diff --git a/internal/controller/managedcluster_controller.go b/internal/controller/managedcluster_controller.go
index c8d5840a5..dff885347 100644
--- a/internal/controller/managedcluster_controller.go
+++ b/internal/controller/managedcluster_controller.go
@@ -104,16 +104,13 @@ func (r *ManagedClusterReconciler) Reconcile(ctx context.Context, req ctrl.Reque
 	return r.Update(ctx, managedCluster)
 }
 
-func (r *ManagedClusterReconciler) setStatusFromClusterStatus(
-	ctx context.Context, managedCluster *hmc.ManagedCluster,
-) (bool, error) {
+func (r *ManagedClusterReconciler) setStatusFromChildObjects(
+	ctx context.Context, managedCluster *hmc.ManagedCluster, gvr schema.GroupVersionResource, condition string,
+) (requeue bool, _ error) {
 	l := ctrl.LoggerFrom(ctx)
 
-	resourceConditions, err := status.GetResourceConditions(ctx, managedCluster.Namespace, r.DynamicClient, schema.GroupVersionResource{
-		Group:    "cluster.x-k8s.io",
-		Version:  "v1beta1",
-		Resource: "clusters",
-	}, labels.SelectorFromSet(map[string]string{hmc.FluxHelmChartNameKey: managedCluster.Name}).String())
+	resourceConditions, err := status.GetResourceConditions(ctx, managedCluster.Namespace, r.DynamicClient, gvr,
+		labels.SelectorFromSet(map[string]string{hmc.FluxHelmChartNameKey: managedCluster.Name}).String())
 	if err != nil {
 		notFoundErr := status.ResourceNotFoundError{}
 		if errors.As(err, &notFoundErr) {
@@ -125,14 +122,18 @@ func (r *ManagedClusterReconciler) setStatusFromClusterStatus(
 
 	allConditionsComplete := true
 	for _, metaCondition := range resourceConditions.Conditions {
-		if metaCondition.Status != "True" {
-			allConditionsComplete = false
-		}
+		if condition == metaCondition.Type {
+			if metaCondition.Status != "True" {
+				metaCondition.Message = gvr.Resource + ": " + metaCondition.Message
+				allConditionsComplete = false
+			}
 
-		if metaCondition.Reason == "" && metaCondition.Status == "True" {
-			metaCondition.Reason = "Succeeded"
+			if metaCondition.Reason == "" && metaCondition.Status == "True" {
+				metaCondition.Message = gvr.Resource + " are Ready"
+				metaCondition.Reason = "Succeeded"
+			}
+			apimeta.SetStatusCondition(managedCluster.GetConditions(), metaCondition)
 		}
-		apimeta.SetStatusCondition(managedCluster.GetConditions(), metaCondition)
 	}
 
 	return !allConditionsComplete, nil
@@ -309,7 +310,7 @@ func (r *ManagedClusterReconciler) Update(ctx context.Context, managedCluster *h
 			})
 		}
 
-		requeue, err := r.setStatusFromClusterStatus(ctx, managedCluster)
+		requeue, err := r.needToRequeue(ctx, managedCluster)
 		if err != nil {
 			if requeue {
 				return ctrl.Result{RequeueAfter: DefaultRequeueInterval}, err
@@ -337,6 +338,47 @@ func (r *ManagedClusterReconciler) Update(ctx context.Context, managedCluster *h
 	return ctrl.Result{}, nil
 }
 
+func (r *ManagedClusterReconciler) needToRequeue(ctx context.Context, managedCluster *hmc.ManagedCluster) (bool, error) {
+	type objectToCheck struct {
+		gvr       schema.GroupVersionResource
+		condition string
+	}
+
+	childObjects := []objectToCheck{
+		{
+			gvr: schema.GroupVersionResource{
+				Group:    "cluster.x-k8s.io",
+				Version:  "v1beta1",
+				Resource: "clusters",
+			},
+			condition: "ControlPlaneInitialized",
+		},
+		{
+			gvr: schema.GroupVersionResource{
+				Group:    "cluster.x-k8s.io",
+				Version:  "v1beta1",
+				Resource: "machinedeployments",
+			},
+			condition: "Available",
+		},
+	}
+
+	var requeue bool
+	var errs error
+	for _, obj := range childObjects {
+		r, err := r.setStatusFromChildObjects(ctx, managedCluster, obj.gvr, obj.condition)
+		if err != nil {
+			errs = errors.Join(errs, err)
+		}
+
+		if r {
+			requeue = true
+		}
+	}
+
+	return requeue, errs
+}
+
 // updateServices reconciles services provided in ManagedCluster.Spec.Services.
 // TODO(https://github.com/Mirantis/hmc/issues/361): Set status to ManagedCluster object at appropriate places.
 func (r *ManagedClusterReconciler) updateServices(ctx context.Context, mc *hmc.ManagedCluster) (ctrl.Result, error) {
diff --git a/templates/provider/hmc/templates/rbac/controller/roles.yaml b/templates/provider/hmc/templates/rbac/controller/roles.yaml
index 9334495ee..b4cfea475 100644
--- a/templates/provider/hmc/templates/rbac/controller/roles.yaml
+++ b/templates/provider/hmc/templates/rbac/controller/roles.yaml
@@ -20,6 +20,11 @@ rules:
   resources:
   - clusters
   verbs: {{ include "rbac.viewerVerbs" . | nindent 4 }}
+- apiGroups:
+  - cluster.x-k8s.io
+  resources:
+  - machinedeployments
+  verbs: {{ include "rbac.viewerVerbs" . | nindent 4 }}
 - apiGroups:
   - helm.toolkit.fluxcd.io
   resources: