NRS 116B.385
Termination of condominium hotel.
1.
Except in the case of a taking of the condominium hotel by eminent domain, termination of the condominium hotel or the declaration requires approval by:(a)
The owners representing at least 80 percent of the votes in the association allocated to the residential unit owners; and(b)
The hotel unit owner.2.
An agreement to terminate the condominium hotel or the declaration must be evidenced by the execution of an agreement to terminate in the same manner as a deed by the hotel unit owner and the requisite number of units’ owners. The agreement to terminate must specify a date after which the agreement will be void unless it is recorded before that date.3.
An agreement to terminate may provide that all of the common elements, shared components or units must be sold following termination. If, pursuant to the agreement, any real estate in the condominium hotel is to be sold following termination, the agreement must set forth the minimum terms of the sale.4.
The hotel unit owner, on behalf of the units’ owners, may contract for the sale of real estate owned by the units’ owners in a condominium hotel, but the contract is not binding on the units’ owners and the declarant or hotel unit owner, as applicable, until approved pursuant to subsections 1 and 2. If any real estate owned by the units’ owners is to be sold following termination, title to that real estate, upon termination, vests in the hotel unit owner as trustee for the holders of all interests in the units. Thereafter, the hotel unit owner has all powers necessary and appropriate to effect the sale. Until the sale has been concluded and the proceeds thereof distributed, the hotel unit owner continues in existence with all powers it had before termination. Proceeds of the sale must be distributed to units’ owners and lienholders as their interests may appear, in accordance with NRS 116B.390 and 116B.395. Unless otherwise specified in the agreement to terminate, as long as the unit’s owner holds title to the real estate, each unit’s owner and his or her successors in interest have an exclusive right to occupancy of the portion of the real estate that formerly constituted such unit’s owner’s unit. During the period of that occupancy, each unit’s owner and his or her successors in interest remain liable for all assessments, shared expenses and other obligations imposed on units’ owners by this chapter or the declaration.5.
If the real estate is not to be sold following termination, title to the common elements and residential units vests in the units’ owners upon termination as tenants in common in proportion to their respective interests in the association as provided in NRS 116B.395, and liens on the units shift accordingly. While the tenancy in common exists, each unit’s owner and his or her successors in interest have an exclusive right to occupancy of the portion of the real estate that formerly constituted such unit’s owner’s unit.6.
Following termination of the condominium hotel, the proceeds of a sale of real estate, together with the assets of the association, are held by the hotel unit owner as trustee for units’ owners and holders of liens on the units as their interests may appear.
Source:
Section 116B.385 — Termination of condominium hotel., https://www.leg.state.nv.us/NRS/NRS-116B.html#NRS116BSec385.