How can builder lose??

We are a condominium in New York. Building started on our community in 2006. It was fully expected that it would be finished and sold out by 2009, but we all know what happened to the economy.

Here we are in March of 2013 and about 85% of the community has been sold, and Hurricane Sandy has brought many new customers looking to get away from the shores of Long Island. We expect to see everything sold within the next two years or less.

The builder will not discuss transition with anyone. It is almost as if he would prefer to wait as long as humanly possible before giving up his books and records for examination by attorneys or engineers representing the homeowners.

We cannot get an answer about forming a transition committee except that he thinks the current board members are best qualified to do so (the problem is that 4 board members are his and the homeowners have 3 as the minority). We would never get anything we want or need under those circumstances.

Now we have come to the realization that there is a statute of limitations or 3 or, maybe, 6 years on construction, and perhaps he wishes to make sure he falls outside of those ranges before allowing any inspections to go on.

Many homeowners are feeling very uneasy.

As a condo in New York, what recourse do homeowners have to get a transition committee up and running and how do we light a fire under the builder so we can get what we are rightfully entitled to?

Thanks!!
Steve

Not a single word.

Our Offering Plan states that as long as the Sponsor owns a single home in the community (or even if he is renting a single home), he will have control over the board.

There is even a line which states, "Purchasers may never gain control of the Board of Managers under the terms of this Offering Plan."

Yes, our Offering Plan states that we can amend it with a 66.2/3% vote of the homeowners.

Problem is that the text also suggests that the vote has to come at a "duly held Homeowners meeting". The sponsor has used his majority on the board previously to vote down meetings that homeowners wanted to hold for other purposes.

We have no reason to believe that he will allow such a meeting to circumvent his apparent goals to the contrary.
Steve

What for the love of God, would entice you to buy, with something like this in the Offering??????

So, the homeowners should hold their own meeting. In a location he does not control. He can't stop the homeowners from having their own meeting.

I think you are wrong... According to attorneys here in NC an association that votes in the super majority, has A LOT of power. Regardless of the documents....

Do you have a copy of your Convenants and Restrictions, by-laws, or Articles of Incorporation? All your answers lay in those documents. It does not sound like you have a copy or have read it. I'd suggest starting there. When handed over the only thing that has to change is reference to the builder and their rights. Otherwise everything in there is what you and your other owners will abide to.

Dave has offered good advice. There is usually a way for owners to force a special meeting.

Hope this helps.