Selling of HOA Common Area in Virginia

Started by AM1 • 7 replies • 2738 views

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AM1 (Virginia)
Posts: 1

Posted:

Can a Virginia HOA sell common areas that are of Limited use to the general HO population, due to its location?
The land in question, is located directly behind private homes with no access points, unless one trespasses on the individual's private property.

There are large continuous areas of common property, with multiple access points playgrounds etc.
Those are NOT in question.

JanetB2 (Colorado)
Posts: 4,219

Posted:

How are you planning to potentially sell this land if a new owner would not be able to access?

JanetB2 (Colorado)
Posts: 4,219

Posted:

AM1 … you may want to drag out your subdivision plat and take a good look at this area. Is this property you are describing common area because it contains utility or irrigation easements? There is probably a good reason it is designated HOA common area, so you need to first determine why before considering any other options.

DorothyO (Washington)
Posts: 293

Posted:

AM1
You have to look at the original plat. Whatever it is designated for comes after the fact (unless it is some sort of "protected" area like a wetlands, see below)of it's private property status, commonly owned by all the homeowners. Which it sounds like it is. If the area in question falls with the ownership area, then it is considered owned "undivided" by each homeowner.

I actually just spoke with our attorney this past Friday on this very question. For example, there are 42 homeowners in my neighborhood. We have a small park. Each one of those 42 homeowners owns that park. If we were to sell that piece of property, all 42 homeowners would have to agree, because it's not "divided" into 42 sections, but it is a whole piece. It'd be like 42 family names being on the deed to Mama's house. Gotta get all of them to agree to sell or quit claim.

We also had a situation where we have a wetlands that all homeowners agreed to quit claim and split in half to sell to each of the two adjoining homeowners. Even though we owned it, we could not sell it due to its protected status as a wetland. The homeowners then had to quit claim, we had to pay them back, and it came back to the association to be maintained as a wetland, with all its rules and regulations.

Sell it to whom? What is its nature now, and what would it be used for upon selling?

SteveM9 (Massachusetts)
Posts: 3,699

Posted:

Dont forget all the mortgage companies need to give each homeowner approval. They have an interest because they actually own it.

DorothyO (Washington)
Posts: 293

Posted:

Right, I totally forgot about all the mortgage companies! Can you imagine? I am curious what the nature of the parcels are and why the HOA wants to sell - just because it is not "usable" as commonly used areas?

BrianB (California)
Posts: 2,820

Posted:

add to the questions to be answered: What is the land zoned for, and does the city have any restrictions on that land. For example, some common areas in Phoenix may look 'usable', but the city/county has designated them as retention basins, forever. You might buy it, but you can't do anything to it to alter the ability to function as a storm drainage/retention basin.

DorothyO (Washington)
Posts: 293

Posted:

Brian,
That's exactly what happened with us. Even though this "designated wetland" is really an old run-off ditch from a long ago dairy pond, it was determined "protected habitat" by the city. Couldn't sell it, couldn't develop it, restricted planting, specialized aquatic spraying. Oy! It's really lovely though, and I am glad it's there.

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