§ 47C‑3‑112. Conveyance or encumbrance of common elements.
(a) Portions of the common elements may be conveyed or subjectedto a security interest by the association if persons entitled to cast at leasteighty percent (80%) of the votes in the association, including eighty percent(80%) of the votes allocated to units not owned by a declarant, or any largerpercentage the declaration specifies, agree to that action; provided, that allthe owners of units to which any limited common element is allocated must agreein order to convey that limited common element or subject it to a securityinterest. The declaration may specify a smaller percentage only if all of theunits are restricted exclusively to nonresidential uses. Distribution of theproceeds of the sale of a limited common element shall be as provided byagreement between the unit owners to which it is allocated and the association.Proceeds of the sale or financing of a common element (other than a limitedcommon element) shall be an asset of the association.
(b) An agreement to convey common elements or subject them to asecurity interest must be evidenced by the execution of an agreement, orratifications thereof, in the same manner as a deed, by the requisite number ofunit owners. The agreement must specify a date after which the agreement willbe void unless recorded before that date. The agreement and all ratificationsthereof must be recorded in every county in which a portion of the condominiumis situated, and is effective only upon recordation.
(c) The association, on behalf of the unit owners, may contractto convey common elements, or subject them to a security interest, but thecontract is not enforceable against the association until approved pursuant tosubsections (a) and (b). Thereafter, the association has all powers necessaryand appropriate to effect the conveyance or encumbrance, including the power toexecute deeds or other instruments.
(d) Any purported conveyance, encumbrance, judicial sale orother voluntary transfer of common elements, unless made pursuant to thissection, is void.
(e) A conveyance or encumbrance of common elements pursuant tothis section shall not deprive any unit of its rights of access and support. (1985 (Reg. Sess., 1986), c. 877, s. 1.)
§ 47C‑3‑112. Conveyance or encumbrance of common elements.
(a) Portions of the common elements may be conveyed or subjectedto a security interest by the association if persons entitled to cast at leasteighty percent (80%) of the votes in the association, including eighty percent(80%) of the votes allocated to units not owned by a declarant, or any largerpercentage the declaration specifies, agree to that action; provided, that allthe owners of units to which any limited common element is allocated must agreein order to convey that limited common element or subject it to a securityinterest. The declaration may specify a smaller percentage only if all of theunits are restricted exclusively to nonresidential uses. Distribution of theproceeds of the sale of a limited common element shall be as provided byagreement between the unit owners to which it is allocated and the association.Proceeds of the sale or financing of a common element (other than a limitedcommon element) shall be an asset of the association.
(b) An agreement to convey common elements or subject them to asecurity interest must be evidenced by the execution of an agreement, orratifications thereof, in the same manner as a deed, by the requisite number ofunit owners. The agreement must specify a date after which the agreement willbe void unless recorded before that date. The agreement and all ratificationsthereof must be recorded in every county in which a portion of the condominiumis situated, and is effective only upon recordation.
(c) The association, on behalf of the unit owners, may contractto convey common elements, or subject them to a security interest, but thecontract is not enforceable against the association until approved pursuant tosubsections (a) and (b). Thereafter, the association has all powers necessaryand appropriate to effect the conveyance or encumbrance, including the power toexecute deeds or other instruments.
(d) Any purported conveyance, encumbrance, judicial sale orother voluntary transfer of common elements, unless made pursuant to thissection, is void.
(e) A conveyance or encumbrance of common elements pursuant tothis section shall not deprive any unit of its rights of access and support. (1985 (Reg. Sess., 1986), c. 877, s. 1.)
§ 47C‑3‑112. Conveyance or encumbrance of common elements.
(a) Portions of the common elements may be conveyed or subjectedto a security interest by the association if persons entitled to cast at leasteighty percent (80%) of the votes in the association, including eighty percent(80%) of the votes allocated to units not owned by a declarant, or any largerpercentage the declaration specifies, agree to that action; provided, that allthe owners of units to which any limited common element is allocated must agreein order to convey that limited common element or subject it to a securityinterest. The declaration may specify a smaller percentage only if all of theunits are restricted exclusively to nonresidential uses. Distribution of theproceeds of the sale of a limited common element shall be as provided byagreement between the unit owners to which it is allocated and the association.Proceeds of the sale or financing of a common element (other than a limitedcommon element) shall be an asset of the association.
(b) An agreement to convey common elements or subject them to asecurity interest must be evidenced by the execution of an agreement, orratifications thereof, in the same manner as a deed, by the requisite number ofunit owners. The agreement must specify a date after which the agreement willbe void unless recorded before that date. The agreement and all ratificationsthereof must be recorded in every county in which a portion of the condominiumis situated, and is effective only upon recordation.
(c) The association, on behalf of the unit owners, may contractto convey common elements, or subject them to a security interest, but thecontract is not enforceable against the association until approved pursuant tosubsections (a) and (b). Thereafter, the association has all powers necessaryand appropriate to effect the conveyance or encumbrance, including the power toexecute deeds or other instruments.
(d) Any purported conveyance, encumbrance, judicial sale orother voluntary transfer of common elements, unless made pursuant to thissection, is void.
(e) A conveyance or encumbrance of common elements pursuant tothis section shall not deprive any unit of its rights of access and support. (1985 (Reg. Sess., 1986), c. 877, s. 1.)
