Construction firm alleges Venetian Islands condo association skipped out on $720K

According to the lawsuit, Critical Path Construction completed 99% of a major renovation

Nine Island Avenue (Google Maps)
Nine Island Avenue (Google Maps)

A construction company alleges the condo association at Nine Island Avenue on Miami Beach’s Venetian Islands skipped out on $723,000 for a major renovation.

Miami-based Critical Path Construction is suing the condo association at Nine Island Avenue, alleging the association breached its contract after it failed to pay the construction company for completing 99 percent of its renovation project. The lawsuit was filed July 23 in Miami-Dade Circuit Court.

In a response to the suit, the association claims that it withheld the payments due to construction defects.

Nine Island Avenue, at 9 Island Avenue in Miami Beach, is directly across the street from the Standard Spa, Miami Beach on the Venetian Islands.

According to the lawsuit, after completing the first phase of renovations to the condo tower, Critical Path started working on phase two of the renovations in September 2017. But the project soon ran into numerous delays, which Critical Path alleges were caused by incomplete or inadequate plans by the association and failure to address change orders. The complaint alleges the condo association made more than 100 change orders and 100 requests for information, which caused the delays. By July 2018, progress had come to a complete stop due to the alleged issues.

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A year and a half later, Critical Path claimed it obtained a Temporary Certificate of Occupancy, or a TCO, for the majority of the project to be completed in December 2019. It alleges Nine Island Avenue was responsible for completing the rest of the project, but failed to do so, which prevented the building from getting a final inspection. The construction company alleges it has not been paid since September 2019.

Nine Island Avenue’s condo association did not immediately respond to a request for comment.

In February, the construction firm recorded a lien against the condo association for $491,197, according to the suit. In May, the association threatened to terminate the construction company’s contract due to various reasons, including not accurately providing schedules, failing to perform diligent work, and failure to install wall tile. It directed the construction company to fix the defects in 15 days.

Critical Path said it was not responsible for the defects and it could not fix them in 15 days. In June, the association terminated Critical Path’s contract, according to the suit.