What defines a condominium?

A condominium is primarily defined by its unique structure of ownership. In a condominium, individuals own their specific units privately while also holding a share of the common elements and communal areas collectively with other unit owners. This dual aspect of ownership is what differentiates a condominium from other property types, such as co-ops or single-family homes. The existence of both individual ownership and shared responsibilities lays the foundation for how condominiums operate, particularly concerning governance, maintenance, and the use of common spaces. Thus, the correct choice highlights the essential features that constitute a condominium.

The other choices do not accurately represent this definition. While some condominiums may involve collective ownership of surrounding land, many do not, as the focus is more on the individual units and shared amenities. The idea that condominiums are only for luxury apartments is a misconception, as they can be found in various market segments and locations. Lastly, while a homeowners association often manages a condominium, stating that it is managed solely by an association does not capture the essential nature of ownership and the rights conferred to individual unit owners.