FAYETTEVILLE -- A contractual dispute has temporarily halted construction of a major student housing complex near Baum Stadium called Beechwood Village.
Fountain Residential Partners, the Dallas-based developer of the project, terminated its contract with the project's general contractor, Centerpoint Builders, also of Dallas, late Tuesday, according to Brent Little, president of Fountain Residential Partners.
Beechwood Village
For more information about the 671-bedroom student housing complex, go to cottagerocks.com.
Source: Staff Report
Little didn't provide details about the contractual dispute.
"There are no permitting issues; there's no safety issues; there's no citations for anyone that caused this," he said. "This is purely and simply: We're changing contractors."
A representative for Centerpoint Builders didn't return a phone message Wednesday.
Little said his company has already started the process of hiring a new general contractor and hopes to retain several subcontractors on the project.
"We still anticipate being completed by the start of the school year," he added.
Mark Whitaker, Fayetteville building safety director, confirmed Wednesday work hadn't been halted by the city.
Whitaker said, if Fountain Residential Partners hires a new general contractor, a new permit must be issued. He said that's generally not a time-consuming process if paperwork is filed properly and the new company is available for a pre-construction conference with city officials.
"We will certainly try to work around the development," Whitaker added.
Little declined to name the new contractor until the company is officially hired. But, he added, the company has worked in Fayetteville before and is licensed to do business in Arkansas.
Time is of the essence for project developers, especially since leases have been signed for more than half of the complex's 671 bedrooms.
Beechwood Village is being built on about 16 acres south and east of Martin Luther King Jr. Boulevard and Beechwood Avenue.
It features several dozen detached dwelling units in a cottage-style setting and is meant to appeal to University of Arkansas students who want to live within walking distance of campus but in a more neighborhood-type setting.
As of Wednesday, several of the units had been painted, with windows installed and water and sewer taps extended. Little said several buildings already have cabinets installed and will have carpet and appliances added soon.
"Things are going very well," he said.
According to Washington County land records, Fountain Residential Partners paid about $4.5 million for the property in April 2014.
Specialized Real Estate Group of Fayetteville assembled the land and got development plans approved before selling the property to Fountain Residential Partners, Little explained. The Fayetteville-based company, which has also partnered with out-of-state firms on the Sterling Frisco, Cardinal at West Center and Harvey's Hill developments, no longer has a financial in the project, he said.
According to its website, Fountain Residential Partners has completed more than $1 billion in student housing projects across the country, including developments in Fort Worth, Texas, and Corvallis, Ore. The principals of the company also developed Hill Place, an 840-bedroom complex that opened farther east on Martin Luther King Jr. Boulevard in Fayetteville, in 2009.
Centerpoint Builders has completed multifamily projects in Dallas, Fort Worth and Beaumont, Texas, according to the company's website.
NW News on 05/07/2015