The Transition Committee: Developers and SFR

The Transition Committee: Developers and SFR

During the late 90s, a southwest homeowner association completed a 7-year transition from a developer to owner board.

Sometime later a new management company was employed and while going through the onboarding of the association, they researched the annexation of each subdivision and supporting deeds.

It was identified that the clubhouse and pool area, located at the heart of the association, had never been transitioned.  While the owners were using and maintaining them, these common elements were not under HOA ownership.

After a period of legal filings, the land was properly deeded to the association.

This type of error could have been disastrous and is why it’s imperative to have a fully engaged transition committee.

The transition of the association from developer to owner may take years to complete and requires detailed research and documentation. It’s in the best interest of both the developer and the owners to work with a community management company that specializes in this kind of process as continuity of membership is key to a successful transition.

Beyond obtaining plat maps and parking rules, the transition committee will verify that all common area parcels have been properly deed to the association. The committee can also confirm that items the developer included in the public offering have been addressed.

Remember, the association begins before the first home is sold, and the ability of the HOA to function over the next 40 years depends on those early owners who stepped in to guide it past developer management. Participating on a transition committee in a developer-managed association is a simple way to have a long-term impact on the success of your community.

The Point of Transition: Developers and SFR
A Positive Note – the Power of a Good Relationship