Your Construction Defect Team of Experts: Part 2

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After my last post, many people approached me for referrals to defect attorneys, forensic architects, and contractors that I've worked with and whom I could recommend (as well as names of several competitive project management firms). As I always say, "you're only as good as your vendors," and I rarely give bad vendors a second chance, so this list is short. But hopefully, it will prove helpful to those of you facing construction defect suits and looming defect reconstruction projects.

If, after reading this you have further questions or need assistance selecting vendors for an upcoming defect suit or reconstruction project, please feel free to contact me. I am always happy to provide guidance and assist clients with vendor selection, and I welcome your questions, defect-related and otherwise. I can be reached toll free at 1-877-I-BEAM-SF (1-877-423-2673) or via email at allison@ibeamsf.com.

Cheers,






ATTORNEY / LAW FIRMS:

Berding & Weil - The firm specializes in construction defect litigation, condo law, and commercial real estate and business law. Tyler Berding writes passionately about the issues affecting community associations and the industry - check out his blog: Condo Issues

Bickel & Associates - Brandon Bickel is the de facto condo law expert in California. He writes The Condominium Bluebook for California (2009 Edition) with Andy Sirkin, THE Tenants in Common (TIC) expert.

Chapman & Intrieri - I've worked with John Chapman significantly. He knows his stuff and is an excellent construction defect litigator and condo law expert. He and his team have successful settled every case I've worked on with him - both as a community association property manager, and defect reconstruction project manager.


FORENSIC ARCHITECTS:

CERA Architecture Group - Principal Jim Moore is my go-to forensic architect. I have worked with Jim on numerous construction defect cases, from initial defect investigations with him as the forensic expert, to reconstructions where he was the project architect. I find Jim extremely easy to work with, he knows his stuff, and he specializes in developing cost-effective repair protocols - which is a GREAT asset for smaller community associations. Pleasant Hill, CA Office: (925) 933-7960

CMA Consulting - "Omar Hindiyeh is regarded as one of the leading consultants in construction defect litigation representing common interest developments. He is a seasoned forensic construction expert, has experience on over 200 investigation projects, and has been declared expert witness on over 200 construction defect litigation cases with over 350 days of testimony." I worked with Omar briefly on a small construction defect case for a 10 unit HOA in San Francisco, but in that short time I found him to be professional, easy going, and very easy to work with. I am happy to refer him to clients. Livermore, CA Office: 925-456-8000

Ferrari Moe - "Nadia Anis has many years of experience in architectural diagnostics with an emphasis on sealants and coatings. Nadia has worked in the construction industry as an estimator and project manager. She also has a background in rehabilitation of historic building facades. Nadia is a licensed architect in California." I have worked with Nadia on several construction defect cases in San Francisco, one for a 27 unit HOA and another for a 33 unit HOA. Nadia is extremely professional and competent. She doesn't sugar coat anything which makes her an excellent expert for defect inspections. San Rafael, CA Office: 415-458-3511


REPAIR / RECONSTRUCTION CONTRACTORS:

Dan Daly Construction - Dan Daly is a salty, old school Irish contractor. You can't help but like him and his shoot from the hip commentaries. But like him or not, his crews are professional and his work excellent and cost-conscious. Dan has always been one of my preferred vendors, but he's currently my all-time favorite. HIGHLY RECOMMENDED. San Francisco Office: (415) 760-8592. DalyContractor@yahoo.com

Draeger Construction - I love working with Draeger's San Francisco and East Bay teams. Senior Site Supervisor Todd Schulze (now working out of Marin) is always a real joy to work with; as well as painting division superintendent Martin Sepulveda and superintendent Victor Ininguez; estimators Henry Baca and Carlo Baldachinno; Vice President Bill Mann; and owner Jeff Draeger. I've worked with them on numerous small projects under $15K and also ib $100K+ plus projects. They are always professional and do great work. San Francisco Office: (415) 292-9992

Saarman Construction - Saarman has a fantastic team of dedicated professionals, from estimator Justo Tapia, site superintendant John Decuyper and senior site superintendant Ray Serena, to Vice Presidents Mike Lunny and Anthony Mills. Nice guys all, and they are excellent at what they do. I had a great experience working with them on a $3.5MM defect reconstruction (siding and concrete waterproofing). San Francisco Office: (415) 749-2700


HOMEOWNERS REPRESENTATIVE / ADVOCATE
or PROJECT MANAGER

I-Beam Management Associates - Specializing in Reconstruction Management, Project Management of capital repairs and improvements, Owners Advocacy, Special Assessments, Budgets, Project Scheduling, and Board and Membership meetings for the community association industry, etc. - from condo management companies and Homeowners Association Boards, to the AEC Industry professionals which serve them. San Francisco Office/Toll Free: 1-877-I-BEAM-SF (1-877-423-2673)

I.W. Bison - Reconstruction Management, Owners Advocate, Special Assessments, Budgets, Project Scheduling. Livermore, CA Office: 925-456-3600

F.L. Arms & Associates - Construction Management Specialists. Oakland, CA Office (toll free): 888-598-8383

Your Construction Defect Team of Experts

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The potential to face construction defects or potential defects at yours or your client's community associations, is no longer an "if" but a "when" - so putting together the right team of experts may be the most critical decision you and/or your clients will make. Below are some tips to follow when putting together your Construction Defects Team.

