Real Estate & Construction News Roundup (8/5/26) – Data Centers Reshape Hotel Demand, AI Changes Construction Workflows and Global Tariffs Raise CRE Construction Costs
August 16, 2026 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogIn our latest roundup, AI creates new real estate play for VCs, Wall Street sells more rental homes, builders capitalize on flood of water projects and more!
- Data center construction has the potential to be a significant opportunity for extended stay hotels in the near and long term, provided sustainable demand patterns exist within a given market. (Jenna Graber, Hotel Dive)
- Artificial intelligence doesn’t represent an “extinction event” for AEC firms, but it will fundamentally change the way construction pros streamline certain tasks. (Matthew Thibault, Construction Dive)
- With the 21st Century ROAD to Housing now law, there are a number of outstanding questions about implementation and compliance for multifamily pros. (Julie Strupp, Multifamily Dive)
Read the full story...Reprinted courtesy of
Pillsbury's Construction & Real Estate Law Team
Flatiron Said Disputed Concrete Mix Cost Millions on Large Caltrans Project
June 22, 2026 —
Elaine Silver & Richard Korman - Engineering News-RecordFor awhile in 2023, part of the California Dept. of Transportation's (Caltrans) Fix 50 HOV lane and resurfacing project in Sacramento itself needed to be fixed.
Reprinted courtesy of
Elaine Silver, Engineering News-Record and
Richard Korman, Engineering News-Record
Mr. Korman may be contacted at kormanr@enr.com
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Oracle's $16B Michigan Data Center Secures Financing as Power Contracts Face Appeals
June 08, 2026 —
Bryan Gottlieb - Engineering News-RecordA $16 billion hyperscale data center under construction outside Ann Arbor, Mich., has secured financing backed by Blackstone and other institutional investors, even as the project's power supply agreements now face a legal challenge before the Michigan Court of Appeals.
Read the full story...Reprinted courtesy of
Bryan Gottlieb, Engineering News-RecordMr. Gottlieb may be contacted at
gottliebb@enr.com
Congratulations to BWB&O’s 2027 Southern California Super Lawyers and Rising Stars Honorees!
September 08, 2026 —
Bremer Whyte Brown & O'Meara, LLPBremer Whyte Brown & O’Meara, LLP is proud to announce that Partners
Nicole Whyte,
Keith Bremer,
John Toohey, and
Tyler Offenhauser have been named to the 2027 Southern California Super Lawyers list. Notably, Nicole Whyte was also selected to the Top 50 Orange County Super Lawyers list, an honor reflecting her outstanding work, leadership, and impact in the legal community.
Associates
Kevin Moore,
Sukayna Jaidi, and
Andrew Mathews are also being recognized as 2027 Southern California Super Lawyers Rising Stars.
Our team is being honored for their distinguished service and dedication in Family Law, Civil, Business, Construction, and Personal Injury Litigation.
Read the full story...Reprinted courtesy of
Bremer Whyte Brown & O'Meara, LLP
DOI Finalizes Long-Awaited Modernization of Type A Natural Resource Damage Assessment Regulations
August 03, 2026 —
Amanda G. Halter, Ashleigh K. Myers & Jillian Marullo - Gravel2Gavel Construction & Real Estate Law BlogFor nearly three decades, the U.S. Department of the Interior’s (DOI) simplified “Type A” Natural Resource Damage Assessment (NRDA) regulations were available more in theory than in practice, constrained by dated models, narrow geographic applicability and a $100,000 cap that rarely matched the economics of modern environmental claims. DOI has now finalized revisions to the Type A natural resource damages assessment procedures under 43 C.F.R. Part 11 for hazardous substance releases under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) and the Clean Water Act (CWA), with the final rule published in the
Federal Register on July 13, 2026 and scheduled to become effective August 12, 2026.
As discussed
previously, DOI has sought to modernize what it views as an “inefficient and inflexible” process and restore the Type A procedure to its intended role as a more streamlined pathway for smaller, less contentious NRD claims. The final rule adopts a $5 million default damages threshold, allows use above that amount if all parties agree, clarifies that Type A may be used in all environments and for all natural resource types, and removes legacy model appendices that had tethered the process to outdated formulas.
