We represented the owner in an ultra-high-end penthouse renovation in a prominent skyscraper in a major city, from contract negotiation through project execution on this owner-funded project. This extensive project, located atop a building approaching 100 stories, carried a construction contract guaranteed maximum price (GMP) of around $20 million and presented many complexities, including careful coordination to reduce disruption to the floors below. Working closely with the owner’s architecture firm, consistently ranked a top three design firm in the world, we navigated the project scope, value engineering, coordination and other issues, as we contracted for demolition and construction. We negotiated an agreement with the constructor – written in the form of AIA Document A102–2017, Standard Form of Agreement Between Owner and Contractor where the basis of payment is the Cost of the Work Plus a Fee with a Guaranteed Maximum Price with its AIA Document A201-2017, General Conditions of the Contract for Construction – addressing issues such as preconstruction services, long-lead-time item procurement, contingency and allowance usage, and a shared savings program, working to mitigate delays and cost overruns with no sacrifice in quality. We remain intimately involved in the ongoing multi-year construction process, providing legal guidance through frequent, direct interaction with the owner, and by managing the project funding through its family office, working closely with Chicago Title Insurance Company on monthly payment applications. Facilitating clear communication and a strong working relationship between the owner, the architecture firm, the general contractor, and building management has been a key aspect of our role in this complex undertaking.
