R.W. from Stone County, Missouri writes:
Dear Mister Condo,
What does it mean when a resort developer turns over the properties to the master board? At that point, is the property deeded in the name of the COA? I realize that each condo is deeded to the owner of the condo, but I would be referring to the common area and/or the undeveloped property.
Mister Condo replies
:R.W., when the developer turns over control to the Master Board, it means the association is now responsible for its own governance of the common areas. That includes maintenance, upkeep, as well as any and all liabilities. It is a critical time in the life of any HOA or condo and is best assisted by an attorney (not the attorney representing the developer but a separate attorney looking out for the best interested of the association). Too many times, developers turn over control of the common areas without having fully developed the property (i.e. the gazebo wasn’t built, the sidewalks haven’t been fully installed, etc.). A new and inexperienced Board is empowered and it is often the first mistake they make when they don’t fully understand the ramifications of the developer turn over process. The association is well advised to spend the money on an experienced attorney to guide them through this process. All the best!