Wed, 11 June 2008
June 11, 2008
Lynnsy Logue The Real Estate Lady® and Condo CanDo® in
Tue, 10 June 2008
June 10, 2008
Local neighborhoods could soon join forces to fight the spread of “McMansions,” newly built, giant homes that some people say damage the look and feel of older communities.
Residents from several neighborhoods, including Dilworth, Elizabeth and Plaza Midwood, are meeting tonight at the Midwood Baptist Church Fellowship Hall to discuss methods for stemming certain kinds of infill development.
Leaders are expected to focus much of the discussion on
Tear-downs have become increasingly popular in the area. Developers buy small homes and replace them with large ones – with equally large price tags.
Last year in
The developers of a 75-unit condo project in South End have stopped sales and will build it as apartments instead.
"We designed Chelsea South End with multiple strategies, and one strategy was a condo building," said Terrence Llewellyn, whose Llewellyn Development is doing the project with Dean Kiriluk of Kirco.
Since condo sales began there in November, home sales have slowed, financial markets have become more volatile, and lenders have tightened mortgage lending requirements.
Mon, 9 June 2008
June 9, 2008
Sat, 7 June 2008
June 7, 2008
Housing turmoil has yielded one benefit: more reasonable prices. Homes in just eight U.S.metropolitan areas were overpriced by 35 percent or more as of the first quarter of 2008, down from a peak of 53 in the second quarter of 2006, according to a study by Global ln sight and National City Corp. The median price of a U,S. home slipped at an annual 6.7 percent rate in the first Quarter due to weak demand, rising foreclosures and fewer sales of high-priced homes. This marked the third consecutive quarterly decline for home prices.
Sources: Global Insight, National City Corp. Shaila Danl, Elizabeth Flach, AP
Fri, 6 June 2008
June 6, 2008
And because closings are our rewards, the week ended with a young Veteran buying his first home for his family in
Thu, 5 June 2008
June 5, 2008
It was he, more than any other individual, who conceived of creating
In those days, what is now
To fulfill his vision, Stephens enlisted the services of the most promising landscape architect of the day, John Nolen of Harvard Squarein
It is our hope that Stephens' name will also come to be remembered for our city's pre-eminent neighborhood as it should. It only seems right that the landmark corner of Queens Road West and Selwyn Avenue be forever known as Stephens Square.
Now we’ll follow soon with our interview with Alan Simonini and Scott Teel and pictures from Stephens Square. Simonini is to be applauded for preserving, making better, honoring the grace of Queens Road West.
If you love
Lynnsy Logue The Real Estate Lady® and Condo Cando® in
Wed, 4 June 2008
June 4, 2008
Tue, 3 June 2008
Mon, 2 June 2008
June 2, 2008
In response to "Advocates: Tree rules not tough enough" (May 27):I was thrilled to see signs on Briar Creek Road and Central Avenue touting "The Vyne," a "green" condo development. Imagine my surprise and dismay when developer Citiline Resortline razed almost every tree on the site, including maples, magnolias and the city's signature willow oaks. Also flattened: Mature 6-foot azaleas and other shrubs, tended over half a century, as well as the white clapboard house they surrounded. The house was destroyed without any visible attempt to reuse or recycle its materials.
Why are residential developers required to save only 10 percent of trees? Can City Council do more to force developers to act responsibly toward their environment?
The Vyne's Web site chatters about "sustainable building practices" and "energy-efficient features that'll have you feeling earth-friendly." But signs on the Vyne's construction site no longer use the word "green." Nothing on this mudplain is green anymore.
In NoDa, that’s North Davidson, also an historic district, Fat City Lofts are underway again.
Fat City Lofts under construction on
A NoDa landmark disappeared a year ago when high winds blew down the graffiti-splashed facade of Fat City Deli.
Now, the developers, who had planned to integrate it into the new Fat City Lofts on the site, are working to bring back the funkiness and perhaps create another icon for the
Fat City Deli opened in the early 1990s and closed about five years ago, leaving the original building on the site vacant.
