The Premier Connection

Questions to ask at a sales gallery and the answers to expect

Twenty questions and the answers that should give a buyer pause

Shorecrest tower on North Flagler Drive with the West Palm Beach waterfront to the south
Shorecrest tower on North Flagler Drive with the West Palm Beach waterfront to the south. Rendering courtesy of the developer.
Grouped into 4 subjects
20 questions
Grouped into 4 subjects
Deposits above this may fund construction
10 percent
Deposits above this may fund construction
Deposit legend the gallery should point out
Section 718.202
Deposit legend the gallery should point out

A sales gallery is designed to make a buyer feel the building before understanding it. The model residence, the scale model and the film all come before the facts. These 20 questions pull the facts forward. Each is paired with the written answer a well-run gallery gives and the answer that should slow a buyer down. They come from the actual issues on the current West Palm Beach towers: slipped dates, redesigned residence counts, unconfirmed brands, ground leases and the registration rule that protects the buyer's rebate.

The short answer

  • Ask for the construction loan, the presale percentage and the outside date before asking about finishes.
  • A gallery that will not put the deposit schedule in writing is not ready to take a deposit, and dollars above 10 percent may fund construction.
  • Confirm the brand, the hotel component and the management term from the developer's documents rather than the brochure.
  • Ask which plan governs when published residence counts and heights conflict.
  • Register through the broker before the visit, and ask the gallery to confirm the registration in writing.

Get the deposit schedule and the budget in writing

  • What is the deposit schedule, and which dollars above 10 percent fund construction? Expect the gallery to point out the 718.202 legend.
  • Who is the escrow agent, and will I receive receipts? Expect a named title company or law firm.
  • What is the developer fee, and which closing costs shift to me? Expect a percentage and a list.
  • What is the proposed annual budget per residence, and what does it include? Expect a budget sheet from the prospectus.
  • Is there a working-capital contribution or a capital contribution at closing? Expect a number of months of dues or a stated figure.
  • May I assign my contract before closing, and at what fee? Expect a yes or no and a percentage.

Confirm the brand and the land from the documents

  • Is the brand confirmed by a signed license, and how long does the management agreement run? Expect a term in years.
  • Is there a hotel in the building, and which floors may be rented short-term? Expect a floor-by-floor answer.
  • Is the land owned or ground-leased? Expect owned, or a lease term and the rent.
  • Which firm is the architect of record, and is the design the one the city approved? Expect one firm and a yes.
  • What is the seawall and flood design elevation, and who insures the ground floor? Expect numbers from the engineer.

Test the West Palm Beach view against what is approved next door

  • What is approved or proposed on the adjoining parcels, and when will it be under construction? Expect candor. On North Flagler the answer is usually a neighbor tower.
  • Which lines face the water directly, and which face the city or a neighbor? Expect a site plan rather than a rendering.
  • May I see the actual sight line from my floor, by drone or from a neighboring building? Expect a yes where the structure has reached that floor.
  • Has my brokerage's registration been recorded for this visit? Expect written confirmation. This is the question that protects the rebate.

General information, not legal or tax advice. Statutes change and the sources are dated. For every new tower with its figures and floor plans, open the index.

Questions this article answers

What questions should a buyer ask at a condo sales gallery in West Palm Beach?

Ask 20 questions grouped under construction and timing, money, the building and the brand, and the view and the neighbors. Each comes with the answer a well-run gallery gives in writing and the answer that should make a buyer slow down.

What should a buyer ask first at a pre-construction condo sales gallery?

Ask for the construction loan, the presale percentage and the outside date before asking about finishes. Expect a named lender and a figure, a specific percentage of residences under contract and a completion date with a refund clause.

How can a buyer find out if a condo developer's construction loan has closed?

Ask the gallery whether the construction loan has closed, with whom and for how much. A well-run gallery names a lender and a figure. A loan that is still being arranged is the answer that should slow a buyer down.

What is a red flag when asking how many condo units are sold?

A vague word like strong is the red flag. The question of what percentage of residences is under contract deserves a number. A gallery that answers with an adjective instead of a figure is one to slow down with.

What deposit questions should a buyer ask a Florida condo developer?

Ask for the deposit schedule and which dollars above 10 percent fund construction, and expect the 718.202 legend to be pointed out. Ask who the escrow agent is and whether receipts will follow. A gallery that will not put the schedule in writing is not ready for a deposit.

How can a buyer confirm a branded condo in West Palm Beach is actually licensed?

Confirm the brand, the hotel component and the management term from the developer's documents rather than the brochure. Ask whether a signed license confirms the brand and how long the management agreement runs. A well-run gallery answers with a term in years.

What should a buyer ask if a condo tower's unit count or height has changed?

Ask whether the residence count, story count or height has changed since the city approved the project, and expect a clear history, because several current towers have changed. When published residence counts and heights conflict, ask which plan governs.

How can a buyer check the view from a pre-construction condo in West Palm Beach?

Ask which lines face the water directly, and expect a site plan rather than a rendering. Ask what is approved on adjoining parcels, since on North Flagler it is usually a neighbor tower. Then ask to see the floor's sight line by drone or from a neighboring building.

When should a buyer register with a broker before visiting a condo sales gallery?

Before the visit. Register through the broker first and ask the gallery to confirm the registration in writing. Asking whether the brokerage's registration has been recorded is the question that protects the buyer's rebate, and the expected answer is written confirmation.

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