(a) Filing of the Public Offering Statement. No developer shall sell or offer to sell a condominium ownership interest in a conversion condominium development in the City unless he first files the following items with the Building Commissioner of the City:
(1) Twenty copies of the public offering statement provided by the developer under Section 1357.05;
(2) Any bond required by subsection (b)(2) hereof; and
(3) A fee of twenty dollars ($20.00) per condominium unit. Such fees shall be in substitution for all other fees incidental to the conversion condominium development under the Building Code.
(b) Compliance With Building Code. No developer shall sell or offer to sell a condominium ownership interest in a conversion condominium development in the City unless the Building Commissioner has issued a certificate of occupancy attesting that all common areas therein are in compliance with City Code Chapter 1333 and the Building Code, unless within the public offering statement there is described the specific common areas therein which the Building Commissioner has determined are not in compliance with the Building Code, and also the following:
(1) A statement by the developer specifying the estimated cost and estimated time of completion of all work necessary to correct each Code violation, such time of completion not to exceed six months from date of filing, subject to strikes, adverse weather conditions, acts of God and/or other similar events beyond the control of the developer, and
(2) A bond filed with the City in the sum of one hundred percent (100%) of the estimated cost of the work required for Code compliance, such estimated cost to be verified by copies of contracts for completion of the work required for Code compliance.
(c) Compliance with Warranties.
(1) To assure compliance with the warranty obligations specified under Section 1357.05(a)(4) the developer shall place in a separate warranty escrow account a sum equal to one percent (1%) of the gross sales price of each unit as sold, such escrow account to be established at a financial institution in the City whose accounts are insured by a government agency. Such warranty escrow account must be maintained for the period of the warranty.
(2) Following notification by a unit owner or the unit owners' association, the developer shall make any required repairs or replacements of the warranted areas and facilities in a timely manner or as promptly as conditions necessitate in case of emergency. If the developer fails to comply with the warranty provisions, the unit owner or the unit owners' association may notify the developer in writing of intention to correct the condition at the developer's expense. If the developer fails to comply within fourteen days after being notified by the unit owner or unit owners' association or as promptly as conditions require in case of emergency, the unit owner or unit owners' association may, after receiving two or more written estimates of the cost, have the work done by the tradesman submitting the lowest, responsible estimate and have the cost of the work deducted from the warranty escrow account. If litigation is necessary in order to enforce any warranty hereunder and/or to attach funds from such escrow account, a prevailing plaintiff may, in addition to damages, be awarded reasonable attorney fees by the court.
(Ord. 82-51. Passed 9-21-82.)