Hangar LLC question?

[db8]

Have formed a LLC where 10 of us are going in on hangars (to purchase each) and renting (long term) the ground from the county airport. The county is forming a lease agreement with our LLC. All guys are great people, but if someone sells and decides not to pony up the rent, I wonder what the best way to deal with this is? A contract within the LLC might be good, but does anybody have any ideas or experience with this? Any thoughts would be appreciated. Thanks. Dave

[RV7Factory]

I am no legal expert, and I didn't stay at a Holiday Inn Express last night, but you may want to write in the agreement where the remaining partners have Right of First Refusal.

[scard]

I own my hangar as part of a hangar condo association. It is just like a condo. You buy your part and pay dues. If you don't pay your dues, the assn. can attach to the value of your condo. You can buy/sell at will as long as the new owner agrees to the condo agreement...

[mdredmond]

Yup, I agree with Scott.

Write into an agreement that the LLC has a lien against each hangar for the payment of rent. If the hangar owner doesn't pay his share of the rent the LLC can, if needed, foreclose its lien and take the hangar - or collect the amount due from the proceeds of an owner's sale. Put in reasonable time limits, late fees, etc... to encourage prompt rent payment, but make everything reasonable.

Don't write this yourself. Find a decent real estate or Homeowners' Association lawyer. I hate to suugest the HOA lawyer - because I despise HOA lawyers. But that's what you need.

[db8]

Thanks guys. That makes sounds reasonable and that's what we'll do. Take care. Dave