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What distinguishes a planned development (PD) from a condominium in California under the Davis-Stirling Act?

Correct Answer

B) In a PD, owners hold title to the land beneath their unit; in a condominium, they own only the airspace

Under the Davis-Stirling Act (Civil Code §4105 and §4125), the key distinction is that in a planned development (PD), individual owners hold fee simple title to both their dwelling unit AND the land beneath it. In a condominium, owners hold title to the airspace within their unit but share ownership of the land and structure as common areas.

Answer Options
A
A PD has no common areas; a condominium always has common areas
B
In a PD, owners hold title to the land beneath their unit; in a condominium, they own only the airspace
C
In a PD, the HOA owns all units; in a condominium, individual owners hold title
D
There is no legal distinction between a PD and a condominium in California

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Related Topics & Key Terms

Key Terms:

planned_developmentcondominiumDavis_Stirlingland_ownership

Related Concepts

An environmental impact statement (EIS) is a detailed report required for major federal projects or actions that may significantly affect the environment. It is mandated by the National Environmental Policy Act (NEPA).

A nonconforming use is a property use that was legally established before a zoning change but no longer complies with the current zoning ordinance. It is commonly called a "grandfathered" use.

A planned unit development (PUD) is a zoning classification that allows mixed land uses (residential, commercial, recreational) within a single development with flexible zoning standards. Homeowners typically own their lot and share common areas.

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