Question: Our condominium is comprised of units which all share at least one common wall. Recently one of our owners proposed that they would like to acquire the unit on the other side of their common wall, put in a couple of doors and double their size. Our governing documents specifically prohibit penetrating the common wall. What are the issues that should be considered on such a proposal?
Answer: The common wall restriction is intended to address fire safety and structural integrity. Breaching a fire wall could pose a threat to a neighboring unit. If both units are owned by the same person, the fire safety issue is moot. However, it is possible that some time in the future, the owner might want to sell one unit off. At that time, requiring that the fire wall be restored is essential.
Whenever a common element is affected in this way, it makes sense to have a qualified architect or engineer produce plans and specifications that address structural considerations and fire safety issues. The plan should include appropriate building permits and a requirement that only licensed contractors may perform the work. If the board receives a request with supporting documentation and agrees it’s acceptable, there should be an agreement drawn up by an attorney describing the alterations and the requirement that the unit owner accepts all responsibility to mitigate any damage it might cause and to effect all repairs relating to it now and in the future. That document should be made part of the unit’s public record for the benefit of future owners and lenders. The unit owner should pay for all legal fees.
Question: Is it possible to hire a management company to do just certain things for us and the board continues to do others? For example, we have a long time resident who is an accountant who has kept our financial records and would continue to do so. But someday, the board would like to turn all the work over to a management company.
Answer: Elected boards were never intended to self manage the HOA and are seldom trained in property management. Unless your governing documents require a vote of the members to approve the budget, the board has the authority to approve hiring a management company. It is highly recommended that professional HOA management be hired to handle at least the financial aspect which is so critically important. Overseeing repairs and contractors also figure large as does rule enforcement. Management is charged with obtaining competitive pricing on services so can often pay for itself in that way alone. When the big picture is considered, you will be pleasantly surprised how cost effective professional management is.
For more innovative homeowner association management strategies, see Regenesis.net.
Published: April 20, 2011
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Richard Thompson owns Regenesis, a management consulting company that specializes in condominium and homeowner associations. He is a nationally recognized expert on HOA management issues.Regenesis publishes The Regenesis Report, a monthly newsletter for HOA boards, developers and managers. To subscribe, go to Regenesis.net. He can be contacted by email at . |