A group that developed a Trader Joe’s-anchored mixed-use building in Miami Beach is accusing global architecture firm Stantec of shoddy design work, according to a recent lawsuit.
The complaint, filed last week in Miami-Dade Circuit Court, alleges Stantec and four subcontractors are responsible for design flaws that led to $1.8 million in delays and cost overruns during construction of 17 West, a five-story building at 1698 Alton Road, nearly five years ago.
Stantec, led by CEO Gord Johnston, has more than 400 offices across six continents, according to the firm’s website.
A joint venture between Rock Soffer of Aventura-based Turnberry Associates, North Miami Beach-based Elion Partners and members of the Sredni family completed 17 West in 2019, records show. Soffer was involved in 17 West on his own and Turnberry had no role and doesn’t own the project.
The partnership paid a combined $15.9 million for two lots between 2013 and 2015. The project was built with a $34.5 million construction loan from Fifth Third Bank.
In 2021, the joint venture refinanced the Fifth Third Bank mortgage by obtaining a $55 million loan from Ladder Capital Finance, records show.
In addition to the 11,500-square-foot Trader Joe’s store on the ground-floor, the building features loft-style apartments, townhomes and a garage with 160 parking spaces.
Spokespersons for Stantec and three other engineering firms named as defendants did not respond to email requests for comment.
As a result of the alleged design flaws, overhead power lines were incorrectly installed on the northside of 17 West which prompted reconfigurations to other elevated portions of the project, the lawsuit states. Dozens of other alleged design defects included the air-conditioning system having to be redesigned and incorrect specifications for the size and load capacity for the building’s generator.
Fixing the design flaws resulted in the project’s construction schedule exceeding 14 months, which caused the general contractor to increase its price to complete 17 West, the lawsuit alleges.