Reprinted courtesy of
Amanda G. Halter, Pillsbury,
Ashleigh K. Myers, Pillsbury and
Jillian Marullo, Pillsbury
Ms. Halter may be contacted at amanda.halter@pillsburylaw.com
Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com
Ms. Marullo may be contacted at jillian.marullo@pillsburylaw.com
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Doctrine of Substantial Performance When It Comes to Payment
July 27, 2026 —
David Adelstein - Florida Construction Legal UpdatesA recent non-construction case touches upon the doctrine of substantial performance when it comes to payment. In this case, a club was to make two payments to secure a rapper’s attendance. The first payment was made. The second payment was made but was a few hundred dollars short of the agreed amount. The rapper did not show up. The club claimed it substantially performed its obligations. At first glance, the argument makes sense because the second payment fell only a few hundred dollars short. But that wasn’t the case when it comes to pre-commencement payment obligations:
Substantial performance applies only when the variance from the contract terms “is inadvertent or unintentional and unimportant so that the work actually performed is substantially what was called for in the contract.” However, when one party agrees to pay the other on or before a specific date, time is of the essence, and the payor is required to pay the payee on or before that date. “There is almost always no such thing as ‘substantial performance’ of payment between commercial parties when the duty is simply the general one to pay. Payment is either made in the amount and on the date due, or it is not.”
Big Gate Records, LLC v. Washington, 51 Fla.L.Weekly D1281a (Fla. 2nd DCA 2026) (internal citations omitted).
Read the full story...Reprinted courtesy of
David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
Insurer Granted Summary Judgment on Claim for Roof Damage Caused by Windstorm
May 26, 2026 —
Tred R. Eyerly - Insurance Law HawaiiThe insurer successfully moved for summary judgment, eliminating the insured’s claim for roof damage due to windstorm. Mulas v. Westchester Surplus Lines Ins. Co., 2026 U.S. Dist. LEXIS 20537 (Jan. 30, 2026).
The insureds’ commercial property sustained windstorm damage during Hurricane Ian. Westchester denied the claim. The insureds believed Westchester wrongfully denied coverage for roof damage and various interior damage to property. The insureds also argued that Westchester’s actual cash value (ACV) payment did not reflect the fully insured loss.
The insureds sued and Westchester moved for summary judgment. Westchester argued the roof damage was not covered because Hurricane Ian did not cause the damage. Westchester hired an engineer who determined the roof damage was not caused by wind from Hurricane Ian. Westchester pointed out that the insureds’ expert also found no wind damage on the roof. The insureds offered no other evidence suggesting the hurricane caused roof damage. Therefore, the insureds could not show that Westchester breached the policy by denying coverage.
