Delays over insurance at Block 37 continue to keep the court-appointed receiver at bay.
In court Friday, the judge pushed the matter back another week as the CB Richard Ellis Inc. executive tapped to take over leasing and management of the new mall on State Street works on whether to assume an existing insurance policy or establish a new one.
The project’s developer, Chicago-based Joseph Freed & Associates LLC, said getting a new owner-controlled insurance program (OCIP) could lead to a work stoppage, as the policy covers contractors and subcontractors who would need to review a new policy.
Freed, again, said the delay over insurance shows that the receiver tapped by Bank of America Corp. in conjunction with its foreclosure lawsuit isn’t up to the job.
“It is not in the best interests of the project, the city or the bank to transfer control of this difficult project to a receiver demonstrably incapable of managing it, especially when a possible work stoppage might be the result,” Freed President Larry Freed said in an e-mailed statement.
CB Richard Ellis says in a statement that the receiver, CB executive Karen Pence Hollan, is ready to assume control of the project and that the additional week granted by Cook County Circuit Court Judge Margaret Brennan gives the parties time to determine whether the receiver will assume the existing policy or get a new one.
“CB Richard Ellis and the receiver are ready to assume complete control of Block 37,” the statement says.
Source: Eddie Baeb (2010). Block 37 handover pushed back again. Crain’s Published Jan 08, 2010 Viewed Jan 11, 2010, http://www.chicagorealestatedaily.com/cgi-bin/news.pl?id=36684
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