Three luxury condominium towers rise along a South Florida waterway.

Defect Lawsuits and Insurance Costs: SoFla Luxury Towers

Condo associations at three new South Florida towers filed construction defect lawsuits in 2026. What each complaint alleges, where each case stands and why insurance costs are rising.

By Brian D'Antoni July 17, 2026 9 min read

Updated Oct. 8, 2026.

Condominium associations at three newly built South Florida towers filed construction defect lawsuits in the first five months of 2026: Aston Martin Residences in downtown Miami, Missoni Baia in Edgewater and Amrit Ocean Resort on Singer Island. Each case rests on allegations in a filed complaint, and no court had ruled on those claims as of Oct. 8, 2026. Over the same period, an insurance broker said Florida’s Chapter 558 defect claims help explain why liability coverage for new for-sale condo construction costs four to five times as much as coverage for a comparable rental project.

Below is what each complaint alleges, where and when it was filed, what the other side has said and where each case stood in early October, followed by what the cases mean for buyers, associations and builders.

Aston Martin Residences: Two Suits Filed by the Association

Aston Martin Residences is a 66-story, 391-unit tower at 300 Biscayne Boulevard Way, at the mouth of the Miami River. It was completed in 2024, and the developer turned control of the condominium association over to unit owners in March 2025, according to Bisnow and the South Florida Business Journal.

The defect suit. On April 15, 2026, the 300 Biscayne Boulevard Way Condominium Association sued developer Riverwalk East Developments LLC and 16 firms that worked on the project in Miami-Dade County Circuit Court, Bisnow reported. The defendants include general contractor Coastal Construction South Florida, architect Revuelta Architecture International and structural engineer DeSimone Consulting Engineering. Citing a turnover inspection by Epic Forensics & Engineering, the complaint alleges spalling concrete with exposed reinforcing steel, exposed post-tension tendons, pool and spa leaks, seawall cracks and corrosion, elevator defects and fire sprinkler leaks. It seeks at least $750,000 and court-ordered repairs.

A spokesperson for Riverwalk East Developments told CBS Miami the association’s allegations are “unfounded.” Coastal Construction told The Real Deal it is “reviewing the allegations for merit and will defend accordingly.” No ruling on the claims had been reported as of Oct. 8, 2026.

The earlier contracts suit. On Jan. 30, 2026, the same association sued Riverwalk East Developments LLC, the developer’s principal and other individuals and companies in Miami-Dade County Circuit Court, according to the South Florida Business Journal, Bisnow and The Real Deal. The complaint alleges that, while the developer controlled the association’s board, the board signed no-bid service contracts at above-market prices with companies tied to the developer’s principal and leased a unit owned by a company linked to the principal as office space. It also alleges that promised amenities, including a helipad, were not delivered. According to the Business Journal, the counts include breach of fiduciary duty, civil conspiracy to commit constructive fraud and unjust enrichment, and the suit seeks at least $5 million.

Companies tied to the developer’s principal did not respond to Bisnow’s request for comment when the suit was filed, and an attorney for Riverwalk East Developments told the Business Journal he had not yet reviewed the complaint. These are allegations only. No court has made findings on them, and no ruling had been reported as of Oct. 8, 2026.

Missoni Baia: 76 Alleged Defects and a Separate Insurance Case

In Edgewater, the 700 Edgewater Condominium Association, which governs the 249-unit Missoni Baia tower at 777 NE 26th Terrace, sued in Miami-Dade County Circuit Court on Jan. 30, 2026, The Real Deal reported. The defendants are developer OKO Group, design firms Asymptote Architecture and Revuelta Architecture International, general contractor Civic Construction and 19 subcontractors.

