Converting an existing property into a condominium in New Hampshire involves more than just construction updates. Property owners must follow specific legal steps outlined in the New Hampshire Condominium Act.
Understanding these requirements can help you avoid costly delays and legal problems in your new real estate venture.
Declaring the condominium
The New Hampshire Condominium Act first requires the owner to prepare a declaration of condominium. This legal document defines the condo units, common areas and any limited common elements such as balconies or parking spaces. The declaration must include the percentage of ownership each unit holds in the common areas. It must also identify how the association will govern the property.
Create a site plan
Next, the owner must create a condominium plat or site plan. This map shows the boundaries of each unit and the layout of the entire development. A licensed surveyor must prepare the plan according to New Hampshire regulations. The plan becomes part of the public record once recorded with the registry of deeds.
Draft the condominium association bylaws
The bylaws are rules that explain how the association will operate. These dictate how meetings will take place, how voting works and how the board of directors will function. Bylaws often include rules about maintenance responsibilities and assessments for shared expenses.
Provide adequate notice
If the property conversion affects existing tenants, the owner must follow notice requirements. Under RSA 356-C, residential tenants in the building must receive at least 120 days’ written notice before their lease can end due to the condo conversion. This requirement protects renters from sudden displacement and gives them time to plan.
Make a public offering statement
Before marketing or selling units, the owner must prepare a public offering statement. This disclosure outlines the financial condition of the association as well as any potential fees and the rights and responsibilities of unit owners. The statement must be complete and accurate to comply with state law.
After completing all documents, the owner must record the declaration, site plan, and bylaws with the county registry of deeds. Only after recording these documents can the property legally operate as a condominium.