Deli founder K.C. Terry, a partner in the new venture, said he chose the location back then for one key reason: "It was the cheapest building in town."
Fat City Deli became a neighborhood gathering place for NoDa's body-pierced musicians and artists, but over the years the clientele grew to include business people in dress shirts and suits.
Fat City Lofts, which includes 26 condos and 8,000 square feet of street-level retail, is the latest example of the neighborhood's transition from restored mill houses to commercial and multi-family development.
Lynnsy Logue the Real Estate Lady® and Condo Cando® in
Sat, 31 May 2008
May 31, 2008
Fri, 30 May 2008
May 30, 2008
Who would have believed that a new
Or that one of the nation's largest apartment developers would help jump start a
On top of that, a block-long commercial-residential redevelopment would help preserve a landmark in one of the city's hip neighborhoods, a “green” parking deck could include a green market and a continuing-care retirement community would be larger than one Mecklenburg town's biggest subdivision.
Here's an update on those five potential Next Big Things, all unveiled during the first five months of 2008.
Three Charlotteans formed Bourbon Boards earlier this year to sell wood, brick, limestone and fixtures from the Old Crow Distillery they own near
The interest in furniture and cabinetry crafted from the reclaimed wood is causing the partners to consider expanding the brand by finding other sources for the materials, Vieregg said.
Developer interest in
Post expects to close on its site and start construction by the fourth quarter of a $65 million, 400-unit apartment community.
The project – $26 million MercuryNoDa – is to include 130 residential condos priced from about $120,000 to about $300,000 in an initial six-story building at North Davidson and 36th streets.
Developer Foster said he wants to break ground when about 50 percent of the units are sold, hopefully by late fall of this year.
The sales kickoff was this week.
Bank of America needed parking spaces uptown, but the developer who responded to its request for proposals is offering much more.
Spectrum Properties plans to develop Center City Green, a 12-story, 1,400-space deck with condos, a restaurant and hopefully a green market across
The bank will lease 1,300 spaces for its employees.
“We're moving forward; we will break ground hopefully this summer,” said Spectrum's Steve McClure.
“People are registering on our Web site to get more information on the condos,” he said. “We expect to start marketing them in the spring.”
Spectrum tentatively plans 88 units priced from the $180,000s to the $280,000s.
The $60 million project would be completed by late 2009 with a goal of achieving Leadership in Energy and Environmental Design certification.
Maryland-based Erickson Communities wanted to be in Matthews so badly that it was willing to pay $3 million toward road improvements, donate park land to the town and make other concessions for its planned continuing-care retirement community.
So far, 80 people have signed a priority list to live in the first phase of Windsor Run, said Tom Senger, director of sales. About 75 percent of those are local, he said.
Windsor Run is expected to grow to more than 1,100 residences over more than five years on 83 acres of the Fincher Farm on
It would be a self-sufficient “town” with transportation, grounds maintenance, housekeeping, security, emergency response and other services for buyers age 62 and older.
Senger said Erickson expects to break ground in October on the estimated $150 million project and open 130 homes a year later.
Thu, 29 May 2008
May 29, 2008
Wed, 28 May 2008
May 27, 2008
Finally, because condominium units are usually people's homes, there is often a higher level of emotional attachment. People generally expect higher quality in their homes than they do in the buildings in which they work. Furthermore, many owners are expecting lower maintenance when they purchase a condominium and are disappointed when they discover otherwise.
The solutions to the condominium litigation problem are not simple and will not happen overnight. Developers, contractors and design professionals will all need to change the way they do business.
And contractors will need to become better educated about the causes of construction defects and ways to avoid them.
Condominium buyers also need to change their practices. Rather than inspecting only the particular unit being purchased, a buyer should consider retaining a qualified professional to inspect the entire building. The buyer should also look into whether the developer is local or instead an out-of-state developer with few ties to the region, whether the developer or any of the developer's principals are purchasing some of the units or otherwise have a long-term interest in the project, and what other projects the developer has built.
