David has a good point about any ppty owner being able to enforce. In TX it’s pretty common for the “developer” to write the restrictions wherein lots in the developer’s hand each have 3 votes and built out lots only have one each. That give the developer lots of stroke for a long time. Of course it’s always IMPORTANT to enforce violations. Failure to do so can cause the common law “laches” to kick in. That means that a failure to enforce in the past makes it difficult, if not impossible to enforce in the future. That can cause the restrictions to lose all force of law, and the neighborhood to decline in value quite rapidly.
Of course somewhere it’s probably spelled out what the penalty is for noncompliance. My sister and BIL once bought a lot where they had to post a $50K bond for landscaping and driveway that had to be done within 90 days of completion of the house.
If you don’t think you’re going to be able to comply find out what the penalties are NOW.
Bought a lot that has a deed restriction that states “No later than 2 years after initial purchase of lot from developer, construction of the dwelling must commence by the owner and completed within one year from date of building permit.” What if I am unable to build within this period? What is my legal exposure due this restriction?
Re: Deed Restrictions on building lot - Posted by David Krulac
Posted by David Krulac on May 13, 2006 at 22:30:31:
I’ve seen cases where the developer enforced the deed restrcitions and forced the buyer to re-sell to the developer at the original purchase price. In an appreciating market that means you lose all the appreciation and closing costs. In a declining market the developer probably won’t bother enforcing the deed restrcitions.
However, this doesn’t happen much but any land owner in the development can enforce the deed restrictions on their own without the developer. They have vested rights in the the deed restrictions.