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Industry News - May 2005

Former Turner Head Takes on Philly

Robert Fee, former president and CEO of Turner Construction, has come out of retirement to launch Hunter Roberts Construction Group - a new firm with ambitious goals.

Hunter Roberts Stocks Philly Office with Familiar Faces

Hunter Roberts Construction Group, led by former Turner Construction President and CEO Robert Fee, has its eyes set on the Philadelphia market. The new firm opened its offices in February with enough capital to pursue many of the market's biggest contracts.

PHILADELPHIA, PA - A new name backed by some familiar faces will be bidding on major projects in the Philadelphia area in the coming months. Robert Fee, former president and CEO of Turner Construction, opened a Philadelphia office of his new firm, Hunter Roberts Construction Group, in February.

The new company is headquartered in New York City, but has a Philadelphia office headed by another former Turner executive, John Fumosa. Fumosa was previously general manager and vice president of the New Jersey territory for Turner, where he averaged sales of $350 million. Prior to taking that post in 2003, Fumosa was Turner's general manager of the Philadelphia territory, where he worked on such projects as Lincoln Financial Field and the US Airways International Terminal.

Fee retired from Turner in January 2004 but stayed on the company's board of directors. Bored by retirement, Fee said he put together a plan for the new company and left the board in November.

Fee said he saw an opportunity to build a new company that could compete with the large players in the industry, such as Turner, Tishman, Skanska and Bovis Lend Lease.

"Those companies are strong in the areas we're looking at, but we've spoken with several developers and owners who feel they need more competition in the marketplace," Fee said. "We don't expect to take market share away. There's still plenty of work out there to go around."

Fee has aggressive plans for the company and the money to back them up. Hunter Roberts entered the market debt free and well capitalized thanks to a $50 million investment from G. Jeffrey Records, chairman and CEO of MidFirst Bank of Oklahoma City. The company has a nearly $750-million security line, Fee said.

Hunter Roberts opened its Philadelphia office with 15 employees and Fee expects to have 40 staffers there by the end of the year. The company's goal is to be profitable within three years and rank among Engineering News-Record's top 20 contractors nationally within five years.

The backbone of the company is being built with Fee's former coworkers, Fumosa and James McKenna, who left his post as Turner's head of New York operations to become president and CEO of Hunter Roberts in February. However, Fee said he is looking well beyond Turner for talent.

"We don't want to be a junior Turner," Fee said. "We're looking for the best and brightest around the entire industry. We're not looking to be the mirror image of what Turner is about."

The Philadelphia office will pursue many of the key markets in the area, including K-12 schools, higher education, healthcare, retail, pharmaceutical, and the burgeoning high-rise residential market. The company is pursuing a mix of general contracting and construction management work, targeting projects in the range of $10 million to $50 million.

Centex Awarded Two Offices, Three Correctional Facilities

Centex Construction was recently awarded contracts on two office projects in Washington, D.C. The $50 million 1101 New York Avenue project (top) is a 517,590-sq.-ft. 16-story upscale office building that is scheduled for completion in 2006. Republic Square (bottom) is a $40 million 561,455-sq-ft. 13-floor speculative office building and parking garage that is scheduled for completion in 2006.

FAIRFAX, VA - Centex Construction of Fairfax, Va., recently announced $235 million in new contracts.

Centex received two contract awards to provide preconstruction and general contracting services for two Class A office buildings in Washington, D.C. - 1101 New York Avenue and Republic Square.

The New York Avenue project is a 517,590-sq.-ft. 16-story upscale office building that includes three levels of below-grade parking and one concourse level of office space. The $50 million building was designed by Kevin Roche John Dinkeloo and Assoc. of Hamden, Conn. Louis Dreyfus Property Group is the developer. Construction is scheduled for completion in 2006.

Republic Square is a 561,455-sq-ft. 13-floor speculative office building and parking garage planned for 25 Massachusetts Avenue, N.W. The design includes 10 floors of office space and three floors of parking. Four of its floors are below grade. The $40 million building was designed by Devrouax & Purnell and Leo A. Daly, both of Washington. Republic Properties Corp. is the developer. The building is the first phase of a two-phase project and is scheduled for completion in 2006.

