Seattle Washington Building Expert Directory

A Discussion on Home Affordability

April 08, 2014 — Beverley BevenFlorez-CDJ STAFF
Krishna Rao, in the online publication Zillow Real Estate Research, analyzed statistics on home price affordability across the United States. Rao found that “[a]cross the United States, strong home price affordability has been recently eroded by a combination of rising home prices and mortgage rates. Some areas, particularly on the West Coast, have begun to look unaffordable compared to their historic norms, forcing some household to look to the periphery of urban areas in search of affordable homes.” However, John McManus in Big Builder said a more helpful term when looking at the new home market would be “relative affordability (which inheres both payment power and access to credit).” “Little attention has been given to the fact that many builders' mix--first- and second-time move-up and higher end homes.” McManus wrote that this “has skewed pricing conversations. When the buyer is ‘discretionary,’ has access to cash and no impediment of another property to sell in order to trigger a purchase--then both base price and price elasticity can be greater.” Read the full story, Zillow... Read the full story, Big Builder... Read the court decision
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Possible Real Estate and Use and Occupancy Tax Relief for Philadelphia Commercial and Industrial Property Owners

September 07, 2017 — James Vandermark & Kevin Koscil - White and Williams LLP
A recent decision by the Pennsylvania Supreme Court puts in jeopardy all of the recent real estate tax reassessments completed by the City of Philadelphia for tax year 2018 as well as appeals initiated by the School District of Philadelphia in 2016 for tax year 2017. The City’s current practice is to certify the market values of any reassessed properties to the Board of Revision of Taxes on March 31st prior to the year that the assessment would be implemented. The City then relies on those certified values to determine the applicable tax rate when it creates its budget each summer. Accordingly, the Office of Property Assessment (OPA) submitted the values applicable for the 2018 tax year to the BRT on March 31, 2017. The City set the applicable tax rates during its summer budget sessions. However, unlike prior years, this year the City only reassessed commercial and industrial properties and excluded residential properties. The result was reported to be an increase of over $118 million in new real estate taxes. Shortly after the City finished its budget, the Pennsylvania Supreme Court decided the case of Valley Forge Towers Apartments N, LP, et al. v. Upper Merion Area School District. The case involved a challenge by property owners to the Upper Merion School District’s practice of only appealing assessments on commercial properties. As with the recent reassessments by the City, Upper Merion was only seeking to increase the real estate tax assessments for high value commercial properties. The Pennsylvania Supreme Court found that the school district’s practice violated the Uniformity Clause in the Pennsylvania Constitution. The court reaffirmed the principle that real estate within a jurisdiction should be treated as a single class and that tax authorities are not permitted to discriminate against commercial and industrial properties in favor of residential properties for purposes of real estate taxation. Reprinted courtesy of James Vandermark, White and Williams LLP and Kevin Koscil, White and Williams LLP Mr. Vandermark may be contacted at vandermarkj@whiteandwilliams.com Mr. Koscil may be contacted at koscilk@whiteandwilliams.com Read the court decision
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Brookfield to Start Manhattan Tower After Signing Skadden

April 15, 2015 — David M. Levitt – Bloomberg
Brookfield Property Partners LP said it will start building its 1 Manhattan West office tower, after signing a lease with the law firm Skadden, Arps, Slate, Meagher & Flom LLP for about a quarter of the skyscraper. The agreement, announced Tuesday in a statement by New York-based Brookfield, jump-starts office construction at the 7 million-square-foot (650,000-square-meter) Manhattan West project, part of an effort to draw the Midtown business district west toward toward the Hudson River. It’s another step in the plan to remake the once-industrial Hudson Yards area into a neighborhood for housing and commerce, with office tenants including Coach Inc. and Time Warner Inc. and stores such as the city’s first Neiman Marcus. The Skadden law firm agreed to a 20-year lease for 550,000 square feet on floors 28 to 43 of the 67-story tower. Read the court decision
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Reprinted courtesy of David M. Levitt, Bloomberg

