Why the Statute Distinction Matters
Arizona's Title 33 creates two separate legal frameworks for residential communities. The statute that governs your property determines what the board can require, how assessments are set, what disclosure rules apply, and how disputes are resolved. Confusing the two can lead to misunderstanding your actual rights and obligations.
- Planned Communities Act (A.R.S. 33-18xx) applies to developments where owners hold title to land and improvements; the community association manages common property and enforces covenants.
- Condominium Act (A.R.S. 33-12xx) applies to properties divided into individual units with exclusive ownership plus a share of common elements; the association owns and maintains the building structure itself.
- Each statute sets different rules for assessment authority, reserve funding, disclosure, and owner voting—using the wrong statute to research your rights can lead to incorrect conclusions.
How to Identify Your Community Type
The community name alone does not determine which statute applies. A development called a 'community' might be a planned community, and a building called 'condominiums' might be governed as a planned community if the declaration says so. The declaration document is the authoritative source.
- Open your resale package or community documents and locate the Declaration of Covenants, Conditions, and Restrictions (CC&Rs) or the Declaration of Condominium.
- Look for explicit language stating 'This community is established under the Planned Communities Act' or 'This property is a condominium under the Condominium Act.' The declaration will name the statute or describe the ownership structure clearly.
- If the declaration states that owners hold title to individual lots and the association manages common areas, it is a planned community. If it states that owners hold title to individual units and a percentage interest in common elements (including the building structure), it is a condominium.
- When in doubt, check the property deed or title report; these documents often reference the governing statute or declaration type.
Planned Communities Under A.R.S. 33-18xx
In a planned community, you own your lot and home outright. The association owns and maintains common property (roads, amenities, landscaping) and enforces community covenants. The Planned Communities Act sets specific rules for assessments, reserve funding, and owner rights.
- Owners hold fee-simple title to their individual lots and structures; the association does not own your home.
- The association collects assessments to maintain common property and enforce covenants; the statute limits how assessments can be raised and requires specific reserve-funding disclosures.
- Owner voting rights, amendment procedures, and dispute resolution are defined by the Planned Communities Act and the community's bylaws and declaration.
Condominiums Under A.R.S. 33-12xx
In a condominium, you own your individual unit (the interior space) and hold a percentage interest in common elements, including the building structure, roof, and exterior. The association owns and maintains the building and common areas. The Condominium Act sets stricter rules for reserve funding, disclosure, and structural maintenance.
- Owners hold title to their unit and an undivided percentage interest in common elements; the association owns the building structure and is responsible for its maintenance and repair.
- The Condominium Act requires specific reserve-funding studies and disclosure of major structural defects; these rules are more prescriptive than the Planned Communities Act.
- Assessment authority, special assessments, and owner voting are governed by the Condominium Act and the declaration; structural repairs and replacements are the association's legal obligation.
What to Do Once You Know Your Statute
Once you have confirmed whether your community is a planned community or condominium, you can research the specific rules that apply to your situation. This prevents wasted time looking up the wrong statute and helps you understand your actual rights and obligations.
- Visit StreetScout's Arizona HOA law hub to read the statute text and orientation guides for both the Planned Communities Act and the Condominium Act.
- If you are a buyer, use the due diligence workflow for home buyers to systematically review your resale package and identify key risks before closing.
- If you are an active owner responding to a board action or enforcement, knowing your statute helps you cite the correct law in any correspondence or dispute.
How StreetScout Helps You Confirm Your Statute
Identifying whether the Planned Communities Act or Condominium Act applies requires careful reading of your declaration—a task that is straightforward once you know what to look for, but time-consuming if you are reviewing a dense resale package for the first time. ScoutReport extracts and labels the key declaration language so you can see at a glance which statute governs your community.
- Upload your resale package or declaration documents to ScoutReport, and the tool extracts the governing statute language and ownership structure from your declaration.
- ScoutReport organizes these findings into a labeled summary so you can confirm whether A.R.S. 33-18xx (Planned Communities Act) or A.R.S. 33-12xx (Condominium Act) applies without re-reading the entire document.
- Once you have confirmed your statute, you review and verify the finding, then use that knowledge to research the specific rules, assessment limits, and owner rights that apply to your situation—saving you from looking up the wrong law.
