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CaroleW (Tennessee)
Posts: 6
Posted:
I am currently the new HOA President of my subdivision is a PUD

there seems to be a great debate about defining what a PUD exactly is. Some here feel that we are condo's and some feel that we are individual homeowners
the board has agreed to define our community better at the next meeting and to then come up with a committee to examine our current CCR's and see where and what will need to be amended that would better reflect our community. We do not have any common areas other then the front brick wall with the name of the subdivision on it and a berm. As our CCR's read now, common areas on listed in there such as pool area, club house and so on. There is also discussion as to where the home owner's responsiblity to the upkeep of the outside of their homes end and where the HOA's begin. We have a very small HOA fee of 65 dollars for Trash pick up and lawn service plus we have a 10 dollar a month reserve fund for the roofs.
So my question to this forum is,
Who defines exactly what a PUD is? We live in Knoxville Tennessee and I have been unable to find any codes or regulations on how to define us.

thank you for your input
JanetB2 (Colorado)
Posts: 4,219
Posted:
Hi Carole … being defined as a PUD was probably done by both the developer and your local city during the city approval stage. I would check with your local planning department to verify whether they consider your HOA a PUD, this is something you cannot arbitrarily change.

Your state statutes define a PUD as:

66-5-213. Disclosure requirement where property is located in a planned unit development.

(a) As used in this section, unless the context otherwise requires:

(2) “Planned unit development (PUD)” means an area of land, controlled by one (1) or more landowners, to be developed under unified control or unified plan of development for a number of dwelling units, commercial, educational, recreational or industrial uses, or any combination of these, the plan for which does not correspond in lot size, bulk or type of use, density, lot coverage, open space or other restrictions to the existing land use regulations; and

DonnaS (Tennessee)
Posts: 5,671
Posted:

Carole,

You will be considered BOTH! Planned Unit Developement is what the State and County consider a developement that is built by a developer which has been approved by the County or City that the developement sits in.. Your HOA has been established by the developer to govern, divide and establish a system of lots or "units" within the State or County restrictions. These are restrictions can be like sewer, water, land control,environmental controls and these type items, aka..PUD.

You should have a set of documents that the developer or previous owner passed down to you which contains your Restrictive Covenants, Articles of Inc (Charter in Tn.) and hopefully a set of Bylaws, thus making you a HOA. Do you have any of these?
CaroleW (Tennessee)
Posts: 6
Posted:
we do have our CCR's and bylaws
and on these documents we are called Planned Unit Development
what we are trying to achieve is to define what that means for us
do we own our outside walls as well as inside?
are we resonsible for our own roofs
painting where needed
siding
gutters
driveways
so on

maintance is somewhat vague in our CCR's other then common areas as mentioned in my first posting
we are looking for any regulations or guidelines when it comes to PUDS on these matters
not what the developer put together when this sub division was being built

JanetB2 (Colorado)
Posts: 4,219
Posted:
Actually Donna ... my city Planning Department consideres a PUD separately and different than a residential community development so other cities also might.
DonnaS (Tennessee)
Posts: 5,671
Posted:

Janet,

Might the difference be that a residential community does not have a HOA? That is how they were different in Fl
JanetB2 (Colorado)
Posts: 4,219
Posted:
In my city we are a residential community subdivision with an HOA. I thoroughly checked it when I first was reviewing CCIOA, because there are a few better protections for homeowners in a PUD.
TimB4 (Tennessee)
Posts: 21,059
Posted:
Carol,

Condo's typically have a different set of, or just additional, State laws that must be complied with vs. PuDs.

Additionally, The FHA doesn't require qualification for PUDS but do for Condos before approving a loan. These requirements usually are incorporated by banks as well.

As someone pointed out. Typically if your property has covenants then you are in a planned unit development. This would apply to condominiums as well. However, for a PUD to be considered a condominium they must meet the States definition. TN defines a condominium in, Tennessee Condominium Act of 2008 as:

(8) “Condominium” means real estate, portions of which are designated for separate ownership and the remainder of which is designated for common ownership solely by the owners of those portions by the recording of a declaration pursuant to the terms of this part and parts 3-5 of this chapter. Real estate is not a condominium unless the undivided interests in the common elements are vested in the unit owners pursuant to a declaration recorded under this part and parts 3-5 of this chapter or prior law applicable to the declaration;

(9) “Conversion building” means a building that at any time before creation of the condominium was occupied wholly or partially by persons other than purchasers;

If your development does not fall under this description then you would just be a planned unit development and not a condo.

