Woodhaven condo association sues developer Ronald Hughes for $50000 in unpaid assessments

During the recent Ann Arbor City Council meeting, significant concerns were raised regarding a condominium development in Woodhaven, specifically the Park Lane Townhomes project. The discussion centered around ongoing issues with the developer, Ronald L. Hughes, and the management of the condominium association.

The background of the situation reveals that Hughes initially partnered with Patrick O'Leary to form a limited liability corporation for the development. However, after the dissolution of Hometown Building in June 2007, Hughes established Hall West Limited Partnership, taking full control of the project. By October of the previous year, residents had gained control of the condo association's board, which led to a review of the financials and management practices.

The board discovered troubling issues, including numerous roof leaks and a significant ceiling collapse in one unit. Two contractors confirmed that the roofs were installed incorrectly, leading to an insurance claim denial. Despite the board's attempts to engage Hughes in addressing these problems, he failed to respond, leaving the association to cover the repair costs.

In February, an independent roof analysis confirmed that all twelve roofs required complete replacement, with estimated costs ranging from $600,000 to $720,000. Further investigation by the board's attorney revealed that Hughes had not paid approximately $50,000 in monthly assessments owed to the association.

In light of these findings, the board considered legal action against Hughes and his LLC for the outstanding assessments and necessary roof repairs. During a meeting in June, Hughes expressed his refusal to pay the owed amount or contribute to the roof replacements, threatening to dissolve his partnership if the association pursued legal action. He did, however, offer to resume future payments.

As of the meeting, the board had decided to proceed with the lawsuit, although Hughes had not yet been served due to his unavailability. This situation highlights the ongoing challenges faced by the condominium association and raises questions about accountability and the responsibilities of developers in residential projects. The board's next steps will be crucial in determining the future of the Park Lane Townhomes and the well-being of its residents.