Say you’re about to close on a Miami Beach condo and the association’s monthly fees just jumped from $450 to $720. The seller tells you it’s “normal post-Surfside adjustments.” But when you ask for the building’s structural integrity reserve study, you get a vague answer about it being “in progress.” That’s a red flag. Under Florida law, most Miami Beach condo buildings three stories or higher must have completed a SIRS by December 31, 2025, and the reserves it identifies can no longer be waived by a vote of the owners. If a building hasn’t done one yet or is scrambling to fund a massive shortfall, you’re walking into potential special assessments that could easily hit five figures.
The Champlain Towers collapse changed everything about how Florida regulates condo safety and reserves. Before June 2021, associations routinely voted to skip or underfund reserves for roofs, structural repairs, and waterproofing. Owners liked the low fees. Buildings deteriorated. After Surfside, the legislature passed SB 4-D in 2022, then SB 154 in 2023, and most recently HB 913 in 2025. Florida now has the strictest condo reserve requirements in the country. For buyers, that means higher fees, mandatory inspections, and a lot more financial transparency about what it actually costs to keep a building safe.
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What Is a Structural Integrity Reserve Study?
A structural integrity reserve study under Florida Statutes Section 718.112(2)(g) is a professional analysis of a building’s major systems. It’s not a safety inspection. It’s a financial roadmap. The study identifies how much useful life is left in critical components, estimates what it will cost to replace or repair them, and creates a funding plan so the association has the money when the work needs to happen.
The study must be performed or verified by a licensed engineer, licensed architect, or a reserve specialist certified by the Community Associations Institute or the Association of Professional Reserve Analysts. You should expect a formal report with detailed line items, not a spreadsheet someone on the board put together.
Here’s what the SIRS must cover for every building three habitable stories or higher: roof, structure including load-bearing walls and primary structural members, fireproofing and fire protection systems, plumbing, electrical systems, waterproofing and exterior painting, windows and exterior doors, and any other item with a deferred maintenance or replacement cost above $25,000 (adjusted for inflation) whose failure would negatively affect one of those systems. That last category matters in Miami Beach. Say the building has a seawall or an underground parking garage with waterproofing issues. If fixing it costs more than $25,000 and a failure would damage the structure or plumbing, it goes in the SIRS.
These are exactly the systems that fail first in coastal Florida: concrete spalling from saltwater exposure, roofs compromised by hurricanes, balconies corroding from the inside out, waterproofing that hasn’t been touched in 30 years. The SIRS forces associations to look at these problems before they become emergencies.
Which Buildings Must Have One?
The SIRS requirement applies to residential condominium buildings that are three or more habitable stories above ground and governed by Chapter 718 of the Florida Statutes. Most mid-rise and high-rise oceanfront buildings in Miami Beach fall under this rule. So do older Art Deco buildings that have been converted to condos if they meet the three-story threshold.
Buildings under three stories are excluded. So are single-family through four-family dwellings with three or fewer habitable stories, and property that isn’t submitted to condominium ownership. Components maintained by a separate entity — say a master association that handles the pool and clubhouse for multiple buildings — don’t get included in an individual building’s SIRS.
Walk-up townhouse-style condos in Miami Beach may not be subject to the SIRS rules if they’re only two stories. But that doesn’t mean they’re off the hook for reserves entirely. They still have other reserve obligations under Section 718.112(2)(f). The difference is those reserves can technically still be waived by owner vote. For SIRS-covered buildings, waiving structural reserves is no longer an option.
The December 31, 2025 Deadline and What Comes After
For associations that existed on or before July 1, 2022 and are controlled by unit owners (not the developer), the law now requires a completed SIRS by December 31, 2025 for each building that is three or more habitable stories. That deadline was originally December 31, 2024. HB 913, which took effect July 1, 2025, extended it by one year.
Some buildings may get a little more breathing room if they coordinated their SIRS with a milestone inspection, but that’s a narrow exception. The baseline rule is clear: if the building was around before mid-2022 and is three stories or taller, the SIRS should be done by the end of this year.
After the initial study, associations must obtain a new SIRS at least every 10 years for each covered building. The association has to retain the study for at least 15 years under Section 718.111. That means if you’re buying a Miami Beach condo in 2027 or 2030, you should be able to request and review the most recent SIRS without any runaround.
