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Subject: Florida developer and maintenance fees allocation
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KarnS
(Florida)

Posts:8


07/20/2019 5:01 AM  
The 55 Adult subdivision where he buyers own their own land . The developers covenants and restrictions expired in 2001 after a 25 year life. The developer came to the HOA for acceptance and renewal. This was not granted but they were recorded and amended twice. The definitions section in these talk of lot or homesite in singular form and the community is divided into two different size lots, 50 by 90 and 65 by 90. The later has room for a motorhome port and these lots have dual hook ups for water and sewer. The developer provides water and sewer service. In 1997, the developer started to sell half a lot or extra whole lots to individuals. This has allowed homes to be placed landscape wise to the street and garages rather then a carport. The C&R which were recorded in 2001 indicate a monthly maintenance fee would be charged per homesite, it also indicates that fee would pay the operating cost of the community. It has come to my attention in reviewing recent expense reports that the developer has not been charging the monthly maintenance fee when they sell the lot. The developer has also chosen not to charge the maintenance fee when the buyer has purchased more then 1 lot of either size. The developer only charges one monthly fee so you could own 1, 1.5, 2, 2.5 or 3 lots. If you only purchased additional lot or lots on speculation and do not place a mobile home on it then you do not pay any monthly fee and the developer mos the property for you I appears at no cost.

I do not see this practice in written form in any portion of he C&R and many single lot owners are
not aware it is going on. The single lot owners with a mobile home bare the burden of the community cost the the monthly maintenance fee continues to ris. I have asked the board to have this reviewed by a lawyer but board members own double lots of both lot sizes and they feel the developer can charge who ever they want. The board will not read my plea at a meeting they just keep tabling the matter. The community common areas have deteriorated along with the roads and the developer is trying to sell the remains lots and campground. The campground was placed inside the subdivision and they have full us of the common areas.

Am I hitting my head against a wall there are 101 actual mobile homes but there are a total of 133 lots sold. The developer is not even collecting the maintenance fee from all the homes.

Any suggestions?
MelissaP1
(Alabama)

Posts:8396


07/20/2019 6:43 AM  
I have seen where a developer does not pay dues on lots until they are sold. It's not an unusual practice. Not clear if this is what happening here. If no home on it, then it may be that they don't charge the fee on the lots until a home is put on them or sold? Need more details.

Former HOA President
KarnS
(Florida)

Posts:8


07/20/2019 6:59 AM  
The original covenants gave you a year to place a home the new covenants not approved in 2001 gave 2 years. No mention when fees are collected. The operating cost of the community include taxes, insurance etc which affect the entire community. Why would you not be required to pay the soft cost as they are sometimes referred to , when you are required to pay taxes for tthe land to the county.. Now the developer can extend the 2 yers to build. So we have lots that have not paid since 2007. These appear to be for investment purposes and one lot was eventually sold from 2005 purchase in 2013 so that lot owner is paying the monthly fees.
This practice does not appear to be equitable.
KarnS
(Florida)

Posts:8


07/20/2019 7:00 AM  
It is not the developer who is not paying on lots they own it is a buyer who purchased a lot or multiple lots.
JohnC46
(South Carolina)

Posts:8550


07/20/2019 9:27 AM  
When to begin collecting dues is a long running and often a legal discussion. The answer range from the developer pay something to dues do not begin until a home is built and given a Certificate of Occupancy.

It looks like the OP has gotten nowhere with his argument. Time for him to lawyer up if he is serious. He might could rally others that believe as he does to defray cost.
KarnS
(Florida)

Posts:8


07/20/2019 10:57 AM  
UWhat is an OP.
The developer does not want to collect on the lots it is I who have brought up the argument that the developer only charges one maintenance fee for two lots these could be 50’ or 65 feet wide a homes place on two lots do to size or orientation preference. What I am hearing you say is that if the developer sells a lot or multiple lots that is ok for the purchaser to not pay the maintenance fee. I personally owned a lot which I did not build on for 3 years in another community and I had to pay to keep up the common areas of he community. It appears to be unequal assessments if a buyer can buy land on speculation hold for 10-12 years then sell and not incur carrying cost to the community for his portion of the upkeep.

