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Lots vs Units

Hey Dennis,
We have a ton of references to “lot or unit” in our CC&Rs. We have several duplexes and one apartment complex with six apartments. Currently the duplex owners and the apartment owner are paying dues for one LOT and not the number of living spaces within that lot. My question is shouldn’t owners of duplexes and apartments be paying dues for the number of living spaces as opposed to the “lot”.

This is what the CC&Rs say:
Section 3. Annual Assessments — Maximum Amounts. The initial maximum annual assessment (i.e., dues) on December l, 2018 shall be not less than $182.60 per Lot or Unit. The Association may charge an additional amount not less than one-half of the annual assessment for each additional Occupant for Lots or Units with more than two ()ccupants

1 Response

  1. Dennis Legere

    Dave in a mixed-use community, ” lot” applies to single home lots and “units” apply to individual units in a multi-family complex . I would actually need to see your CC&R’s to discern what exactly they require for your complex. It would be contained earlier in the documents either in the definition for lot or unit or in the description of the property as established in the plat. You mentioned apartments, typically apartment occupants are not owners and therefore are not subject to assessments. If the occupants of the apartments are actually owners of their units, then they would be treated like the duplex owners. This is very important for your community because not only are assessments liability dependent on the total number of lots and units in the complex so is the total number of votes in the complex. I believe that the answer to your question lies in the CC&R’s and the recorded plat for the community, but earlier in the document than the section that you quoted. This is far to significant an issue to be left up to the interpretation of the board. It must be clearly established in the CC&R’s.

    Dennis

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