The design-build team of Centex-Moseley has been awarded a contract to provide preconstruction and construction services for three correctional facilities. The contract was awarded by the Virginia Department of Corrections through the Public-Private Education Facilities and Infrastructure Act of 2002. Moseley Architects of Richmond, Va., will design the facilities.

The $61 million 260,000-sq.-ft. Tazewell Correctional Facility in Tazewell County, Va., is slated for completion in spring 2007. A $66 million 260,000-sq-.ft. correctional facility in Pittsylvania County, Va. is also scheduled for completion in 2007. Centex's scope of work for the Southampton Correctional Facility includes a 600-bed addition plus an expansion to the administration office, food service, education and visitation areas. It is schedule for completion in November 2006.

WCI Enters Mid-Atlantic Market

RESTON, VA - WCI Communities of Bonita Springs, Fla., planted its flag in the Mid-Atlantic with the acquisition of Reston,Va.-based Renaissance Housing Corp. in February. The sale price was not disclosed.

Renaissance develops luxury homes and high-rise towers, including a recently-completed 12-story 298-unit condominium tower in Reston. It has plans to begin marketing two additional luxury towers before the end of the year.

The acquisition helps bridge a geographic gap for WCI. The company caters to primary, retirement and second-home buyers in Florida, New York, New Jersey and Connecticut.

MIE Properties to Develop Bowie Office

BALTIMORE, MD - MIE Properties of Baltimore recently unveiled plans for the development of one Melford Plaza, a four-story 150,000-sq.-ft. Class A office building in the company's Maryland Science and Technology Center at Melford in Bowie, Md.

MIE expects to start construction in the second quarter of 2005 with completion expected in early 2006. The MS&TC is a 466-acre mixed-use business community at the intersection of US Route 50 and State Route 3/301 in Prince George's County. Upon final build-out, the park is expected to support 3 million sq. ft. of office/flex and research and development space as well as approximately 200,000 sq. ft. of retail space.

The Donohoe Co. in partnership with TIAA-CREF recently announced it will develop a 216-room hotel in downtown Bethesda, Md. The hotel will be the first new hotel constructed in the Bethesda Central Business district in more than 20 years. Construction is scheduled for completion in 2007.

Donohoe to Develop Bethesda Hotel

BETHESDA, MD - The Donohoe Co. of Washington, D.C., in partnership with TIAA-CREF recently announced it will develop a 216-room hotel in downtown Bethesda, Md. The hotel will be operated as a Hilton Garden Inn and will be constructed within a portion of the Air Rights Center complex, an existing 700,000-sq.-ft. office and retail complex on Wisconsin Avenue.

Construction is expected to begin within the next nine months with a scheduled completion of 2007. The hotel will be the first new hotel constructed in the Bethesda Central Business district in more than 20 years.

Grunley Lands Two Fed Renovation Projects

ROCKVILLE, MD - Grunley Construction of Rockville, Md., has been awarded two construction renovation contracts for federal work in the District of Columbia.

The company will renovate portions of the U.S. Department of Energy's James Forrestal Building on Independence Avenue, S.W. The six-month $2.145 million project will include the installation of a new chiller, condenser, makeup air unit, ductwork, fan coil units and variable air volume units.

A $1.024 million project at the Russell Senate Office Building will involve the installation of sprinklers and new fire alarm and supervisory devices.

S.E. Foster Breaks Ground on Kenyon Square Condos

WASHINGTON, DC - S.E. Foster of Arlington, Va., broke ground on a 153-unit mixed-use condominium project next to the Columbia Heights Metro station in February. The $55 million building is being developed as a joint effort between Donatelli & Klein of Washington, Gragg & Assoc. of Washington and the National Capital Revitalization Corp.

The project was designed by Torti Gallas and Partners of Silver Spring, Md. It is scheduled for completion in early 2007.

