Covenants, Conditions, and Restrictions (CC&R) | Practical Law

Covenants, Conditions, and Restrictions (CC&R) | Practical Law

Covenants, Conditions, and Restrictions (CC&R)

Covenants, Conditions, and Restrictions (CC&R)

Practical Law Glossary Item 4-580-3969 (Approx. 3 pages)

Glossary

Covenants, Conditions, and Restrictions (CC&R)

Limitations and rules placed on a property by a developer, builder, or government body that govern how the real property may be used, developed, and operated. CC&Rs are most commonly used in planned community or common interest developments, such as commercial office and industrial parks. CC&Rs are typically included in the property granting deed or in a Declaration of Covenants, Conditions, and Restrictions. CC&Rs are usually recorded in the county clerk's office or other recording office where the property is located and run with the land.
CC&Rs generally contain:
  • A statement of the intent of the developer.
  • A description of the property.
  • Restrictions on the use and development of the property.
  • The creation of a governing association or board of directors.
  • The maintenance and repair obligations of the property owners.
  • Lender protection provisions.
  • A description of each owner's assessment obligations and billing and payment procedures.
  • Shared easements between all of the properties that comprise the planned development.
Restrictions usually fall into one of two categories:
  • Equitable servitudes, which are found in CC&Rs and run with the land.
  • Rules and regulations, which are later adopted by the board of directors of the association.
CC&Rs are typically enforced by an association or by an individual owner whose property is being negatively affected by another owner or owners within the planned development. Boards of directors and owners have discretion whether to enforce CC&Rs.