Although the condominium litigation boom is likely to continue for some time, the risks can be minimized. Doing so will require careful attention by everyone involved in building.. selling.. and purchasing condominiums.
This article was written by Kenneth F. Childs who is a member of the construction and design practice group at the law firm of Stoel Rives LLP. I thank him for his kind permission in using this article written for The Daily Journal of Commerce,
Tue, 27 May 2008
Lynnsy Logue The Real Estate Lady and Condo CanDo in
THE DAILY JOURNAL OF COMMERCE,
August 16, 2007
The condominium market has grown dramatically in recent years and appears to be
on the verge of exploding. Buyers are getting in line to make offers, and some developers are even holding lotteries to select the people who will be given the first chances to make purchase offers. It's a seller's market.
However, the growth in condominium sales has fueled an almost equally aggressive growth in lawsuits. It seems as if nearly every condominium project in the Northwest has generated a legal claim of some sort, and several projects have resulted in sizable lawsuits.
Insurance industry statistics bear this out. One recent study of insurance statistics for design professionals found that professional fees for condominium projects represented 5 percent of all fees, and claims from the projects associated with those fees represented 20 percent of all claims. This four-to-one ratio of claims dollars to fees has resulted in the insurance industry rating condominium work for design professionals as "highly risky."
Insurance statistics for contractors similarly demonstrate the large number of claims associated with condominium work. Many contractors are prevented by their insurance carriers from performing any condominium work at all.
The same insurance industry study for design professionals also found that the major allegations asserted in condominium lawsuits related to waterproofing, HVAC systems, foundations and roofing.
Waterproofing is by far the most significant item and includes several building components including siding, windows, flashing and decks. Another common allegation in condominium cases is inadequate soundproofing.
The other states with high levels of condominium litigation are
Two environmental factors common to all these states are moisture and wind.
Mon, 26 May 2008
Charlotte Regional Realtor Association
National economic news is only getting worse. The credit, currency
The credit markets, and
All of your previous customers would appreciate an informed review
of the current residential for-sale market, both nationally and
locally, as would your current customers.
As a consequence, I wanted to use this morning to outline the key
points which should be part of your presentation to each of these
groups with the hope of creating a larger market as well as
increasing your closing ratios on those still in the market.
The Existing National Market
Existing home sales turned down in 2006
by 8% versus their 2005 peak of
6,800,000 transactions. The median
price remained constant at $221,600.
2007saw a further 21% downturn to
4,900,000 and a 7% decrease in the
median price to $207,000.
The New National Market
New home sales also turned down in 2006
by 14% versus the 2005 peak of
1,250,000. The median price was down
2% to $237,700.
2007 saw a further downturn of 30% to
750,000. The median price was down
an additional 4% to $232,500.
The Existing Charlotte Market
21% to 37,155 sales. Median pricing
was down 1% to $160,000
versus 2006 of 4% to 35,560 sales.
Median pricing was flat at $160,000.
The New Charlotte Market
2005 with sales up 15% to 24,801 and
median pricing up 13% to $201,950.
in 2007 to 21,704 closings. Pricing,
however, was up another 11% to
Where as the national existing home
market is off 29% from 2005,
is up 16%. National median pricing is
down 7% versus stable locally!
The national new home market is off 44%
versus stable in
median pricing is down 6% versus up
The Charlotte Market 1Q08
Existing home closings were down an additional
8% to 32,603 for the twelve months ending
1Q08 versus 2007. Median pricing was up 1%
to $162,000. There are more than 13 months
of listings based on March closings.
New home closings were also off 8% as well to
19,871 versus 2007. Median pricing was up
1% to $225,000. There are 2.5 months of
completed new homes in inventory.
conservatively sound vis-à-vis sub-prime, AltA,
and investor participation, it is less able to
resist the challenges relating to mortgage
market pull backs.
Builders have pulled back quickly in that lot
closings, permits and house closings were off
50%, 45% and 36% versus 1Q07.
