Metro Districts = More Developer Profit
I moved into a metro district a year and a half ago and shook things up when I, along with 2 neighbors submitted self nomination forms for the election, when 3 of the 5 board seats were up for election. Shortly after, the attorney for the metro district called me and asked if one of the residents was willing to withdraw their nomination to avoid an election. He confirmed that this was to allow the developer to retain majority on the board. When we refused, the developer electors (who only qualified because 2 of the 3 own 1% interest in a rental house in the district, clearly for eligibility purposes) did not withdraw. The district paid thousands for an election that we thankfully, won, that could have been avoided. A nearby commercial district, operated by the developers, has funded the operating expenses of the very new residential district until our property taxes catch up and we’re self sufficient with tax revenue. This is something they knew they would be funding when they planned the district. After hiring a management company, known to only represent homeowner controlled boards, things because contentious. This management company has been involved in lawsuits related to developer abuses in other districts, and the developers in my community have decided they don’t want that legal risk, so they’ve cut off funding our operating expenses and demanded that we terminate the management company. We’re $50k short this year, can’t pay our bills, and are facing having to impose self assessments on many new first time home buyers. Ultimately, we will have to concede to their demands to fund our operating expenses, but it raises the question on why they’re willing to ruin their reputation? It’s because they’re scared of a lawsuit. Perhaps it could be that their profit has OUTRAGEOUSLY exceeded industry standards and that a metro district and bond debt wasn’t needed at all? I urge this task force to stop the abuse! Realize that the “experts” on the task force with misleading names like “education coalition”, are in the pocket of the developers and have zero concern for homeowners. Listen to the residents.
Thank you for visiting the community engagement tool for the Metropolitan District Homeowners’ Rights Task Force.
Pursuant to HB23-1105, this project has now concluded. On behalf of the Department of Regulatory Agencies and the Division of Real Estate, we want to thank you for your interest and participation.