the lender to provide funds for anticipated expenditures required to maintain a building. A reserve account is usually required to escrow for taxes and insurance. A replacement reserve may be required to provide funds for short lived components.
Money accumulated in an escrow account to replace common property (roofing, heating unit, etc.)in a condominium, or cooperative.
An amount set aside from net operating income for replacement of short-lived common property in cooperative housing projects such as condominiums.
Keywords:  usable, eventual, lived, assets, short
an amount set aside from net operating income to pay for the eventual wearing out of short-lived assets.
Amount set aside to pay for the replacement of short-lived assets when they are no longer usable.