CityCenter slugfest pits owner vs. builder
MGM Mirage properties have seen their fair share of main event fights. Now the gaming giant’s massive flagship, CityCenter, will be at the center of an owner vs. builder battle with nearly a half-billion dollars at stake.
Moves last week, culminating with Perini Building Co. leapfrogging to a lawsuit, indicate its already bare-knuckle.
At the beginning of last week, Perini officials were still saying they intended to file $491.2 million in mechanics’ liens against CityCenter by today. Mechanics’ liens preserve the rights of contractors, subcontractors and material suppliers to seek foreclosure against the project owner as leverage to get paid for work.
MGM, which co-owns CityCenter with Dubai World, warned it was prepared to file a counterclaim to seek hundreds of millions of dollars from Perini and that the construction contract mandated binding arbitration.
But come Tuesday, MGM security was escorting Perini’s workers off CityCenter’s Harmon hotel construction site, and Thursday Perini hit back by going straight to court rather than waiting for arbitration.
via CityCenter slugfest pits owner vs. builder – Monday, March 29, 2010 | 2 a.m. – Las Vegas Sun.