February 10, 2026…..
Dear Fellow Seawatch-on-the-Beach Owners,
As we move through 2026, I wanted to give you an update on the need for a special assessment that we previously announced. For now, the immediate need to infuse cash into our balance sheet has subsided, because of the receipt of the annual maintenance fees that were due January 1, 2026. While the Board has not voted on, or announced a special assessment as of today, the need will continue to exist later in 2026 as we utilize maintenance fees to fund reserves and pay operating expenses. And, once announced, per Florida statutes, special assessments must be paid at a yet to be determined date in 2026. At the present time, the receipts received from the insurance company fall short of submitted hurricane expenses by approximately $2.9 million. We do know that the building re-pipe expense was denied by insurance. I have requested from HGV a complete accounting of what has not been paid from the insurance carriers in the $2.9 million figure and am awaiting their response. We also anticipate that the Board will appeal the decision that the insurance company made to suspend business interruption coverage after week 30 of 2024. I have requested instructions from HGV on how to make that appeal. In summary, there remains a lot of moving parts and unanswered questions on our financial position. As we navigate through these issues in 2026, the need for, and the amount of the special assessment will gain clarity. Thank you, Tim Pellerin, Board President.