Operating a Condominium
Because it provides many benefits, condominium living is becoming increasing popular among both individuals and families. It provides an economical solution to rising land values, and it gives many people an opportunity to enjoy recreational amenities that may be otherwise unaffordable.
In Florida, there are several complex laws and regulations that apply to condominium ownership and operation. In this blog post, we would like to highlight the basics of operating a condominium.
An association is responsible for the operation of a condominium. In most cases, the association is a not-for-profit corporation, and association members are people who own units in the condominium. Each person who purchases a unit automatically becomes a member of the association and is bound by the applicable rules and regulations. The association is responsible for the management and day-to-day operation of the community and the maintenance of common areas and elements.
Condominium associations are often compared to government entities because they have responsibilities and powers that are like those of local governments. For example, the association must create a budget that addresses current operating expenses and future maintenance projects. The association also must collect dues to pay for common expenses and enforce regulations and rules.
Board of Directors
A board of directors is responsible for managing the association’s affairs. The board is generally appointed by the condominium developer and later elected by unit owners. The board may appoint various committees, such as a Budget Committee, a Bylaws Committee and a Grounds Committee. Effective committees ensure the successful operation of condominium associations by ensuring that the board effectively carries out its duties.
While the board of directors acts as the decision-making body for the condominium, the effectiveness of the association rests with its members – the owners of individual units. A successful association is one with unit owners who are willing and able to take on active roles by serving on the board of directors or its committees, voting, attending meetings and helping with other affairs when possible.
One of the association’s most important functions is the day-to-day management of the property. Various documents provide a general guideline to daily operation, but real-life operation often varies drastically. The board is responsible for determining the association’s needs and what its fiscal resources will allow.
Associations may be self-managed, but many condominium associations choose to contract with outside condominium or homeowners association management companies. While not required by law, working with a professional manager often eases the burden placed on the board of directors while ensuring that the association and property operate efficiently. Remember, the board of directors are made up of volunteers who may have other full time careers.
AMI is a leading condominium and homeowners association management company serving southwest Florida. Our licensed Community Association Managers have extensive experience, and they are well-versed in Florida’s Condominium and Homeowners Association Act. We are available to assist homeowners associations and condominium associations of all sizes, and we’d be honored to have you choose us for your condominium management needs. For additional information, please contact us today.Tweet