CondoFeed

Condo, Strata and HOA News

Category Archives: WINNING

247Condo Receives Consulting Recommendation

CondoFeed is the blog for 247Condo, which received a letter of recommendation for its consulting services from Bank West. Bank West has recently started a condominium loan system for financing reserve fund costs called CondoFlex Maintenance Financing.

Of 247Condo, Bank West had the following to say:

Your expertise and experience in the condominium industry were invaluable to us.  We appreciated your professionalism and candor while assisting us during the product.

I look forward to utilizing your services again and would certainly recommend you to anyone needing information or services in the condominium sector.

You can see the letter here, on our 247Condo Consulting page.

Developer Accepts Full and Utter Responsibility for Catastrophic Failure

I have written many times that the final and full responsibility for critical failures of a condominium are the sole responsibility of the developer. End of story.

So I found it surprizing refreshing that Kevyn Frederick, developer for the failed Leduc, Alberta, condominium development Bellavera Green, has stated:

As CEO of Bellavera Green, I take full and utter responsibility. I felt that to speak to anything involving anybody else’s responsibility would be to minimize the impact that I’ve caused upon the people of Bellavera Green. So I had no other choice but to do the right thing and speak to only my failures.

The failure of the Bellavera Green has most likely forced significant and likely in some cases complete, fiscal ruin for the 150 people forced out of the development. That doesn’t include unpaid bills to subcontractors and other stakeholders.

People are still going to be madly angry at Mr. Frederick – and rightfully so. There is significant pain and hardship now, and lasting well into the future, from such an absolute failure of the development.

But there is an upside.

A developer that takes no responsibility acts as a roadblock to an investigation. We’ve seen bad developers destroy documents, launch counter suits, attack people’s reputations and lives, in all – do everything in their power to cloud the issue and slow down an investigative review. All at the cost of hurting even more innocent people.

Having accepted responsibility (which I am still stunned, and think is an amazing step forward), it may open up Mr. Frederick to cooperate with an investigation.

Specifically, with the developer on side, an investigation can get a direct understanding on how the “development dream” changed into a “development disaster.” A personal reconstruction makes it significantly easier for an investigation to isolate key failures or holes in current legislation and best practices that could be rectified.

With Mr. Frederick, given his willingness (the acceptance of guilt is a positive sign), we may have a very unique opportunity to improve the process of condominium development and protect future buyers a little better.

For I’m sure – and as he has indicated under questioning – he and his company are broke. So if there is no fiscal compensation, some time and assistance would be a start. Call it a form of truth and reconciliation.

HOA vs. Kangaroo – HOA Avoids Bad Press and Possible Suit

The Estates of Legends Ranch, Texas, HOA has jumped back from their decision to oust a kangaroo from the association. The six month old kangaroo named Mike resides with Jeni and Nick Dreis, and their daughter Kayla.

When the HOA found out the kangaroo resided with the family, they issued a demand letter for the animal’s removal. Kangaroos, it seems, are not deemed household animals. As such, they’re not allowed in the HOA.

The HOA relented though, and has allowed the animal to exist at the Dreis residence till the Texas Downs, a special needs education and enrichment facility utilizing a wildlife park and organic farm, is completed (estimated mid 2012).

Honestly, the HOA didn’t have much of a choice. The Texas Downs is founded by the Dreis, and Kayla has Down syndrome. The kangaroo is expected to be transferred to the wildlife park when it becomes habitable for the creature, and in the meantime acts as a companion pet for Kayla.

A simple search on “HOA Kangaroo Dreis” will return 149,000 results – and you can read the massive amount of attention this issue has received. The utter cuteness overload of Kayla and the kangaroo would have been a public relations nightmare if the HOA insisted on enforcing the bylaws (stating the kangaroo isn’t a household pet). The Dreis could have also filed a civil rights suit, as the kangaroo may fit under the Americans with Disabilities Act – which defines a service animal as (and the underline is theirs):

The ADA defines a service animal as any guide dog, signal dog, or other animal individually trained to provide assistance to an individual with a disability. If they meet this definition, animals are considered service animals under the ADA regardless of whether they have been licensed or certified by a state or local government.

I’m personally ecstatic that the HOA has relented on its booting of the kangaroo, and has accepted its bouncy lifestyle until it transfers to the wildlife park. Beyond the public relations issue, it’s OK (really, more than OK) for HOAs to realize that the concept of community is important in an association. That home is more than a house people huddle in, away from their neighbours. It’s a place to form relationships, friendships, and show some decent basic humanity to your fellow neighbours.

