The tragedy was a huge wake up call for
the condo community statewide — from legislators and code
enforcement to homeowners, engineers, property managers and
condo board members.
Laws passed in 2022 and 2023 aim to ensure another collapse
of that magnitude never happens again. The legislation
requires milestone inspections for condo and co-op
buildings, structural integrity reserve studies (SIRS) every
decade, and the full funding of financial reserves, among
other things. As a result, it makes condo living much more
expensive.
Those deadlines are quickly approaching, starting at the end
of this year. Some associations are working to meet those
deadlines. Many have not.
Unit owners at Mediterranean Village, a condo community in
Aventura’s Williams Island, are on the hook for special
assessments as high as $400,000 per owner, Channel 10
reported. Homeowner Howard Konetz told the TV station that
he and his wife can’t afford the roughly $224,000 assessment
for his two-bedroom condo, on top of monthly maintenance
fees that have doubled to $3,000 a month. They’ve been
trying to sell the unit and have dropped the price
repeatedly. The special assessment can’t be passed onto the
buyer.
“At this point in time, maybe I can give it away for pennies
on the dollar,” he said.
I spoke with Greg Batista, an engineer who was hired by
Champlain Towers South to handle a waterproofing issue about
four years before the collapse. Batista said his company is
working on 30 to 50 recertifications a month, fewer than 30
SIRS studies, and between 25 and 30 milestone inspections.
Even though some associations are still putting off
complying with the new condo safety laws, demand for
engineers and SIRS specialists has skyrocketed.
Some property managers aren’t even aware of the legislation.
Coupled with the property insurance crisis, Batista likened
the situation to a tsunami. More unit owners are trying to
sell their condos; that’s expected to snowball next year.
The vast majority of resale units on the market as of the
end of the first quarter of this year are 30 years or older.
“I deal a lot with people who live in condos that are in the
same or worse shape,” as Champlain Towers South, Batista
said. “But these people live on fixed incomes. When I get
involved, we’re talking about millions of dollars.”