The story on Icon’s alleged pool deck troubles continues today.
A lot of uncertainty has surrounded the development due to a lack of details. When the first reports were published a few months back, the scope of the project or the amount needed to repair was not known. I’ve received a lot of questions from many of my readers and clients, asking me for more details on the subject. Just to be on the safe side, I’ve cautious about what I posted in an effort not to mislead anyone. Most of all, I didn’t want to jump to conclusions without validity on the subject.
Yesterday evening, it all changed. Based on an original story by The Real Deal, additional details came to light directly from the Icon Association that answers most questions. Here’s what we’ve seen thus far:
In a letter sent out to unit owners and association members, The Icon Brickell Master Association proposed a plan to enact a special assessment of over $14.4 million dollars as part of the cost necessary to approve the pool deck’s renovation project. The renovation, which could take up to 14 months to accomplish, is based on reports citing faulty construction of the pool, unsafe surface areas around the pool deck that are prone to be slippery, and leaks into the complex’s garage coming from the pool’s pipe system. Additional comments also included the installation of new landscaping and changing the reflection pool in the deck into a children’s pool. The landscaping and children’s pool would include an extra $688,600 in expenses that’s part of the total bill .
Based on a list of documents originally published by fellow realtor blog Miami Condo Investments, you can view the unit breakdown and scope of the project below:
Based on the documents above, the total costs will be broken down among all the units of the complex, the new “W Hotel“, and even the restaurants located on site. With the numbers done in the same fashion in which maintenance fees are calculated, each floor plan’s assessment is based upon the square footage. Many owners would owe several thousand dollars, while others would owe amounts of$10,000 or more for the more premium units. The payment plan proposed by the association to pay off the assessment is in the form of eight quarterly payments, with the first one due on July 1st, 2016.
Please keep in mind that this has not been approved yet and. The adoption of the special assessment depends on a meeting set to take place on Tuesday, June 14th. I will provide an update on this story once an answer is set. Stay in touch with me next week for a response.
From A Real Estate Point of View: How The Pool Deck Comes Into Play
- Having the pool deck out of commission for more than a year would place the residents of more than 1800 units without a major amenity. This may cause a drop in activity in both sales and rentals. I will continue providing updates on the sales and rental activity in the complex.
- The most important note I can mention in this post: If the assessment is approved next Tuesday, it should be disclosed to any potential buyers interested in purchasing a unit.
- Transactions can still occur with the assessment put into place. If you’re a buyer thinking of buying in the complex or if you’re a seller with a unit on the market, have the assessed amount handled properly among all parties.
The assessment can be handled in various ways including but not limited to:
- Have the Buyer assume installments after closing if permitted by the Association (Option A, Section F of Paragraph 9 of the Florida AS-IS Contract)
- Having the Seller pay the assessment in full at closing (Option B, Section F of Paragraph 9 of the Florida AS-IS Contract)
Real Estate Contracts are intended to be legally binding agreements. We recommend seeking the advice of an attorney prior to signing if any agreement being done is not fully understood.
If you’re an owner of a unit in Icon Brickell and would like a personal copy of the documents above please contact us directly at 305-305-3885 or message us at email@example.com. I’ll be happy to answer any questions you may have. Thank you for reading The Miami Observer.