Final Public Reports that are issued to a Subdivision are subject to maintaining an accurate representation of the property. Sometimes what sparks the need for an Amendment filing can correspond to more than one aspect of the Public Report, such as the date of expiration. Material changes to the Subdivision after issuance of the Final Report may require that a Subdivider needs to file for an Am...

Part of the mapping and development process in conjunction with the Public Report filing process may involve bonding for various items along the way.  There may be as many as ten or more bonds required throughout the site development phase, and compliance with the DRE process can only add to that.  For these reasons, it is advantageous of Subdividers to get acquainted with the approach that can re...

A “subdivision” is defined as “improved or unimproved land” divided into five or more lots or parcels for the purpose of sale, lease, or financing...  Any person or entity who owns five or more lots in a subdivision is considered a “Subdivider.”  Subdividers must get a Final Public Report before offering subdivision lots for sale to the public. There are several exemptions to this requirement, ...

The time has finally come!  E-filing is available at the DRE.  All it requires is a quick registration with the Subdivision Online Public Reporting System, or SOPRAS.  Each SRP (Single Responsible Party) and each Subdivider must register to submit electronic files. Initially, Preliminary (Pink) Public Reports will be the only electronic filing application available, with the others to be coded ...

Selling homes in phases? Consider structuring your next subdivision map to include multiple road lots.  Asphalt streets are definitely one of the most expensive items that HOA's maintain.  Breaking the road lot into multiple lots to match your sales plan can save thousands. Think of it this way; if you have all of the streets in one lot, it can "front load" the HOA dues program, causing assessm...

When an HOA is created, the dues start in any phase when the first lot or unit is sold. For planning purposes, it’s important to note that the DRE Regulations allow for HOA assessments to be waived for HOA-maintained improvements that are not complete. Regulation 2792.16c, in a nutshell, stipulates that any assessments for common area which has not been completed can be deferred - in other words, ...

Does your HOA common area need to be rejuvenated, but your bank account doesn't allow for much more than a new paint job?  Well, the good news is that most banks consider HOAs good investments.  Obtaining credit from a reputable agency is often much more palatable than special assessments and may be easy to obtain!  We have worked with several HOAs who have used lending to cover their financial ne...

We often get calls from clients considering a purchase of a "broken" project, who are in the due diligence period on a project.   In this situation, it is worth the effort to investigate the project from the Department of Real Estate (DRE) perspective.  Was it filed with DRE previously?  Are there any red flags in the public report?  What would an amendment filing at DRE look like for this project...

E-FILING becomes a reality in 2018 Electronic filings have been discussed for the past five years, and some thought it might never happen.  Alas, it is happening, in 2018.  Our firm will be participating in beta testing of pink report application filings in July of 2018.  Based on the success rate of the beta filings, it is possible that full electronic filings will be available as early as the...

It's official – the Department of Real Estate is back!  The former Bureau of Real Estate has regained independence and is back to operating as an independent Department within California's government structure.   Since this announcement, management has scrambled to hire administrative staff to support the Department, filling 18 new positions in July; but those are not the only positions needing to...