# ASC 360-972-25: Property, Plant, and Equipment — Real Estate—Common Interest Realty Associations — 25 Recognition Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/360/972/#25-recognition) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-10T00:12:51.245Z to 2026-09-10T00:12:51.245Z Record version: sha256:23b305a1ef1afb90b7ea0a9b300181ad99459e6ba166548ac121c569fc295529 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-972-25: 25 Recognition [Read section](https://asc.understandingaccounting.org/asc/360/972/#25-recognition) SEC content: no #### Common Real Property ##### [360-972-25-1](https://asc.understandingaccounting.org/asc/360/972/#360-972-25-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:12:51.245Z to 2026-09-10T00:12:51.245Z Record version: sha256:0eccc2841968fad40e2f3dc829c668362d6ca427d74357d4afdad134ff413966 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Cooperatives shall recognize common real property as assets. Because of their legal structure, cooperatives have title to all their [common property](https://asc.understandingaccounting.org/glossary/c/#common-property "A common interest realty association's real or personal property to which title or other evidence of ownership is held by either: Individual members in common The common interest realty association directly.") and have the authority to dispose of it and retain the proceeds. Other [common interest realty associations](https://asc.understandingaccounting.org/glossary/c/#common-interest-realty-association "An association, also known as a community association, responsible for the governance of the common interest community, for which it was established to serve. A common interest realty association is generally funded by its members via periodic assessments by the common interest realty association so that it can perform its duties, which include management services and maintenance, repair, and replacement of the common property, among other duties established in the governing documents and by state statute."), such as [condominiums](https://asc.understandingaccounting.org/glossary/c/#condominium "A form of ownership of real property that combines exclusive ownership of a defined space and an undivided interest in the common elements. (Also referred to as a condo.) A common interest realty association is not a condominium unless the undivided interests in the common elements are vested in the unit owners.") and [homeowners associations](https://asc.understandingaccounting.org/glossary/h/#homeowners-association "See Association."), have adopted other practices for recognizing common real property. #### Real Property Directly Associated with the Units ##### [360-972-25-2](https://asc.understandingaccounting.org/asc/360/972/#360-972-25-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:12:51.245Z to 2026-09-10T00:12:51.245Z Record version: sha256:6869881c97cc8ec86e81588e3f6d2446edb5dd784cdacb69de12252d8c2c3a3b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Most common interest realty associations other than cooperatives, regardless of whether they have title, do not recognize as assets real property directly associated with the units. #### Real Property Not Directly Associated with the Units ##### [360-972-25-3](https://asc.understandingaccounting.org/asc/360/972/#360-972-25-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:12:51.245Z to 2026-09-10T00:12:51.245Z Record version: sha256:d5a7927f65197cece2671eee7d123e72a3de489a39f41b960d5f05c674f2dbdf Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Most common interest realty associations other than cooperatives recognize real property not directly associated with the units as assets when the common interest realty association has title or other evidence of ownership of the property and any of the following conditions are met: 1. a The common interest realty association can dispose of the property, at the discretion of its board of directors, for cash or claims to cash, with the common interest realty association retaining the proceeds. 2. b The property is used by the common interest realty association to generate significant cash flows from members on the basis of usage or from nonmembers. ##### [360-972-25-4](https://asc.understandingaccounting.org/asc/360/972/#360-972-25-4) Pending content: no Source downloaded (UTC): 2026-09-10T00:12:51.245Z to 2026-09-10T00:12:51.245Z Record version: sha256:4942f673aecfa8f032c501d68513c148db86c78ce18372877436a3490bf77c4c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. However, some common interest realty associations recognize as assets all real property to which they have title or other evidence of ownership and that is not directly associated with the units, regardless of whether either of the above conditions is met. #### Personal Property ##### [360-972-25-5](https://asc.understandingaccounting.org/asc/360/972/#360-972-25-5) Pending content: no Source downloaded (UTC): 2026-09-10T00:12:51.245Z to 2026-09-10T00:12:51.245Z Record version: sha256:96fdb5704f970a96c190bc0728b9c3ce09e4542c811e0737242fe68e6f0a03b2 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Common interest realty associations shall recognize common personal property, such as furnishings, recreational equipment, maintenance equipment, and work vehicles, that is used by the common interest realty association in operating, preserving, maintaining, repairing, and replacing common property and providing other services, as assets.