It seems that after Opus South Corporation cleared a hurdle on their Water's Edge development and thought all was well, another hurdle has reared its ugly head. This time is has to do with the sales contracts that were written on the 153 unit complex in downtown Clearwater, Florida.
It is unthinkable that a new construction contract could have been written that was non-compliant with HUD's Interstate Land Sales and Full Disclosure requirements. But, apparently, they were. In effect, the buyer's signed what amounts to an invalid contract. For the full article that hit the streets today in the Clearwater Gazette, click on the link...http://www.clearwatergazette.com/20080124/clw.html
Opus has had many developments in our local downtown areas, especially in revitalizing Downtown St. Petersburg. With their experience and expertise, one has to wonder how this slipped through the cracks? Were these different contracts from ones that were normally used? Did they not contain the same language as the contracts used on their other developments? Were they rushed when put together? At any rate, it could have some serious repercussions for our condo market.
We will have to wait and see what happens. I hope for the best and that the buyer's that planned on residing in their unit as a primary or second home will opt for the re-write at a lower cost - this is one of the three options.