The Estates of Legends Ranch has put a great foot forward with their support of the kangaroo. They are to be commended.

HOA Uses Community Consultation for Peacock Resolution

Just five days ago I chastised Larry Evans and the Fairfield Plantation for unilaterally slaughtering an established beaver colony, and then posting dead beaver mug-shots on their website.

In comparison, I give a tip of the hat and kudos to the Boynton Beach Florida HOA Fox Follow Housing Association. Dealing with issues of a 400 strong peacock flock, the HOA set out a survey to their members soliciting feedback how the HOA should deal with the birds.

With community feedback, which the video indicates 52% of the residents were in favor of some version of keeping them, the HOA has created a great plan moving forward.

Working with residents and almost a score of humane groups – including the Humane Society – they will relocate about 150 of the peacocks. The reduced flock should (1) retain the value in the community for having the birds and (2) reduce the impact – noise, droppings, and other related nuisances – that 400 (!!!) of the birds bring with them.

No mass slaughter, the residents are participating in both the decision and in the resolution of the issue, and an HOA which can proudly move forward saying that the Fox Follow Housing Association – unlike other associations – is focused on building a proud, inclusive, and participatory community. And that would be for owners and wildlife alike. Nicely done!

Colorado Looks to Legislate HOA and Condominium Transparency

Imagine living in a jurisdiction where the HOA or condominium corporation can deny your document requests with impunity. If you live in Colorado, that is exactly what can, and does, happen. State legislation indicates the association can deny providing documents unless there is “proper purpose” for the request.

There is absolutely no way to determine proper purpose, and owners are being forced to hire lawyers in order to get the documents they need. That is totally ridiculous.

Thankfully it looks like HOA regulations in Colorado are going to get a huge overhaul. In 2011 the state started tracking complaints voiced against HOAs – and the information is amazing. Complaints are not focused on pets, parking, and paint – which most people have always assumed. The complaints are about board and associations being closed for review, tightly controlled, and abusive in the use of their power.

From the 2011 Annual Report of the HOA Information and Resource Centre:

An additional and perhaps one of the more troubling complaint types the Office heard was that
the HOA board or manager was harassing, discriminating or retaliating against homeowners.
Many homeowners felt that their boards had singled them out and were arbitrarily fining them
for violations, when they were not in violation; engaging in selective enforcement of covenants;
and precluding them from participating in meetings.

The 2011 Report is a great read – and truly eye opening about the nature of a person’s relationship with their HOA. It’s a well suggested read for anyone involved in condominium and HOA work.

Anyways, it’s always nice to write a blog post about how a group or organization “gets HOAs and Condominiums” and a big, positive, tip of the hat to the Colorado State Legislature in drafting new legislation to address some well needed change.

I Want To Build an IKEA Small Space Condo Complex

I love IKEA. I think it’s not only a store, but an idea towards simplified living that is encapsulated within a powerful brand (I am not brainwashed by a corporation!).

There is one innovation to marketing that I really like when I visit IKEA. It’s their Small Spaces demo rooms and units. Walking through their show suites you will stumble upon one or two “whole living spaces” in only a couple hundred square feet. And if we chain a bunch together we could test run a couple of “you life your condo by IKEA”

Hear me out. There is a need for two types of ultra-high density living situations: recently homeless and low cost/entry housing.

Recently homeless are individuals that are transitioning from homelessness to some sort of permanent residence.  Social programs have been helping people do this for decades, but this has recently become a hot topic with a movement in “rapid re-housing” which attempts to find housing and then treat the symptoms that caused the homelessness.

In this case, we would create individual “dorm floors” with a score or so individual Small Spaces, combined with shared common room, activity room, training room, and a larger onsite “dorm-mom” housing on each floor. The key is, instead of a dormitory feel, to use the Small Space approach to build fully legitimate apartments that are independent of each other – enforcing that that living there is about being independent. None the less we do wrap some common areas to help deliver the social programs and support on an individual level.

I guess why I look to IKEA is recently homeless people could also benefit from being in a well-designed, modern, beautiful and well equipped home. In Calgary we have a gorgeous drop in centre. Nice enough that when it was planned and built people complained it was “too nice looking” and “too much was spent on looks.” Now, it’s been a decade, and the building acts as an icon for the community, and the hundred thousand people+ who see the building daily have a positive impression. Good architecture, looks and functionality are as important. IKEA’s Small Spaces can do the on a unit by unit basis.

