In January 2024, New Jersey became only the second state in the nation, after Florida, to enact a statewide post-Surfside law mandating structural inspections of condo and co-op buildings. The Structural Integrity Law (P.L. 2023, c. 214, known by its bill numbers S2760/A4384, and amended in August 2025 by P.L. 2025, c. 95 / S3992) did two big things at once: it created a periodic structural-inspection requirement for "covered" concrete, masonry, and steel buildings, and it required nearly every association — regardless of construction type — to commission a professional capital reserve study with a 30-year funding plan.

For buyers and owners, this is the single biggest story in New Jersey condo diligence right now. The state moved from having no reserve mandate to one of the most prescriptive reserve-funding regimes in the country, with deadlines that have already passed.

The structural inspection requirement

The inspection requirement, codified at N.J.S.A. 52:27D-132.2 to 132.5, applies to "covered buildings" — residential condominium or cooperative buildings whose primary load-bearing system is concrete, masonry, steel, or a hybrid. Critically, height is irrelevant: a two-story masonry condo is covered, while a conventional wood-frame building is excluded. The inspection follows the American Society of Civil Engineers (ASCE) structural-condition-assessment protocol, must be performed by a New Jersey-licensed engineer, and must be filed with the municipal construction official and made available to any resident on request.

The timing matters. For buildings that already had a certificate of occupancy 15 or more years old when the law took effect, the initial inspection was generally due within two years — around January 8, 2026. Subsequent inspections follow intervals the inspector sets, but no more than every five years. A covered building with no inspection on file past its deadline is a red flag for both non-compliance and unknown structural condition, particularly for aging coastal and urban high-rise stock where salt air and freeze-thaw accelerate concrete spalling and rebar corrosion.

The 30-year reserve study requirement

Separately, N.J.S.A. 45:22A-44.2 (added to PREDFDA by the same law) requires nearly every association to commission a capital reserve study with a 30-year funding plan. This applies far more broadly than the inspection: even wood-frame associations exempt from the structural inspection still owe the reserve study. The study must follow the CAI National Reserve Study Standards and be prepared or overseen by a CAI-credentialed Reserve Specialist or a New Jersey-licensed engineer or architect — board members may not prepare it.

Associations without a recent study had to complete an initial one by January 8, 2025, and must update at least every five years. Only associations with under $25,000 in common-area capital assets are exempt.

Mandatory funding and the catch-up clock

The reserve study is not just a planning document — N.J.S.A. 45:22A-44.3 requires associations to actually fund reserves to "adequacy." For associations that were underfunded when the law took effect, the deficiency must be cured through equal annual increases:

• Within two fiscal years if reaching adequacy requires a less-than-10% increase over the prior year's assessment.
• Over the earlier of ten fiscal years or the year reserves would hit zero, if it requires more than a 10% increase.

The 2025 amendment (S3992) softened this. It defined "adequacy" as a funding plan in which the projected reserve balance never falls below zero across the 30-year projection — a cash-flow approach rather than 100% funded — and let associations limit contributions to 85% of the selected plan for up to five years. That relief lowers current dues but leaves a thinner cushion: a component failing earlier than projected can still trigger a special assessment or loan.

Why it matters for buyers

The reserve catch-up functions like a built-in, multi-year dues increase that a buyer inherits. And the structural side carries its own surprise: if an inspection finds that corrective maintenance of the primary load-bearing system is required, the board may levy an assessment or take a loan to fund the work without an owner vote and notwithstanding any contrary bylaw. A buyer cannot assume an owner vote stands between them and a large structural assessment.

What to request and read

• The most recent capital reserve study and 30-year funding plan, confirming a qualified preparer
• The budget line showing any mandated catch-up funding, and whether the association used the 85% option
• The structural inspection report for concrete, masonry, or steel covered buildings
• Any corrective-maintenance findings and the funding plan or loan for them
• Recent board minutes, where inspection results and reserve decisions are discussed

Read together, these documents tell you whether the building's reserve and structural obligations are funded or pending. A pending, unfunded obligation is not a reason to walk away — but it is a number you want quantified before your attorney-review and contingency periods close.

This article describes New Jersey's Structural Integrity Law and reserve requirements in general terms and is not legal or engineering advice. For a specific building, consult the reserve study, the inspection report, and a licensed professional. CondoSignal reviews the documents you upload and links every finding to the exact page, so you can see reserve, structural, and assessment risk before you commit to a purchase.