When someone buys a condominium, the parking space that comes with the unit might seem simple — but not all parking is the same! In most condos, parking spaces fall into two categories: deeded spaces and limited common element (LCE) spaces. Knowing which type is being sold makes a big difference in ownership rights, flexibility, resale value and contractual transfer provisions.
1. Deeded Parking Spaces
A deeded space is real property — it’s owned by the purchaser of the condominium unit!
• The unit owner also acquires the parking spot outright, which is stated in the deed for the condominium unit OR with a separate deed recorded in land records.
• You can sell, transfer, or mortgage it (unless restricted by condo rules).
• The space may have its own property tax bill or separate condo fee associated with it.
• The unit owner is responsible for following community rules regarding use and transfer, but otherwise owns and has full control over the parking space.
Example: The owner owns Unit 402 and also Parking Space P-12, each with its own deed. The owner could sell or rent out the parking space later if allowed by the condo documents.
2. Limited Common Element (LCE) Parking Spaces
An LCE space is owned by the condominium association, but the owner of the unit has the exclusive right to use it.
• The unit owner doesn’t own the space itself — they just have exclusive use of it.
• The unit owner can’t sell or mortgage it separately; it usually transfers with the unit when it is sold
• The condo board or declaration may allow the board to reassign or regulate these spaces.
• Maintenance is usually covered through the condo association fees paid by the unit owner.
Example: You have the right to park in Space P-12, but the condo association still owns the actual space.
Why It Matters
• Resale: The listing and contract should specify whether the parking space is transferred “in fee simple”, pursuant to the deed or just assigned as a limited common element for the exclusive use of the condominium unit owner. Deeded spaces often add more flexibility and value when selling your condo.
• Control: Deeded spaces give you more independence; LCE spaces are governed more closely by the association.
• Fees & Taxes: Deeded spaces can mean extra taxes; LCE spaces are typically included in your condo fees
Bottom Line
When listing or acting as a buyer’s agent in the sale or purchase of a condominium unit which has a parking space “included”, determine whether the parking space is a separate unit which will be transferred to the buyer OR a limited common element over which the buyer will have exclusive use. This can be done by (i) checking the condo documents and deed which conveyed the property (and/or parking unit) to the seller; and/or (ii) contacting management for the condominium association to confirm what kind of parking space is being sold. The condominium document resale disclosure package will also include information on parking spaces. It’s a small detail that can make a big difference in how you value, market, sell or provide advice to the prospective buyer of the property.
