South Florida condominium law
“Great Associations Make Great Neighbors”
No other real estate market in South Florida felt more the volatility and turmoil from the downturn in the economy than that of Condominiums.
When the real estate bubble burst in 2008, there was an inventory of over 80,000 condominium units available or soon to be available on the market, many of which remained vacant non-paying units; leaving even some recently built condominiums to be converted back into rental apartment buildings. In addition, the high unemployment and staggering economy caused all time highs on the number of delinquent accounts, forcing many Associations to make significant budgetary cuts, increase assessments and seek any number of creative ways to keep the condominium afloat.
To make matters worse, Associations also found themselves having to deal with new troubling issues that were seldom previously seen within Condominiums, including the abandonment of units, units being boarded up by lenders or property managers, the presence of squatters, and frequent occurrences of vandalism and theft of fixtures and appliances from units. With so many condominium units being foreclosed upon, lenders compounded the situation as they purposely stalled their own foreclosure in order to avoid such potential liabilities of owning the unit and to further delay having to pay assessments.
With such high inventory and price deterioration, the South Florida condominium market became a feeding ground for vulture funds and foreign investors. Now for the first time in five (5) years, after thousands of short sales, foreclosures and REO sales, the South Florida condominium market is actually breaking ground on some new developments as inventory has dwindled to less than 15,000 units and prices have either leveled-off or even increased in certain areas. But we still see tenant evictions, association foreclosures and issues with statutory 558 claims.
“In such times of uncertainty and distress, the importance of being represented by an experienced, knowledgeable and innovative group of professionals becomes ever more vital for South Florida condominiums. From day to day advice when interpreting the Condominium Act and the intricacies typical of Declarations of Condominium, to personal and direct assistance with the preparation of annual budgets and negotiation of contracts, each condominium need a transaction attorneys that can provide the knowledge, understanding and guidance to make the best decisions for the betterment of their community” said Santiago Eljaiek a managing partner at Marin, Eljaiek & Lopez P.L.