Rescuers survey the rubble of the Champlain Towers South condo building in Surfside, Fla., in this July 5, 2021, file photo. A luxury development built on the same oceanfront land has yet to sell a unit, Gus Carlson writes.Carl Juste/The Associated Press
Gus Carlson is a U.S.-based columnist for The Globe and Mail.
The fifth anniversary of the deadly collapse of the Champlain Towers South condominium in Surfside, Fla., is around the corner and the new luxury development built in its place has not sold a single unit since its sales process launched more than a year ago.
The Delmore, owned by Saudi-based Damac Properties, was built on the oceanfront land where the Champlain Towers South fell on June 24, 2021, killing 98 people. The new 12-storey building offers 37 luxury condo units starting at US$15-million and ranging up to more than US$150-million for penthouses. The average unit runs between US$35-million and US$40-million.
Damac was the only bidder in a court-ordered auction of the 1.8-acre property, which the developer bought for US$120-million in 2022.
The developer says The Delmore’s dismal sales record is linked to two factors. First, its opening sales push came too early – before the building’s demo suites and sales centre were complete – even though other South Florida luxury buildings have seen strong pre-construction sales.
Second, Damac blames softness in the luxury market. It’s a curious claim, considering the population boom in South Florida has made the real estate market – especially in the ultraluxury segment – superhot.
The sales drought was first reported last month by The Real Deal, a real estate trade publication, which suggested neither explanation holds up under closer scrutiny.
The nearby Fort Partners’ Four Seasons at the Surf Club, for example, has seen brisk sales, with average prices in the US$6,700 per foot range. And condo sales in Surfside increased 57 per cent in the first quarter of 2026, according to the Corcoran Group.
Coast Guard boats patrol in front of Champlain Towers South on July 1, 2021, a few days before the building's controlled demolition.Mark Humphrey/The Associated Press
Damac plans a sales relaunch later this year. But the developer faces an uphill battle, exacerbated by the property’s history.
The karma around the property is very dark – and the knock-on effects of the collapse of the 12-storey Champlain Towers South reverberate far beyond the property itself.
The tower, built by a consortium of Canadian developers, collapsed in the middle of the night. In addition to the fatalities, 11 people were injured and 35 were rescued from the uncollapsed part of the building, which was demolished 10 days later.
The likely cause of the failure was traced to the degradation of reinforced concrete structural support in the basement parking lot under the pool deck owing to water leaks that corroded the steel reinforcement.
The problem was identified in 2018, and worsened in the ensuing years. A US$15-million repair effort had been planned, but the collapse occurred before it began.
The disaster consumed Miami-Dade news for years and generated national and international interest, considering Miami’s global profile as a destination for tourists, snowbirds and foreign investors.
The collapse exposed everything from lax building codes to construction and maintenance issues to political corruption of local politicians who were paid to look the other way when standards were ignored or shortcuts taken.
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The collapse prompted statewide scrutiny on condo projects, especially in coastal areas, and led to a legislative order requiring homeowners’ associations, or HOAs, to hold appropriate funds in escrow for regular inspections and repairs.
While that was heralded as a much-needed move, it caused problems. HOAs hiked monthly fees sharply on condo owners to meet the state deadline for compliance.
For many, the higher fees – some several thousands of dollars a month more than before – were back-breaking, and forced them to list their units, causing a glut of units on the market and driving down property values. Eventually the state eased some requirements and extended compliance deadlines, but not before the market was dented and many owners displaced.
The wound inflicted on the psyche of the community by the collapse was deep – and in some ways remains unhealed.
The outpouring of support for victims’ families was overwhelming. Thousands of people held vigils near the ruins for weeks after the collapse. A makeshift tribute wall with flowers, poems, photographs and notes of condolence stretched for blocks around the collapse site. Local companies, organizations, celebrities and pro sports heroes and teams donated money and goods to the victims’ families.
A large sign with the names of the victims stands beside the building, as does a garden of seagrass planted in their memory. Seeing these reminders of what happened five years ago makes a walk along the oceanside path by the new building a sad journey. A planned permanent memorial that will abut The Delmore will underscore the pain.
Damac is reported to be in talks with another developer to form a joint venture on the property, perhaps a sign it lacks confidence that its sales relaunch will succeed.
The reality may be that despite slick sales pitches or a beautiful building, it will take more time and healing before buyers move beyond the tragic ground on which their new homes stand.