five largest liens filed in santa clara county ca in june 2019

Imagine if you’re a construction management company and you’ve just invested a little over $1M into a project and you haven’t been paid. You’ve already bought all the materials, you’ve paid out your workforce, hired additional contractors, and you still are out a massive $1M paycheck yourself. It sounds crazy, but it happens all across California and throughout this country. The largest liens filed in Santa Clara County in June 2019 show the need for sending preliminary notices on jobs when payment issues may arise. 

There’s really no way to take back the work, time, and effort you’ve already invested into the project. So, what should you do when you aren’t getting paid for your construction work? Well, the best decision you could ever make is to file a mechanics lien. This month’s breakdown of a million-dollar lien and some six-figure claims comes from Santa Clara County, CA. In June, we saw several companies get burned working on luxury apartment projects. The Bay Area is exploding in residential development, and the lien data from June shows that construction companies must take precautions when working on similar jobs. Let’s dive into the five largest liens filed in Santa Clara County from June of 2019.

Largest liens filed in Santa Clara County in June 2019

Helix Electric, Inc. Hired by Deacon Corp.

Lien Amount: $1,163,742.27

Claimant: Helix Electric, Inc.

Hiring Party: Deacon Corp. 

Property Address of Lien: 1325 Mccandless Drive, Milpitas, CA

Property Owner: Milpitas-District 1 Associates, LLC

Rolling in at number one on our list of the liens is Helix Electric, Inc. with a massive $1,163,742.27 lien at 1325 Mccandless Drive, Milpitas, CA, which is a luxury apartment complex. The Property is owned by Milpitas-District 1 Associates, LLC and Helix Electric, Inc. was hired by Deacon Corp., which has a history of being a risky business associate. After being in business since 1985, Helix Electric likely has a great payment process in place to protect themselves from non-payment or a slow-payment process. Helix Electric handles design-build, construction, and engineering projects with eight offices stretch across the country while their headquarters are stationed in San Diego, California. Helix Electric also provides services in workplace safety, prefabrication, BIM/engineering, and preconstruction management. In this case, Helix Electric provided labor, materials, and equipment for electrical and low-voltage systems at the job site for Deacon Corp.

PMN Design Electric Inc. Hired by Devcon Construction Inc.

Lien Amount: $699,130.20

Claimant: PMN Design Electric Inc. 

Hiring Party: Devcon Construction Inc. 

Property Address of Lien: 1801 McCarthy Blvd, Milpitas, CA

Property Owner: Cullman and Milpitas Llc & Byton North America Corporation

Coming in at number two is the first six-figure lien on the list from Santa Clara County’s largest liens filed in June at $699,130.20. The lien was filed by PMN Design Electric Inc from work completed at 1801 McCarthy Blvd, Milpitas, CA which is owned and operated by Cullman and Milpitas Llc & Byton North America Corporation. PMN Design Electric Inc. was hired by Devcon Construction Inc, which also has a history of liens filed against them. PMN Design Electric Inc. is based out of Pleasanton, CA and the company serves a plethora of markets including commercial buildings, education facilities, alternative energy buildings, affordable housing, healthcare offices, and much more. PMN Design Electric Inc. has seven areas of expertise, including design-build, commissioning, energy analysis, maintenance/operations, project management, sustainability, and technology evaluations. As of May, Silicon Valley Business Journal ranked Devcon Construction Inc. No.1 on their top contractors list, but at this rate of business, they might retain that accolade much longer.

Platinum Builders Incorporated Hired by Swenson Development & Construction

Lien Amount: $606,414.40

Claimant: Platinum Builders Incorporated

Hiring Party: Swenson Development & Construction 

Property Address of Lien: 19160 Stevens Creek Blvd, Cupertino, CA

Property Owner: Cypress Building Associates Llc, Steven Creeks LP

The third largest lien filed in Santa Clara County, CA in June was for $606,414.40 by Platinum Builders Incorporated at 19160 Stevens Creek Blvd, Cupertino, CA, a property owned by Cypress Building Associates Llc, Steven Creeks LP. Platinum Builders Incorporated is based out of San Jose, California and services general contracting, sustainability solutions, design, energy auditing, construction management, and more. Even though the lien isn’t in the millions, a lien of $600k will still likely affect a construction company’s cash flow, which is the company’s ability to pay its staff and earn more business. Platinum Builders Incorporated provided their services at a senior citizen housing development that was just recently built-in 2017.