If you have any questions about this post, or for additional information, I can be reached toll free at 1-877-I-BEAM-SF (1-877-423-2673) or via email at allison@ibeamsf.com.

Cheers,





ATTORNEY/LAW FIRM - The most critical professional you will need to get on your team is a good - no, a great - condo law attorney, preferably a successful settlement negotiator and litigator. You definitely don't want to hire someone inexperienced in these areas, or someone who comes cheap. Good condo law attorneys and law firms can offer billing at an hourly rate, on a contingency basis (you pay a percentage of the settlement IF they win your case), or some form of blended rate, which is a combination of hourly and contingency. Every client and HOA is different so don't feel forced to choose one rate structure over another if it doesn't work for your situation. Ask LOTS of questions, find out about success rates for settlements (you don't want to go to trial if you absolutely have to), ask to speak to former and current clients (some will be willing to tell you about their experiences), and make sure you feel comfortable before you hire anyone.

FORENSIC ARCHITECT - A forensic architect is the next critical expert to add to your team. They lead the inspections and destructive testing of defects and damages, recommend temporary and permanent repair, guide repairs, observe and extrapolate causes and provide their professional opinions to form your legal case against your developer. Your attorney may want to bring in their preferred forensic architect or forensic team, but before you make any decisions on this ask your attorney for a list of architects and get (and call!) references first. The architect selected will be contracted by the client (you or your HOA), so you need to have confidence in their abilities, availability, costs, results, etc.

Once you settle or win your case, you may need to hire an architect to prepare scope documents, or a project manual and drawings, and to provide contract administration and/or project management. There may be a value-add or economies-of-scale when hiring the same architect who handled your forensics, but I caution you - from experience - to evaluate whether this expert is so tied to the defect case that they don't have the ability to start fresh on the reconstruction (and especially if the settlement wasn't low or owners are faced with a special assessment for repairs).

RECONSTRUCTION CONTRACTOR - Next, you will need to source a qualified contractor who has experience in destructive testing and reconstruction of construction defects. As with the architect, your attorney may wish to bring in a reconstruction company or a forensics/reconstruction team that they've had success with. Make sure you ask questions, and get and call references so you have confidence in their recommendations. Since your attorney is best able to guide you here, I do NOT recommend you try to bring in your own experts (your cousin or neighbor's construction firm, etc.), as this may tend to undermine your case. You definitely need to source a contractor that has significant experience handling destructive testing and defect repairs and reconstructions.

HOMEOWNERS REPRESENTATIVE/ADVOCATE or PROJECT MANAGER - Lastly, you will want to seriously evaluate the benefit of hiring a solid homeowners representative or advocate to coordinate and oversee inspections, protect the interests of the Association and its members, and work closely with the property manager or management firm, defect attorney, and forensic team to prevent unnecessary delays and ensure your case is successful. A good representative/advocate should also be able to assist in developing realistic project repair budgets (as opposed to a list of damages developed by the architect for the defect case), help develop and manage Special Assessments, provide assistance to the property manager (most of whom are overloaded and under supported to begin with).

Once the defect case is settled or won, the project manager can assist in sourcing an architect, contractors, guide the HOA board of directors, manage and oversee vendors, schedule assess and deal with homeowners, and generally oversee the entire project - usually at a much lower hourly rate than the architect, and definitely with more expertise in working with Association managers, boards, and members.

Can the Community Association Industry Go Green?

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As any association manager knows, trying to get your community associations to "go green" is quite a challenge. Despite the developing trend towards green in the general population, going green takes a unified interest and dedication that is often lacking in community associations. And even though the term "community interest" invites warm and fuzzy connotations, most association members (board members included) don't often see the communal benefit of green repairs and reconstruction techniques, or sustainable energy systems. The issue of cost - both short and long term - is often the halting point, especially under a non-profit model with funds coming from the pockets of owner/members. Add to that, the fact that the average length of ownership of a condo unit is 7 years, and you'll understand why expensive green retrofits of building systems rarely get approved.

So, given these hurdles, can the Community Association Industry "Go Green?" We have yet to tell. Obama's stimulus package provides incentives for individual homeowners and small businesses, but getting access to these for multi-family residential complexes may be difficult, fall short of incentivizing the disparate interests of community members, or simply not provide enough to adequately subsidize costs. Smaller repairs can certainly be conducted in a greener fashion and getting Board approval for these should not be too difficult, but larger repairs and/or reconstructions will definitely require more research and negotiation with vendors to adequately compete with standard "old school" methods and costs.

Of course, larger associations may be more easily able to justify the cost of installing solar or even adding wind systems (especially large suburban planned developments). But smaller associations, and especially those with less than 20 units, may find it difficult to justify the cost of these types of upgrades for many years to come - or at least until the cost of these systems and retrofits comes down significantly, OR until the amount or volume of subsidies increases.

Despite these challenges, we still feel it's incumbent upon associations - both their Boards, their communities as a whole, as well as their management companies - to give Green a chance. To research it, evaluate it, and compare costs against traditional systems and methods WHENEVER POSSIBLE. Only by doing so will the idea of green really sink in. And, perhaps in doing so, one or more green project bids will actually come in at comparable cost (or lower even) than traditional vendor bids. When this happens, there can be no more excuses to going green. And this can only happen if we dedicate fully to moving ourselves and our clients in this direction.

For questions about this post, or for additional information, I can be reached toll free at 1-877-I-BEAM-SF (1-877-423-2673) or via email at allison@ibeamsf.com.

Cheers,