Where Breach of Contract and Tortious Interference Collide

July 18, 2022 — Christopher G. Hill - Construction Law Musings
Claims for breach of contract are numerous in the construction law world. Without these claims we construction attorneys would have a hard time keeping the doors open. A 2021 case examined a different sort of claim that could arise (though, “spoiler alert” did not in this case) during the course of a construction project. That type of claim is one for tortious interference with business expectancy. In Clark Nexsen, Inc. et. al v. Rebkee, the U. S. District Court for the Eastern District of Virginia gave a great explanation of the law of this type of claim in analyzing the following basic facts: In 2018, Clark Nexsen, Inc. (“Clark”) and MEB General Contractors, Inc. (“MEB”) responded to Henrico County’s (“Henrico”) Request for Proposals (“RFP”) for the design and construction of a sport and convocation center (the “Project”). Henrico initially shortlisted Clark and MEB as a “design-build” team for the Project, but later restarted the search, issuing a second RFP. Clark and MEB submitted a second “design-build” proposal, but Henrico selected Rebkee Co. (“Rebkee”) for certain development aspects of the Project. MEB also submitted proposals to Rebkee, and Rebkee selected MEB as the design-builder for the Project. MEB, at Rebkee’s request, solicited proposals from three design firms and ultimately selected Clark as its design partner. From December 2019 to May 2020, Clark and MEB served as the design-build team to assist Rebkee in developing the Project. In connection therewith, Clark developed proprietary designs, technical drawings, and, with MEB, several cost estimates. In February 2020, MEB submitted a $294,334.50 Pay Application to Rebkee for engineering, design, and Project development work. Rebkee never paid MEB. Henrico paid MEB $50,000.00 as partial payment for MEB’s and Clark’s work. MEB then learned that Rebkee was using Clark’s drawings to solicit design and construction proposals from other companies. On July 23, 2020, Rebkee told MEB that Henrico directed it to cancel the design-build arrangement with MEB and Clark and pursue a different planning method. MEB and Clark sued and Rebkee for, among other claims, tortious interference with a business expectancy. Rebkee moved to dismiss the tortious interference claim. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Nashville Stadium Bond Deal Tests Future of Spectator Sports

December 14, 2020 — Amanda Albright & Danielle Moran - Bloomberg
America’s country-music capital is making a bet on the world’s most popular sport. A Nashville, Tennessee agency is selling $225 million of bonds to finance the construction of a 30,000-seat Major League Soccer stadium in Music City, anticipating it could be a boon once spectator sports emerge from the pandemic. Local officials have faith that it will: the Metropolitan Government of Nashville and Davidson County agreed to step in if revenue from the stadium isn’t enough to cover the debt payments, insulating bondholders from risk. Reprinted courtesy of Amanda Albright, Bloomberg and Danielle Moran, Bloomberg Read the full story... Read the court decision
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Cumulative Impact Claims and Definition by Certain Boards

June 21, 2024 — David Adelstein - Florida Construction Legal Updates
What is a cumulative impact claim? This is commonly referred to as the unforeseeable ripple effect of changes, i.e., the death by a thousand cuts. Cumulative impact claims refer to a disruption on productivity based on the cumulative impact of changes and their impact on unchanged work. Cumulative impact claims are difficult claims to prove, particularly based on the causation standpoint (and argument they could be released based on change order language). If pursuing or considering a cumulative impact claim, you will need to work with a consultant(s) and lawyer that understand the dynamic of these claims to best maximize your arguments and recovery from a causation and damages standpoint. Cumulative impact damages are real. They occur. But they are not damages you can just throw out there or use loosely and expect to develop traction on compensation. Below is how cumulative impact claims are defined by certain Boards of Contract Appeals. The definitions are important. In Appeal of Centex Bateson Construction, Co., Inc., 9901 BCA P 30153, VABCA 4613 (VABCA 1998), the Board explained:

Direct impact, as the immediate and direct effect of a change on unchanged work, is considered foreseeable.

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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

Construction Employment Rose in 38 States from 2013 to 2014

March 19, 2014 — Beverley BevenFlorez-CDJ STAFF
The Associated General Contractors of America (AGC) reported that 38 states experienced construction job growth from January 2013 to January 2014, and 27 states showed gains from December 2013 to January 2014. AGC stated that “the fact so many states added construction jobs for the year and month despite harsh winter conditions in many parts of the country is a sign that demand appears to be recovering.” Kansas ranked first in the “12-month gain or loss” category with a 10.7% gain. Wyoming came in last with a -5.9% over a 12-month period. However, if examining a one-month period (between December 2013 and January 2014), Idaho showed the highest growth with a 5.8% gain, while Vermont was ranked 51 at -5.5%. Read the full story, Article... Read the full story, Rankings... Read the court decision
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A Court-Side Seat: Coal-Fired Limitations, the Search for a Venue Climate Change and New Agency Rules that May or May Not Stick Around

February 15, 2021 — Anthony B. Cavender - Gravel2Gavel
This is a brief review of recent significant environmental and administrative law rulings and developments. With the change in presidential administrations, the fate of at least some of the newly promulgated rules is uncertain. THE U.S. SUPREME COURT BP PLC v. City and County of Baltimore On January 19, 2021, the Court heard oral argument in BP PLC v. City and County of Baltimore. The respondents filed a Greenhous Gas Climate Change lawsuit in state court, alleging that BP, like other energy companies, is liable for significant damage caused by the sale and promotion of petroleum products while knowing that the use of these products and the resulting release of greenhouse gases damages the environment and public property. Several similar lawsuits have been filed in state courts, pleading common law violations as well as trespass and nuisance law violations The energy companies have tried, unsuccessfully to date, to remove these cases to federal court. The petitioners argue that the federal removal statutes allow the federal courts of appeal to review the lower court’s remand, thus opening the possibility that some of the issues presented in these cases can be tried in federal court, presumably a friendlier forum. A decision on this procedural issue should be rendered in a few months. Read the court decision
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Reprinted courtesy of Anthony B. Cavender, Pillsbury
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

SEATTLE WASHINGTON BUILDING EXPERT DIRECTORY AND CAPABILITIES