What is a interval ownership (also known as a “partnership”)?
A partnership is a condominium that is owned equally between 13 owners. Each owner has 1/13th interest (fractional ownership). Each owner has 4 weeks out of the year; usually one week in each season. These partnership weeks rotate one week forward each year.
What type of documentation do I received showing proof that I own 1/13th of the condominium?
At closing you will receive a recorded certificate for 1/13th interest in your partnership. This works similar to that of your primary home. Your ownership can be willed, traded, given to anyone, or sold.
Who controls a partnership?
The Board of Directors. At its annual meeting, the partnership will elect, from its group of owners, a board of directors. This board establishes budgets and dues on an annual basis.
What type of dues or fees should a partner expect to pay?
Depending on how the partnership is set up, partners pay monthly or quarterly dues. These dues pay for the upkeep of your individual property, interior insurance, property taxes, HOA dues, maintenance, utilities, tax return preparation, and management services. This generally includes the housekeeping at the end of your stay.
What other expenses may occur?
Should the unit owners decide to make upgrades, restoration, or purchase new furniture, flooring, etc., those costs are divided among the 13 partners.
If the condominium unit is assessed by the building’s homeowners association for non- budgeted repairs or expenses, then that assessment would be divided among all 13 partners. Sometimes the insurance for the building is included in the dues and sometimes it is not.
How much are the dues?
Dues usually range from $375.00 to $425.00 per quarter.
What rights do I have as a purchaser of a partnership?
You have one vote for each undivided interest that is owned. If you own multiple interests, you have one vote for each. For example, if you own 2 interests (shares), you have 2 votes.
Who manages the partnership?
A professional management company is hired to oversee the day to day operations, pay all of the bills, collect dues and fees, and reports all accounting monthly to the Board.
When can I arrive at the condominium?
Depending on the partnership, each week runs from Saturday to Saturday, or Sunday to Sunday. Check-out time is 11:00 a.m. and check-in time is at 4:00 p.m.
Am I responsible for cleaning the unit?
Each time the condo is used, it is cleaned by a professional cleaning company that the partnership pays for through your dues that you pay.
Can I rent my partnership weeks?
Yes. Unless otherwise stipulated in your partnership agreement or operating agreement, owners may use or rent their allotted times. Owners can rent their week(s) independently or through a rental agency. Renters are subject to the same rules and regulations as are provided in your operating documents.
Can partnership owners exchange their allotted weeks with other owners?
How often would upgrades be done?
One week out of the year is designated as Maintenance Week. Every 13 years, each partner must give up one week for maintenance to take place in the unit.