Price Sensitivity 1Q08
Total closings new and existing can be
divided into Quintiles at $130,000,
$170,000, $230,000 and $400,000.
Quintile I is currently operating 18% better
than the market, Quintile II at the
market, Quintile III 6% below the market
and Quintiles IV and V 12% below the
Price Sensitivity > $400,000
Quintile V can be divided into five equal parts at
$425,000, $475,000, $550,000, and
than market, Quintile Vcis 18% worse than
market, Quintile Vdis 9% worse than market
and Quintile Veis 23% better than market and
the strongest portion of the entire market!
Leading New Home Builders
Novare’s Avenue led the market with a
19% share at an average price of
$307,000. Trademark Partners
Trademark ranked second with a 10%
share. No one else captured more than
5% of the market.
Leading New Home Builders
Portrait barely lost its leading position
to Ryan’s 20% share! Portrait held 18%.
Horton, Standard Pacific and Pulte
completed the top five with 5, 4 and 3%
Leading New Home Builders
Morgan held its lead position with an 8%
share. Ryan held its second position
with a 6% share. Pulte and KB both
increased their positions one place
taking third and fourth. Centex dropped
from third to fifth.
Leading New Home Builders
Single Family by Price
Quintile I: < $165,000
Quintile II: $165,000 –209,000
Morgan, Eastwood, KB, Horton, Atreus
Quintile III: $209,000 –268,000
KB, Pulte, NVR, Centex, Morgan
Quintile IV: $268,000 -$375,000
NVR, Pulte, M/I, Centex, Shea
Quintile V: > $375,000
Quintile I: < $139,000
Quintile II: $139,000 -$180,000
Alexander Chase, Hanover Crossing,
Quintile III: $180,000 -$224,000
Quintile IV: $3224,000 -$289,500
Quintile V: > $289,500
Avenue, Trademark, Lakeshore,
Single Family By Price
Quintile I: < $164,500
Meadow Hill, Reid Meadows, Citiside,
Quintile II: $164,500 -$209,000
Quintile III: $209,000 -$268,000
Quintile IV: $268,000 -$375,000
Quintile V: > $375,000
lead with 70% of the new attached market.
strongest captures less than 5%.
The North Growth corridor’s share was up 36%
to 15%. The South Growth corridor was down
30% to 17%. The Southwest Growth corridor
was up 17% to 20%, leading all corridors.
share at 40%. Union,
maintained their second, third and fourth
fifth position with a 50% share increase to 8%.
The South Growth Corridor regained its lead
position on an 18% share increase to 19%.
The Northeast Growth Corridor dropped to
third on a 12% share loss to 16%.
additional velocity shrinkage 2Q08 and slight
shrinkage in the median price for the first
By 3Q08 we expect velocity shrinkage to
mitigate and continue until equilibrium
returns 2Q09 with some further modest price
Growth thereafter will appear in absorption and
pricing but at very modest levels through
All of your past and current customers should be
interested in these observations.
for individual presentations to each as a
means to address their fears going forward.
Knowledge is always a key input to decision
it is the best residential market in the U.S
today! Ask Case-Shiller.
Sat, 24 May 2008
May 24, 2008
Charlotte Uptown Condominiums-For
Fri, 23 May 2008
May 23, 2008
For instance: drive a pick-up truck? Have a boat? Have a dog weighing in at more than a certain weight? Plan to have a room mate to help with expenses? Plan to paint your front door red? Work at night and want black curtains to keep out the daylight? Smoke?
This is Lynnsy Logue The Real Estate Lady and Condo CanDo
Thu, 22 May 2008
May 22, 2008
I am learning as I go.
And of course,
Lynnsy Logue The Real Estate Lady® and Condo CanDo in Charlotte, NC
Wed, 21 May 2008
What’s Up…Condos In Dilworth!
