Homeowners Association sues Tralon Homes for not maintaining neighborhood infrastructure
COLORADO SPRINGS, Colo. (KRDO) -- Dozens of individual homeowners have already filed lawsuits against Tralon Homes. Now, an entire neighborhood is taking the homebuilder to court.
13 Investigates previously uncovered numerous homeowner warranty claims going unanswered by Tralon Homes — one of the most prolific builders in El Paso County since 2020.
New court documents accuse the builder of not maintaining the infrastructure in the Star Ranch neighborhood, located in the Broadmoor Bluffs.
Star Ranch, LLC was the original developer of the neighborhood in 2014 and therefore held the declarant rights, meaning it was in charge of the homeowners association and maintaining the neighborhood. However, those rights passed through a number of companies before being handed off to St. Aubyn Homes in 2019. St Aubyn changed its name to Tralon Homes in 2021.
According to the Colorado Common Interest Ownership Act, the developer that holds the declarant rights is in charge of the homeowners association until 75% of the lots are sold. When that happens, the developer has 60 days to hold an election for a new homeowner board.
According to the lawsuit, this never happened. Instead, Tralon maintained control longer than the law allows.
The lawsuit then goes on to state that while Tralon Homes was in control, it failed to maintain and repair the infrastructure of the neighborhood, breaking its contract as declarant.
“During the period of Declarant control, the maintenance and repair of roads, sidewalks, gutters, and other common elements were neglected, and any repairs that may have been completed were insufficient and faulty,” the lawsuit states.
Tralon also failed to install required landscaping, streetlights and signage, according to the lawsuit.
“The Association has sustained and/or will sustain actual property damage to the Community as a result of Tralon’s negligent actions or omissions,” the lawsuit said.
When a new HOA took control in November 2020, it learned Tralon Homes budgeted no more than $2,200 per year for street maintenance, according to the lawsuit. After the transition, the new board of directors said it paid for a study of the streets in the neighborhood, which identified more than $430,000 of road, gutter, and sidewalk maintenance throughout the community.
The lawsuit states the HOA has sent letters “notifying Tralon of the defects, but Tralon has failed to timely, permanently and properly remedy the defects.”
The HOA said this has left it in a “dire financial situation, with nominal operating funds, insufficient reserve funds, and the need for significant and costly road repairs.”
The HOA is asking the courts for relief of damages, as the lawsuit is currently in arbitration hearings.
The Star Ranch HOA declined to comment, while Tralon Homes said, “From the beginning of this dispute, Tralon has been willing and ready to address any issues at Star Ranch that are its responsibility. Tralon continues to stand by that position today and looks forward to resolving these issues.”
