What happens when you convert a rental building to a condominium?

The conversion of a rental building to a condominium is a project that involves changing the legal structure of an existing development. It enables an owner to share in the ownership and operation of a residential or commercial complex, while having negotiable title to an individual unit.

Who is the Attorney for commercial condominium conversions?

Sharon Nelson Craig is a real estate attorney experienced in the commercial condominium conversion process. For more information, please contact Sharon at [email protected] or 301-841-3836. This content is for your information only and is not intended to constitute legal advice.

Can a commercial property be converted to a residential property?

Can You Convert a Commercial Property to a Residential Property? Commercial property can be converted into a residential property if zoning and housing laws allow. Local governments have regulations dictating property distinctions and, in most cases, will distinguish specific areas for residential versus commercial land use.

How to condo an office or retail building?

Condo’ing Your Commercial Office or Retail Building 1 Required Condominium Documents. Condominium declaration: In this document, the property owner (the declarant) legally describes the single record lot being subjected to the condominium regime and the individual condominium units 2 Conversion Issues. 3 After Your House is in Order. …

Can a commercial building be converted to a condominium?

To convert a strictly commercial office/retail building into for sale condominiums, the process includes the recording of the following condominium documents:

What’s the best way to convert a commercial property?

Start by consulting the zoning laws in areas that interest you, then meet with an experienced designer and learn the best way to bring the property up to code. Create a strong pitch, and don’t forget to raise enough financing for any renovations you need to complete as well.

How long does it take to convert an apartment to a condo?

In many cases, an apartment complex will have renters occupying apartments prior to the condo conversion. In such cases, many states and cities require the landlord to provide tenants with notice that the apartment is going to be converted. Required notice provisions typically range from 60 to 120 days.

Do you need a deed to convert an apartment to a condo?

Once the condo unit is sold to a potential buyer, a new deed will need to be recorded to create a record of the conveyance. In many cases, an apartment complex will have renters occupying apartments prior to the condo conversion.

What are the steps to converting a rental property?

Prior to commencing the process of conversion, if the property is owned by a corporation or several corporations, a special resolution allowing the conversion is required. The actual process of conversion involves 2 major steps. The first step is the actual division of the property into smaller parcels.

Can a landlord convert an apartment to a condo?

How long does it take to convert a rental building to a condo?

The tenants cannot be forced to move out and the owner or purchaser must follow rules and regulations to obtain vacant possession of the unit. The conversion process can take from anywhere from nine months to 2 years to be fully completed.

How old do you have to be to convert apartment to condo?

Finally, if the property is entitled to conversion under the lottery, disabled tenants and tenants aged 62 and older are entitled to life-time rent controlled leases and other tenants are entitled to a one-year rent controlled lease.

What are the pros and cons of converting a rental building to a condominium?

The legislation that governs a condominium is called the Condominium Act, SO 1998, C-19. There are pros and cons for building owners and potential condo buyers to converting a rental building to a condominium. These include: With the increasing cost of buying property, it is difficult for first-time home buyers to break the rental cycle.

Which is the best way to convert a house to a condo?

A smarter approach is to hire a private condo pre-inspection specialist to inspect the property. This expert will give you a reliable opinion of what work you will need to perform on the building in order to convert, and what code compliance costs you should expect.

Are there any warranties for converting a rental building?

The fees for the associated experts must form part of the cost / benefit analysis. There is no Tarion warranty coverage for existing buildings that are converted to a condominium. Municipalities are able to discourage the conversion process through the contents of their Official Plans.