Tue, 20 May 2008
Lynnsy Logue The Real Estate Lady and Condo CanDo in Charlotte, NC
So here I go again, healthy tips...and hey! grass is in the cities, around condos, in common areas. So here goes:
Your lush lawn
Before you stretch out on (or let your kids run barefoot through) that green grass, consider that it may be blanketed with toxic pesticides. “The commonly used insecticides are all chemical cousins of the wartime gas sarin, which was used in the 1995 Tokyo subway attack,” says Philip J. Landrigan, MD, chairman of the Department of Community and Preventive Medicine and professor of pediatrics at the Mount Sinai School of Medicine in New York City.
“And the commonly used herbicides are chemical first cousins of Agent Orange, which was used in Vietnam.” So, that “healthy” lawn has the potential to increase your family’s risks of cancer or neurological conditions such as Parkinson’s disease. That’s partly because lawn-care pesticides “aren’t selective killers,” explains Jennifer Sass, PhD, a senior scientist at the Natural Resources Defense Council (NRDC) in Washington, D.C. — many can have an impact on your health.
There is good news, though: More and more towns are enacting neighbor-notification laws, requiring residents to issue warnings before spraying so people can shut their windows or even clear out with their kids and pets (the health danger lasts for days for the commonly used insecticides and weeks for the herbicides). If your town doesn’t have this law, ask neighbors to let you know when they’re spraying — and what they’re using.
On your own turf, do only integrated pest management (IPM), a gentler, environmentally sensitive way of preventing, monitoring, and controlling pests. Safer ecofriendly and organic lawn sprays and other nonchemical options — from aphid-eating ladybugs to heat (electrocution) for termites — are surprisingly effective. Caveat: You may not have the most manicured lawn on the block, but to keep your family safe you have to learn to live with a few dandelions.
Your child's toy box.
The main threat here is lead-coated toys. In the past two fiscal years, the U.S. Consumer Product Safety Commission (CPSC) has issued 21 recalls of lead-tainted toys, including learning toys and train sets, most of which were made in China (this number doesn’t include lead-related children’s-jewelry recalls).
If you have little ones, consider lead the number-one danger in your home, Landrigan says. In very high doses, lead can cause convulsions and brain damage in young children. But if children are exposed to it in even small amounts, they can have a loss of IQ, a shortening of attention span, and behavioral problems. They’re also more likely to have dyslexia and to drop out of school.
Checking every toy in the house for lead may not help because not all home tests are accurate. Instead, make smart buys. Research toys at www.healthytoys.org before you go shopping. Other ways to protect your kids: Have them wash their hands after playing and before eating, and get them tested for lead.
Mothballs are really dangerous chemicals, the vapors are carcinogenic and are also irritating to the nervous system. In fact, if your child swallows one, it can be fatal. Inhaling mothball vapors overnight doesn’t mean you will get cancer tomorrow, but it increases your long-term risk. So use safer moth-repelling alternatives like dried-lavender and cedar products.
And your work clothes swathed in dry-cleaning bags? They harbor perchloroethylene, the most common dry-cleaning chemical, which causes cancer in lab animals, according to the Environmental Protection Agency (EPA). Heavy exposure to this substance can cause dizziness and confusion, even in adults, so it’s best to minimize your use of dry cleaning. Machine-wash whatever you can on the delicate cycle (not everything labeled “dry-clean only” needs it). Another option: Find a professional cleaner who uses less-toxic solutions, like CO2, or does wet cleaning (a combo of water, biodegradable soap, and steam in special machines).
If you have an item conventionally dry-cleaned, remove it from plastic and air it outside for several hours before hanging it in the closet. This will give the chemicals time to evaporate, reducing the health risk.
Your cat's litter box
Anyone who has changed a litter box is familiar with that cough-inducing dust cloud. It likely contains low levels of crystalline silica, a carcinogen so check the bag or box before you pour it into Fluffy’s litter box. If the warning says to go to the ER if you swallow, it’s safe to assume it’s really toxic. Replace with greener versions made from corn, wheat, alfalfa, cedar, and even pine—all of which work well. You can find natural litters at major pet stores. To give the natural variety an odor-eating boost, mix in a little baking soda. And be sure to keep boxes in ventilated spots such as a screened-in porch.
