Harridge Development has allegedly missed payment on a few invoices for its 62-acre housing redevelopment in Palos Verdes.
Fuscoe Engineering, a civil engineering firm based in Irvine, sued Harridge earlier this month, claiming the developer owes $582,000 in unpaid fees related to surveying services, according to a complaint filed with L.A. Superior Court. Harridge did not immediately respond to a request for comment.
The fees are still accruing interest at 1.5 percent per month, compounded monthly, according to the complaint.
Harridge hired Fuscoe in 2018 to provide civil engineering, surveying and mapping services on the Palos Verdes project, also known as Highpark, shortly after it bought the site for $152 million.
Through a joint venture with Silverpeak Real Estate Partners and an affiliate of Cerberus Capital Management, Harridge plans to build more than 670 homes on the land, located at 26900 South Western Avenue.
The project — formerly owned by iStar — has faced redevelopment delays for years due to permitting issues, groundwork and infrastructure programs and density restrictions.
In early 2021, Harridge “stopped paying outstanding invoices for project work, with little to no explanation as to why,” Fuscoe said in its complaint.
The firm scored a $110 million loan from Madison Realty in April 2021 to build single-family homes on the site.
Homebuilders Taylor Morrison, KB Homes and Meritage Homes have all bought sites at Highpark and have already started listing some for sale.
Harridge is also building a $1 billion mixed-use project along Sunset Boulevard just east of Highland Avenue, redeveloping a historic outdoor mall called Crossroads of the World. The firm also scored $415 million in construction financing from Madison Realty Capital last year for that project.
The post Harridge suit alleges unpaid work at Highpark project appeared first on The Real Deal Los Angeles.
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