The Milestone Inspection
In June of 2021 a condominium located in South Florida collapsed killing 98 people. The Champlain Towers South in Surfside was built in 1981 and collapsed right when its 40 year recertification was due, raising major concerns about the structural safety of older condominium buildings in Florida.
On May 22, 2022, the state of Florida passed a new bill named Bill SB 4 – D stating that all condominiums that are 3 stories or taller will have to pass a mandatory inspection once the building reaches the age of 30 years old and will need to undergo an inspection every 10 years thereafter. Buildings that are within 3 miles of a saltwater coast will be required to have an inspection at the 25 year age mark. The purpose of the inspection is to determine if there is any structural distress that negatively affects structural integrity. The condo associations will receive a copy of the inspection report and must provide copies to unit owners. Buyers of condominiums that have undertaken a milestone inspection will be able to get a copy of the inspection from the unit owner they are purchasing from after entering an agreement of sale as well as a structural – integrity reserve study which notes the amount of funds needed to be collected and reserved for future repairs.
Prior to this, reserve funds were not always kept by the condominium associations, but the new laws will require them to do so. The new laws will require every condominium’s annual budget to include both operating expenses and reserves for capital expenditures and deferred maintenance. To adequately budget for reserves, the condominium associations must conduct a reserve study.
Single family homes, two – family or three – family dwellings under 3 stories tall are exempt from the milestone inspection requirement.
