Vertical Subdivision Information
Vertical subdivision through condominiums involves: the creation of individual units within a building (each unit is a separate parcel of real property), the creation of common elements (shared areas: lobbies, hallways, elevators, pools, and parking structures), the allocation of common element interests (each unit is assigned a percentage interest in the common elements, which determines: the unit's share of common expenses, the unit's voting rights in the association, and the unit's share of proceeds from common element insurance claims), and the creation of the association (the governing body that manages the common elements and enforces the governing documents).
Florida Legal Definition
Vertical subdivision through condominium creation in Florida is governed by: the Florida Condominium Act (Chapter 718). Under §718.104: a condominium is created by recording a declaration of condominium in the official records, which must include: the legal description of the property, the identification and description of each unit, the undivided share of the common elements allocated to each unit, and the articles of incorporation and bylaws of the association. Under §718.104(2): the declaration must be executed and recorded with the same formalities as a deed. Under §718.110: the declaration may be amended by: a vote of the unit owners as specified in the declaration (typically 75% of the voting interests). Under §718.503: before selling a unit, the developer must provide the buyer with: the prospectus and offering circular, the declaration, articles, bylaws, and rules.
How It's Used in Practice
In practice, attorneys create condominiums and advise on condominium formation. The attorney: drafts the declaration of condominium (the founding document that creates the condominium and establishes the units, common elements, and association), prepares the articles of incorporation and bylaws (the governance documents for the association), obtains Division of Condominiums approval (filing the prospectus and offering circular with the Division before sales may begin), coordinates the transition from developer to owner control (the developer must turn over control of the association to the unit owners within the time specified by the Condominium Act), and advises on ongoing association governance (meetings, assessments, maintenance, and insurance). The attorney advises: condominium creation is a complex process that requires strict compliance with the Condominium Act; errors in the declaration or offering documents may expose the developer to significant liability.
Key Takeaways
- Condominium: vertical subdivision; individual units + shared common elements.
- Created by recording declaration of condominium (§718.104).
- Declaration must be executed with deed formalities.
- Developer must provide prospectus before selling units.
- Strict compliance with Condominium Act required.
Disclaimer: The information and opinions provided are for general educational, informational or entertainment purposes only and should not be construed as legal advice or a substitute for consultation with a qualified attorney. Any information that you read does not create an attorney–client relationship with Barnes Walker, Goethe, Perron, Shea & Johnson, PLLC, or any of its attorneys. Because laws, regulations, and court interpretations may change over time, the definitions and explanations provided here may not reflect the most current legal standards. The application of law varies depending on your particular facts and jurisdiction. For advice regarding your specific situation, please contact one of our Florida attorneys for personalized guidance.
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