Florida Community Association Manager Practice Exam

What legal condition generally triggers the turnover of the property to the members?

1. Completion of all memberships

2. Last unit sale

3. Completion of all units offered for sale

4. Majority vote by the members

The correct answer is: Completion of all units offered for sale

The completion of all units offered for sale is the legal condition that typically triggers the turnover of the property to the members. In community associations, particularly condominium or homeowners’ associations, the developer retains control over the property and its governance during the initial sales phase. Once all units that were initially intended for sale have been sold or the offering period has ended, the transition of control to the members, who then elect their own board, usually occurs. This process ensures that members of the association have a say in the management and operation of their community once the developer's financial interest wanes. The turnover is designed to protect the interests of the residents, as they now have full ownership and responsibility over the common areas and assets of the association. Other options, while related to the management and governance of the association, do not legally trigger turnover as directly. For example, the completion of all memberships does not necessarily indicate that all units have been sold, and a majority vote might pertain more to internal governance issues rather than to the transition of control from developer to members. The last unit sale is specific to transactions but does not encompass the entirety of what constitutes the completion of the offering of all units.