Congratulations on becoming homeowners in your new community! As you settle in and start to personalize your spaces, an important milestone awaits: the transfer of control from the developer to the unit owners. This process, known as “transition,” marks the moment when you and your fellow residents take the reins of your community, shaping its […]
HOA Transitions from Declarant to Homeowner Controlled Boards
Transitioning an association from a developer-controlled Board to a homeowner-controlled Board can be a complex process with various challenges. However, with careful planning and execution, it can be a smooth and successful endeavor. In this guide, we’ll explore the essential steps and considerations for the newly elected HOA Board members to ensure a seamless transition, […]
Community Association Transition Litigation and the Selection of Experts
In the realm of civil litigation, the involvement of “experts” can make or break a case. An expert is a qualified individual with specialized knowledge, skill, training, education, or experience in a particular field relevant to the issues at hand in the case. These experts are called upon to provide their professional opinions, analyses, or […]
Tips for a Successful Condominium or Homeowner’s Association Turnover (FL)
Several things that can be done by the Association prior to and immediately after turnover for the benefit of the community. This information will benefit not only any forensic engineering firm in performing a Property Condition Assessment Report, but the community operations as a whole. Read the article………………………..
Homeowners asking for change in developer-controlled HOAs (KS)
Residents of one Charlotte neighborhood are concerned about their developer-controlled HOA Watch the news report………………………..
Homeowners vs Developers: The fight for HOA control in North Carolina
A drive down Grand Palisades Parkway supplies 20-years worth of the subdivision’s history in just three miles. There are new apartments, older homes, construction of single-family subdivisions and zoning changes planned for even more development. Read the article………………………..
Leaving the Nest: Healthy Community Association Transition (NC)
North Carolina Community associations are typically developed by private developers that plan the community, build the infrastructure and improvements, develop the lots, and organize the property owners or community associations. Read the article………………………..
CAI Best Practices: Transition From Developer Control
The purpose of this report is to provide associations (and, to some extent, developers/builders) with guidelines they can use to turn over a community association successfully and smoothly. The ultimate goal of transition from developer control is for the owners to be adequately prepared to take over association governance and operations effectively. Read the article […]
How to Navigate the Developer Transition Process as an HOA (CA)
In the life of a homeowners association, there comes a stage when it transfers from the developer’s hands to the owners’. When both developers and owners make the necessary preparations, the shift from developer to board goes smoothly. Read the article………………………..
Mooresville homeowners wrestle for control of HOA; Developer could control 17 more years (NC)
Townhome owners in a Mooresville community say they’re desperate to take control of their Homeowners Association after the person left in charge of the HOA is accused of threatening residents with a gun and harassing behavior. Read the article………………………..
Transition not substantial completion starts the clock: New Jersey amends statute of limitations for homeowner and condominium association construction defect cases
In?2017, the New Jersey Supreme Court, in Palisades at Fort Lee Condominium Association, Inc. v. 100 Old Palisade, LLC, et al., held that the statute of limitations for construction defect claims brought by a condominium association begins to run upon “substantial completion” of the structure. Read the article………………………….
New Bill Clarifies Statute of Limitations For Community Association Transition Litigation Matters (NJ)
On Tuesday, January 18, 2022, Governor Murphy signed into law Senate Bill 396, which automatically tolls (i.e. pauses) the 6-year Statute of Limitations for construction defect claims by condominium and/or homeowner associations and cooperative corporations until the first election when unit owners take majority control of the association board (“Transition”). Read the entire article……………………………….
Condo Column: Review declaration and bylaws with attorney at transition (NH)
As we transition to the New Year I thought it might be helpful to give a particular pointer on that moment in time, be it days, weeks or a month, when an association transitions from being controlled by the declarant to the the owners themselves. Read the entire article……………………………….
Turnover From Developer Control (FL)
Anxieties amongst homeowners can run high at learning that their homeowners or condominium association will soon be going through turnover from developer-control. What is turnover, and what are its consequences?
How Developer-Controlled Communities Work
Many new communities getting built will often get referred to as a “Developer Controlled Community.” These communities operate differently when you move in, and understanding how they work when you move in is essential when you are living in the community for the first time. Furthermore, as modifications get made, and the community is getting […]
Condo Column: The transition from developers to owners (NH)
Much like being a parent who raises a child, only to have the heartbreak of dropping that child off at college, there comes a time when a declarant, after building the units; getting the grounds landscaped in the spring and summer and plowed in the winter; paving the roads; and opening the clubhouse; says goodbye […]
HOA Transition from Developer
We are often asked, “When should we start preparing for our HOA to transition from a developer-controlled board to a homeowner-controlled board?” Our answer is always the same, “starting on day one from when the developer first hires a professional management company.” Read the entire article……………………………….
