Posts Tagged ‘Georgia Condominium Act’

Preparing a construction lien for a condominium unit or complex always presents its challenges.  Each state handles these circumstances differently, and indeed, some states fail to address the situation at all.

However, its quite clear that some complexities are presented when filing a lien on a condominium.   Does the lien attach to the individual condo unit, or the entire property?   What does one lien when working on the common elements?  What if the condo units are still owned by the developer and have not yet been sold?

In Georgia, these issues are addressed within the Georgia Condominium Act within O.C.G. §44-3-70 et seq.   The specific topic of liens are addressed in §44-3-95.

The Importance of “Submitted Property”

How your lien attaches to a GA Condominium depends in large part on whether the condominium is or is not “submitted property.”   According to the GA Condominium Act, submitted property means “property lawfully submitted by the recordation of condominium instruments.”

Therefore, if the developer has recorded the condo instruments – the property is considered “submitted property.”

Once a property is “submitted property,” unless specifically allowed otherwise (see next section), liens cannot attach to the property as a whole.

Work Performed in Original Construction of Property

Regardless of whether the property is or is not submitted property, when work or services are performed in the original construction of the property (or any portion of the property), the construction lien may be recorded against the property as a whole.

Work Performed on Individual Units

When work is provided on a specific condominium unit, a lien may arise and be created upon the specific condominium unit as it does any other separate parcel of real property subject to individual ownership.

Work Performed on Common Elements

When work is provided on the common elements, a construction lien can be placed and arises against all the condominium units.   In this case, any unit owner may remove that lien from his condominium unit by the payment of the amount attributable to his condominium unit.