For aging buildings with decades of deferred maintenance, condominium termination — selling the majority of units to a developer who tears down the building and starts fresh — is becoming an increasingly common exit strategy.
But as a recent high-profile court case in Miami shows, condo terminations in Florida are far from straightforward.
The Biscayne 21 Case That Could Reshape Condo Redevelopment
In 2022, developer Two Roads spent nearly $150 million acquiring all but 10 of the 191 units at Biscayne 21, a Miami waterfront condo tower. The plan? Dissolve the association, demolish the building, and replace it with a luxury high-rise.
Florida law allows condo termination with 80% owner approval, but as little as 5% can block it. Some associations even require 100% approval. In Biscayne 21’s case, the remaining owners sued, claiming the developer unlawfully changed the voting rules to force termination.
The holdouts won on appeal, and the court reaffirmed their victory last month — leaving Two Roads in legal limbo. The ruling could have broad implications for developers, investors, and condo associations across Florida.
Why Condo Terminations Are on the Rise
Condo termination deals can be lucrative for both owners and developers:
- For owners: A quick sale often at a premium compared to current market value.
- For developers: Prime land in desirable locations for new, high-end construction.
Driving factors include:
- Post-Surfside safety inspections revealing costly repairs
- Insurance costs doubling or tripling in coastal markets
- Aging infrastructure in 40–50-year-old buildings
But the legal complexity — from owner approval thresholds to court challenges — makes every deal unique.
What This Means for Buyers and Investors
For investors, redevelopments can mean early access to pre-construction opportunities in prime locations.
For buyers, especially those relocating or retiring to Florida, it can be a chance to purchase brand-new, code-compliant residences with modern amenities.
At Lendworth USA, we help finance both traditional condo purchases and investment properties, offering:
- Equity-based loans for investors and foreign nationals (no U.S. credit required)
- FHA, USDA, and VA loan programs for qualified U.S. buyers
- Flexible terms for pre-construction and redevelopment financing
The Future of Florida Condos
While the Biscayne 21 decision may slow some projects, industry experts agree: condo terminations and redevelopments aren’t going away. With aging buildings across Miami, Tampa, Orlando, and Jacksonville, developers will continue scouting properties — and owners will keep weighing whether to repair or redevelop.
As State Rep. Vicki Lopez puts it, “Developers aren’t throwing people out of their buildings. They’re buying units owners are ready to sell.”
📞 Looking to buy into Florida’s next wave of redevelopment? Contact Lendworth USA today to explore mortgage and financing options for condos, investment properties, and pre-construction projects statewide.