The Condominium Law was approved in Costa Rica in 1999.
When property is divided under the Condominium Law, the mother property becomes the “ Finca Matriz”. Finca means farm in Spanish. Most properties, even small lot and houses are referred to as “farm” in Costa Rica. The word “matriz” is a feminine noun that in Spanish means womb, original or master. It is used to refer to the finca as the mother.
Each individual property inside the mother becomes a “ Finca Filial”. “Filial” means as in English: of or relating to a son or daughter, or bearing the relation of an offspring to a parent.
When a property becomes a Condominium, each “ finca filial” gets registered at the National Registry separately with a unique number.
That means when you buy a lot in a Condominium you get a real piece of property with real property ownership rights. Each Owner is an exclusive owner of its filial share, and a joint owner of the communal property.
General guidelines, referred to as” Regulations for the Development and Convenant Laws of the Condominium” are drawn up and submitted to the National Registry for approval , together with the plans of the mother land now divided into lots.
The general guidelines are very important. This is the document where you will find the rules and regulations to which each person or family buying a lot needs to adhere in order to offer everyone a peaceful place to live. These regulations will determine a certain living style. For example: if the regulations are designed for nature lovers they will tend to guarantee a safe, quiet and balanced environment to live in, and will protect the Owners from having neighbors that hunt animals or cut all the trees in and around their property.
The rules or guidelines are managed by the Owners Assembly. This body is the ultimate authority in the condo. Every owner is a member of the Owners Assembly. This group works like a mini democracy and through voting shall resolve issues of common interest brought to its attention.
Costarican law requires three legal books called: Assembly Minutes, Board of Director Minutes and Cash for accounting of the organization. The Administrator, elected by the Owners Assembly, is responsible for the administration of the Condominium and for keeping the three books up to date.
To buy property regulated by the Condominium Law in Costa Rica is a safe investment. Each Condominium Permit is signed by the local municipality, the Tourism Ministry ( ICT), the National Housing Institute ( INVU) and the health ministry.
