§514C-22 Power of association of owners to negotiate, purchase, and sell lessor's interest. (a) The association under chapter 514B may purchase the lessor's interest in the condominium project; provided that the declaration of condominium property regime shall either contain or be amended to include a provision authorizing the board of directors to effectuate such a purchase. If the lessor is also a condominium unit lessee, the lessor's lessee interest shall be disregarded in the computation of the percentage of condominium unit lessees needed to achieve the vote or written consent required to amend the declaration of condominium property regime.
(b) If the association of owners is authorized to purchase the lessor's interest pursuant to this section, the following powers, in addition to any other existing powers, shall be conferred upon the association:
(c) No condominium unit lessee shall be compelled to purchase the leased fee interest in such condominium unit and acquired from the lessor by the association of owners, but may instead pay lease rent to the association together with the lessee's share of the common expenses incurred in acquiring the leased fee interest in the condominium units in the project including any debt associated therewith.
(d) If some, but not all, lessees have purchased the leased fee interest in their condominium units directly from the lessor (other than purchases by the lessor or the association of owners), the association may undertake the purchase of all or any part of the leased fee interest in the remaining leasehold condominium units in the project in accordance with subsection (b); provided that:
(e) If the association of owners acquires all of the remaining portion of the lessor's interest in accordance with subsection (d), any debt associated therewith shall be secured only by the interests so acquired and by the common expense assessments upon the condominium units of the remaining lessees.
(f) For purposes of this section:
"Condominium unit" has the same meaning as the term "unit" as defined in section 514B-3.
"Remaining lessees" means the lessees of condominium units in a condominium project who have not purchased the leased fee interest in their condominium units as of the effective date of the amendment referred to in subsection (d)(1). [L 1999, c 241, pt of §2; am L 2002, c 199, §2; am L 2004, c 164, §20; am L 2006, c 273, §31; am L 2008, c 28, §14; am L 2017, c 181, §32]