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
Rendering of the project (NMDA for CIM Group)
CIM drops residential units at proposed West Hollywood hotel
CIM drops residential units at proposed West Hollywood hotel
Downtown Burbank's Transit Oriented Development Specific Plan (Photo via Downtown Burbank TOD/City of Burbank)
Burbank’s downtown specific plan could add thousands of units of housing around its Metrolink station
Burbank’s downtown specific plan could add thousands of units of housing around its Metrolink station
Renderings of the project (The Harper on Sunset)
Hotel, apartment complex planned on Sunset Strip
Hotel, apartment complex planned on Sunset Strip
The Chateau Marmont (Getty) and protest signs (Unite Here Local 11)
Chateau Marmont workers say iconic West Hollywood hotel misused rescue funds
Chateau Marmont workers say iconic West Hollywood hotel misused rescue funds
A rendering of the project with East End Capital managing principals Jonathon Yormak and David Peretz. (Relativity Architects, East End Capital)
East End Capital to convert cold storage into movie studio
East End Capital to convert cold storage into movie studio
(Proper Hotel, Google Maps)
Downtown LA’s Proper Hotel to open in July after years of delays
Downtown LA’s Proper Hotel to open in July after years of delays
Larry A. Silverstein with LA's US Bank Tower. (Getty, Silverstein)
Silverstein will pour $60M into US Bank Tower overhaul
Silverstein will pour $60M into US Bank Tower overhaul
Stockdale Capital Partners' Co-Founders Shawn and Steven Yari with 1740 Ocean Avenue (Google Maps)
JW Marriott Santa Monica sells for $75M
JW Marriott Santa Monica sells for $75M
arrow_forward_ios

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

Loading...