California Code of Regulations › Title 10 - Investment › Chapter 6 - Real Estate Commissioner › Article 12.2 - Time-Share Project › Section 2809.1 - Properly Completed Application-Single-Site Time-Share Plan

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
An application for a final public report for a single-site
				  time-share plan is "properly completed" within the meaning of Section
				  11231 of the Code if it contains
				  the documents and information enumerated below:
(a) For every single-site time-share plan:
(1) The developer's legal name, any assumed
				names used by the developer, principal office street address, mailing address,
				primary contact person, and telephone number.
(2) The name of the developer's authorized or
				registered agent in the state upon whom claims can be served or service of
				process be had, the agent's street address in California, and telephone
				number.
(3) The name, street
				address, mailing address, primary contact person, and telephone number of any
				time-share plan being registered.
(4) The name, street address, mailing
				address, and telephone number of any managing entity of the time-share
				plan.
(5) Consent to service of
				process upon the Bureau of Real Estate if applicant is a nonresident of
				California.
(6) A description of
				the inventory control system that will ensure compliance with Section
				11250 of the Code.
(7) Evidence that the accommodation is
				presently suitable for human occupancy or that financial arrangements have been
				made to complete construction or renovation of the accommodation to make it
				suitable for human occupancy on or before the first date for occupancy by a
				time-share interest owner.
(8)
				Evidence that the accommodations are owned or leased by the developer of the
				time-share plan or is the subject of an enforceable option or contract under
				which the developer will build, purchase, or lease the
				accommodations.
(9) If an
				accommodation in a time-share plan is located within a local governmental
				jurisdiction or subdivision of real property in which the dedication of
				accommodations to time-sharing is expressly prohibited by ordinance or recorded
				restriction, either absolutely or without a permit or other entitlement from
				the governing body, the applicant for a public report shall present evidence of
				a permit or other entitlement by the appropriate authority for the local
				government or the subdivision.
(10)
				A description of the existing or proposed accommodations, including the type
				and number of time-share interests in the accommodations.
(11) The number of accommodations and
				time-share interests expressed in periods of seven-day use availability or
				other time increments applicable to the time-share plan, and available for use
				by purchasers and a representation about the percentage of useable time
				authorized for sale.
(12) A
				description of any existing or proposed amenities that will be part of the
				time-share plan.
(13) A description
				of the financial arrangements that have been made, pursuant to Section
				11230, for the completion of any
				incomplete, promised amenities.
(14) A description of the duration, phases
				and operation of the time-share plan.
(15) Copy of the budget meeting the
				requirements of Section
				11240, along with the budget
				certification or request that the budget be certified by the Budget Review
				Section of the Bureau of Real Estate, and a description of the method for
				calculating and apportioning the assessments among purchasers.
(16) A description of any initial or special
				fee due from the purchaser at closing together with a description of the
				purpose and method of calculating the fee.
(17) A description of any financing available
				through the developer.
(18) A
				description of any liens, defects, or encumbrances on or affecting the title to
				the time-share interests.
(19) A
				description of any bankruptcies, pending civil or criminal suits,
				adjudications, or disciplinary actions of which the developer has knowledge,
				that would have a material effect on the developer's ability to perform its
				obligations.
(20) A description of
				any fees or charges to be paid by time-share purchasers for the use of any
				amenities related to the time-share plan.
(21) A description and amount of insurance
				coverage provided for the protection of the purchaser.
(22) If applicable, a description of any
				right of first refusal or other restraint on the transfer of all or any portion
				of a time-share interest.
(23) A
				copy of instructions to escrow depository for compliance with Section
				11241 including the following:
(A) Name and address of escrow
				depository.
(B) A description of
				the nature of the transaction.
(C)
				Conditions that must be satisfied before escrow can be closed.
(D) Provision for the return to a prospective
				purchaser of funds deposited toward the purchase of a time-share interest if
				the escrow for the transaction has not closed on or before a given
				date.
(24) Evidence of
				financial arrangements to assure fulfillment of developers obligation to pay
				assessments for unsold timeshare interests pursuant to Section
				11241.
(25) Copy of the contract utilized between
				the exchange company and a purchaser of a time-share interest and all
				promotional and informational material delivered to purchasers pertaining to
				any offered exchange program.
(26)
				Filing fee including fee for preliminary public report if applicable.
(27) Certificate of qualification from
				Secretary of State if applicant is a foreign corporation.
(28) Preliminary title report for all
				accommodations comprising the time-share plan, dated not more than 90 days
				prior to the date of submission of the application or, if the preliminary title
				report is dated more than 90 days earlier, with an accompanying letter from the
				title officer, dated not more than 90 days prior to submission of the
				application, indicating that state of title has not changed from that set forth
				in the submitted preliminary title report.
(29) If the offering is a security subject to
				the jurisdiction of the Department of Business Oversight, a Department of
				Business Oversight permit or interpretive opinion or copy of application for
				permit or request for interpretive opinion submitted to Department of Business
				Oversight.
(30) State or local
				assessment and improvement bond information if applicable to accommodations in
				the project.
(31) Copies of all
				contracts, deeds, fact sheets and other instruments to be used in marketing,
				financing and conveyancing of time-share interests.
(32) Copy of the covenants to be recorded for
				the time-share plan pursuant to Section
				11251 of the Code.
(33) Copy of trust agreement for the
				time-share plan if applicable.
(34)
				Copy of proposed or existing agreements for management of the time-share
				plan.
(35) Format of fidelity
				insurance or bond to be obtained for the managing agent of the time-share plan
				and other employees who will have custody or control of funds of the
				Association.
(36) Copy of letter or
				other evidence giving notice of the proposed dedication of the timeshare
				project to local governments in which accommodations of the time-share plan
				will be located. For time-share projects located outside this state, evidence
				of approval or compliance of the time-share project in the state in which the
				time-share project is located is sufficient to satisfy this
				requirement.
(37) Completed
				documents for reservations and reservation deposits if a preliminary public
				report is requested.
(38) Evidence
				of financial arrangements for any repurchase guarantee included in the
				offering.
(39) Description of the
				furnishings and other personal property to be included in the time-share
				offering.
(40) In a time-share plan
				which comprises less than all of the accommodations in a hotel, motel or
				similar commercial lodging establishment and in which the accommodations not
				part of the time-share plan are concurrently used for transient accommodations,
				a copy of the proposed contract for the following:
(A) Arrangements for temporary use for
				transient occupancy of accommodations comprising the time-share plan and
				temporary use by the time-share plan of accommodations regularly used for
				transient occupancy.
(B)
				Apportionment of the costs of operation of the hotel/motel that are for the
				joint benefit of accommodations in the time-share plan and accommodations for
				transient occupancy.
(41)
				Agreement of developer to subsidize maintenance and operation of the
				single-site time-share plan where applicable.
(42) Description of each incidental benefit
				pursuant to Section
				11237(b).
(43) If applicable, information as required
				by Section
				11233.
(44) If applicable, a certification meeting
				requirements of Section
				11246.
(45) Audited financial statements of the
				Association, if applicable.
(46)
				For every single-site time-share plan involving newly-built or as yet unbuilt
				accommodations, or accommodations which will be renovated or reconstructed
				prior to occupancy, evidence of availability of domestic utilities and services
				to the project.
(47) If the
				time-share plan is located outside this state, a public report or other
				disclosure document meeting the requirements of Section
				11226(c)(5).
(48) A draft public
				report.