Rebar contractor sues over alleged unpaid work at future Wayfarer Hotel in DTLA

Steel company claims it's owed $203k, along with damages for work performed at hotel

Los Angeles /
Jan.January 03, 2019 04:00 PM
Pacific Hotels CEO Matt Marquis and the soon-to-be Wayfarer Hotel in DTLA (Credit: Google Maps)

A steel subcontractor is suing its employers over unpaid work on the soon-to-open Wayfarer Hotel in Downtown Los Angeles.

Kretzschmar Steel claimed in Los Angeles County Superior Court that it was hired in late 2017 to supply rebar for a renovation to the hotel. The work included updating common spaces, including a rooftop area, lobby-level bar and lounge, and a seismic retrofit.

The suit names contractors Shangri-La Construction and Darmont Construction, as well as lender East West Bank and the entity through which Irvine-based Pacifica Hotels owns the Wayfarer.

Representatives for Shangri-La and Pacifica Hotels could not be reached for comment. Attorneys for Kretzschmar also could not be reached.

The subcontractor, based in Colton, claims that it’s owed around $203,000, including $17,500 for nearly 39,900 pounds of rebar. Kretzschmar claimed a Mechanic’s Lien against the property in September, a typical means of recourse for contractors that claim they are owed money.

Kretzschmar seeks repayment of the $203,000 along with interest, plus two percent interest accrued on the late payment via state law, legal fees, and damages.

As of September, the 95-year-old hotel formerly known as the Ritz Milner Hotel was on track to reopen early this year. The renovation was designed by Rockefeller Partners Architects. Renovation work includes a restoration of the façade and a division of 180 existing rooms into 156 rooms that are a mix of private and shared rooms.

Hotel conversions and renovations have become popular in Downtown L.A., where there are dozens of 20th century lodges that fell into disrepair after the 1950s. Golden Hill Properties purchased the once-regal Barclay Hotel in May for $21 million, likely with plans to renovate and rebrand it. Some of DTLA’s office buildings are also getting the hotel treatment — British developer Ennismore wrapped up façade work on the future Huxton hotel, the former office headquarters of the Los Angeles Railway, in July.


Related Articles

arrow_forward_ios
Continuum CEO Mark Falcone and a rendering of the project (EYRC Architects via Urbanize)

Continuum Partners, Platinum Equities plan Arts District office tower

Continuum Partners, Platinum Equities plan Arts District office tower
Rendering of 577-unit District Square project in South L.A. (Los Angeles Department of City Planning, iStock)

Judge orders LA to reconsider Charles Co.’s District Square project

Judge orders LA to reconsider Charles Co.’s District Square project
Forme Development President Damon Chan and rendering of 550 Shatto Place (Forme, Gensler via Urbanize)

Going up: Koreatown tower project developers boost plans

Going up: Koreatown tower project developers boost plans
Herb Wesson (top) and Curren Price with a rendering of 3800 W 6th Street (Linkedin, Twitter, Large Arch)

LA officials backtrack on aid for Koreatown hotel project

LA officials backtrack on aid for Koreatown hotel project
Richard Llewellyn and Ron Galperin (City of LA, Wikimedia)

LA’s ballooning budget shortfall could require property selloff

LA’s ballooning budget shortfall could require property selloff
California Gov. Gavin Newsom (Credit: Justin Sullivan/Getty Images)

Newsom signs into law slate of tenant protection and housing measures

Newsom signs into law slate of tenant protection and housing measures
Michael Rosenfeld,,Simon Reuben and David Reuben, with a rendering of Century Plaza (Credit: Presley Ann/Getty Images, and Dave Benett/Getty Images)

Michael Rosenfeld’s Woodridge Capital lands $275M loan for Century Plaza

Michael Rosenfeld’s Woodridge Capital lands $275M loan for Century Plaza
CEO of Related Companies Jeff T. Blau, and a rendering of the project (Credit: Related)

Grand ambitions: Related’s DTLA megaproject hits halfway mark

Grand ambitions: Related’s DTLA megaproject hits halfway mark
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...