Lake Villas - Update (6/13/2024)

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Date
Jun 13, 2024
Hi Everyone:
1.   The small/adult pool has been opened.  We will remove the signs and everyone can enjoy it.  Thank you to the staff for their hard work in correcting the violations and to Scott Schrager for his assistance.
When using the pools, please return the furniture to the place where you got the furniture from.
2.   Again, we have certain dogs running the property without a lease.  This is in direct violation of Lake Villas Condominium Association governing documents.  NO INDIVIDUAL/MEMBER IS ENTITLED TO ALLOW THEIR PET TO RUN FREE WITHOUT A LEASE ON LAKE VILLAS CONDOMINIUM PROPERTY.  Seminole County has an Ordinance stating this also.  Stop allowing your pet to run free and poop wherever without cleaning up.
3.   REDI of Orlando was here to re-certify the fire extinguishers.  I am attaching a list that he has provided of the Units where the extinguishers need to be done.  Those Units on the list, I need you to bring your extinguisher to the clubhouse (make sure your unit # is marked on the sheet) so we can hold it and reschedule Ron to return.  He gives us a great price, so make sure to cooperate with this request.
4.  I am also attaching a copy of the email sent to us from our Insurance Carrier.  Please read this carefully (ignore the link for signing the documents as this has been done).  At the Board meeting we voted to increase the deductible from $25,000 per occurrence to $50,000 per occurrence.  This will provide us approximately $35,000 in savings over a 2 year span.  This could help us with future issues.  Also note that we had a decrease in our overall premium.  This is a real incentive to all the work that we have been doing on the property and on getting the Alumicons done.  The insurance information package will be posted on the website.
5.   The Board received a copy of the Reserve Study and the SIRS Report.  This is a 48 page long report that proposes a plan for correcting buildings, exterior walls enclosing the property, pavement, pools, clubhouse, etc.  DON'T PANIC WHEN READING THIS REPORT PLEASE.  You may access this report through the HMI portal, which can be done through our website LakeVillasAltamonte.com.  I have requested Lake Villas Condos attorney to assist us in negotiating changes to date and times when we could realistically complete their currently proposed plan.  The Building Committee (Scott Schrager and Chad Wagner) are starting the building process of meeting with 5 outside vendors so we can obtain bids on Unit 186 next week.  Several steps have to be taken, we have to find finance people, we have to have a timeline, we need actual costs to accomplish these projects.  Give us some time and space in which to get this process underway.
6.  The concrete wall by Unit 690 and parking area.  The Board will have our Civil Engineer  review the status of the wall.  The SIRS report states there is no lifespan in that portion of the wall. So,we will get information from the Civil Engineer on what is the best method to take proper care to move this wall project forward.
7.  Unit 652 steps we are calling for an inspection by the City to obtain clearance on the steps next week.  We are getting closer to meeting the requirements for Code Enforcement.
8.   Please make sure to pay the special assessment.  The Board has provided several methods of payments to help assist with this extra expense.  Several Unit owners have not paid to date.
9.  We have posted 2 Units that have sales contracts on them.  Unit 164 (2 bdrm flat w/patio) just sold for $225,000.  Unit 652B (3 bdrm flat on the lake) just sold for $325,000.  This is fantastic news to have such increases in the price of the condos. Sales are going in the right direction.  Currently we have Units 140, 158, 124, and 148 for sale.
Thanks.

 
Hello Jo Ann, Lori and
Good evening! I hope all has been well over at Lake Villas! As you know for the past four months my team and I have been busy bidding out the Association’s upcoming June 13th insurance renewal and the winning property quote finally came in yesterday! Back in August 2023 my office sent our annual “What to Budget” email in order to assist our communities with budgeting for their 2024 insurance premiums. At that time, underwriters at the various large carriers were advising us agents to recommend our boards budget approximately a 35% increase for their 2024-2025 premiums. However, as you will see in the chart below, the Association’s premium is actually clocking in at nearly a 8% DECREASE and that is WITH an increase in limit/total insurable values of 30%!!
