CAMBRIDGE MASSACHUSETTS BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Construction Mezzanine Financing

March 29, 2017 — Tim Davis & Steven Coury - White and Williams LLP
Construction mezzanine lending is on the rise and more development deals are getting done with a capital stack that includes mezzanine debt in addition to the traditional components of sponsor equity and senior mortgage debt. Below are important issues and concepts to bear in mind when structuring the financing of a construction project that includes a mezzanine debt component. Funding Sequence Funding Sequence When will the proceeds of the mezzanine loan be advanced? In some instances, the mezzanine loan proceeds will be advanced only after all of the borrower’s equity has been contributed to the construction of the project. In other instances, the borrower’s equity and the mezzanine loan proceeds go in either pari passu or simultaneously at another ratio. If the equity is not entirely contributed in advance, the mezzanine lender may require that the uncontributed equity be held by the mezzanine lender or held in a pledged account. The mezzanine lender may also further mitigate the risk of non-funding of the equity by requiring an equity funding guaranty (as discussed below). Additionally, when will the mezzanine loan proceeds be advanced in relation to the senior mortgage loan proceeds? Will the entire mezzanine loan be advanced prior to any senior mortgage loan advance or will they be advanced pari passu? Depending on the business deal, the mezzanine loan agreement will need to reflect how and when the equity, the mezzanine debt, and the mortgage debt will be advanced. Reprinted courtesy of Tim Davis, White and Williams LLP and Steven Coury, White and Williams LLP Mr. Davis may be contacted at davist@whiteandwilliams.com Mr. Coury may be contacted at courys@whiteandwilliams.com Read the court decision
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Happenings in and around the 2016 West Coast Casualty Seminar

April 20, 2016 — Beverley BevenFlorez-CDJ STAFF
The West Coast Casualty Construction Defect Seminar returns to the Disneyland Hotel next month (May 12th-13th) and the Construction Defect Journal has compiled a list of concerts, sporting events, and museum exhibitions taking place in and around Anaheim. Whether you like to spend your personal time checking out a new band, or watching your favorite Angel slide into home, or perusing the local art museum, there is something to spark your interest. CONCERT VENUES THE HOUSE OF BLUES IN ANAHEIM Located in Downtown Disney, The House of Blues in Anaheim is a short walk from the convention hall.

Breakthru Entertainment Presents… Tuesday, May 10th Starting at 630pm For More Information...

Totally 80’s Live Friday, May 13th at 7pm For More Information...

THE GROVE OF ANAHEIM Near Angel Stadium, the Grove of Anaheim is just a few miles away from the seminar location.

Luca Turilli’s Rhapsody & Primal Fear Thursday, May 12th Doors Open at 7pm For More Information and to Purchase Tickets...

SPORTING EVENTS ANGEL’S STADIUM – BASEBALL Take care of your popcorn-and-peanuts-and-cracker-jacks fix while cheering for the Angel’s—conveniently just a few miles from the Disneyland Hotel.

Angels v. Cardinals Tuesday, May 10th at 7:05pm For More Information and to Purchase Tickets...

Angels v. Cardinals Wednesday, May 11th at 7:05pm For More Information and to Purchase Tickets...

FAIRS AND FESTIVALS Art Crawl Experience Every quarter, Downtown Anaheim hosts an art walk that includes live entertainment, local artists, as well as food and craft vendors.

Saturday, May 14 from 6pm to 10pm For More Information...

MUSEUM EXHIBITIONS MUZEO This local museum and cultural center is a short drive from the convention hall.

Exhibition: Master Craft: The Art of Woodworking March 12th, 2016-May 21st, 2016 Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 5 pm For More Information...

Exhibition: “A Touch of Africa in Anaheim” by Da African Village: the Art of Senegal and neighboring countries April 30th, 2016 – May 30th, 2016 Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 5 pm For More Information...

BOWERS MUSEUM (Santa Ana) Voted “The Best Museum in Orange County” by OC Register Readers for 16 consecutive years, this arts and cultural center is worth the fifteen minute drive.

Exhibition: Once Upon a Time April 16th, 2016-August 28th, 2016 Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm For More Information...

Exhibition: Mummies of the World March 19th, 2016-September 5th, 2015 Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm For More Information...

Exhibition: Mystery from the Tomb: The Face Beneath the Mask December 8th, 2015-TBD Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm For More Information...

Exhibition: Popul Vuh: Watercolors of Diego Rivera December 12th, 2015 – May 29th, 2016 Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm For More Information...

Lecture: Popul Vuh: Art in Context (6-Part series): The Rise of Modernism in Europe: Realist Shifts in the Nineteenth Century (Part 3) Wednesday, May 11 at 11am-12pm For More Information...

Lecture: ARCE Weekend Lecture: Sudanese Antiquity: New Insights from the ‘Bio-archaeology of Nubia Expedition (BONE)’ Saturday, May 14 at 130pm-3pm For More Information...

