Forest City and Skanska Cross-File Lawsuits over Massive Modular Housing Project

forest_city_ratner_module__co._creditIn the continuing saga between developer Forest City Ratner and builder Skanska regarding the battle over construction of the largest modular apartment building in the world, as MHProNews posted here last Sept. 2, 2014, both parties have filed suit against the other. In its complaint, Skanska alleges “serious commercial and design issues” are holding up progress on the 363-unit building, and Forest City is “slinging mud” through the press and in legal documents, which will not get the project completed, according to commercialobserver.com. “Skanska prides itself on its ability to work through challenges in a way that is timely, effective and respects the commercial interests of all parties involved,” says Skanska’s Richard Kennedy.

Meanwhile, Forest City’s lengthy complaint says, “From the start, Skanska mismanaged the project through gross incompetence, causing it to be riddled with delays and cost overruns. Skanska has stumbled through every step of the project, and has repeatedly and routinely failed to meet any self-imposed or contractual deadlines, goals, or targets. As noted, the construction schedule stipulated that the building would be substantially completed by July 25, 2014. That date has come and gone and, as of today, only 10 floors of the planned 32-stories have been erected at the project site.” A post by MHProNews from March 17, 2011 reports at least 400 units will be affordable housing at below market rate. The suit does not mention Forest City’s partnership with the Chinese investment firm Greenland USA on another part of the project. ##

(Photo credit: Forest City Ratner- module for 32-story modular apartment complex)

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