Buyers at New S. Fla. Communities Must Diligently Protect Interests During, Post-Turnover
Generally speaking, the turnover process presents the initial opportunity for new owners and owner-controlled boards of directors to hire independent legal counsel, financial professionals, and engineers to conduct meticulous inspections of a community’s property as well as its rules and business records. Communities at this stage will need to diligently interview and investigate prospective service […]
Freeman Communities files counterclaims against class (DE)
Mark Dunkle, attorney for Freeman Communities, filed counterclaims against Nancy Green, a Bayside resident and the lead plaintiff in the class-action suit filed in Delaware Chancery Court. Dunkle claims Green did not follow Bayside’s charter in filing the suit and did not make a reasonable effort to resolve her conflict with the developer prior to […]
“Why Am I Being Deposed?” (NJ)
The unit owners in your condominium have been noticed for deposition in the pending transition litigation. Now they have come to you, the property management team, with questions. What should they expect at the deposition? What kinds of questions can they be asked? Did they do something wrong? Read the article……………………………………..
Suit aims to give Bayside home owners a majority on its board (DE)
Attorneys representing the Bayside Community Association and home owners in the housing development who wish to have the majority of seats on the governing board, are continuing negotiations in the wake of two lawsuits. Read the article………………………………….
Condo questions: HOA development almost done, owners prepare for turnover (FL)
Q: Our homeowners association is still being developed, and the developer is almost done. A few owners are trying to get prepared for turnover, but we don’t know where to begin. Any tips? Read the Q&A……………………………………
Condo turnover meetings
When the developer starts a new condo project, they create and control the first board of directors for the development. Depending on the state or province, there may be a time limit by which the developer must appoint an interim board after the condo plan has been registered. The names and addresses of interim board […]
Tips for Making a Smooth Transition from One HOA Board to Another
Passing on the titles and responsibilities of one HOA board to another requires that everyone work together to make the process as seamless as possible to ensure continued success of the community and to avoid any unnecessary mistakes. Read the article………………………………….
HOA transitions
When an HOA is turned over from a declarant, developer or builder, and control is given to members who live in the development, this process is referred to as the transition. HOA transitions are critically important to the future health and stability of developments. The group responsible for taking over will almost certainly require professional […]
COMMUNITY ASSOCIATION TRANSITION: CONSTRUCTION DEFECTS, IMPLIED WARRANTIES AND CONSUMER FRAUD
For every condominium and homeowner association, “control” is eventually transferred by the developer to an owner-controlled governing board after construction. This is called “transition.” A successful transition is one in which the owner-controlled board works with the developer to ensure appropriate governance, adequate financial resources, and a properly designed and constructed community. But what happens […]
New Board? How to Make the Transition as Smooth as Possible
Typically, board transitions happen after elections at a homeowners’ association (HOA) annual membership meeting. Voted in by community members, new directors volunteer to take on the duties of the board and the great responsibility that comes with it. Knowing the weight of the role, it’s important the transition of old board to new board is […]
Transition committee and construction defect claims (FL)
Q: My new condominium will soon be turning over from the developer. I am a unit owner and have been selected to serve on the transition committee, which has been primarily tasked with determining whether the developer has any obligation to make building repairs, etc. What are some things the transition committee should be thinking […]
UNDERSTANDING THE DIFFERENCE BETWEEN CONDOMINIUM AND HOMEOWNERS’ ASSOCIATION TURNOVER (FL)
Previously, I published a blog reviewing when turnover occurs for a homeowners’ association only. At first blush, one may conclude that condominium associations and homeowners’ associations would have the same or nearly identical requirements for when turnover occurs. However, the truth is quite opposite. Florida condominium association are governed by Section 718, Florida Statutes compared […]
When Does Turnover Occur For A Homeowners’ Association (FL)
Turnover is a vaunted date on the calendar for every homeowners’ association. Knowing at what time turnover occurs is necessary for a homeowners’ association to properly plan and effectuate the transition of board control from the developer to the owners. Read the article…………………………..
Transition Gets a New Condominium Community Off to a Good Start ? Or Not
Life is full of transitions. In the life of a community association, the most important transition by far is the one that transfers control of the community ? and responsibility for it ? from the developer to the owners. A successful transition will set the community firmly on the path to self-governance and financial health. […]
Community Association Board Transitions Can Present Added Challenges During Difficult Times
Changes and shakeups on community association boards of directors are common in Florida, and since the legislature has imposed term limits for association directors, communities are likely to see an even greater level of transitions to new board members in the years to come. Read the article………………………….
How Does Transitioning HOA or Condo Community Accounting Work?