Your home office
What’s in your home office or cube? Eye and lung irritants from copy-machine toners and fax-machine ink cartridges, in addition to gases from permanent markers, vapors from pesticides, and formaldehyde fumes from particleboard furniture. In the short term, these products—particularly in tightly sealed office buildings — can cause sick-building syndrome, a real illness that’s characterized by symptoms like headache and fatigue. Sick-building syndrome is the result of inadequate ventilation, so if there are no windows in your office, ask a manager to have air exchanges and filters turned on before the workday begins. Your request might fall on deaf ears, but it could also spur change. Why bother? Some of the compounds found in offices are neurotoxic, which means they can cause tingling or numbness and permanent damage to the nervous system over the long term.
At your office, avoid printers and copiers in your immediate work space and take 10-minute walks outside during the day to get fresh air. At home, keep printers and fax machines out of the bedroom, crack windows, and add chemical-removing plants. (See below.)
Plants that help
These three easy-to-find houseplants act as natural air purifiers:
Areca Palm removes xylene (from permanent markers and rubber cement).
Boston fern removes formaldehyde (from fiberboard furniture, glues and adhesives, and permanent-press fabrics).
English ivy removes benzene (from oven cleaners, detergents, furniture polish, and spot removers).
For more information and helpful tips, visit www.health.com
Lynnsy Logue The Real Estate Lady and Condo CanDo in Charlotte, NC
Mon, 19 May 2008
May 19, 2008
The other website is the city-county real estate website. Here you can get a copy of the deed, a picture of the property, the tax bills, the owners, you can play to your hearts content and it is quite easy. Instead of giving you the very long address, just go to Google and enter
Have a good time and if you need help, I am here.
Lynnsy Logue The Real Estate Lady® and Condo CanDo® in
Sat, 17 May 2008
May 17, 2008
Fri, 16 May 2008
May 16, 2008
IN UPSCALE HE TRUSTS
Million-dollar custom condos may boost
Luxury $1-million-plus condos are among the most desirable units on the upscale end of
And with that in mind, a local developer wants to create some of uptown's biggest and most expensive condos yet.
Jim Donnelly plans to buy the former Home Federal Savings and
The concrete and glass building, is a locally designated historic property because of its banking industry significance and Modernist architecture.
Donnelly said he plans to preserve the distinguishing features.
The estimated $28 million project, between
Two condos would be 7,000 square feet each and priced in the $3 million range. Six would be 3,500 square feet each and priced in the $1.5 million range.
This might be a Next Big Thing for a couple of reasons: It could confirm the strength of the city's upper-end condo market, and it could help boost
Both 50-story The Vue in Fourth Ward and 50-story 210 Trade at College and Trade streets are offering $1 million-range penthouses, but some won't be listed for sale until later.
Developer Flaherty & Collins plans to top 210 Trade with a 12,000-square-foot, two-story residence that includes a 2,000-square-foot terrace. The price is yet to be announced.
Churchill Development Group has sold four of seven 3,217-square-foot penthouses at The Vue in the $1 million range, but it hasn't yet priced six larger 3,744- to 4,337-square-foot penthouses.
Just a few years ago condos selling for more than $500,000 were scarce in
Darryl Dewberry of Spectrum Properties, which is converting an office building at
He believes the market for spacious, luxury condos is deeper than it was just two or three years ago. Among the reasons he cites:
+¢ Owners of existing homes are taking advantage of appreciation and selling their residences to buy condos.
+ People arriving from major metropolitan markets sold homes for $1,000 a square foot or higher and are investing here in what they see as "affordable" penthouses.
+ Mortgage rates have remained historically low, encouraging residential real estate investment.
Who are the high-end buyers?
Our experience here has been the buyers are split almost 50-50 between young professionals who have high incomes and retired or semi-retired empty nesters who have lots of equity.