The complaint lists 76 alleged construction and design defects, including cracks in floor slabs, foundations and columns, water intrusion in units, stairwells and the parking garage, a lack of hot water in parts of the tower, defective fire alarm devices and sprinklers, pool plumbing leaks and elevators that do not work. It also alleges the developer did not correct defects that its own consultants identified. OKO Group’s Vladislav Doronin, through a spokesperson, declined to comment, according to The Real Deal, and no ruling on the claims had been reported as of Oct. 8, 2026.

The insurance case. OKO Group’s development affiliate, 700 Edgewater Development LLC, filed its own suit on April 3, 2026, in the U.S. District Court for the Southern District of Florida (Case No. 1:26-cv-22332) against Zurich American Insurance, Allianz Global Risks US Insurance, ACE American Insurance and National Fire & Marine Insurance. The complaint alleges that uneven foundation settlement during construction in April 2021 caused physical damage and pushed back the tower’s temporary certificate of occupancy by at least 16 months. It says the insurers paid about $34 million of a $55.7 million builder’s risk claim and seeks the remaining $22.4 million.

On May 8, 2026, Judge Roy K. Altman consolidated the case with two related suits the same affiliate had filed against the same insurers (Nos. 1:26-cv-22412 and 1:26-cv-22614), according to the court docket. On May 28, 2026, he stayed and closed the case, moving it to the court’s inactive docket until the Florida Supreme Court decides whether a Florida insurance statute, section 627.70152, applies retroactively, according to the order on the docket. The order directs the parties to file a joint status report on Aug. 28, 2026, and every 90 days after. No decision on the merits has been made.

Amrit Ocean Resort: Defect Suit and a Closed Police Review

In Palm Beach County, the condominium association at Amrit Ocean Resort, a two-tower project on Singer Island in Riviera Beach, sued in Palm Beach County Circuit Court in mid-May 2026, less than two weeks after the developer turned over control of the association, The Real Deal reported. The defendants are the developer, Wellness Resorts and Wellness Resorts & Spa, and the construction team: Optimal Construction, Paramount Consulting & Engineering, S&E Architects and CAP Government.

The complaint alleges roofing failures that let water in, corrosion affecting the air conditioning, plumbing, electrical and fire sprinkler systems, cracking stucco and deteriorating concrete, window and glazing failures and elevator problems. It raises claims of building code violations, breach of warranties and negligence. A separate count asks the court to decide who must maintain and repair shared facilities, and alleges the hotel owner has blocked needed repairs. A spokesperson for Amrit Ocean Resort and Residences told The Real Deal the developers “have been working collaboratively and amicably with the association and unit owners to resolve the issues raised in the complaint.” The case was ongoing in the latest public reports, with no ruling reported.

The association’s attorney, Daniel Levin, told CBS12 in August that its engineers had not identified any current life-safety issues, and the city’s building official told the City Council the same week that he had not found major life-safety problems.

Separately, Riviera Beach police reviewed buyer complaints in spring 2026 that owners had been misled about whether their units qualified for Florida’s homestead tax exemption, since city records show the project was approved as a resort hotel. A spokesperson for the resort told The Real Deal that zoning requirements, including no permanent residences, “were clearly disclosed in purchase agreements.” At an Aug. 5, 2026, City Council meeting, Police Chief Michael Coleman said investigators, working with the FBI and the Palm Beach County State Attorney’s Office, found no evidence of criminal wrongdoing and concluded the disputes are civil matters, CBS12 reported.

The Three Towers at a Glance

Tower	Who filed	Court and filing date	What it alleges	Status, Oct. 8, 2026
Aston Martin Residences, Miami	Condo association	Miami-Dade Circuit Court, Jan. 30, 2026	Self-dealing service contracts, undelivered amenities	No ruling reported
Aston Martin Residences, Miami	Condo association	Miami-Dade Circuit Court, April 15, 2026	Construction and design defects; at least $750,000	No ruling reported
Missoni Baia, Edgewater	Condo association	Miami-Dade Circuit Court, Jan. 30, 2026	76 construction and design defects	No ruling reported
Missoni Baia, Edgewater	Developer affiliate	U.S. District Court, S.D. Fla., April 3, 2026 (No. 1:26-cv-22332)	$22.4 million unpaid on a builder’s risk claim	Stayed and closed May 28, 2026, pending a Florida Supreme Court ruling
Amrit Ocean Resort, Singer Island	Condo association	Palm Beach County Circuit Court, May 2026	Construction defects; shared facility repairs	No ruling reported

