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BY Michael Light / On March 23, 2015

Chinese Drywall was found at 500 Brickell

Although I have found a few discrepancies in the exact amount of condo units that have Chinese drywall (some say 26, some say 28), a source at the 500 Brickell condo management office has confirmed that 25 condos in the east tower and ZERO condos in the west tower of 500 Brickell have Chinese drywall.

So, how did this come about?  A tenant in a condo in the east tower at 500 Brickell started to smell something “funny” in her unit.  She informed the management office and upon inspection, the building confirmed that her unit did in fact obtain Chinese drywall.  Upon this news, the condo association immediately had an inspection performed in every single unit throughout both condo towers.

So, what is the 500 Brickell condo association going to do???  Right now, attorneys for 500 Brickell are trying to figure out what to do and are in discussions with the condo insurance company. According to my source, the attorneys are trying to figure out if a special assessment will be necessary to repair the units.  I was told a decision should be made sometime “end of April – May” of this year.

Finally, what is absurd to me is that some sellers are not disclosing this to potential buyers.  Illegal or not, I think this is morally wrong.  There are currently 32 condo units for sale in the east tower at 500 Brickell and 12 units that have sold within the past 12 months, according the the MLS.  How many of the available units have Chinese drywall?  More importantly, how many of the units that were sold recently have it, and were the buyers of these units given notice?

What effect is this going to have on values at 500 Brickell?  I see possible lawsuits on the horizon.  Or, and this is the cynic in me, I see saavy investors vultures scooping these units up at huge discounts, gutting them, and then selling them off at huge profits.  Either way, 500 Brickell condo values are going to take a huge hit.

UPDATE: 500 Brickell Owners May be Slapped with a $3.6 Million Special Assessment Due to Chinese Drywall!

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