Bill Text: FL S1546 | 2014 | Regular Session | Introduced

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Bill Title: Condominiums

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2014-05-02 - Died in Regulated Industries [S1546 Detail]

Download: Florida-2014-S1546-Introduced.html

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       Florida Senate - 2014                                    SB 1546
       
       
        
       By Senator Latvala
       
       
       
       
       
       20-01228-14                                           20141546__
    1                        A bill to be entitled                      
    2         An act relating to condominiums; amending s. 718.117,
    3         F.S.; clarifying legislative intent; providing
    4         requirements for unit owners facing optional
    5         termination who do not want to relinquish their
    6         property; defining the term “fair market value”;
    7         providing an effective date.
    8          
    9  Be It Enacted by the Legislature of the State of Florida:
   10  
   11         Section 1. Subsections (1) and (3) of section 718.117,
   12  Florida Statutes, are amended to read:
   13         718.117 Termination of condominium.—
   14         (1) LEGISLATIVE FINDINGS.—The Legislature finds that
   15  condominiums are created as authorized by statute. In
   16  circumstances that may create economic waste, areas of
   17  disrepair, or obsolescence of a condominium property for its
   18  intended use and thereby lower property tax values, the
   19  Legislature further finds that it is the public policy of this
   20  state to provide by statute a method to preserve the value of
   21  the property interests and the rights of alienation thereof that
   22  owners have in the condominium property before and after
   23  termination. The Legislature further finds that it is contrary
   24  to the public policy of this state to require the continued
   25  operation of a condominium when to do so constitutes economic
   26  waste or when the ability to do so is made impossible by law or
   27  regulation. The Legislature does not intend that termination be
   28  used to replace individual property rights of single unit
   29  owners, or groups of owners, against their will except as
   30  provided in subsection (2). This section applies to all
   31  condominiums in this state in existence on or after July 1,
   32  2007.
   33         (3) OPTIONAL TERMINATION.—
   34         (a) Except as provided in subsection (2) or unless the
   35  declaration provides for a lower percentage, the condominium
   36  form of ownership may be terminated for all or a portion of the
   37  condominium property pursuant to a plan of termination approved
   38  by at least 80 percent of the total voting interests of the
   39  condominium if no more than 10 percent of the total voting
   40  interests of the condominium have rejected the plan of
   41  termination by negative vote or by providing written objections.
   42  This subsection does not apply to condominiums in which 75
   43  percent or more of the units are timeshare units.
   44         (b) If termination is for reasons other than those provided
   45  in subsection (2), regardless of the percentage of total voting
   46  interests rejecting or approving the plan of termination under
   47  paragraph (a), owners who do not want to relinquish their
   48  property shall receive compensation equal to 110 percent of the
   49  original purchase price of his or her unit or 110 percent of the
   50  fair market value of his or her unit, whichever is greater. For
   51  purposes of this subsection, the term “fair market value” means
   52  the price of a unit that a seller is willing to accept and a
   53  buyer is willing to pay on the open market in an arms-length
   54  transaction based on similar units sold in other condominiums,
   55  not including units sold at wholesale or at distressed prices,
   56  but including those sold in bulk purchases.
   57         Section 2. This act shall take effect July 1, 2014.