When the Board of Directors at 150 Joralemon Street Owners Corp., a co-op in Brooklyn, New York, embarked on a major capital project, they anticipated a smooth process. An initial "binocular-based" estimate suggested a cost of around $840K. However, when actual bids came in at $3 million, the project was suddenly facing a significant financial and logistical crisis.

This massive discrepancy led to a second round of refinancing, and the relationship with the contractor became strained, with the contractor funding the project and now owed over $800K. The situation was further complicated by a contentious superintendent and a Board that, as described by the client, was more focused on gossip than facts. They were looking for "restitution based on no logical reasoning," despite the transparent delivery of information.

The building's facade had not undergone major work in over 20 years, making the project's completion critical for the building's long-term health and safety.

The Andrews Organization's Solution
In this high-stakes environment, The Andrews Organization stepped in to provide stability and strategic guidance. Our focus was on clear communication and realistic expectation management. We worked diligently to provide the Board with accurate information as it was received, focusing on the facts of the project to move beyond the internal friction. Our approach was centered on our core values: Strength, Reliability, and Service. We aimed to bring a professional and results-oriented perspective to a frustrated and chaotic situation.

The Outcome: A Safer, More Valuable Co-op
While the financial burden was the Board's primary concern, the long-term benefits of the project are undeniable. By providing reliable management and oversight, The Andrews Organization is ensuring the project's completion, which will result in:

• Resolved structural issues: All leaks will be resolved, and structural problems will be cured.
• Enhanced building safety: The building will be safe and compliant with New York regulations.
• Long-term value: The completed project will give the building a minimum of eight years before any other major work is necessary, satisfying NY Compliance efforts and protecting the property's value.

This case study at 150 Joralemon Street Owners Corp. demonstrates how professional, fact-based management can transform a challenging capital project into a successful, long-lasting solution, proving our commitment to Strength, Reliability, and Service.