|Re: Shared Ownership of Units / Parcels -- Creative Legal Possibilities?||<– Date –> <– Thread –>|
|From: Mac Thomson (ganeshrmi.net)|
|Date: Wed, 16 Jul 1997 10:30:05 -0500|
Ben Sher asked: > If a subgroup of the whole wished to > purchase a single parcel and construct 3 units on it (main house with > attached living unit and a granny flat), is there a creative legal > entity which would prevent any single co-owner of the parcel from > forcing the sale of parcel if one of the parties wanted out? > > Can coowners of such a parcel execute a legal document requiring that > all owners must agree unanimously before any single owner sells or > transfers their title to somebody else? And that they can't sell > without the new buyer agreeing to execute an identical document? Is > there any simple and clean way to do this kind of shared ownership? Or > must cohousers who wish to buy property in this fashion simply rely on > old-fashioned trust and cooperation to make it work? > > Ben Sher > Placerville Cohousing I would think that this could be easily accomplished by forming some entity to purchase the parcel. The households would own an interest in the entity. You could create whatever rules suited you for buying and selling your interest in the entity. I would think that just a plain old Sub S corporation might accomplish this for you pretty easily and protect you from a liability standpoint. You'll of course want to talk to a lawyer about it. A couple of issues do come to mind, however. One is financing. My understanding is that lenders may be relunctant to give you a mortgage on a home that sits on land that you don't have clear personal title to. The second is that if your subgroup of 3 households buys just one parcel then I presume that they'd only be paying a third as much per household for their "spot" in the community. Wouldn't this mean that the other households would be subsidizing them? Also, when you get approval to develop parcels from the city or county, usually they allow only one home per parcel. Will your city or county let you build 3? -- Mac Thomson San Juan Cohousing ganesh [at] rmi.net Durango, Colorado "Who loves not wine, woman, and song, Remains a fool his whole life long." - Martin Luther
Shared Ownership of Units / Parcels -- Creative Legal Possibilities? sher, July 13 1997
- Re: Shared Ownership of Units / Parcels -- Creative Legal Possibilities? Linda Felch, July 14 1997
- Re: Shared Ownership of Units / Parcels -- Creative Legal Possibilities? Mac Thomson, July 16 1997
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