The Residence Inn at Palm Beach Gardens, a Marriott hotel, has accumulated more than $1.8 million in construction debt, according to claims.
The debt comes in the form of mechanics lien filings from eight separate contractors, including general contractor Kellogg & Kimsey.
If an owner fails to pay a contractor on a construction project, the contractor can file a mechanics lien claim to recover the money they’re owed. Mechanics liens encumber the property, putting pressure on the debtor to pay the claimant.
The Marriott Residence Inn is located at 4250 Design Center Dr, Palm Beach Gardens, Fla. Each mechanics lien was filed with the Palm Beach County Clerk.
Kellogg & Kimsey was hired by owners Brock PGA Hotel LLLP for labor and services related to the “construction of a 122 Room Marriott Residence Inn Hotel.” Kellogg & Kimsey first furnished their labor and materials on July 21, 2018, and last furnished on July 9, 2020. The original contract price was over $19 million.
After only getting paid a portion of the contract price, Kellogg & Kimsey filed a mechanics lien for the remaining balance of $1.29 million on October 1, 2020.
Interior Concepts, a subcontractor hired by Kellogg & Kimsey, was contracted to provide labor and materials related to demolition and drywall work. Interior Concepts worked on the project from January 21 through February 5, 2019.
Interior Concepts agreed on an original contract price of $2 million, but were allegedly only paid a portion of that. The subcontractor filed a mechanics lien for the unpaid amount of $311,100 on June 18, 2020, with the Palm Beach County Clerk.
The next most valuable construction lien was filed by Champion Glass. Pursuant to a contract with Kellogg & Kimsey, Champion provided labor and services for storefront window work on the Residence Inn project.
Champion was offered a total contract price of $909,200 and was not paid the full balance. Champion Glass filed a claim for $90,400 on May 29, 2020, to recover the remainder of the debt.
Another subcontractor, Rockwood Specialties LLC, was hired by the general contractor to perform carpentry, architectural woodwork, millwork, trim, and cabinetry work. Rockwood’s participation in the project took place from January 1, 2019 through May 21, 2020.
Rockwood filed a mechanics lien to claim $57,400 in unpaid amounts. The original contract was worth $574,900.
On October 7, 2019, Prestressed Contractors Inc. filed a mechanics lien worth $55,700. Prestressedwas hired by Precast Specialties to provide labor and materials that contributed to the delivery, erection, finish, and cleanup for hollowcast slabs. Prestressed was originally contracted for $146,700.
Three other parties to the project, both subcontractors and suppliers, filed claims totaling $36,800.
Marriott Residence Inn part of South Florida’s “hotel boom”
Before coronavirus hit Southern Florida, the region experienced a boom in hotel construction. In October of 2019, there were more than a dozen hotel projects with more than 2,000 total rooms under construction in Palm Beach County alone.
The Residence Inn at Palm Beach Gardens was just one of the many big projects taking place.
The project broke ground in late 2018 after Brock Development was awarded a $20 million construction loan by Florida Community Bank. In 2018, Miller Construction Company filed a notice of commencement, signifying that work on a project has begun.
In total, the Residence Inn has 122 rooms over five stories encompassing 98,000 square feet.
Coronavirus cases in Southern Florida appear to be trending upward once again. The region, as well as the Florida construction industry, has been heavily impacted by the pandemic.