Court of Appeals Confirms Developer’s Right to Withdraw Property From Condominium

The Court of Appeals ruled recently in the case of In Re: Skybridge Terrace, LLC, that a developer could withdraw an entire phase of a condominium project which had previously been submitted to a condominium declaration.  The case involved a condominium project on Calvert Street in Charlotte that initially contained two phases described in the declaration – Phase I and Phase II.  The developer initially sued the law firm that drafted the declaration asking for “reformation” of the declaration to state that the developer had the right to develop Phase II of the property.  The trial court held that the declaration properly reserved the right to withdraw Phase II since no units had been sold in Phase II of the project and the Court of Appeals affirmed noting, “under the Act, Skybridge was prohibited from withdrawing the Phase I property because it had already conveyed units in Phase 1 butwas not precluded from withdrawing the Phase II property because no units in Phase II had been conveyed.  Indeed, no units in phase 2 were ever built.”

News and Announcements

Contact Us