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Michigan owners are paying full dues on condos that no longer exist

Michigan · Compliance

Michigan owners are paying full dues on condos that no longer exist

Reported. Two Oakland County condominium communities produced the same problem sixteen months apart, and Michigan law has no answer to it: an owner whose unit has been destroyed keeps paying assessments in full.

Le Chateau, Southfield

A fire on 4 November 2024 killed a 73-year-old woman, hospitalised three people and displaced dozens. Sixteen months later, WDIV's Local 4 Investigators reported on 11 March 2026 that the building had still not been rebuilt — while the association continued charging pre-fire budgets on a structure drawing no utilities and receiving no services.1

Owner David Henry told the station he pays $849 a month and was threatened with foreclosure if he stopped. Owner Lance Slater did stop; the association foreclosed on his two units after more than fifteen years of ownership. His attorney, Richard Shulman, said the board had refused settlement offers before foreclosing. The community is managed by Encompass Management Group; the board president did not respond to the station.

Keatington New Town, Orion Township

A suspected gas explosion in November 2024 destroyed a unit. WDIV reported on 26 February 2026 that an 85-year-old resident was paying $770 a month in association dues plus special assessments on a unit that no longer physically exists, while also paying $2,000 a month in rent elsewhere. Nothing remained on the site; reconstruction was scheduled to begin in summer 2026. Her son was drafting a demand for full abatement of fees until an occupancy permit issues.2

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Related Michigan HOA Topics

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  1. WDIV Local 4 Investigators, “Southfield condo owners want transparency from HOA after deadly fire,” 11 March 2026 ↩
  2. WDIV, “85-year-old pays $770 monthly for condo destroyed in Oakland County blast,” 26 February 2026 ↩

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