Most people assume the 10-year cycle is just a formality. It’s not. Buildings age. Useful life estimates change. A roof that had 12 years left in 2025 might show accelerated wear by 2030 if Miami Beach gets hit by back-to-back hurricanes. The 10-year update keeps the funding plan realistic.
Reserves Can No Longer Be Waived
This is the part that directly hits your wallet. Before 2024, owners could vote to provide no reserves or less than fully funded reserves for almost any component. Associations in buildings with serious structural needs would hold annual meetings where owners voted to skip reserve funding because they didn’t want higher fees. That practice is now illegal for SIRS-covered items.
Starting with budgets adopted on or after December 31, 2024, members of an association required to obtain a SIRS may not vote to provide no reserves or less than required reserves for the components the SIRS covers. Full funding of those reserves is mandatory. The statute lists roof, structural members, fireproofing and fire protection systems, plumbing, electrical systems, waterproofing and exterior painting, windows and exterior doors, and any other qualifying item above the $25,000 threshold.
HB 913 raised that threshold from $10,000 to $25,000, adjusted for inflation. It also added a requirement that the SIRS include a baseline funding plan that keeps the reserve cash balance above zero and distinguishes mandatory versus discretionary reserve items. Buyers need to understand what that means in practice: if the SIRS says the building needs $2.4 million in reserves over the next 10 years for structural and waterproofing work, the association has to collect that money. They can’t vote it away because owners don’t like the fee increase.
How Associations Fund SIRS Requirements
Associations have three main tools to meet their SIRS funding obligations: regular assessments, special assessments, and loans.
Regular assessments are the monthly or quarterly HOA fees every owner pays. For buildings that were chronically underfunded before Surfside, those fees have gone up significantly. A building that was charging $400 a month in 2021 might now charge $650 or $750 because the SIRS revealed a massive reserve shortfall and the association has to catch up while also funding ongoing contributions.
Special assessments are lump-sum charges to all owners, typically used when reserves are deficient or when a SIRS reveals a large funding gap that can’t be closed with regular fee increases alone. Say the SIRS shows the building needs $1.8 million for concrete restoration and roof replacement over the next five years, but current reserves total only $300,000. The board might levy a special assessment of $15,000 per unit to close part of that gap immediately, then raise monthly fees to cover the rest. Special assessments for SIRS items still have to follow statutory guardrails on notice, approval, and collection under Section 718.112.
Associations can also take out loans or lines of credit to finance major work or reserve obligations, subject to owner approval. This spreads the cost over time but adds interest and affects the association’s balance sheet. Buyers should ask whether the building has any outstanding debt and what the repayment schedule looks like.
High fees may actually signal compliance and financial health. Low fees in a Miami Beach building that’s 40 years old and three blocks from the ocean should make you nervous. That building is either behind on its SIRS, about to hit owners with a special assessment, or both.
Milestone Inspections and How They Interact with SIRS
Florida’s condo safety framework has two separate pillars. Milestone inspections are required at 30 years from the certificate of occupancy — or 25 years if required by a local authority, which is common in coastal areas — and then every 10 years after that. These inspections focus on identifying structural deficiencies and immediate safety issues. An engineer inspects the building and issues a report on what needs to be fixed.
The SIRS is different. It’s a financial planning document. It assumes the building is structurally sound and maps out how to keep it that way by funding timely replacement of major components before they fail.
Here’s where they overlap: if an association completed a milestone inspection in the previous two calendar years, the board can, with majority owner approval, temporarily pause or reduce reserve contributions for up to two consecutive annual budgets, but only to fund the repairs recommended by that milestone inspection. The association must then have a SIRS performed before reserve contributions resume.
That means a building may have temporarily lower reserve contributions if they’re actively addressing milestone-identified repairs. But reserves must resume with a new SIRS. Buyers should review both the milestone inspection report and the SIRS. The milestone report tells you what’s broken. The SIRS tells you whether the association has a realistic plan to pay for fixing it and preventing future breakdowns.
What Sellers Must Disclose About SIRS
Under Florida Statutes Section 718.503(2)(a), when a structural integrity reserve study is required but has not been completed, the seller must provide a statement to that effect to the buyer. That disclosure requirement is new and directly tied to the post-Surfside reforms.
