Dive Brief:
- Skanska-Hunt, the joint venture terminated as general contractor for the $1.4 billion Washington State Convention Center expansion project two weeks ago, has filed suit against the Washington State Convention Center Public Facilities District to prevent the selection of another contractor, according to The Seattle Times.
- Officials at the Pine Street Group, the management company running the project, said at the time of Skanska-Hunt’s firing that the general contractor was not "the right fit." Skanska-Hunt said it had no forewarning of the termination and had not received any complaints about its work.
- Skanska-Hunt officials also said that the Pine Street decision to fire them was not due to performance issues and that Pine Street officials have refused to meet with them. When they were fired, Skanska called the action "shocking and tremendously disappointing."
Dive Insight:
"Skanska-Hunt is taking this action because WSCC’s conduct is contrary to the public’s interest on this important public project," Skanska USA Building executive Chris Toher said in a statement. Toher also said that convention center officials had violated the contract and should "take immediate steps to right this wrong." Toher added that Skanska-Hunt’s proposal for the project was $9.5 million lower than the next bidder.
While Skanska did not provide their contract amount for the project, a convention center official said it is approximately $800 million, the Puget Sound Business Journal reported.
The expansion aims to double the size of the convention center in order to attract more convention business. Center officials said that in the last five years, they have turned down more than 300 conventions — equivalent to $1.5 billion in revenue — because they didn’t have the space.
Skanska-Hunt beat out two other finalists — Mortenson-PCL and Clark Construction-Lease Crutcher Lewis — for the contract last year.