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<p class="MsoPlainText">Listservers: I am looking for guidance to get me in the right direction. Client has a condo in a Condo Association. Asso. needs to perform about $180K of capital improvements but has only $80K in a reserve fund. Client and Asso.
are in preliminary talks about the Client lending from $80K to $100K to the Asso. for 5 years, fully amortized and 5%. I know that I will need to review the Asso.’s governing documents to ascertain if the Asso. can even borrow money (<i>or</i> maybe require
they provide an attorney’s opinion letter?). What about security? The common areas are worthless to a creditor (not to mention the logistics of every condo owner owning a small percentage of the common areas.) Attach right to collect dues? (Or is the advice
to run away. Very fast.) Help! <o:p></o:p></p>
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