Late home association development

Started by AS4 • 1 replies • 1097 views

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AS4 (Massachusetts)
Posts: 13

Posted:

Our condominiums are apparently in 'Limbo', when it comes to who is in control. Of 25 units, only one has not been sold and that has been the status for about one year. According to the Condo doc's the owners should have takine things over a long time ago! The problem has been that about 3 owners decided they did not want to take it over until the Developer completed all the work to be done. There is still work remaining however, it was just revealed that 'we' the Condo owners need to set up a board immediately because 'we' have automatically become the HOA, but 'we' have no power. Also, some things the Developer has done/and noat done can leave us liable, and also cause problems for our Insurance coverage as well as make it impossible to sell our Homes. If that were our desire. I've been informed that once we form an association everyone needs to contribute towards the hiring of an Attorney and an Engineer. Money everyone does not neccessarily have. I am wondering if there are any Management agencies that would provide services that would protect the HOA once developed and also handle the entire transition legal, audits etc included in the fee. Would appreciate your input.

KennethN (Illinois)
Posts: 36

Posted:

AS4,

My intial thoughts to your post raises a few questions. You mentioned turnover of the association and then later creating an association. Currently the association should exist, with some kind of assessments/contributions from the homeowners. Is this not the case? If it is the case, then you need to turnover and elect a board of directors who are homeowners. I know in my very recent case, turnover did not add any liability or give the developer any kind of pass at responsibilities. The association already existed, and all of it's liabilities were defined. We, as the board, just get to make decisions now, not the developer.

Hope this helps a little.

Ken

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