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Top 10 Insurance Cases of 2023

January 29, 2024 — Jeffrey J. Vita & Michael A. Amato - Saxe Doernberger & Vita, P.C.
Federal and state courts tackled many interesting insurance-related issues this past year. Perhaps no state had a more impactful year than Illinois, which held that construction defects could constitute an occurrence, that a LEG 3 “extension” attempting to preclude coverage for faulty or defective workmanship was ambiguous as a matter of law (applying Illinois law), and that ostensibly prohibitive “catch-all exclusions” can render policy language ambiguous in favor of coverage. Other courts wrestled with procedural inquiries, such as the legal duty of a broker in providing notice to an insurer or the ability of an insured to recoup its attorneys’ fees in pursuing a coverage action against its insurer. These are merely a sampling of the impactful insurance decisions rendered in 2023. Each year, we endeavor to identify cases of general interest to our clients and the broader insurance community. Specifically, we attempt to identify trends, cases of first impression, cases illustrating conflicts among the courts, or cases dealing with emerging issues. We now proudly unveil the top 10 most influential coverage decisions of 2023 and look ahead to a few cases to watch as 2024 unfolds. Reprinted courtesy of Jeffrey J. Vita, Saxe Doernberger & Vita, P.C. and Michael A. Amato, Saxe Doernberger & Vita, P.C. Mr. Vita may be contacted at JVita@sdvlaw.com Mr. Amato may be contacted at MAmato@sdvlaw.com Read the court decision
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Used French Fry Oil Fuels London Offices as Buildings Go Green

December 10, 2015 — Siobhan Wagner – Bloomberg
PricewaterhouseCoopers LLP’s office above Charing Cross railway station in London is cooled, heated and fueled by an unlikely source: used cooking oil. The system, which helped the property become the greenest building in the U.K. capital, uses oil refined less than two miles away at London Bridge. It also helps prevent an invisible problem: “fatbergs” formed when oils dumped in drains and pipes congeal with baby wipes and diapers and block the city’s sewers. “We’re using London’s waste to fuel a London office building,” said Jon Barnes, head of building at PwC. The system contributed toward a one-third reduction in electricity costs after a two-year refurbishment of the One Embankment Place office building that finished last year. Read the court decision
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Reprinted courtesy of Siobhan Wagner, Bloomberg

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Construction Defect Claim Survives Insurer's Summary Judgment Motion Due to Lack of Evidence

December 23, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The court denied the insurer's motion for summary judgment on a construction defect claim due to lack of evidence. Statesboro Erectors, Inc. v. Owners Ins. Co., 2024 U.S. Dist. LEXIS 176555 (N.D. Ga. Sept. 30, 2024). Griffco was the general contractor for a construction project. King Steel was hired as the "steel fabricator." King Steel subcontracted with Statesboro Erectors to complete certain construction work at the site. Statesboro agreed to the complete, proper and safe erection of the structural steel. A steel collapse occurred at the construction site. According to King Steel, the collapse "appeared to have occurred due to lack of temporary cables or bracing for steel columns." Because of the collapse, King Steel was required to supply additional materials to replace the structural damage caused by the collapse. 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

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Federal Regulatory Recap: A Summary of Recent Rulemaking Actions Taken or Proposed Affecting the Energy Industry

December 16, 2023 — Anthony B. Cavender - Gravel2Gavel Construction & Real Estate Law Blog
It is clear that these have been busy months for federal environmental regulators, especially those working at EPA, the federal departments and the Council on Environmental Quality. Even the Department of Agriculture has found itself coping with greenhouse gases (GHG) issues in its administration of the laws applicable to agriculture and the national forests. The ambitious scope of the current “all of government” approach may be discerned after learning how many disparate federal agencies are employed in implementing this policy. So many actions have been proposed or completed that some state officials are experiencing “comment fatigue” because they are being overwhelmed by the scope, size, and complexity of these federal initiatives. The Environmental Protection Agency is, of course, at the forefront of these actions and activities, as described below. 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

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Is Drone Aerial Photography Really Best for Your Construction Projects?

June 09, 2016 — Sherry and Brett Eklund – Construction Informer Blog
It’s no secret that aerial photographs play an essential role in any construction project. They help with the planning process, assist builders in documenting the progress of a project, provide an opportunity to spot potential issues that would otherwise be missed, capture great marketing images, and more. It used to be the only way to get sky-view pictures for construction purposes was to hire an aerial photography team with a piloted aircraft. However, a new player has entered the scene – the drone. And whether you choose to hire a professional aerial photography team using a fixed-wing airplane, helicopter, or drone, or choose to go the DIY route, all have a place in the world of construction. But, using drones is complicated and ever evolving, so we’d like to touch on a few key points to help you understand drone aerial photography. Read the court decision
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Reprinted courtesy of Sherry and Brett Eklund, Desert View Aerial Photography
Ms. and Mr. Eklund may be contacted at their website http://dvaerialphoto.com/contact/

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Recent Amendments and Caselaw Affecting the Construction Industry in Texas

April 19, 2022 — Frederick H. Wen - Gordon Rees Scully Mansukhani, LLP
Here are some recent Texas legislative amendments and Texas Supreme Court cases from the past year concerning the construction industry in Texas. 1) Recent Legislative Amendments Concerning the Construction Industry: a) The Texas Legislature throws a “Spear” in the Lonergan Doctrine to reduce general/subcontractor liability for owner-provided plans and specs: Forty-nine out of the fifty states follow the Spearin Doctrine under which owners warrant the accuracy and sufficiency of owner-provided plans and specs in construction contracts. On the other hand, for over a century, Texas has followed the Lonergan Doctrine under which, absent contractual language to the contrary, a general contractor/subcontractor, instead of the owner, bears the risk of deficiencies in owner-provided design documents, once they started construction. Texas Senate Bill 219, which went into effect on September 1, 2021, finally changed that and brought Texas in line with the rest of the country, with a few exceptions. Read the court decision
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Reprinted courtesy of Frederick H. Wen, Gordon Rees Scully Mansukhani, LLP
Mr. Wen may be contacted at fhwen@grsm.com

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