Community Association Financials

Budgets, Dues, Association Fees, Assessments, Financial Controls, Insurance, Reserves

Condo Board Can Negotiate Building Sale Without Owner Approval

In a previous article, we dove into the upswing in condo deconversions in some parts of the country, with multi-unit buildings that were converted from apartments years ago reverting back to rental units. The Illinois Court of Appeals recently issued an important ruling addressing owners’ ability to challenge such moves (Glazer v. The Private Residences…

How Associations Can Protect Their Board Members — And Keep Them on Board

Board member burnout isn’t new, but recent events also have members concerned about their potential liability, only compounding the effect on board retention. “It’s just been a really tough time for boards, and it already wasn’t a glorified position,” says Jennifer Biletnikoff, a shareholder in the Naples, Fla., office of Becker & Poliakoff. “I have…

Deconversion: Coming Soon to a Condo Near You?

Various parts of the country are seeing an uptick in condo deconversions, with multi-unit buildings that were converted from apartments years ago reverting back to that status. Owners may have dollar signs in their eyes and dreams of avoiding the costs of long deferred maintenance or modern upgrades, but they need to have the full…

It Ain’t What It Used to Be: 5 Tips for Managing the Bidding Process

In the wake of pandemic delays and a new focus on deferred maintenance since the Surfside tragedy, many associations have significant projects to bid out to contractors. But the process has changed in the past couple of years. Read on for advice on navigating it effectively. A Shifted Landscape Gone are the days of the…

Deconversions on the Rise: What You Need to Know

Various parts of the country are seeing an uptick in condo deconversions, with multi-unit buildings that were converted from apartments years ago reverting back to that status. Owners may have dollar signs in their eyes and dreams of avoiding the costs of long deferred maintenance or modern upgrades, but they need to have the full…

Surfside Recommendations: “Scary and Extraordinarily Difficult”

A Miami-Dade County grand jury has issued its report on the Surfside condo collapse, including several recommendations for making buildings safer. “I expected something scary and extraordinarily difficult to do, and that’s exactly what the grand jury recommended,” says Kelly Richardson, a partner in the law firm Richardson Ober De Nichilo in Pasadena, Calif. The…

Surfside Update: The Call for Condo Safety Reforms, Part 1

A Miami-Dade County grand jury has issued its report on the Surfside condo collapse, including several recommendations for making buildings safer. “I expected something scary and extraordinarily difficult to do, and that’s exactly what the grand jury recommended,” says Kelly Richardson, a partner in the law firm Richardson Ober De Nichilo in Pasadena, Calif. In…

A Warning About Disclosure Document Fees, From Illinois

An Illinois state court has sent a warning signal to association management firms about the fees they charge for disclosure documents. Disagreeing with a federal court ruling to contrary, the court held that owners can sue a manager for charging excessive fees under the state condo law. In reaching its decision, the Illinois Court of…

3 Tax Traps for Associations and Managers to Avoid

Community associations haven’t historically been in the cross-hairs for IRS auditors, but they can face unexpected tax bills. Here are three tax-related areas where associations sometimes slip up and suffer potentially costly consequences as a result. 1. Understanding that even nonprofit associations are taxable. It’s not unusual for boards to believe that, because their association…

Are You Overlooking a Potentially Valuable Tax Credit?

Community association management companies (and their clients) have a valuable tool available for growing their staffs and reducing their tax bills at the same time — the Work Opportunity Tax Credit (WOTC). And they may not even be aware of it. “The credit is very overlooked,” says Jamie Dokovna, a shareholder in the Florida law…