33-1230. Merger or consolidation of
condominiums
A. Any two or more condominiums, by agreement of the unit owners as provided in
subsection B, may be merged or consolidated into a single condominium. In the event of a
merger or consolidation, unless the agreement otherwise provides, the resultant
condominium is, for all purposes, the legal successor of all of the preexisting
condominiums and the operations and activities of all associations of the preexisting
condominiums shall be merged or consolidated into a single association which shall hold
all powers, rights, obligations, assets and liabilities of all preexisting associations.
B. An agreement of two or more condominiums to merge or consolidate pursuant to
subsection A shall be evidenced by an agreement prepared, executed, recorded and
certified by the president of the association of each of the preexisting condominiums
following approval by owners of units to which are allocated the percentage of votes in
each condominium required to terminate that condominium. Any such agreement shall be
recorded in each county in which a portion of the condominium is located and is not
effective until recorded. A merger or consolidation of two or more condominiums shall be
considered an amendment to the declaration of each of the condominiums merged or
consolidated.
C. Every merger or consolidation agreement shall provide for the reallocation of
the allocated interests in the new association among the units of the resultant
condominium either by stating:
1. The reallocations or the formulas on which they are based.
2. The percentage of overall allocated interests of the new condominium which are
allocated to all of the units comprising each of the preexisting condominiums, and
providing that the portion of the percentages allocated to each unit formerly comprising
a part of the preexisting condominium must be equal to the percentages of allocated
interests allocated to that unit by the declaration of the preexisting condominiums.
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