Delivery to Tenant

• When the developer decides to sell the unit, he must make purchase materials available to the tenant within 90 days. The purchase materials consist of a written offer to sell the unit to the tenant, along with the selling price of the unit and the terms of the sale. These materials must include a summary of mortgage financing, including an estimation of the down payment, alternative financing information, a description of federal tax benefits and estimated mortgage payments including property tax, interest and principal. The developer must also include disclosures with language stated in Florida Statutes sections 718.503 and 718.504.
  
  

Failure to Deliver

• If the developer does not deliver the required purchase materials and disclosures to the tenant within 90 days of notice of intent to sell, the developer must extend the tenant's rental period by 90 days. The rental period is further extended by the number of days between the expiration of the developer's 90-day delivery period and the date the developer actually delivers the purchase materials and disclosures to the tenant.
  
  

Option to Purchase

• After receiving the required purchase materials and disclosures, the tenant has at least 45 days to decide to purchase the unit, although the developer may permit a longer period. If the tenant does not decide to purchase the unit within 45 days or any longer time period permitted by the developer, the developer may sell the unit to another buyer. However, if the developer offers the unit at a lower purchase price, it must provide the tenant with another 10-day right of refusal period.
  
  

Action Against Developer

• If the developer does not provide the tenant with notice of intent to sell, purchase materials and disclosures or any statutory right of refusal period, the tenant may file suit against the developer for "specific performance" before the developer completes a sale to another buyer. In this case, specific performance means that the court can force the developer to sell the unit to the tenant, canceling any pending sale. After the developer has sold the unit to another buyer, the tenant can sue for specific money damages incurred because of the developer's failure to provide first right of refusal.