What is a POTL?
POTL is short for Parcel of Tied Land. It is the most efficient way to manage land that is shared between multiple owners.
So, what is a parcel of tied land?
A parcel of tied land, or POTL, is a property on a piece of land that is shared with other people. Once joined, it must be transferred or mortgaged with the property itself. POTLs include things like parking spaces, marinas, golf courses, or parks.
In order to become part of a POTL, you purchase a property within it. The land can be freehold or a condominium.
Just like condo ownership, ownership of property within a POTL comes with responsibilities and obligations, but also benefits and extras!
The most important obligation will be paying your Common Expenses Contribution (condo fees, maintenance fees, and POTL fees are also commonly used to describe this payment). The fees will be dependent on the goals of your POTL and the current state of your land.
The idea of a POTL is the same as a condo in the way that members pay into a monthly fee to handle the maintenance of shared elements of the property, such as shared walls or parts of the land that are utilized by the entire POTL. In the same way, however, owners of these properties also have less creativity and individual choice with their properties. Much like a condo, you must get permission to alter the exterior of your home or any area of your property that may impact your neighbours.