Harkins Starts Senior Facility in Fairfax

FAIRFAX, VA - Harkins Builders of Marriottsville, Md., recently started construction of Sunrise, The Fairfax in Fairfax, Va. The 78,102-sq.-ft. senior living facility is a three-phase project that includes construction of 24 assisted living units, renovation in 88 units and the addition of a porte cochere. The 16-month project will be constructed while the facility is in use.

The project is Harkins' first with McLean, Va.-based Sunrise Senior Living. The company currently operates more than 370 senior living communities in the United States and Canada.

Bovis Lend Lease Begins Cameron Station Project

Bovis Lend Lease recently broke ground on Cameron Station, a 148-unit condominium project in Alexandria, Va. Construction on the project is scheduled to be completed in fall 2006.

ALEXANDRIA, VA - Bovis Lend Lease of Bethesda, Md., recently broke ground on Cameron Station, a 148-unit condominium project in Alexandria, Va. The four-and-a-half-story 325,186-sq.-ft. project features two levels of below-grade parking, fitness room, neighborhood amphitheater, business center and a landscaped courtyard including a fountain.

Construction on the project is scheduled to be completed in fall 2006. The architect is Daniel Ball & Assoc. of Columbia, Md. The owner is K. Hovnanian Homes of Va.

PN Hoffman Starts Chase Point Project

CHEVY CHASE, VA - PN Hoffman of Washington, D.C., recently broke ground on Chase Point in Chevy Chase, Md. The 107-unit luxury building is the first new residential development in Chevy Chase in nearly 20 years. Located on the site of the former Washington Clinic, it will feature apartment homes ranging in size from 1,000-sq.-ft. one bedrooms with den to three bedroom apartments of up to 3,000 sq. ft.

PN Hoffman is partnering on the project with Stonebridge Assoc., a development and consulting firm based in Bethesda, Md. The project was designed by SK&I of Bethesda. Completion is expected at the end of 2006.

Konover Kicks Off Claude Moore Project

STERLING, VA - Konover Construction of Columbia, Md., recently broke ground on the Claude Moore Park Recreation Center in Sterling, Va. The $17.5 million 82,000-sq.-ft. recreation facility includes an indoor lap pool, leisure pool, locker rooms, gymnasium, rock climbing wall, elevated jogging track and community meeting rooms. The architect is Wisnewski Blair and Assoc. of Alexandria, Va. The owner is the County of Loudoun, Va. Completion is expected by 2006.

Clark Caps Off Historic Steeple Project

WASHINGTON, DC - Clark Construction Group of Bethesda, Md., and its subcontractor, Unlimited Designs of Salt Lake City, Utah, installed a 60-ft. 5.5-ton steeple on the clock tower of Calvary Baptist Church at 8 & H streets NW in Washington in February. The installation is the culmination of a $10 million renovation effort that has been 90 years in the making.

An 1865 photograph by Civil War photographer Matthew Brady of the church's original steeple was the basis for the 2004 design. After design and fabrication in Utah, it was transported across the country during a two-week period.

Keast & Hood Open DC Office

WASHINGTON, DC - Keast & Hood, Co., Structural Engineers of Philadelphia, Pa., recently expanded its reach into the nation's capital, opening a Washington D.C. office. The firm is currently handling the structural engineering work for more than $40 million worth of construction on the campus of the Dumbarton Oaks Research Library and Collection in Washington's Georgetown area.

Matthew Daw recently joined the firm to head the new Washington office.

Hess Prepares Ten-Year Capital Plan for Paul Public

WASHINGTON, DC - Hess Construction of Gaithersburg, Md., has been retained to provide a detailed facilities assessment and a ten-year capital plan for Paul Public Charter School in Washington, D.C. The facilities assessment for the school includes an initial risk assessment, review of all recurring service contracts for scope of work, performance measurement and reporting, development of an annual preventive maintenance work plan, energy review and a collection and inventory of all available drawing and operation information.


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