Chapter 558 and the Insurance Bill

Chapter 558 of the Florida Statutes sets a pre-suit process for construction defect claims. The owner or association must send written notice of the alleged defects, and the developer, contractor or design professional gets a chance to inspect and offer a repair or payment before a lawsuit moves forward. All three associations went through that process before suing, Bisnow reported.

David Haber of Haber Law, whose firm represents the Aston Martin and Amrit associations, told Bisnow that virtually every new high-rise condo enters the process and ends in a lawsuit, and he called it “a vicious cycle that doesn’t end.” Developers quoted in the same report said the rise in lawsuits is being driven by the growth of plaintiffs’ law firms.

Jonathan Perrillo, a senior vice president at insurance broker Lockton, said at Bisnow’s Condoverse conference in April 2026 that Chapter 558 claims are part of the reason liability premiums for for-sale construction tend to run four to five times the cost of insuring a comparable multifamily rental project.

What Buyers, Associations and Builders Can Check

Buyers in a new tower. Ask the association for its turnover engineering report, any Chapter 558 notices it has sent and a list of pending lawsuits. Search the county clerk’s civil records under the association’s legal name, and review reserves, insurance terms and any special assessments before closing.

Associations nearing turnover. Budget for an independent engineering inspection soon after owners take control, since each of these complaints leans on post-turnover inspection findings.

Developers, contractors and subcontractors. Confirm completed operations coverage and how risk is split in each contract before work starts, and price for-sale projects with the higher liability premiums in mind. For any specific property or contract, talk with a Florida construction attorney and an insurance professional.

Key Facts for Owners and Search

Which South Florida towers face construction defect lawsuits in 2026?

Condo associations at three new towers filed construction defect suits in 2026: Aston Martin Residences in downtown Miami on April 15 and Missoni Baia in Edgewater on Jan. 30, both in Miami-Dade Circuit Court, and Amrit Ocean Resort on Singer Island in May in Palm Beach County Circuit Court. These are allegations; no court had ruled on them as of Oct. 8, 2026.

How do defect lawsuits affect condo insurance costs?

A senior vice president at insurance broker Lockton said in April 2026 that Chapter 558 claims are part of why liability premiums for new for-sale condo construction tend to run four to five times the cost of insuring a comparable rental project. Developers, contractors and lenders pricing a new condo project should ask their broker how that gap affects their own budget.

What is Florida Chapter 558?

Chapter 558 of the Florida Statutes sets a pre-suit process for construction defect claims. The owner or condo association must send written notice of the alleged defects, and the developer, contractor or design professional gets a chance to inspect and offer a repair or payment before a lawsuit proceeds. All three associations in these cases went through that process before filing suit.

What do the complaints allege about the buildings?

The complaints allege problems such as spalling concrete and exposed reinforcing steel, pool and spa leaks, seawall and foundation cracks, roofing failures, water intrusion, corrosion in building systems and elevators that do not work. Some defendants have called the claims unfounded or said they will defend them, and readers should check each court docket for the latest filings and rulings.

What should buyers check before purchasing in a new condo tower?

Ask the association for its turnover engineering report, any Chapter 558 notices it has sent and a list of pending lawsuits, then search the county clerk’s civil records under the association’s name. Review reserves, insurance terms and special assessment history, and talk with a Florida construction attorney and an insurance professional about the specific building before you close.

Sources

Filed Under Local Development South Florida Construction Defects Luxury Condominiums Liability Insurance