For low cost (and entry) housing, there shouldn’t be a disjunction between low-cost and IKEA. Low cost housing often creates an impression of ugly, low quality, slipshod, and temporary. To me it doesn’t have to be like that. We could build a specially designed complex where low-cost means value and quality, and that value and quality is driven by IKEA.

Anyways, there’s room for a company like IKEA to move from filling a house, to being a housing developer, and doing it in a way that is phenomenal.

Kudos for Cities That Get It: Ottawa and Condo Footprints

It’s always nice to drop kudos here and there (in between most of my posts which focus on the negative). In this case, Ottawa, Ontario, Canada has updated a tree-protection bylaw that was only two years old.

The by-law itself, in purpose and thought, rocks. Trees would need municipal approval before cutting: 10 centimeters or greater diameter on hectare and larger size land parcels; and 50 centimeter or greater diameter for any property. This should ensure those old and gorgeous trees remain rooted, and allow for younger trees the opportunity to grow into fantastic groves.

Condominiums are unlike either individual houses (protecting those gorgeous granddaddy trees – 50 cm. and greater diameter) or undeveloped green space (1 hectare or larger plots). Condos are kind of both – a group of individual residents on a large shared property.

Given that, Ottawa has updated the by-law to place condominiums under the 50 cm. and greater diameter part of the by-law, and made them not subject to the 1 hectare or larger plots section. It’s a nice, simple, and easily rolled out change to a rule that overlooked the large footprint of condominiums.

Kudos Ottawa for a small, but important law change that recognizes the nature of condominiums and removes inappropriate regulation.

98 Unit Condominium None Larger Than 350 sq. Feet

I have always walked through IKEA and marvelled at their model mini living spaces. Your whole life can be had in a compact space! It’s a marvel of both modern life and IKEA!

So I have always toyed with the idea of a whole complex built around micro condominiums – that is the developer has purpose built the units to work for a small space, not just sectioned off square footage into smaller and smaller units.

In doing some research I stumbled over the Cubix Yerba Buena in San Francisco (3.5 min video / pictures). With no unit large that 350 sq feet, the 98 units fill a very interesting role. Small living spaces called lofts (really meaning on combined living space with a separated toilet area) are the heart of this building. To help with the claustrophobic feeling one could get, there’s a giant roof top garden.

Talking with neighbours in my own condominium, we often talk about the opportunities to move – but realize that many owners spend little non-sleep time in our homes. With the exception of being unconscious, most of the rest of the time in the condominium is getting ready to leave or getting ready to sleep – with the rest of our lives being at work, hanging publicly with friends, or just “being out”. If one really spends so little conscious time in your condo, why would one need a lot of space?

Current rates go for 250k for 282 sq feet, and several units available to low income for about 99k.

Stephen Cassady Elected To The Canadian Condominium Institute’s National Executive Board

On Friday, Stephen Cassady was elected to the Canadian Condominium Institute’s (CCI) National Executive Board. The board, consisting of 7 elected members and a Secretary Treasure, oversee the day-to-day operations of this organization, operating though 16 chapters in 8 provinces.

The CCI is a national, independent, non-profit organization dealing exclusively with condominium issues. Formed in 1982, CCI represents all participants in the condominium community. Interested groups are encouraged to work together toward one common goal – creating a successful and viable condominium community.

Stephen Cassady previously served on the National Council for CCI since 2008, and is currently serving for the 3rd year as President of the CCI South Alberta Chapter.

Ministry of Sound – Proactively Being Loud

I’ve never liked the type of person that moves into a new neighbourhood and then complains about the noise, traffic, prostitution, smells, sound and vagrants. They’ve always seems like arrogant pricks to me. When you’re buying into an existing neighbourhood, you are buying into the neighbourhood. The good (hopefully, I mean there must have been something good that would have attracted the person to the block) and the bad.

When it comes to the bad, a big complaint of these new residents is sound.

The Ministry of Sound, a hugely successful nightclub and record label resides in an area of London that in undergoing revitalization and new development. Instead of waiting for the developments to go up, and the new owners’ complaints to come in, the nightclub has – for 2 years – been very active with petitions, leafleting and advertising against the new developments.

This last week Southwark council’s planning committee against the development proposal – a 41 story tower block, proposed by developers Oakmyne, that would have been built near the club.

I’m very excited about this development. It reaffirms that existing businesses (and the Ministry of Sound is a landmark and cultural icon as well) can continue to flourish, and councils recognize that when new development is erected is often has a significant negative impact on existing business. In almost every case the new developments force out old business. This time that whole battle is avoided, and the existing business is respected.