Investor · Moab, UT · Member since 2016 · 101 posts · 27 votes
I just set up a series LLC (I'm in UT). I own one property in Golden, CO and want to get it out of my name and into the LLC series name. The underwriter who I talked with says that before she can underwrite the "Additional Ensured Endorsement" (apparently what I need to keep the title insurance), I need to get "Record Deed" and "Statement of Authority" drawn up by a lawyer. Does this all sound correct first of all, and secondly does anyone have a lawyer recommendation to do this? Thanks! Megan
My business partner and I have used two lawyers in Colorado with great success:
In Denver, we've used Drew Fein (she is a member here) to set up our LLCs, create operating agreements and the like.
In Boulder for landlord/tenant issues, we've used Mark Cohen, www.CohensLaw.com. He used to be a municipal judge, so he will tell you things both from a lawyer and judge perspective. Good luck!!
@Megan Arzt so my title company typically prepares the deed for all my transactions. I think the statement of authority would be a document from the LLC authorizing you to sign for the property. Perhaps @Drew Fein can chime in.
Also if you spell out Colorado you will get more local folks to respond as we have key word alerts set up. The abbreviation CO gets lots of false positives so most of us don't use it.
Bill, you are right, a statement of authority assures a lender, title company, or others you conduct business with that you in fact have the authority to take action on behalf of the company. @Megan Arzt, if you created UT LLCs, you may need to register your out-of-state business with the Colorado Sec. of State. I'd be more than happy to explain this further if you need help.
My business partner and I have used two lawyers in Colorado with great success:
In Denver, we've used Drew Fein (she is a member here) to set up our LLCs, create operating agreements and the like.
In Boulder for landlord/tenant issues, we've used Mark Cohen, www.CohensLaw.com. He used to be a municipal judge, so he will tell you things both from a lawyer and judge perspective. Good luck!!
I'm not a Utah attorney, so I know nothing about Utah law, but that does sound similar to the process used in Colorado. A title company will often require a statement of authority and sometimes and operating agreement to transfer property into the LLC. If you'd like to talk about registering with the Colorado Secretary of State, feel free to give me a call.
You may need more than some documents. As Colorado does not recognize the series LLC, I would recommend getting counsel on whether putting a Colorado property into a Utah series is a good idea in the first place.
@Jeffrey S. Breglio does series LLC's and should be able to give you some guidance.
Thank you all who responded. I will put Colorado in the future.
I do have an umbrella policy in addition to my LLC.
@Jeffrey Breglio did set up the series LLC, so I assume the CO property is fine.
I have the Operating agreement and Statement of Authority from him (if I've got all the terms correct). I wasn't sure what the record deed is. Is that the operating agreement?
@Megan Arzt, I am attorney in @Jeff Breglio's office. There is a pretty slick way to hold title to properties in other states using the Series LLC formed in UT. You don't actually put the property into the Series but into a trust, whose beneficiary is the series LLC. I am working on a course that would instruct you and others on how to do this but in the meantime, would be happy to discuss over the phone if you'd like to call the office.
We can also help you with the statement and record deed.