Hope this helps,

Tim
JanetB2 (Colorado)
Posts: 4,219
Posted:
Hi Carole:

I was wondering if it was just your "condos" which were built in the development or were other homes, condos, or commercial buildings also constructed? The reason I am asking is:

The way my city planners described a PUD when I looked into this a while back is that it would be a developer who is developing a large area and which would contain different constructed buildings i.e., homes, condos, small strip of stores, apartments, etc. They stated all these would be grouped into one "Planned Unit Development" which would be constructed in various phases.

What made me think of that is the definition for PUD in your state is virtually the same as my state statute.
CaroleW (Tennessee)
Posts: 6
Posted:


Thank you all for your input
On our CCR's we are called Planned Unit Developments

What I am questioning is who has the power to define what that means

I have found a number of definitions
This is how our units were advertised
offers planned unit developments in duplex configurations. In typical condominiums, only the interior of the home is purchased. In PUDs, homebuyers also own the land and exterior walls, giving them more freedom in making the home their own.

In our bylaws and in our covenants it gives the maintenance of our homes exterior to the HOA, to provide clean up and repair etc.
They also dictate what can be done to the exterior of the homes such as lighting, colors, mailboxes, doors, skylights and so on

However our assessment fees are presently extremely low, to cover the cost of trash pick up and lawn service
if we were held to have to maintain the outside of each home as stated presently in our CCR, then we would have to raise the assessment fees considerably to cover reserve costs for such maintenances
The last HOA board initiated a reserve fund for roofing beginning at the first of this year.

the board wants to define what it means for us to be PUD's and then make amendments to our CCR's and bylaws to reflect that definition and then determine what is the homeowners rights and where the HOA comes into play beyond trash pick up and lawn service

thank you again for your insites

JanetB2 (Colorado)
Posts: 4,219
Posted:
Per your question:

What I am questioning is who has the power to define what that means

I am not exactly sure what you are asking with regards to “power to define”. The PUD is defined in your State Statutes definition as I posted above and noted below, your City Planning Ordinances may also have the same or broader definition, your closing documents should have information as noted below (including a Master Deed).

If your CCR’s have the HOA responsible for the exterior, then you will need to start the reserve account as you will be held to maintain the exterior as stated. I think to help you better understand the situation you should make a trip to your local planning office and ask them about the boundaries for the overall PUD, then ask about the boundaries for your Condo Area within the PUD. This may help you clarify/understand the situation. I am of the opinion that your group is Condos located within an overall PUD, but I do not have your documents to review and clarify which is why I suggest your local planning department.

66-5-213. Disclosure requirement where property is located in a planned unit development.

(a) As used in this section, unless the context otherwise requires:

(1) “Bylaws” mean guidelines for the operation of a homeowner's association that define the duties of the various offices of the board of directors, the terms of the directors, the membership's voting rights, required meetings and notices of meetings and the principal office of the association, as well as other specific items that are necessary to run the homeowner's association as a business;

(2) “Planned unit development (PUD)” means an area of land, controlled by one (1) or more landowners, to be developed under unified control or unified plan of development for a number of dwelling units, commercial, educational, recreational or industrial uses, or any combination of these, the plan for which does not correspond in lot size, bulk or type of use, density, lot coverage, open space or other restrictions to the existing land use regulations; and

(3) “Restrictive covenant” means any written provision that places limitations or conditions on some aspect of use of the property, such as size, location or height of structures, materials to be used in structure exterior, activities carried out on the property or restrictions on future subdivision or land development.

(b) In addition to any other disclosures required in this part with regard to transfers described in § 66-5-201, the owner of the residential property shall, prior to entering a contract with a buyer, disclose in the contract itself or in writing, including acknowledgement, if the property is located in a PUD, and make available to the buyer a copy of the development's restrictive covenants, homeowner bylaws and master deed upon request.

[Acts 2009, ch. 112, § 1.]
CaroleW (Tennessee)
Posts: 6
Posted:
thank you that was so very helpful

I have been searching for the answser and you provided a great explaination

thank you all for your input
JanetB2 (Colorado)
Posts: 4,219
Posted:
You are very welcome ... we are all here to help each other when possible.

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