What does a condo conversion entail?

A condo conversion refers to the process of changing the ownership structure of an existing property to a condominium format. This typically involves taking a multi-unit residential building, such as an apartment complex, and converting it into individually owned units. Each unit is sold off separately as a condominium, allowing homeowners to own their individual living space while sharing ownership of common areas, such as hallways, lobbies, and recreational facilities.

This transformation often requires compliance with local regulations and may include securing the necessary permits, updating the building to meet condo standards, and drafting condo association documents. The emphasis on changing the existing ownership structure is key, as it distinguishes condo conversions from other real estate activities such as building new properties, turning condos into rental units, or creating mixed-use developments.

In contrast, building a new condo would involve entirely new construction rather than the modification of an existing structure. Transforming condos into rentals would mean reversing the process of ownership, while creating mixed-use developments focuses on combining residential and commercial spaces rather than converting existing properties into condos.