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Condo buyer, developer lock horns

The Sage isn't up to snuff, a buyer of two units says. The builder and city say it is.

By PAUL SWIDER, Times Staff Writer
Published January 20, 2008


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ST. PETERSBURG - When Tom Reamer put down a deposit on two units at the Sage in 2006, he was looking forward to an investment-vacation combination that would let him ease into retirement.

In October, the 55-year-old inspected the property before closing on the purchase and was disappointed.

"When you have units with this price tag, you want them to be right," Reamer said of the two $400,000 condominiums he is now refusing to buy until Miles Development Partners fixes their flaws. "In today's market, you don't want to buy a dog."

Reamer compiled a list of 120 complaints about the two units on which he has $100,000 in total deposits. He said Miles has yet to fix most of the problems, including electrical problems that he says violate national codes. As an electrical contractor in New Jersey, Reamer says he knows what he's talking about and can't understand how the building could have passed inspections to receive a certificate of occupancy from the city.

Miles representatives say the building did pass all its inspections, and city officials agree. Miles says most of Reamer's complaints are minor and cosmetic and either have been fixed or will be shortly.

"We built everything to code and we've fixed his problems," said Leslie Smart, director of sales and marketing for Miles. "He said he was going to give us documentation about electrical problems, but he hasn't."

Reamer says there are outlets missing or improperly installed. He complained to the city about this and was told the building meets code so there's nothing more the city can do. Reamer said when he called again, he was told that the city inspector who looked at the Sage no longer worked for the city.

The city's building official, Rick Dunn, said there's nothing suspicious about the inspector's departure. His inspector retired ahead of an unrelated disciplinary action. Dunn says the Sage meets code and was reinspected after Reamer's complaints and still meets code.

"There's a ton of distraught buyers out there," Dunn said.

Dunn said that most of Reamer's complaints are typical details a builder fixes at the tail end of a project, so-called punch-list items.

By law Miles has to warranty the building for a year, so Reamer has recourse if there are flaws, Dunn noted. He said he has urged Miles to make repairs as needed, but the developer has told him Reamer is being unreasonable.

In his list of complaints, Reamer includes scratches and dirt on surfaces and appliances in the units. In October, Reamer's home inspector wrote a report that included complaints of residue from packaging tape on some parts used in the condo as well as evidence of water damage and even rust.

Reamer says the electrical problems are safety issues, but overall it appears that Miles was rushing to finish.

Had the project exceeded two years, buyers can use delays as a reason not to close on a purchase.

"They were just cutting corners," Reamer said. "They don't seem to have the means to finish."

Smart said Miles extended its construction period to make sure the condos were built properly, but still finished within two years. She said Reamer's first inspection was after the building passed inspections but was intended for him to point out items he wanted fixed, not as a demonstration of a fully finished product.

She said it was unusual that Reamer showed up for that walk-through with a home inspector to document problems.

"He was trying to get out of one of his units from early on," she said.

Reamer at first said he hadn't suggested he didn't want to buy both units.

In a subsequent conversation, he said he had offered to close on one unit if Miles would let him out of the other.

He says now he would close on both if the developer would fix the problems he has noted.

"The question is, in a slow market, why wouldn't they want to fix these things?" he asked.

Reamer said that at one point, the Miles sales staff tried to sweet-talk him into closing, giving him meal coupons and asking what it would take, even offering him another unit as a replacement.

Now, he says, they're trying to force him to close by saying the building meets code and the contract doesn't require punch-list items to be completed before closing.

He said he plans to take legal action against Miles and has also begun filing a complaint against the city for what he says is its lax approach to building inspections.

"It's extremely obvious to me that an inspection never happened," Reamer said.

Paul Swider can be reached at pswider@sptimes.com or 892-2271.

[Last modified January 19, 2008, 22:08:39]


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