Nevada Administrative Code Chapter 116B - Condominium Hotels
Here’s an enhanced overview of Nevada Administrative Code (NAC) Chapter 116B – Condominium Hotels:
🏨 1. General Structure
NAC 116B is divided into major parts:
General Provisions (§ 116B.010–.030)
Management of Condominium Hotels (§ 116B.100–.???), including:
Hotel unit owner responsibilities
Unit owners’ association obligations
Protection of Purchasers (§ 116B.500–.530)
Administration & Enforcement (§ 116B.600–.???)
2. Key Provisions Under Management
a. Hotel Unit Owners
§ 116B.300: Any required action by a hotel unit owner may be executed by their agent/employee or the hotel’s operator (law.cornell.edu, regulations.justia.com, law.cornell.edu).
§ 116B.320: Interim financial statements for hotel unit owners must follow GAAP principles (casetext.com).
b. Unit Owners’ Association Financial Oversight
§ 116B.170: The annual budget must:
Estimate necessary reserves based on bids or standards
Explain and propose resolutions if projected reserve balance is insufficient (regulations.justia.com).
§ 116B.210: Interim statements subject to audit or review must use fund accounting and separately reflect:
Operational funds (daily services)
Reserve funds (major component repair/replacement) (regulations.justia.com).
c. Reserve Studies & Funding
§ 116B.350: Reserve studies must:
Base component life reduction on industry/local standards
Consider owner/operator business needs
Disclose factors used in determining useful life of components (law.cornell.edu).
3. Purchaser Protections & Enforcement
Sections § 116B.500–.530 mirror protections in the Condominium Hotel Act, covering:
Public offering statements
Right to cancel
Disclosure requirements
(For complete details, refer to official NAC text.)
4. Administration & Enforcement
Enforcement, penalties, fines, and oversight are handled under Chapters for Common‑Interest Communities and Condominium Hotels (§ 116B.600+), overseen by the Real Estate Division and designated commission.
✅ In Summary
Hotel unit owners may delegate duties and must maintain GAAP-compliant interim records.
Unit owners’ associations must:
Maintain a clear budget (operating + reserves),
Provide transparency and accounting disclosures,
Fund major maintenance through detailed reserve studies.
Governance, purchaser protections, and enforcement mechanisms follow from statutory authority.
📘 For Full Text
You can access the complete chapter and individual sections on the State of Nevada’s legislative site (leg.state.nv.us, law.justia.com, law.cornell.edu, regulations.justia.com, law.cornell.edu).
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