Palm Bay Yacht Club Condo Owners Facing a $46 Million Repair Bill

Published Date: February 10, 2023

Condominium owners at the Palm Bay Yacht Club in Miami are facing a daunting assessment, demanding each owner contribute $175,000 towards their building’s 40-year recertification. This assessment has sent shockwaves through the community, leaving residents deeply concerned and disbelieving of the figures presented. They are pointing fingers at their homeowners’ association for the exorbitant cost estimate.

 

Assessment Discrepancy

The 40-year recertification process is a routine procedure for aging buildings, requiring a professional engineer to assess the structure and electrical systems for necessary repairs. However, when the property manager, AKAM, hired their engineer for this task, they asserted that the building required a jaw-dropping $46 million in repairs. This eye-popping figure left many residents in disbelief, especially considering that the entire building’s estimated value is around $50 million.

 

Independent Evaluation

In response to this shocking assessment, residents decided to take matters into their own hands. They enlisted the services of an independent engineer to conduct a fresh assessment. To their relief, this engineer estimated repair costs to be approximately $23 million, significantly less than AKAM’s initial evaluation.

 

Legal Action and Concerns

As a result, residents have engaged legal representation, including attorney Jane Muir, to challenge the property manager’s assessment. They strongly suspect that the cost of repairs has been vastly inflated. Moreover, there are concerns about a potential conflict of interest, as AKAM is reportedly considering hiring their sister company, Project Management Group, to oversee the repairs.

 

Emotional Toll and Calls for Transparency

Many residents are deeply distressed by the financial burden this assessment places on them, with some fearing that they may lose their homes if they cannot meet these exorbitant costs. The situation has stirred emotions within the community, with residents demanding transparency, fairness, and accountability from the homeowners’ association.

 

Residents Speak Out

Sonia Przulji, one of the residents, expressed her concerns, stating, “It’s going to ruin their lives; people are going to lose their homes. I cannot afford this. I’ve cried myself to sleep, wondering what I’d do.” Another resident, Margarita Genova-Cordova, echoed these sentiments, saying, “I want the truth. This is not right.”

 

Ongoing Investigations

CBS4 has contacted AKAM’s attorneys, who agreed to discuss the matter further. This suggests that ongoing investigations are in progress, and more revelations may come to light as the situation unfolds.

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Original Article By CBS Miami

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