NEW YORK CITY—Forest City Ratner Cos. has fired another salvo inits ongoing battle with Skanska USA Building concerning theconstruction of B2, the first residential tower with modularconstruction at the Pacific Park Brooklyn project. FCRC presidentand CEO MaryAnne Gilmartin has sent Skanska co-COO Richard Kennedya letter—dated Sept. 4th—requesting that the developerassume operating control and responsibility for the factory that isproducing the modules for the multifamily building. In a preparedstatement, Kennedy has made clear he sees the letter as fuel tothis raging fire.

The fight became public when the two sides were unable to settlesome disagreements and Skanska issued a cease-and-desist stoppage order to its workers at thesite. The contractor subsequently filed a lawsuit against FCRC, charging that thedeveloper “has steadfastly refused over many months to engage in anhonest dialogue about the serious commercial and design issuesfacing the project.” FCRC brought a counter suit—which initially was positioned asthe first of the two legal actions—charing that Skanska had“multiple failures and missteps as the construction manager.

Gilmartin's letter says, in part, “FCRC Modular is preparedtoday to take over as managing member of the partnership and thefactory and assume operating control and responsibility for thefactory so we can resume production of the modules needed for theB2 project. We hope and assume that you share our belief that thisis the fastest and best way to reopen the factory and bring backthe workers you wrongfully furloughed while the B2 owner andSkanska USA Building seek to resolve the broader business dispute.As you know, as of now Skanska Modular has prohibited FCRCModular's access to the factory.

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Rayna Katz

Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.