Since 1981, a developer of a residential condominium regime has been required to file, in the Office of the Secretary of State, a public offering (disclosure) statement for a proposed regime. If the Secretary or his designee determines that the public offering statement complies with State law, an Order of Registration is issued. The review period is a maximum of forty-five days, and until the public offering statement is registered, a contract for the initial sale of a unit is prohibited. Out-of-state projects offered to Maryland residents must go through a similar review process.
Amendments to public offering statements must be delivered promptly to purchasers and to the Secretary of State. When the Secretary of State is notified that all units in the condominium have been conveyed to unit owners other than the developer and the developer either cannot add additional units to the condominium or has determined that no additional units will be added to the condominium, the Secretary of State will issue an order terminating the registration.
A developer converting a residential rental facility into a condominium regime also files a public offering with the Secretary of State. This public offering statement includes a notice to tenants informing them of certain protection provided by law to reduce the impact of the conversion. These rights include the right to purchase the unit and to receive moving expenses if the resident chooses not to, and, for income-eligible elderly and handicapped tenants, the right to apply for a three-year lease extension. The Secretary of State publishes the income eligibility figures used for this purpose in the Code of Maryland Regulations. State law also provides that the Secretary of State shall establish a file of local legislation affecting condominiums.
Statutory Authority: Real Property Article, Title 11, of the Annotated Code of Maryland.
Time Shares Information
Time Share Law: Real Property Title 11A
A developer of a time share project is required to file, in the Office of the Secretary of State, a public offering statement for the proposed project. If the Secretary determines that the public offering statement satisfies the requirements of the Maryland Real Estate Time-Sharing Act, a registration letter is issued.
Statutory Authority: Real Property Article, Title 11A of the Annotated Code of Maryland.