Cambridge Massachusetts Building Expert Directory

Real Estate & Construction News Round-Up 04/06/22

April 11, 2022 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
A growing proptech startup aims to pre-emptively identify needed home repairs, 3D-printed homes could become a workable solution to the housing shortage, and more.

Concerns about a housing-market crash are growing as the Fed begins to hike interest rates, leaving industry experts to speculate on what’s next for the U.S. housing bubble. (William Edwards, Insider)
Real-estate sales in Manhattan topped $7 billion in the first quarter of 2022, with the average price of apartments jumping 19% over the previous year. (Robert Frank, CNBC)
Proptech startup DwellWell claims to have produced the first “check engine light” that can pre-emptively diagnose needed home repairs. (T.P. Yeatts, The Real Deal)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

Consumer Prices Rising as U.S. Housing Stabilizes: Economy

June 18, 2014 — Jeanna Smialek and Shobhana Chandra – Bloomberg
Consumer prices rose in May by the most in more than a year, showing U.S. companies are gaining some pricing power as the economy strengthens, and the homebuilding industry stabilized after a first-quarter swoon. The cost of living increased 0.4 percent, the biggest advance since February 2013, according to Labor Department data released today in Washington. Other figures showed builders broke ground on 1 million homes at an annualized rate after 1.07 million in April, the best two-month reading since late 2013. The reports will be welcome news to Federal Reserve policy makers meeting today and tomorrow as the pickup in inflation lessens the threat of a prolonged drop in prices that hurts economic growth. Central bankers are projected to continue scaling back their bond-buying program, while an increase in interest rates is delayed until well into 2015. Ms. Smialek may be contacted at jsmialek1@bloomberg.net; Ms. Chandra may be contacted at schandra1@bloomberg.net Read the court decision
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Reprinted courtesy of Jeanna Smialek and Shobhana Chandra, Bloomberg

New LG Headquarters Project Challenged because of Height

January 24, 2014 — Beverley BevenFlorez-CDJ STAFF
The new LG headquarters project in Englewood Cliffs, New Jersey, has been challenged by various environmental groups because of what the groups see “as a blight on the Hudson River landscape,” according to the New York Times. The problem isn’t the building itself, but the proposed height of the tower: LG “plans to construct eight stories, 143 feet total, in an area previously zoned for a maximum of 35 feet. The height restriction was first lifted through a variance, which has been challenged in State Superior Court in one of two lawsuits filed to protect the view. Subsequently the land was rezoned to allow for a taller building.” Robert F. Kennedy Jr., the Natural Resources Defense Council, and a New Jersey conservation group are continuing to fight against the removal of the height restriction. “This is like if somebody tried to build a high-rise next to Yellowstone,” Mr. Kennedy said in an interview with the New York Times. “It’s a national issue.” However, there is also local support for this project, “which LG has said will be environmentally sensitive and produce jobs,” reported the New York Times. Read the court decision
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Drought Dogs Developers in California's Soaring Housing Market

September 17, 2015 — John Gittelsohn – Bloomberg
California’s already tight housing market is facing another long-term complication: drought. The state’s dry spell is creating challenges for developers at a time when home prices are soaring because of limited inventory. The metropolitan areas of San Jose, San Francisco and San Diego had the nation’s biggest gap between the number of new jobs and residential building permits from 2012 to 2014, according to a report Wednesday by the National Association of Realtors. Now the drought, into its fourth year, stands to curb affordability further. “It’s contributing to price appreciation by restricting supply,” said Mark Boud, founder of Real Estate Economics, a housing-consulting firm based in Irvine, California. Read the court decision
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Reprinted courtesy of John Gittelsohn, Bloomberg

U.S. Navy Sailors Sue Tokyo Utility Company Over Radiation Poisoning

April 09, 2014 — Beverley BevenFlorez-CDJ STAFF
In a one billion dollar lawsuit, U.S. Navy sailors contend that they “suffered massive doses of radiation” from the Fukushima Dia-ichi nuclear power plant in Toyko, Japan while stationed on the USS Ronald Reagan, reported the Orange County Register. A tsunami (caused by a 9.0 earthquake) flooded the plant, “cutting off electrical power and disabling backup generators.” The USS Reagan was sent to provide aid, but the plant then “blew up” before they arrived. “Sailors on the flight deck said they felt a warm gust of air, followed by a sudden snow storm: radioactive steam,” according to the Orange County Register. “Freezing in the cold Pacific air. Blanketing their ship.” However, the Orange County Register posed the question, “Could the Reagan – one of the most advanced nuclear aircraft carriers in the U.S. fleet – really not know that it was being showered with massive doses of radiation?” TEPCO, the company being sued by the sailors, answered that it’s “wholly implausible.” Read the court decision
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GE to Repay $87 Million for Scaled-Back Headquarters Plan

February 27, 2019 — Rick Clough - Bloomberg
General Electric Co. will reimburse the state of Massachusetts for funds used to develop the manufacturer’s future headquarters, a project that is now being scaled back under Chief Executive Officer Larry Culp. GE and the state will jointly sell the property in Boston’s Fort Point neighborhood where the company will make its future home, according to an agreement revealed Thursday. GE still plans to move into the campus later this year -- as a tenant rather than owner -- but it’s scrapping plans to build an adjacent 12-story tower. Read the court decision
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Reprinted courtesy of Rick Clough, Bloomberg

On to Year Thirteen for Blog

January 13, 2020 — Tred R. Eyerly - Insurance Law Hawaii
Insurance Law Hawaii hits twelve years of existence this week, 1347 posts later. We started in December 2007. We continue in order to keep up on developing issues in insurance law. We strive to keep readers abreast of new developments in cases from Hawaii and across the country. Other Damon Key blogs to check out are inversecomdemnation.com [here] authored by Robert Thomas, Mark Murakami's oceanlawhawaii.com [here] and hawaiiconstructionlaw.com [here] by Anna Oshiro. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Re-Thinking the One-Sided Contract: Considerations for a More Balanced Approach to Contracting

November 21, 2022 — William Underwood - ConsensusDocs
Construction projects can be inherently risky – often there are multiple parties (owners, architects, engineers, contractors, subcontractors, consultants, vendors, government officials, sureties, insurers, and many others), unforeseen site conditions, tangled supply chains, acts of God, inadequate funding, site safety matters, and a whole host of other issues that can make even a relatively straight-forward job complex. Parties necessarily want to minimize their individual risk to the greatest extent possible on construction projects. And to do so, they may seek to push as much risk as possible onto the other side through one-sided terms in their construction contract. But is an entirely one-sided contract the best way to mitigate risk? In many instances, the answer is no. Every contract is different – and many considerations should be taken into account when drafting and negotiating contracts – but entirely one-sided can often have unintended consequences and create risks that otherwise might not exist in a contract that allocates and balances risk more equally across the parties. This article reviews several considerations (although it is not an exhaustive list) for avoiding one-sided contracts, including some of the benefits created through the use of equitable contract clauses. And for context, some examples of one-sided contract clauses include no relief for other contractor/owner-caused delays; no relief for force majeure events; no relief for unforeseen site conditions; and broad form indemnification clauses (i.e. one party assumes the obligation to pay for another party’s liability even if the other party is solely at fault). Again, this is a non-exhaustive list, and many other standard contract provisions can be altered to become one-sided. But the general premise of a “one-sided contract clause” is that it shifts all risk, obligation, and liability to one party. And this article examines why that might not be the best idea. Read the court decision
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Reprinted courtesy of William Underwood, Jones Walker LLP
Mr. Underwood may be contacted at wunderwood@joneswalker.com

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