Does this clarify the situation I am dealing with? Both the board members who own multiple lots and the developer like the situation the way it is. The community is going down hill and the answer That is being proposed from multiple lot owners is raise the fee for those who are now paying a fee not all lots, hold his money in the HOA and make the improvements ourselves when the developer sells to another company request a return of 50% of our cost.
He devotes will not sell to the HOA under any circumstances. The HOA board has a lawyer trying to get 5 years of yearly expense reports from the developer. Past expense reports show the developer does not collect maintenance fees from from all the homes which are 101 while lots sold are 132. Yearly maintenance fee divided into her reported maintenance income received tell you how many units are paying the freight of the community.

It would be easier to just sell this problem to someone else but that does not address this problem for those remaining. Just not sure if it is even worth getting answers from a lawyer.
KarnS
(Florida)

Posts:8


07/20/2019 11:05 AM  
I am not speaking about dues for the HOA, I am talking about maintenance fees for a lot or homesite which is singular in the definitions section of the C&R. I assumed that once a lot was sold that the upkeep of the community would be allocated to the lots sold and this would lessen the burden on the developer. In an ideal situation the income collected from maintenance fees would help guide the HOA if they ever took control and would keep up the common areas , buildings and roads. This place is falling apart, the roads are a mess and the buildings for maintenance work, clubhouse and office may need to be torn down..
KarnS
(Florida)

Posts:8


07/20/2019 11:09 AM  
John not dues I am talking maintenance fee for upkeep of the community and paying all the cost. Does a person buying a lot get a free ride until a house is moved to the lot? What happens after many years and no home is being placed on the lot? How does this effect the other lot owners who are paying the cost of taxes, insurance, liability, payroll the list goes on and on.
MelissaP1
(Alabama)

Posts:8396


07/20/2019 11:24 AM  
Are not HOA dues not maintenance fees? If you own the lot/house then what other taxes/insurances you talking about? The HOA may have liability insurance of it's own, but that is to be covered in it's maintenance expenses.

So not sure if your jumping the gun here on making people pay. If they are not paying, then the HOA if owner owned, can place a lien. I would just have a policy in place that says what that time limit is for not paying before a HOA liens. Is it 1 year? 6 months?

Former HOA President
JohnC46
(South Carolina)

Posts:8550


07/20/2019 2:04 PM  
Posted By KarnS on 07/20/2019 11:09 AM
John not dues I am talking maintenance fee for upkeep of the community and paying all the cost. Does a person buying a lot get a free ride until a house is moved to the lot? What happens after many years and no home is being placed on the lot? How does this effect the other lot owners who are paying the cost of taxes, insurance, liability, payroll the list goes on and on.




Karn

Pay attention. I am not saying one should be paying nothing. I for one agree they should be paying something but there are no hard and fast rules. It varies widely. If ou do not like and have not been able to change, either accept it is what it is or lawyer up and fight.
KarnS
(Florida)

Posts:8


07/20/2019 2:50 PM  
Thank you I understand..
KarnS
(Florida)

Posts:8


07/20/2019 3:04 PM  
In our development the HOA is mainly a social organization the property has not been tuned over to us. It has been over 40 years and the place looks it with the developer not maintains things. My understand was the maintenance fee was to upkeep the development and if there was a shortfall then the developer had to pay the difference. It is this monthly fee which is not being paid by all lots. Please read my first post. The developer has sold multiple lots but the wording of the developement C&R agreement appears to indicate the fee would be for each lot not all lots combined under one deed. This is not your usual chain of events. but The developer thinks that the fewer people using the facilities the less wear and tear so the multiple lot owners are doing all the residents a big favor. We also have a campground which uses all the same facilities but does not appear to contribute any money for upkeep or cost of the development. This campground s located in a 55 Adult Subdivision.

Thank you for any suggestions .
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