Construction of retail space and a parking garage located within the Paramount Miami Worldcenter has resulted in active and unpaid construction claims worth $2 million.
On September 1, 2020, the project’s general contractor — a joint venture between Coastal Construction and Tishman known as CoastalTishman — filed two separate construction claims against the property’s 350,000-square-foot retail space and its 2,000-space parking garage.
Additionally, two separate complaints have been filed in relation to the overall construction of the one-million-square-foot, mixed-use Paramount Miami Worldcenter tower, located in downtown Miami.
In June of 2020, a subcontractor’s complaint against the joint-venture GC was amended. In July, CoastalTishman filed a complaint over a breach of contract against the same subcontractor, resulting in a mediation hearing set for 2021.
A mechanics lien is a debt recovery tool for unpaid contractors on construction projects. It provides contractors with a security interest in a property until the debt has been satisfied.
CoastalTishman joint venture is owed $2M from Worldcenter
Joint venture CoastalTishman is allegedly owed $2,015,136.34 following their contributions to the Paramount Miami Worldcenter, located at 851 NE 1st Ave, Miami, FL.
CoastalTishman’s largest lien claim is valued at $1,587,920.73 against MWC Garage, LLC after completing the building’s parking garage unit.
A second active unpaid construction claim from CoastalTishman is worth $427,215 and was filed against MWC Retail, LLC.
According to Square Edge, Paramount Miami Worldcenter’s retail space spans seven different buildings within the ground level of the development. Several retail developments are located in stand-alone buildings while some are also located inside of the 58-story mixed-use tower.
On April 29, 2020, a mechanics lien was filed by subcontractor John Abell Corporation in the amount of $1.4K against the parking garage. However, on June 9, 2020, this mechanics lien was released by the subcontractor.
CoastalTishman was named as the general contractor for the 27-acre Miami Worldcenter in February of 2016. To date, no active mechanics lien claims are attached to the tower itself, according to records from the Miami-Dade County clerk’s office.
A spokesperson from Paramount Miami Worldcenter did not respond to a request for comment.
Spanning 58 stories and a million square feet, the Paramount Miami Worldcenter houses retail space, a hotel, restaurants, and an open-air mall.
According to Coastal Construction’s project page for the Paramount Miami Worldcenter, the building includes 553 luxury residences that range in size from 1,200 square feet to over 4,000 square feet.
The tower’s amenity deck also includes a pool and bar, jazz room, a regulation soccer field, tennis courts, an entertainment lounge bar, and more.
Litigation surrounds the Paramount Miami Worldcenter
In June of 2020, a complaint filed by a subcontractor, Empire Office, Inc., against the joint venture GC was amended by the United States District Court Southern District of Florida Miami Division.
According to court documents, the complaint was filed over allegations that CoastalTishman created project delays during the construction of the Paramount Miami Worldcenter between February of 2017 and June of 2020.
However, in July of 2020, CoastalTishman filed a complaint with the Eleventh Judicial Circuit Court of Florida against Empire Office over allegations of breach of contract.
On October 15, 2020, mediation was scheduled for April 6, 2021, according to mediation documents.
Tishman fined $20 million in 2015 from overbilling scheme
Back in December of 2015, Tishman was fined $20 million following a mail and wire fraud conspiracy scheme in New York State.
According to a report from Construction Dive in December 2015, Tishman’s $20 million fine includes federal penalties and victim restitution. Tishman was also found to have forged their labor foremen’s timesheets while billing for days in which workers were either on vacation or were out sick.
The fines resulted from Tishman’s alleged $5 million overbilling of their clients over the course of 10 years.