The high-end purchasers have arrived at a place in their lives that they are discriminating -- they know what they want. When a new high-rise comes on the market, they gravitate toward it because they have the money to do it.
That's the type of buyer Donnelly would like to attract to the old
The interior of the building, completed in 1967, has been gutted so buyers will be able to design a custom home in the shell space, he said.
"We won't have any lower-priced units, so we can orient this project completely to our buyers with high-end concierge service, a wine vault and other amenities they expect," he said.
Donnelly said he's working with lenders on financing and plans to close on the property by mid-November. He expects construction to take about a year.
And, he's offering individuals a chance to buy a piece of The Square.
Jim Donnelly moved to
He is a co-founder of the salon at
Donnelly also was a co-founder of IgoUgo.com, a Internet travel site that was acquired in 2005 by Sabre Holdings.
Donnelly bought the building at 221
The experience with that project convinced him to put a contract on the nearby
THE TRUST CONDOS
The previous owner gutted the old
Buyers of the 3,500 and 7,000 square foot units will be able to basically design a custom house inside the floor-to-ceiling glass space.
Donnelly believes owners will design large, open spaces for entertaining and enjoying the views.
Each unit will have at least two terraces, and owners will have access to a rooftop "social plaza" with outdoor seating, entertaining and grilling space.
The building's bank vault will be retained and used for dining and wine storage.
Donnelly said restaurants and retailers consistent with the building's upscale image are being sought for two lower levels of commercial space.
He's working with Clay Elder of ESD Architecture and Interior Design on the conversion and interviewing contractors.
Thu, 15 May 2008
May 15, 2008
Both contractors and vendors are lining up their claims for payment at the courthouse as developer and general contractor Verna & Associates Inc. has begun piling up unpaid bills.
The dream of engineer Pete Verna, The Park has been years in the making, with construction starting on top of an existing four-story parking deck at Third and Caldwell streets more than two years after it was announced. And now, with the tower about 70% complete according to Verna's recent statements, it's unclear when it could be finished.
Key contractors and vendors pulled off the job in recent weeks, and now there is no ongoing work visible on the site.
"The absolutely last thing any contractor wants to do is file a claim, lien or lawsuit," says Phil Campola, Charlotte-based Southern Steel Co. chief financial officer. "Ultimately, I have a responsibility in protecting the company interests, and this is a last-ditch effort."
Southern Steel filed a lawsuit against Verna & Associates in February in Mecklenburg Superior Court demanding payment of $1.13 million as part of an unpaid contract for labor and materials already provided. The company began working with Verna in May 2006 when it signed a $3.3 million contract to provide and install structural steel components for The Park.
"They have not hidden from their responsibility and are willing to communicate with us," Campola says. "Unfortunately, that did not result in anything substantive, and at the end of the day they could not fulfill their financial responsibility even if they wanted to."
Mechanics liens totaling $567,000 have also been filed against Verna & Associates by Mooresville-based Performance Fire Protection, Charlotte-based Schotte 1 Construction Inc. and Building Logistics Inc.
Performance Fire Protection has already installed most of the sprinkler system but stopped work because it had not been paid, says Ed Cook, company president. "But we are optimistic it will work out."
Verna & Associates President Dave Frailey says the company is reviewing its options. "We are working with our attorneys and lenders in regard to this matter and will resolve it," he says. "We are not in any position to comment further."
The Park condo was slated to open this summer. The project's initial stated cost was $42 million. Verna has said that 85 of the tower's 107 condos had been sold.
Allen Tate Realtors is handling unit sales. Spokeswoman Karen Murray says the company can't comment on how buyers who have already signed contracts would be impacted by a completion delay.
Condos at The Park range in price from $400 to $450 per square foot.
The latest construction update on the company's Web site is from Dec. 24. The last day Southern Steel delivered materials to the site was Nov. 19.
"Our best chance to recover our money is if the project can go to conclusion," says Campola. "But if for some reason the project can't be completed, our chances go down considerably. But we are holding out hope."
Wed, 14 May 2008
May 14, 2008