In practice, when you’re buying a Miami Beach condo, you should receive either a copy of the most recent SIRS or a written disclosure that no SIRS has yet been completed even though one is required. Failure to disclose accurate SIRS status can have legal consequences and is a red flag in negotiations.
Ask for the association’s most recent SIRS as part of your due diligence. If the seller or the association says it’s “not available” or “still being finalized” and the building is three stories or taller and existed before July 2022, that’s a problem. The deadline is December 31, 2025. If it’s not done by then, the association is out of compliance. You’re buying into a building that’s either disorganized, financially struggling, or both.
What to Look for When You Review a SIRS
When you get the SIRS, don’t just glance at the summary page. Look at the details. Start with the inspection date and who performed the study. Was it a licensed engineer, a licensed architect, or a certified reserve specialist? If it was done by someone without the proper credentials, the study may not satisfy the statutory requirements.
Check the components list. Are all the mandatory items included: roof, structure, fireproofing and fire protection systems, plumbing, electrical systems, waterproofing and exterior painting, windows and exterior doors? Are other major items above $25,000 included? Look for components near or past their estimated useful life. A roof with two years of useful life left means the association needs to have the money in reserves right now, not five years from now.
Review the estimated replacement costs for high-ticket items. Roof replacement on a 15-story Miami Beach building can easily run $800,000 to $1.5 million. Concrete restoration and waterproofing on balconies and facades can hit $2 million or more. Fire protection system upgrades to meet current codes can cost $300,000 to $500,000. These aren’t minor expenses.
Look at the funding plan and baseline. Does the plan keep the reserve cash balance above zero? How much is the association scheduled to collect annually? Compare that to what’s actually in the reserves right now. If the SIRS says the association should have $1.2 million in reserves for structural and waterproofing work but the current balance is $400,000, there’s a $800,000 deficit. That deficit will be made up through higher fees, special assessments, or loans.
Ask the seller or the association for the reserve schedule from the most recent budget. It should show how much is being collected each year for each SIRS component and what the projected balances are. If the numbers don’t line up with the SIRS recommendations, find out why.
Why Miami Beach Buildings Face Higher SIRS Costs Than Inland Condos
Miami Beach has conditions that make structural integrity reserves especially critical. Coastal exposure means salt air accelerates corrosion of rebar and concrete. Balconies, parking garages, and exterior structural elements deteriorate faster than they would in a building 10 miles inland. Waterproofing and exterior painting aren’t cosmetic — they’re structural protections. When waterproofing fails, water gets into the concrete, reaches the rebar, and causes spalling. That’s how balconies collapse.
Hurricane and storm risk means roofs, windows, and doors need regular replacement and upgrades to meet evolving wind-resistance standards. A roof installed in 1995 may not meet the wind load requirements in the current Florida Building Code. Replacing it isn’t optional. Insurance carriers are already requiring proof of recent roof replacements and upgraded hurricane protection before they’ll write policies on older Miami Beach buildings.
Many Miami Beach buildings are decades old. Buildings built in the 1960s, 1970s, and 1980s are now hitting or past their milestone inspection deadlines. The SIRS for these buildings routinely reveal significant upcoming structural work: concrete restoration, balcony replacements, waterproofing, roof replacement, plumbing repiping, electrical panel upgrades, fire alarm system modernization. The costs add up fast.
Buyers often assume a building with ocean views and a prime location is a safe bet. But in a Miami Beach oceanfront building, strong structural reserves aren’t a luxury. They’re a necessity. Underfunded reserves can translate into six-figure special assessments and serious safety concerns. A building with $12 million in deferred maintenance and $500,000 in reserves is a financial disaster waiting to happen, no matter how nice the lobby looks.
How SIRS Affects Your Ability to Finance the Purchase
Lenders are paying attention to SIRS and reserve funding. While the statutes don’t explicitly require lenders to review reserve studies, conventional mortgage underwriters are increasingly asking for recent reserve studies and proof of adequate reserves as part of the condo approval process.
A building with a completed SIRS, fully funded reserves, and no major pending special assessments is more likely to get approved by Fannie Mae or Freddie Mac. A building with an incomplete SIRS, a massive reserve deficit, or a history of deferred maintenance may get flagged as a higher risk. Some lenders will require a larger down payment or decline to lend on units in buildings with serious reserve issues.
