South Florida condo owners have it tough these days . Condo assessment fees have gone up nearly 60% in both Miami-Dade and Broward counties, and special assessments have added onto financial costs. To top it off, structural integrity reserve studies are due Dec. 31 and, depending on when a condominium approves its budget, associations will have to start saving for their reserves in 2025 or 2026.
Condo buyouts were on the rise this year — and they can represent an escape to some burdened owners, but a threat to those who could be forced to leave their homes. Condo buyouts or terminations happen when 80% of condominium owners agree to sell to a developer. A deal can move forward unless 5% of owners vote against the deal.
The Miami Herald spoke with three real estate experts who are at the forefront of these deals, including real estate developer Ian Bruce Eichner; real estate analyst and Condo Vultures founder Peter Zalewski; and Siegfried Rivera partner Lindsey Lehr. The three weighed in on why condo terminations are becoming more popular and the telltale signs a condominium is ripe for redevelopment.