Following the devastating collapse of Champlain Towers South in 2021, Florida has undertaken the most sweeping condo safety reforms in the state’s history. These new regulations, while aimed at preventing another tragedy, have also placed significant financial burdens on condo associations and unit owners, raising concerns about affordability, property values, and legal exposure. The key changes revolve around mandatory structural inspections and reserve funding requirements. Under the new laws, any condo building over 30 years old (or 25 years if near the coast) must undergo a milestone inspection conducted by licensed engineers. These inspections assess the structural integrity of a building, identifying potential safety hazards before they become catastrophic. Additionally, the state now requires structural integrity reserve studies, forcing associations to fully fund reserves for critical repairs—a stark departure from previous practices where boards could waive or underfund reserves to keep costs low. While these measures undeniably enhance resident safety, they come with a hefty price tag. Many older condos are now facing massive special assessments to cover repair costs and reserve funding, leaving some unit owners unable to afford staying in their own homes. This has led to increased litigation as residents challenge assessments, question management decisions, and seek financial alternatives. Furthermore, the new laws are accelerating a shift in the Florida condo market. Some buildings that cannot afford to comply are being sold to developers, particularly in high-demand coastal areas where land values are skyrocketing. This is triggering a wave of condo terminations, where older buildings are demolished and replaced with new high-end developments—essentially displacing longtime residents who cannot afford to buy back in. The state now faces a difficult balancing act: ensuring building safety while preventing financial devastation for condo owners. While lawmakers have provided some funding assistance, it is not nearly enough to cover the full scope of the required repairs statewide. Moving forward, policymakers must explore additional financial relief options, such as state-backed low-interest loans or grants for struggling condo associations, to prevent widespread displacement. For Florida property owners, these reforms represent a new era of heightened accountability and cost management. Condo associations must now prioritize...

Florida’s homeowners’ associations (HOAs) and condominium boards are at the center of a legal transformation. Over the past few years, Tallahassee has enacted significant legislative changes aimed at increasing transparency, financial responsibility, and structural integrity within community associations. These new regulations, while designed to protect residents, also present new challenges for board members and property managers. One of the most impactful changes has been the mandatory structural inspections and financial reserve requirements for condominiums. After the tragic collapse of Champlain Towers South in Surfside, state lawmakers enacted strict rules requiring older buildings to undergo milestone inspections and structural integrity reserve studies. This means that many associations, which previously deferred maintenance due to cost concerns, are now required to set aside funds and make repairs – whether owners are financially prepared or not. The result? A wave of special assessments that have left many condo owners struggling to afford the increased costs of living in their own homes. Beyond safety, legislative efforts have also targeted HOA governance and financial accountability. New laws have imposed stricter reporting requirements, limited conflicts of interest, and increased penalties for mismanagement. While these measures aim to curb corruption and negligence, they also create administrative burdens for volunteer board members, many of whom lack legal or financial expertise. As a result, we are seeing a surge in professional management company contracts, which can drive up operational costs for associations. Moreover, Florida’s courts are now handling an increasing number of disputes between HOAs and homeowners, particularly over fee collections, election procedures, and architectural restrictions. With more legal scrutiny on association decisions, it is essential for board members to operate with transparency, seek legal guidance, and communicate clearly with residents. As these legal changes take full effect, the future of Florida’s community associations will likely depend on finding a balance between regulatory compliance and financial sustainability. The best-prepared HOAs will be those that proactively engage with legal professionals, update their governing documents, and implement best practices in financial planning. Otherwise, they risk legal disputes, financial shortfalls, and homeowner dissatisfaction – challenges that no association can afford to ignore. Peter S....

As a veteran real estate and community association attorney with decades of experience, I’ve witnessed the transformative impact of legislation on our housing markets. Florida’s recent condominium safety regulations, born from the tragic collapse of the Champlain Towers South, are well-intentioned measures aimed at ensuring structural integrity and protecting lives. However, their unintended consequences are creating a crisis that disproportionately impacts older residents in Palm Beach County—and the ripple effects could reshape the region’s economic landscape. The regulations mandate milestone inspections for older buildings and require full funding of reserves for critical repairs. While these measures are critical for safety, they come at a steep financial cost. For older condos, many of which were built decades ago with minimal available reserve funds, compliance often necessitates significant monthly or quarterly fee increases or hefty special assessments. For retirees living on fixed incomes, this new financial burden is untenable. In Palm Beach County, where many condominium residents are retirees who moved here for an affordable, sunny lifestyle, these new costs have forced a wave of sales—many under duress. Owners are being priced out of their own homes, unable to cover mounting repair bills. Economic and Community Impacts At first glance, one might assume this turnover presents opportunities for real estate developers to revitalize older buildings or construct new ones. But the forced displacement of older residents has economic and social consequences that extend beyond individual hardship. Loss of Affordable Housing: Many older condos serve as de facto affordable housing for middle-income retirees. As these properties are sold and redeveloped into high-end units to recoup costs, the county’s stock of affordable housing shrinks further, leaving few options for fixed-income residents.Disruption of Community Fabric: Long-term residents contribute stability and character to communities. Their forced departure erodes the sense of community, transforming once-tight-knit neighborhoods into transient spaces dominated by seasonal or investment buyers.Economic Displacement: Older residents, who support local businesses and services year-round, are being replaced by higher-income seasonal residents. While this shift may initially seem like an economic boon, the loss of steady, year-round consumers can harm small businesses and disrupt the local economy.Stagnant Redevelopment:...

As we usher in 2025, Florida's condominium landscape is undergoing significant transformation due to new safety regulations enacted in response to the tragic Champlain Towers South collapse in Surfside. These laws, designed to enhance building safety and ensure structural integrity, mandate that condominium associations maintain adequate reserves for major repairs and conduct regular structural inspections. While the intent is undeniably noble, the implementation has introduced substantial financial challenges for many condo owners and associations across the state. The legislation requires associations to conduct milestone structural inspections for buildings three stories or higher, with initial inspections having been due by December 31, 2024. Additionally, associations must perform Structural Integrity Reserve Studies (SIRS) to assess and fully fund reserves for critical structural components. These measures aim to prevent future tragedies by ensuring timely maintenance and repairs often lacking in the past.  However, the financial implications are profound. Many associations, particularly those managing older buildings, are facing the necessity of imposing significant monthly or quarterly fee increases or special assessments to comply with the new requirements. For instance, residents of Springbrook Gardens in Fort Lauderdale Beach were compelled to sell their units after being unable to meet a $4.5 million repair bill to shore up the building's foundation.  This scenario is not isolated. Condo owners statewide are grappling with rising maintenance fees, insurance premiums, and taxes, leading to a surge in older units being put up for sale. The increased financial burden is particularly strenuous for retirees and individuals on fixed incomes, raising concerns about affordability and the potential displacement of long-term residents.  While the safety of residents is paramount, it's crucial to recognize the economic strain these regulations impose. A more nuanced approach, considering the age, location, and financial capacity of each condominium association, might mitigate some of the adverse effects. Flexibility in implementation timelines and financial assistance programs may provide relief to those most affected. Moreover, transparency and communication between condo boards and unit owners are essential. Associations should engage owners in open dialogues about upcoming inspections, necessary repairs, and the financial strategies to address them. This collaborative approach can foster trust...