Read the full story...Reprinted courtesy of
Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.comOrlando Commercial Construction Permits Double in ValueFlorida SB 2022-736: Construction Defect ClaimsBusiness Risk Exclusions Bar Coverage for Construction Defect ClaimsVeolia Agrees to $25M Settlement in Flint Water Crisis CaseNew York Restrictions on Flow Through Provision in SubcontractsMedical Center Builder Sues Contracting Agent, Citing Costly DelaysCongratulations 2016 DE, NJ, and PA Super Lawyers and Rising StarsSurge in Home Completions Tamps Down Inflation as Fed MeetsConstruction defect firm Angius & Terry moves office to RosevilleHarlem Developers Reach Deal with Attorney GeneralPrivette: The “Affirmative Contribution” Exception, How Far Does It Go?Court Rules in Favor of Treasure Island Developers in Environmental CaseFungi, Wet Rot, Dry Rot and "Virus": One of These Things is Not Like the OtherJudicial Economy Disfavors Enforcement of Mandatory Forum Selection ClauseBig Data Meets Big Green: Data Centers and Carbon Removal Compete for Zero-Emission EnergyKahana Feld Partner Jeff Miragliotta and Senior Associate Rachael Marvin Obtain Early Dismissal of Commercial Litigation Cases in New York and New JerseyWow! A Mechanic’s Lien Bill That Helps Subcontractors and SuppliersRuling Finds Builder and Owners at Fault in Construction Defect CaseCommercial Real Estate in 2023: A SnapshotFifth Circuit Rules that Settlements in Underlying Action Constitute "Other Insurance"U.S. Homebuilder Confidence Rises Most in Almost a YearRuling Dealing with Constructive Changes, Constructive Suspension, and the Implied Covenant of Good Faith and Fair DealingContractor Convicted of Additional FraudHow the Pandemic Pushed the Construction Industry Five Years Into the FutureHome Building on the Upswing in BakersfieldNinth Circuit Upholds Corps’ Issuance of CWA Section 404 Permit for Newhall Ranch Project Near Santa Clarita, CAVermont Supreme Court Finds COVID-19 May Damage PropertyConstruction of New U.S. Homes Declines on Plunge in SouthInsurer Able to Refuse Coverage for Failed Retaining WallBusiness Risk Exclusion Dooms Coverage for Construction Defect ClaimMGM Begins Dismantling of the Las Vegas Harmon TowerInsured's Claim for Cyber Coverage RejectedWinners Announced in Seattle’s Office-to-Residential Call for Ideas ContestOwners and Contractors are Liable for Injuries Caused by their Independent Contractors under the “Peculiar Risk Doctrine”Henkels & McCoy Pays $1M in Federal Overtime-Pay CaseCounty Elects Not to Sue Over Construction Defect ClaimsSelf-Storage Magnates Cash In on the Surge in Real EstateN.J. Governor Fires Staff at Authority Roiled by Patronage HiresIllinois Couple Files Suit Against Home BuilderCapitol View-Corridor Restrictions Affect Massing of Austin’s Tallest TowerMotion to Dismiss Insurer's Counterclaim for Construction Defects Is GrantedSolar and Wind Just Passed Another Big Turning PointMontana Federal District Court Finds for Insurer in Pollution Coverage DisputeCalifornia Trial Court Clarifies Application of SB800 Roofing Standards and Expert’s OpinionsSFAA Commends Congress for Maintaining Current Bonding Protection Levels in National Defense Authorization Act (NDAA)Here's How Much You Can Make by Renting Out Your HomeProfessional Liability and Attorney-Client Privilege Bulletin: Intra-Law Firm CommunicationsSupreme Court’s New York Harbor Case Isn’t a ‘Sopranos’ EpisodeWhen an Intentional Act Results in Injury or Damage, it is not an Accident within the Meaning of an Insurance Policy Even When the Insured did not Intend to Cause the Injury or DamageCondo Owners Allege Construction DefectsExecutive Insights 2026: Leaders in Construction LawWildfire Risks Elevated for US Plains Due to Drought ConditionsSouthern California Super Lawyers Recognizes Four Snell & Wilmer Attorneys As Rising StarsNewmeyer Dillion Attorneys Named to 2020 Southern California Rising Stars ListRecent Federal Court Decision Favors Class Action DefendantsSubstitute Materials — What Are Your Duties? What Are Your Risks? (Law Note)You Can Now Build a Multi-Million Dollar Home via Your iPadInsurers Reacting to Massachusetts TornadoesThe Most Expensive Travel Construction FlopsA Win for Clarity: What a Recent Federal Court Decision Means for Davis-Bacon ComplianceHow a Robot-Built Habitat on Mars Could Change Construction on EarthAttorneys Fees Under California’s Prompt Payment Statutes. Contractor’s “Win” Fails the Sniff TestPowering Goal Congruence in Construction Through Smart ContractsInsured’s Failure to Determine Depreciation When Presenting Claim for Replacement Cost ValuePollution Exclusion Found AmbiguousA Court-Side Seat: Guam’s CERCLA Claim Allowed, a “Roundup” Verdict Upheld, and Judicial Process Privilege LostA Community Constantly on the Brink of Disaster