Some Boards are hesitant to change accounting mid fiscal year. The fear may be that the accounting for the fiscal year end will be convoluted or inaccurate and can interfere with a year-end audit or tax filing. Or the fear may be that it is a lot of work. You don’t have to fear the […]
What Every HOA and Condo in Transition/Turnover Should Know About Florida’s Statutes of Limitations and Repose
We are frequently retained by homeowners associations and condominium associations who have just undergone transition/turnover from developer control to control by the unit owners other than the developer. Two of the first questions we ask them are 1) what amenities and other common elements does the association own or is it required to maintain; and […]
Condo column: How to prepare for turnover from developer to owners (FL)
Q: The owners in our community are assuming control from the developer at the end of the year. We want to prepare for turnover and the developer is reluctant to let us have any formal structure or authority. What should we be doing to prepare? Read the Q&A…………………..
Community Association Transition: Construction Defects, Implied Warranties and Consumer Fraud (NJ)
A successful transition from a developer to a homeowner-controlled board is one in which the two parties work together to ensure appropriate governance, adequate financial resources, and a properly designed and constructed community. But what happens when negotiations fail? Read the article……………………..
A Developer Controlled HOA
An HOA is created before the ground is broken for the first home. The developer-controlled board is more or less just in charge of keeping the community afloat until the community is finished (or mostly finished). In theory they have all of the same responsibilities that an owner-controlled board has, however, in practice, the board […]
Transition to Homeowner Control: Avoiding Problems and Finding Solutions
PDF article detailing transition procedures and issues for Colorado Read the PDF………………………….
When does the HOA Belong to the Homeowners? (MD)
So you have done it. You purchased that dream home. It is brand new, and you worked with the builder for months, agonizing over each critical detail. And it is yours! Now it is time to protect that investment and turn your community into your village. How do you go about doing that? Read the […]
Florida Law On Pre-Turnover And Post-Turnover Community Association Contracts
Community associations are businesses. Not only are they corporate entities, but they collect revenue (i.e., owner assessments) and incur expenses planned for through a yearly budget. Just like any other business, community associations find themselves in unfavorable contractual relationships with other entities. Unique to community associations, these entities often find themselves in undesireable contracts entered […]
Developer Voting Rights: When Does it End in Ohio Condominiums?
Every condominium association is initially created by a developer who controls the association during the beginning of development. During that time, the developer operates the association, but also is in the business of selling homes. Because the developer will want to protect its investment, it will most likely make certain decisions with that interest in […]
Job One for New Condo Boards: Get a Building Physical (NY)
New York City is bristling with shiny new condominium towers. As fledgling condo boards are discovering at an alarming rate, those towers are often bristling with construction defects. In many cases, the defects are so serious that the buildings fail to pass their first mandated facade inspection, formerly known as Local Law 11, now the […]
New Condo Boards Need to Pick Their Battles (NY)
The market for them might be softening, but new condominium towers keep opening in New York City. And every time a new one opens, the buyers of apartments are faced with a challenge few of them have ever faced before: forming and running a successful condo board. Read the article…………………….
Leaving the Nest: Healthy Community Association Transition (NC)
Community associations in North Carolina typically are developed by private developers that plat the community, build the infrastructure and improvements, develop the lots, and organize the property owners or community association. Read the article……………….
Kass: 5 steps new condo associations should take
Q. I live in a condominium complex with a large number of units. Recently, the developer notified each owner it will turn over control of the association to us, and a meeting has been scheduled for early next month. I have talked with a number of owners, and none of us have any idea what […]
HOA Board Transitions: Passing the Torch to a New HOA Board
When it’s time to pass the torch on to a new HOA board, it’s crucial that the change in power is made as smoothly and efficiently as possible to ensure the continued success of the community and avoid unnecessary management mistakes. Especially if there are numerous experienced board members leaving, it’s important to first establish […]
A Little Good Will Can Avoid a Lot of Grief for Condominium Developers
Condo developments have three phases, equivalent in the minds of many developers to the “stages of grief” that describe the mourning process. There is no question that construction glitches, quarrelsome owners, litigation, or the threat of it, that plague some projects can make many developers mourn their career choice. But the development process doesn’t have […]
New Developments and HOAs
These days most – if not all – of the new housing developments in Southern California are governed by a homeowners association. Establishing an HOA is one of the ways that developers aim to maintain the success of the community and preserve property values in the future. But how can an HOA meet the needs […]
Tips to Transition Control from Property Developer to HOA Residents
Starting a Homeowner Association from the ground level can be a difficult task, but the benefits they provide are extraordinary. Many brand-new divisions remain under the control of their developer until a majority of their units or homes are complete and occupied. Until that takes place, a developer’s board of directors maintains control creating rules […]
Mystic Lands property owners win lawsuit (NC)
A Swain County jury sat patiently listening for seven weeks as a room full of lawyers introduced over 400 exhibits, examined and cross examined numerous witnesses and pored over thousands of emails trying to get to the bottom of a dispute between a developer and property owners. It was anyone’s guess how the jury would […]