Saturday, August 15, 2009

High Cost Of Maintenance Has Struggling HOAs Looking Into Unloading Private Streets Onto Cities

In Riverside County, California, The Press Enterprise reports:
  • A Corona homeowners association has made a simple plea to the city: Take our street. Parkview Estates' struggle to come up with more than $10,000 a year to maintain the private 2 ½-block Ruth Circle that runs through its modest 17-home tract is symbolic of trouble faced by homeowners associations everywhere: They are losing hundreds of thousands of dollars because residents crippled by the economy are not paying monthly dues. Foreclosures are sitting vacant and some banks required to pay the monthly maintenance fees are not.


  • Lately, as the delinquency rate on dues doubles or even triples, [president of the California Association of Homeowners Associations Richard] Monson has been fielding similar calls from associations across the state asking if they can give their streets to local governments. His answer: They can ask, but it's up to the local governments to decide. He said he has not heard whether any city has accepted any association's street.

For more, see Corona homeowners association, suffering like others, wants to give away street.