Humber Real Estate - Course 4, Module 5: Preparing to Sell Commercial Condominiums Questions and Answers 2024 Correctly done

Whenever a buyer assumes ownership of a condominium unit, the corporation's board of directors must send what to the new owner? - Answer-A New Owner Information Certificate (NOIC) Note: This provides new owners with the most recent Periodic Information Certificate (PIC) or the most recent Information Certificate Update. NOIC must be sent ASAP and no later than 30 days after the buyer becomes an owner. Industrial condominiums are normally not suitable for ________________________ due to the potential for interference with other unit owners. - Answer-Heavy industrial applications What are some common elements of an industrial condominium? - Answer-Signage, parking areas, shipping and receiving, truck aprons, landscaping, roadways, HVAC, electrical transformer stations, closed-circuit security systems, sprinklers and fencing. Why are maintenance fees for industrial condominiums often higher than residential condominiums? - Answer-Differing tax rates and increased utilities costs, such as electricity and water. What is a "Turnkey Operation"? - Answer-The developer, in consultation with the buyer, will finish the space to the specifications of the buyer so that on closing the buyer will have a "business ready" unit. The costs of the finishing and customization work that the developer does will be included as part of the unit purchase price. A buyer may wish to purchase a unit as a "shell space" and _________________________ or through a contractor. - Answer-Finish the space themselves Shell spaces may already have ____________________________________, which the buyer will finish to their needs and requirements. - Answer-Rough-in plumbing, electrical work and an HVAC systemWhen a developer sells individual space on a pylon sign, the sign space itself is unitized and the buyer gets _______________ to that space and pays property taxes and condominium fees (both usually small amounts). In turn, a unit owner can sell that pylon sign panel / space to another party or rent it out (if allowed in the ________________). - Answer-Legal title, declaration The board of directors of a condo may make an addition, alteration or improvement to the common elements without owner approval, unless the owners request a meeting and _______________________________. - Answer-Vote against the proposed work Additions, alterations and improvements of a substantial nature require _____________________ of the owners. Owners may make additions, alterations and improvements to the common elements (e.g. installing a patio area or fence on an exclusive use common area) but are subject to ______________________, a formal agreement and other criteria as set out in the Condominium Act. - Answer-Approval of 66%, board approval Where is the information found for a condo regarding garbage storage and removal, including maintenance fees for garbage handling? - Answer-The site plan approval and land development agreements. Any cost that a municipality incurs to provide services to a new condominium development would be charged to the developer in the form of what? - Answer-"Levies" or development charges Do commercial condominiums have the Tarion warranties that apply to residential condos? - Answer-No. The main exception, however, would be if there is a residential unit in a mixed-use development. What document visually depicts all of the features of an ongoing construction project? - Answer-The site planBuyers will need to insure their own unit. Insurance is part of the condominium corporation and what would be required by the owner. Glass coverage should be carefully assessed since windows may not be considered part of what? - Answer-The common elements Signage for commercial condominiums is subject to regulation primarily by ___________________________ and further regulated by the ____________________________ or property managers as described in the corporation's rules and bylaws. - Answer-The municipality, board of directors The agreement of purchase and sale will often contain a clause making the transaction conditional on confirming ______________. - Answer-Signage Where in the declaration will you see each owner's contribution of common expenses and percentage interest? - Answer-Schedule D