A lawsuit has been filed against the owners of The Rialto building located on Sand Lake Road in the Dr. Phillips area of Orange County, where more than 350 residents were evacuated last week after doors wouldn't open and “loud popping sounds” were heard.
RELATED: Evacuated residents await updates after popping sounds, cracks in building
Emergency responders evacuated the entire building early on March 19, following 911 calls from residents.
“There were several doors that could not open, and so we had to use tools to open the doors, to let people out of their apartments,” said Orange County Fire Rescue Acting Division Chief William Farhart.
Orange County’s building safety division later recommended evacuating the property, after staff performed an inspection and determined the building was showing further signs of instability. Obvious signs of fresh cracking on the drywall “got progressively worse as we went up,” said Deputy Chief Building Inspector Gilbert Mercado.
The five-floor building has 200 apartment units, plus several businesses on the ground floor. It’s owned and operated by Northland Investment Corp., a Massachusetts-based private equity firm that owns more than two dozen residential properties across Florida, including The Paramount on Lake Eola in Downtown Orlando. Northland's executives also co-manage a WNBA team, the Atlanta Dream.
In a written statement, Northland said it does not comment on litigation but is aware of the lawsuit.
Northland is not charging residents rent for any days they are unable to occupy their apartments, and has also provided assistance of $1,000 per apartment unit. According to the complaint filed this week on behalf of residents, some of those checks have bounced and residents have not been able to cash them.
The complaint argues the payments from Northland amount to a “confession of judgment under Florida law.”
Property owners “failed to comply with applicable building codes, and failed to maintain the building, walks, foundation and other structural components in good repair and capable of resisting normal forces and loads, because on March 19, 2026, the Subject Property had cracks in the building affecting dwelling units and became uninhabitable,” according to the lawsuit.
Northland said engineers are still evaluating the building and there is no “definitive timeline” for either when their investigation will be finished, or when more details might become available. The company said it has begun planning for “next steps to support residents,” and that it will provide more information directly to residents in the coming days.
“We remain committed to working as quickly and responsibly as possible,” the company said in a written statement. “We appreciate (residents’) patience and resilience during this difficult time.”
Read the complaint filed this week on behalf of Rialto residents:
