Tax, SDIRAs & Cost Segregation
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated about 3 years ago, 12/10/2021
Legal Question on CONDO L.C.E and foreclosure
I purchased a condo in Florida at foreclosure that had a Limited common element parking space. The owner that was foreclosured refused to allow me to use the space as he owned another unit in the building and was using both of them. I'm trying to figure out if it's worth hiring and attorney to sue for it. Ownership of the parking space is unclear to me and I've been doing foreclosures / real estate for over 30 years.
Any opinions would be appreciated.
Below is the timeline-
Nov 2001 Owner #1 "Viera" BOUGHT CONDO #3 FROM DEVELOPER THAT CONVERTED THE BUILDING FROM APTS TO CONDOS At Closing he got a mortgage for the purchase and a deed was recorded for the condo.
There was also an assignment of Parking space #3 recorded. Parking spaces are listed in Condo docs as a Limited common elements.
2016"Owner #1 Viera" Defaulted on Mortgage and PNC bank foreclosed.
Buyer #2 "Slack" purchased condo at courthouse auction. After Foreclosure sale Owner #1 Viera would not allow new Buyer Slack to Use the parking space and rented it to another owner in the building. (Owner #1 Viera did own another condo unit in the building which he sold in 2019)
A few points
The original mortgage from PNC did not mention the use of the L.C.E. parking space in the mortgage or the foreclosure action/lis pendens.
There is a clause in the condo declarations "No Severance of ownership" See below- Not sure if this would apply or not to an LCE
The condo docs say that no parking space shall be owned by a non unit owner.
The recorded parking assignment / deed states "assigns/coveys transfers forever to assignee use of parking space #3 regarding the following described land then has the legal description of the Condo and the tax ID number of the condo unit.
SUPPORTING DOCUMENTS BELOW.
RECORDING
COPY OF ASSIGNMENT OF PARKING SPACE from Develop to owner #1 Viera
CONDO DECLARATION SNIPPITS
Condo doc definition of LCE
Paragraph on the parking spaces from the condo Declarations
No severance paragraph from Condo Declarations
CONDO plat showing parking