P.R. Laws tit. 31, § 1296
(a) The condo hotel regime under this chapter shall be constituted by the execution of the master deed, which shall be recorded on the Property Registry pursuant to the provisions of this chapter and the Mortgage and Property Registry Act.
(b) The condo hotel regime may be established over real property under a duly registered lease, surface right in perpetuity or usufruct, provided, that through a public deed to the effect, the lessor, holder of the surface right or bare owner gives his/her express consent therefor and waives any action or claim that he/she could initiate against the owners of the real property, in the event of noncompliance with the obligations of the lessee, the holder of the surface right or the original usufructuary.
Upon registration, the condo hotel regime may only be dissolved by the administrator’s affirmative vote, plus the affirmative vote of the owners of lodging units in such manner, number or proportion as provided in the master deed.
(c) The master deed may be amended for the purpose of making changes to the leasing program by the affirmative vote of the administrator, except for those amendments to the master deed increasing the responsibilities of the owners of lodging units for program administration expenses or reducing their share in the financial benefits to which they are entitled under the leasing program or reducing their rights with respect to the common elements, which shall require the consent of the owners of lodging units, in such manner, number or proportion as provided in the master deed.
(d) Any other amendment to the master deed shall require the affirmative vote of the administrator and the affirmative vote of the owners of the real property in such manner, number or proportions as provided in the master deed.
(e) In the event that the owner of a residential unit wishes to incorporate his/her unit into the leasing program, the administrator may amend the master deed, without the consent of any person, other than such owner, for the purpose of changing in the master deed the designation of such residential unit to “lodging unit” and changing the share percentages of the owners of lodging units in the common elements so as to show the incorporation of said residential unit to the leasing program.
(f) In the event that the leasing contract allows the owner of a lodging unit to withdraw the same from the leasing program, the administrator may amend the master deed without the consent of any person, other than such owner, for the purpose of changing in the master deed the designation of lodging unit to “residential unit” and change the share percentages of the owners of lodging units in the common elements so as to show the withdrawal of said lodging unit from the leasing program. However, the administrator may amend the master deed to change the designation of a lodging unit to a residential unit, if the owner of said unit fails to comply with his/her obligations under the leasing contract, the administrator shall terminate the leasing contract and remove such unit from the leasing program. The provisions of this subsection do not exempt the owner of a lodging unit from complying with any other legal provision granting tax or other incentives, in exchange for allowing the lodging unit to remain in the leasing program for a determined period.
(g) Notwithstanding the provisions of any other part of this or any other act, for purposes of constituting a condo hotel regime and the recording thereof in the Property Registry, the condo hotel regime may be established without the need to designate a minimum, maximum, or specific number of lodging, residential, or commercial units in its master deed. Those constituting such kind of regime may designate all units as residential or lodging units or establish any combination to designate the same as residential, lodging, or commercial units. None of the aforementioned provisions shall, for purposes of the granting tax incentives and determining the period of time to meet the minimum number of rooms devoted to accommodate guests under an integrated leasing program, prevent the Tourism Company from establishing the applicable requirements in accordance with its rules, laws, and regulations or the specific provisions of each grant.
History —Aug. 12, 2008, No. 249, § 4.101; Dec. 16, 2009, No. 178, § 2; June 24, 2010, No. 67, § 2; Dec. 24, 2011, No. 278, § 1.