448.3-112. Conveyance or encumbrance of common elements.

MISSOURI STATUTES AND CODES

448.3-112. Conveyance or encumbrance of common elements.

Conveyance or encumbrance of common elements.

448.3-112. 1. Portions of the common elements may beconveyed or subjected to a security interest by the associationif persons entitled to cast at least eighty percent of the votesin the association, including eighty percent of the votesallocated to units not owned by a declarant, or any largerpercentage the declaration specifies, agree to that action;provided, that all the owners of units to which any limitedcommon element is allocated shall agree in order to convey thatlimited common element or subject it to a security interest. Thedeclaration may specify a smaller percentage only if all of theunits are restricted exclusively to nonresidential uses.Proceeds of the sale are an asset of the association.

2. An agreement to convey common elements or subject them toa security interest shall be evidenced by the execution of anagreement, or ratifications thereof, in the same manner as adeed, by the requisite number of unit owners. The agreementshall specify a date after which the agreement will be voidunless recorded before that date. The agreement and allratifications thereof shall be recorded in every county in whicha portion of the condominium is situated, and is effective onlyupon recordation.

3. The association, on behalf of the unit owners, maycontract to convey common elements, or subject them to a securityinterest, but the contract is not enforceable against theassociation until approved pursuant to subsections 1 and 2 ofthis section. Thereafter, the association has all powersnecessary and appropriate to effect the conveyance orencumbrance, including the power to execute deeds or otherinstruments.

4. Any purported conveyance, encumbrance, judicial sale, orother voluntary or involuntary transfer of common elements,unless made pursuant to this section or pursuant to subsection 2of section 448.3-117, is void.

5. A conveyance or encumbrance of common elements pursuantto this section does not deprive any unit of its rights of accessand support.

6. Unless the declaration otherwise provides, a conveyanceor encumbrance of common elements pursuant to this section doesnot affect preexisting encumbrances.