I would like to take a moment to commend your board and residents for swiftly moving towards having the units remediated/ “pigtailed” as having done so was the reason the property bid options came in where they did which is far better than if the wiring would have been left the way it was (aluminum wiring).
While the attached proposal steps you through the specifics of the policy such as deductibles, limits, coverages and exclusions I have also provided several notes below. If upon reviewing you and or the board have any questions please do not hesitate to ask. Ok, here we go:
Notes:
  • New Property Carrier Bid Option: The current property insurance carriers that write Lake Villas insurance are Frontline (on the wind) and Landmark (x-wind) offered a combined renewal premium of $231,086. My team bid the Association’s insurance out to the marketplace and, due to the units having been rewired, we were able to negotiate a less expensive bid from Lloyds of London (AmRisc program) for $173,639 which is $57,447 OR 25% LESS PREMIUM  than the renewal offer from Frontline/Landmark.
Worth noting though is that the renewal quote option from Frontline/Landmark has a 3% per building storm deductible whereas the Lloyds of London quote which has a 5% per building deductible.  Both quotes however have a $25,000 per occurrence “All Other Perils” deductible which would be for claims involving Fire, Pipe Burst, Car driving through building, etc.
  • Higher “All Other Perils” (AOP) Deductible Options: The board had expressed interest in obtaining higher deductibles to save premium. The Lloyds of London underwriter stated that increasing to a $100,000 AOP deductible would save the Association an additional $30k OR increasing to a $50k AOP would save the association an additional $17,500. As a reminder the AOP deductibles would be for claims such as fire, pipe burst, etc.
  • Increased Appraisal Values: Lake Villas is a condominium association therefore it falls under the 718 Statute. That statute mandates all associations to obtain a “Replacement Cost Appraisal” once every 36 months and that the property policy limit must, at a minimum, match the values shown on the appraisal. The Association JUST had an appraisal done and the values increased by nearly $4M, from $12.6M up to $16.5M, which is an increase of 30%. This has been happening across the country due to inflation pushing up the cost of construction labor and materials.
Since property policy premiums are based on the limit on the policy, as the limit increases so too does the premium.  So, for example, the property premium on a $1M house will be a lot more expensive than the property premium on a $100,000 house.  Meaning, had the values remained the same at $12.6M the overall year-over-year decrease would have been far more…..
  • Link to Sign Forms The finance contract is included within this link. Once the forms have been transmitted successfully a message will pop up regarding a “verification email”. That verification comes to our office and not to the signor.
  • Down Payment Invoice: Insurance carriers require to be paid in full. Many associations choose to obtain a finance contract so that they can pay the premiums over time in installments. That is what Lexington did last year. Therefore, we went ahead and obtained a finance agreement on your behalf this year as well. If however the board would prefer to pay in full please let us know and we will modify the invoice accordingly.
  • Year-Over-Year Premium Comparison:
Coverage
Carrier
23-24 Expiring Premium
Carrier
24-25 Renewal Premium
Property
Frontline (Wind) Landmark (X-Wind)
$189,110.05
Lloyds of London/AmRisc  (All Perils)
$173,639.00
Flood
American Bankers
$19,410.00
American Bankers
$19,268.00
Equipment Breakdown
Travelers
$989.10
Lloyds of London/AmRisc  (All Perils)
Included
General Liability
Westfield
$13,672.05
CSU
$23,339.40
Crime
The Hanover
$1,288.26
The Hanover
$1,275.63
Directors & Officers
Great American
$1,466.00
Great American
$1,451.00
Excess Liability
Kinsale
$12,967.50
MidVale
$1,190.00
Work Comp
Massachusetts Bay
$565.00
Massachusetts Bay
$509.00
Pollution
Indian Harbor
$696.15
Indian Harbor
$696.15
Total Premium
$240,164.11
$221,368.18
Property Total Insurable Values
$12,605,537.00
$16,510,729.00
Again if the board would like to meet with me to go over this renewal proposal please let me know and I would be happy to do so. Thank you!