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RebeccaB5 (Washington)
Posts: 4
Posted:
We have one owner who lives in a stand-alone condo unit and wants to extend the walls of his unit to encompass 200 sq.ft of what is now Limited Common Area. As the Board, we wonder if others have faced this scenario and how they handled either permission to build or denial?
MelissaP1 (Alabama)
Posts: 13,836
Posted:
I would deny it. It's hurting them too. Especially when it comes to home value. Normally HOA's don't keep home values. However, in this case them taking an additional 200 square feet puts them in a different category. Their home will no longer be "comparible" to the others in the HOA. This effects many aspects for others and not only the owner.

Think about it. If a home is selling for $25 a square foot. That house adds 200 feet... How does that house now compare to the others? Having a house sell for a million dollars in a neighborhood that homes sell for half that, doesn't increase the value of the homes around it. Instead it throws things into a bit of a pickle for all. That buyer won't be able to unload it at a million. The other homes can't jack their prices to a million dollars.

So there is a rule in home flipping that one does not upgrade beyond the value of the other homes in that neighborhood. You do not put granite countertops when all the other homes have Formica. You will never get your investment money back.

Former HOA President
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Rebecca

The questions are can the HOA sell common property and would they be willing to do so?

The owner cannot do it without HOA approval of the land sale.
FredS7 (Arizona)
Posts: 927
Posted:
I suppose it is analogous to a situation I once heard of, where an association changed landscaping to carve out one more parking space.

There would need to be a change to the HOA documents. I have no idea how much is involved, but I'm pretty sure it would start with a surveyor and a lawyer.

THEN comes the hard part of getting it approved by enough of the owners.

THEN I suppose you would need to put the new parcel up for bids, where the only interested person would be the adjacent owner.

I doubt you would get that far.
KerryL1 (California)
Posts: 14,550
Posted:
JohnC & Fred sound correct to me. Your convents (aka, CC&Rs; declaration) should give you your answer re: who needs to authorize giving away or selling a portion of the common area.

Oh, but it's llmited common area, you wrote, Rebecca. So WHAT is its current use? Patio? Backyard? And it only can be used by this condo, right?

Our attached high rise condos all have balconies, which are limited common areas. As such, we have rules about what can be placed on them. To make any structural changes to them requires Architectural Comm. approval. Such approval would never be granted because it would destroy the continuity of design of our elevations (bldg. faces).

So perhaps this owner only needs ARC approval. I do think the answers still are in your own documents. Even if permitted, you want to make sure that they comply with all building codes and pay for the costs of any surveying

Welcome to the forum, Rebecca. I do wonder what a 'standalone" condo is??? what type(s) are the rest of the dwellings in your HOA? Are you on the board?
RebeccaB5 (Washington)
Posts: 4
Posted:
Thanks to all for your thoughts on this issue. Let me explain a bit more. The "limited common area" in question is a crawlspace adjacent to the unit. This building only has one unit in the building so the crawl space is not shared with other units. The owner wants to expand their condo interior 200 sq feet into the crawl space.

Any more thoughts on this? This is my first time on this site and I have really appreciated the response.
DouglasM6 (Arizona)
Posts: 724
Posted:
If their condo is going to larger because of using a common space, should their dues/assessments be higher? Just a question to consider.
JanetB2 (Colorado)
Posts: 4,219
Posted:
Quote:
Posted By RebeccaB5 on 10/12/2017 11:36 AM
Thanks to all for your thoughts on this issue. Let me explain a bit more. The "limited common area" in question is a crawlspace adjacent to the unit. This building only has one unit in the building so the crawl space is not shared with other units. The owner wants to expand their condo interior 200 sq feet into the crawl space.

Any more thoughts on this? This is my first time on this site and I have really appreciated the response.


Is the Owner willing to PAY the HOA attorney fees to adjust the CCR's (if approved via CCR requirements to allow) and to note the "limited common area" is no longer "limited" and now is the Unit Owner's responsibility with regards to future repairs, costs, etc.???
RebeccaB5 (Washington)
Posts: 4
Posted:
These are the questions we are researching. The owner seems willing to pay any and all money needed to accomplish their goals of making this addition. The concern is whether or not the HOA as a whole wants them to do this and what kind of precedent we are setting by allowing this. I many ways it makes no difference to anyone as the space being considered is under the owner's unit and not connected to outdoor space.
MelissaP1 (Alabama)
Posts: 13,836
Posted:
You know what would do now thinking of it... I would get an opinion of a builder/construction company on that area. It may not be something one can build on. There may be codes involved or issues with plumbing/electrical. Find out what their build plans are for that area and who is doing the building. You want them to be licensed and insured. NOT the homeowner doing the work.

Think a step ahead. What happens if this is all approved? What ramifications or consequences could you face?

Former HOA President
JanetB2 (Colorado)
Posts: 4,219
Posted:
You also want to check with your local government planning department to see if allowed. They are the entity who also must approve. If they would not allow such a change ... you are wasting your time.
RebeccaB5 (Washington)
Posts: 4
Posted:
Thank you all, these are good thoughts. The owners have employed an architect to draw up some plans for them and he is very familiar with the HOA. We will meet tomorrow to talk this through as a Board. All the input has been really helpful.
Thanks.

Becce
MelissaP1 (Alabama)
Posts: 13,836
Posted:
Thanks for the update. I will tell you that a few of our homes had a "Garden area" inside their unit. I thought a pretty neat little feature. However, you can imagine over time it can cause issues and eats up useable home space. The space was size of a small dining room. It has sliding glass door and an open roof above. The space is internal to that home. Hence why they were referred to as "Garden homes".

We had a few owners who wanted to enclose that space to expand their dining/kitchen area. Even though it was internal and not common area, we still had to approve plans. Enclosing this space changed a bit of the definition of the home. It's no longer a "Garden home". It did not increase the floorplan but useable space.

So there are situations where this is possible. I would just make sure to have the architect plans. The one house we approved turned out pretty nice. They were able to make a dining room to the side of their kitchen with a window. It blended in pretty well.

Former HOA President

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