N.H. Admin. Code § Jus 1406.03

Current through Register No. 50, December 12, 2024

Section Jus 1406.03 - Contents of Public Offering Statement

(a) Every public offering statement shall contain:

(1) An index of the contents and exhibits of the public offering statement; and

(2) A narrative section which shall include the following information:

a. The name and principal address of the declarant and the condominium;

b. A brief history of the declarant with emphasis on any experience in condominium development;

c. A brief explanation of the condominium concept, including the distinction among units, common areas, limited common areas, if any, and ownership of an undivided interest in the common area;

d. A brief explanation of the manner in which the condominium was or will be created, together with a description of:

1. The condominium declaration and bylaws;

2. The procedure for their amendment; and

3. A statement that copies of such instruments are attached as exhibits;

e. A general description of the nature of the condominium and of the plan of its development, including:

1. The total number of units and interests in such units if time sharing is involved, registered and total number of units yet to be registered by the bureau; and

2. The total number of units and interests in such units if time sharing is involved, planned to be sold or rented by the declarant;

f. A general description of the various units being offered together with the dates on which substantial completion of unfinished promised units is contemplated;

g. A general description of any common area facilities or amenities which might be constructed, including:

1. A statement whether or not assurances are given as to their construction or completion; and

2. The status of construction;

h. A general description of any easements or restrictions, including any:

1. Subdivision;

2. Zoning;

3. Water pollution; and

4. Other local or state governmental regulations affecting the condominium or any unit thereof;

i. A list and summary of the significant terms of any encumbrances and matters of title affecting the condominium, or any unit thereof, including, where appropriate:

1. An explanation of the consequences of the declarant's failure to discharge any such encumbrance or matter of title and the steps taken, if any, to protect the purchaser in the case of this eventuality; and

2. A statement that copies of relevant legal documents will be made available upon request;

j. A general description of:

1. The plan for management of the condominium;

2. A projected budget for the period extending at least until the end of the ensuing full calendar year of the condominium's operation including projected common expenses for each unit;

3. A statement as to whether any provisions have been made in the budget for capital expenditures or major maintenance reserves;

4. A description of the relationship, if any, between the declarant and the managing agent or firm, if any; and

5. Where appropriate, a statement with copies of the management contract and projected budget attached as exhibits;

k. A list of any express warranties provided by the declarant on the units and common area, as well as:

1. A brief description of the warranty prescribed by RSA 356-B:41, II; and

2. A statement that documents evidencing such warranties will be provided to the purchaser at the time of sale;

l. A general description of the unit owners' association, how it is or will be governed and administered, including:

1. A statement as to the allocation of voting power among the unit owners; and

2. The maximum time the declarant can control such association;

m. A description of:

1. Any rights of first refusal; and

2. Limitations on leasing or other restraints on free alienability created by the condominium instruments or the rules and regulations of the unit owners' association, which affect the unit owners' right to resell, lease, or otherwise transfer an interest in a condominium unit;

n. A description of:

1. Any initial or recurring fees or charges the purchaser is required to pay arising from:

(i) The purchase or use of any unit in the condominium;

(ii) The maintenance or management of the condominium; and

(iii) The charges for the use of any utility service unless such utilities shall be separately metered by each unit; and

2. The consequences for a unit owner who fails to pay, when due, assessments levied against this condominium unit;

o. A general description of the insurance on the condominium to be maintained by the unit owners' association;

p. A description of any legal proceedings against the declarant which might affect the financial status of the condominium and of any legal proceedings brought within the last 5 years by a unit owners' association or a unit purchaser against the declarant, against a principal of the declarant or against an officer, partner, or trustee of the declarant, including:

1. The identity of the court;

2. The docket number;

3. The names of the parties;

4. A brief summary of the allegations;

5. A statement of the status or the outcome of the case; and

6. A declarant may include a good faith statement of opinion as to the merits of such litigation;

q. Notice that any deposit made in regard to any sale of a condominium unit or interest therein will be held in escrow until settlement or closing and the name and address of the escrow agent;

r. An acknowledgment page for the purchaser to sign acknowledging receipt of the notice required by Jus 1406.02(a); and

s. An exhibit section which shall include the following documents:

1. The declaration and any amendments thereto;

2. The bylaws;

3. The projected budget and estimated per unit assessment;

4. Any management contract;

5. Any legal instrument creating the unit owners' association; and

6. Any rules and regulations of the unit owners' association.

(b) Compliance with (a)(2)q. above shall not be required if the declarant complies with RSA 356-B:57 and Jus 1405.12(a)(2).

(c) The unit assessments shall be based only on those units which the declarant reasonably expects to be assessed during the period of operation reflected in the budget, however, the declarant shall not be prohibited from guaranteeing a specific assessment amount for a specified period.

N.H. Admin. Code § Jus 1406.03

(See Revision Note at chapter heading for Jus 1400) #9783-A, eff 9-11-10

Amended by Volume XXXIX Number 46, Filed November 14, 2019, Proposed by # 12910, Effective 10/24/2019, Expires 10/24/2029.