PACE Supply Corp. Hired by SiliconSage Builders

Lien Amount: $306,695.91

Claimant: PACE Supply Corp. 

Hiring Party: SiliconSage Builders 

Property Address of Lien: 180 Balbach Street, San Jose, CA

Property Owner: 138 Balbach Street, LLC

The fourth largest lien on our list from Santa Clara County was made by PACE Supply Corp. for $306,695.91 at 180 Balbach Street, San Jose, CA, a property owned by 138 Balbach LLC. Pace Supply Corp. is a leading wholesale distributor of plumbing supplies and is based out of Rohnert Park, CA. The plumbing work in which PACE Supply Corp. provided occured at yet another luxury apartment facility. In explaining the work that was performed when filing the lien in CA, the lien states SiliconSage Builders has been defaulting on payments since February for the plumbing and construction work in which PACE Supply Corp. provided. 

Consolidated Electrical Distributors, Inc. Hired by SiliconSage Builders

Lien Amount: $263,618.05

Claimant: Consolidated Electrical Distributors, Inc.

Hiring Party: SiliconSage Builders

Property Address of Lien: 180 Balbach Street, San Jose, CA

Property Owner: 180 Balbach Street, LLC

At number five, we find ourselves once again at 180 Balbach Street, San Jose, CA, where this time, Consolidated Electrical Distributors, Inc. has filed a lien for $263,618.05 against SiliconSage Builders on a jobsite owned by 180 Balbach Street, LLC. Consolidated Electrical Distributors, Inc. is the country’s largest electrical supply distribution company and has a handful of offices stretch across Southern California. According to the California lien paperwork, Consolidated Electrical Distributors, Inc. provided electrical equipment, materials, and related supplies for SiliconSage Builders, who also find themselves dealing with a lien from PACE Supply Corp. at the same luxury apartment complex in San Jose. 

The five largest liens filed in Santa Clara County, CA for June of 2019 total out to over $3M

Clearly, Santa Clara County, CA is developing some expensive residential units going up that are causing headaches for contracting companies providing their services. Three of the top five liens filed for Santa Clara County all relate to luxury apartment building projects in and around San Jose, CA. These three lien cases alone add up to $1.7M. In August, the Bay Area just saw a $325M apartment deal in Redwood City, CA that shows just how booming the residential construction industry is in this market. It all starts to make more sense when you look at the rent trends for the Bay Area. As of June 2019, the very month these liens were all filed, the median 2-bedroom rent in San Francisco was $3,100. In San Jose, the median rent for the same style of the room was $2,670. Those two markets are the most expensive cities to rent a 2-bedroom apartment in the nation. The next closest is New York City, with average rent for a 2-bedroom apartment set at $2,560. 

Here’s the rundown from June in Santa Clara County, CA: $5,795,771.05 was the grand total of all liens. The total number of liens filed was 65 from 50 businesses. The smallest lien filed was for $555. But what does all this rent data tell us about the lien data from June in Santa Clara County? Well, it shows us that the demand for luxury apartments is clearly high for the Bay Area, and the trend data doesn’t lie. Santa Clara County has the highest rent in the nation and its major cities such as San Francisco and San Jose are booming with construction projects building up luxury apartments. This means that even though contractors and construction companies will have plenty of work available to build these new apartments, the risk of not getting paid will still be present. Visit our contractor search page to see the payment profile and recent lien and notice the history of your customers. If you search for a contractor and can’t find them, you can make a request for a specific contractor. Levelset is adding hundreds of contractor pages every month to help everyone keep payment under control.