If you’re planning to use financing, ask your lender early in the process whether they have specific requirements around SIRS and reserves. Don’t wait until you’re under contract and three weeks from closing to find out the lender won’t approve the building because the association is $2 million behind on structural reserves.
What Happens If a Building Doesn’t Complete Its SIRS by the Deadline
The statute doesn’t spell out a specific penalty for associations that miss the December 31, 2025 deadline, but the consequences are real. An association that fails to complete a required SIRS is out of compliance with Chapter 718. That opens the door to potential liability if something goes wrong — a structural failure, an injury, or a collapse. Owners can sue the board for failing to meet statutory obligations. The Department of Business and Professional Regulation, which oversees condominiums in Florida, can investigate and take enforcement action.
From a buyer’s perspective, if a building hasn’t completed its SIRS by the deadline, walk away or negotiate hard. A building that can’t get its act together to comply with a clear statutory deadline is a building with governance problems. Those problems don’t get better after you close. They get worse.
Special Assessments Are Coming to a Lot of Miami Beach Buildings
Even with mandatory SIRS funding, many Miami Beach buildings that were historically underfunded are facing significant catch-up costs. A building that’s been skipping or underfunding structural reserves for 20 years can’t close a multi-million-dollar gap overnight just by raising monthly fees. The math doesn’t work.
Associations are using special assessments and loans to bridge the gap. Buyers need to ask pointed questions: Are there any special assessments currently in place? Are any special assessments being discussed or planned? What does the most recent board meeting minutes say about reserve funding and upcoming projects? Has the association taken out any loans, and if so, what’s the repayment schedule?
A seller who says “no special assessments” may be technically correct at the moment you ask, but if the board is discussing a $10 million concrete restoration project and the reserves are only at $1.5 million, a special assessment is coming. It’s just a matter of when and how much.
Some buyers try to negotiate for the seller to cover a pending special assessment as part of the purchase price. That works if the seller is motivated and the assessment amount is known. But if the SIRS was just completed and the board hasn’t yet voted on how to fund the shortfall, you’re buying into uncertainty. Factor that risk into your offer price or find a different building.
Higher Fees Don’t Always Mean a Bad Deal
Buyers see a Miami Beach condo with $850-a-month HOA fees and immediately compare it to a similar unit in a different building with $500-a-month fees. The instinct is to go with the lower fees. That’s often a mistake.
Higher fees can mean the building is proactively funding future repairs, has completed its SIRS, and is meeting its reserve obligations. Lower fees can mean the building is kicking the can down the road, underfunding reserves, and setting up owners for a massive special assessment when the roof fails or the balconies get red-tagged by a building inspector.
Compare the fee amounts to what the SIRS says the building should be collecting. If the SIRS recommends $400,000 a year in reserve contributions and the building is only collecting $150,000, the low fees are a red flag, not a selling point. You’re going to pay the difference eventually, either through a special assessment or a dramatic fee increase.
Buildings that have already gone through the pain of raising fees and funding their reserves are often better long-term investments. The hard decisions have been made. The money is in the bank. The risk of a surprise six-figure assessment is lower.
Whether you are buying a home, dealing with a landlord dispute, or recovering from an injury, Eric Goldman can help. Serving clients throughout Florida.
Working with an Attorney Who Understands Florida Condo Law
Buying a Miami Beach condo in 2025 isn’t like buying a house. You’re not just evaluating the unit. You’re evaluating the financial health and legal compliance of the entire building. The SIRS, the milestone inspection report, the reserve schedule, the budget, the board meeting minutes, the association’s bylaws and declarations — all of that matters.
A real estate attorney who handles condo transactions in South Florida knows what to look for in these documents. They know how to read a SIRS and spot a funding shortfall. They know how to interpret a milestone inspection report and figure out whether the building is addressing the problems or ignoring them. They know what questions to ask the association’s management company and how to push back if the answers are evasive.
The cost of hiring an attorney to review the association documents before you close is a fraction of what you’ll lose if you buy into a building with undisclosed structural problems and a $50,000 special assessment that hits six months after you move in. Get the SIRS. Get the milestone report. Have someone who knows what they’re looking at review them before you write the check.
