Real Estate & Construction News Roundup (8/12/26) – Data Center Momentum Increases, Multifamily Construction Projects Decline, CRE Returns as Top Investor Preference
September 01, 2026 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogIn our latest roundup, office vacancies fall, fair housing advocacy groups sue HUD, foreign buyers reduce purchases of U.S. residential real estate, and more!
- After a brief slowdown to begin the summer, data center construction planning momentum picked up in July, again shining as the brightest sector in building. (Zachary Phillips, Construction Dive)
- The number of finished multifamily construction projects declined last year — welcome news for multifamily operators eager to work through the recent supply wave — and a record share of new apartments were high-density. (Julie Strupp, Multifamily Dive)
- Fair housing advocacy groups sued the U.S. Department of Housing and Urban Development, claiming the agency’s funding restructuring drastically reduces their ability to receive funds from the Fair Housing Initiatives Program. (Ryan Kushner, Multifamily Dive)
Read the full story...Reprinted courtesy of
Pillsbury's Construction & Real Estate Law Team
U.S. Supreme Court Decision Alters Course of $745M Louisiana Coastal Damage Judgment
June 15, 2026 —
Jennifer Kretschmann & Jennifer E. Michel - Lewis BrisboisThe U.S. Supreme Court has issued a unanimous decision allowing oil and gas companies to move Louisiana coastal erosion lawsuits from state court to federal court under the federal officer removal statute. While the ruling is procedural, it carries significant implications for environmental- and energy-related risks. The case,
Chevron U.S.A. Inc. v. Plaquemines Parish, Louisiana, Slip Op. 24-813 (April 17, 2026), addressed a threshold jurisdictional question but has broader significance for environmental and climate related litigation. State courts are often viewed as more favorable forums for plaintiffs asserting environmental damage claims, particularly those brought by governmental entities.
The opinion issued on April 17, 2026 is the latest development in long-running Louisiana coastal litigation that began more than a decade ago. Starting in 2013, Louisiana parishes filed 42 lawsuits against oil and gas companies alleging environmental damage related to historic oil field operations. The parishes alleged that oil and gas companies violated state coastal management laws by failing to properly restore impacted areas. Chevron sought to remove the cases from state court under 28 U.S.C. § 1442(a)(1), known as federal officer removal, which provides federal jurisdiction over “any person acting under [an] officer” of the United States "for or relating to any act under color of such office." The Fifth Circuit rejected the argument and remanded the case, and others like it, to state court. Trial began in March 2025 in Point à la Hache, Louisiana. On April 4, 2025, the jury awarded a total of $745 million to compensate for land loss, contamination and abandoned equipment. On June 16, 2025, the U.S. Supreme Court agreed to review the question of whether a federal contractor can remove to federal court when sued for oil-production activities undertaken to fulfill a federal oil-refinement contract.
Reprinted courtesy of
Jennifer Kretschmann, Lewis Brisbois and
Jennifer E. Michel, Lewis Brisbois
Ms. Kretschmann may be contacted at Jennifer.Kretschmann@lewisbrisbois.com
Ms. Michel may be contacted at Jenny.Michel@lewisbrisbois.com
Read the full story...
Sausage-Making Often Relies on the Good Sense of the Chef Rather than the Recipe
June 23, 2026 —
Garret D. Murai - California Construction Law BlogEven for lawyers, the rules governing litigation can get complex and convoluted. Does something need to be filed? What needs to be filed? When is the deadline for filing?
Simple questions with not always with straightforward answers.
This was the case in
R & J Sheet Metal, Inc. v. W.E. O’Neil Construction Co. of California, 111 Cal.App.5th 878 (2025), which involved sheet metal panels lost when they fell into the Port of Long Beach harbor.
Read the full story...Reprinted courtesy of
Garret D. Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com
Federal Court Pauses New Mexico PFAS Labeling Rule, but Not Its Bans or Reporting Deadline
October 26, 2026 —
Ashleigh K. Myers, Jillian Marullo & Claudia Vetesi - Gravel2Gavel Construction & Real Estate Law BlogAs we
previously reported, New Mexico adopted novel product labeling requirements that would require manufacturers to display a PFAS flask symbol on covered products. Those requirements are now on hold. A coalition of industry associations led by the American Chemistry Council sued in federal court, arguing that the mandate unconstitutionally compels speech in violation of the First Amendment. On September 16, 2026, the U.S. District Court for the District of New Mexico
preliminarily enjoined enforcement of the labeling rule while the case, American Chemistry Council v. Kenney, No. 1:26-cv-02130-MIS-SCY, proceeds. The court found the challengers likely to succeed because New Mexico had not shown a reasonable fit between the label and its interests in protecting consumer health and the environment.
A Broad Rule Built Around One Symbol
New Mexico enacted its
PFAS Protection Act in April 2025, joining Maine and Minnesota as the third state to adopt broad reporting requirements and eventual sales restrictions for products containing intentionally added per- and polyfluoroalkyl substances (PFAS). The Act also authorized the Environmental Improvement Board to require PFAS labels on products. The Board’s
implementing rule, which became effective July 1, 2026, specified the exact format of the label and how it had to appear.
Reprinted courtesy of
Ashleigh K. Myers, Pillsbury,
Jillian Marullo, Pillsbury and
Claudia Vetesi, Pillsbury
Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com
Ms. Marullo may be contacted at jillian.marullo@pillsburylaw.com
Ms. Vetesi may be contacted at claudia.vetesi@pillsburylaw.com
Read the full story...
Voluntary Dismissal of an Indemnity Claim Does Not Make the Subcontractor a “Prevailing Party,” Washington Court of Appeals Holds
September 21, 2026 —
Margarita Kutsin - Ahlers Cressman & Sleight PLLCIn
King County v. Walsh Construction Company II, LLC, No. 86503-0-I (Wash. Ct. App. Aug. 4, 2025), an unpublished decision from Division I of the Washington Court of Appeals, the Court affirmed the denial of a subcontractor’s request for prevailing-party attorney fees under an indemnity clause after the general contractor voluntarily dismissed its indemnity claims. Because the indemnity claim was no longer live and no determination of fault had occurred, the Court held that the trial court did not err in denying the request. ACS represented Walsh, the general contractor, in securing the denial of the fee request at the trial court that the Court of Appeals affirmed.
A Pass-Through Indemnity Claim That Ended Before Fault Was Decided
The dispute arose out of a public works contract under which King County hired Walsh Construction Company II, LLC (“Walsh”) to construct and install a conveyance pipeline. After the pipeline broke, King County sued Walsh for breach of contract and warranty, expressly identifying both Walsh and its subcontractor, Mears Group Inc., (“Mears”) as responsible. Walsh tendered defense and indemnity to Mears under the subcontract.
Read the full story...Reprinted courtesy of
Margarita Kutsin, Ahlers Cressman & Sleight PLLCMs. Kutsin may be contacted at
margarita.kutsin@acslawyers.com
Trial-Tested Property Litigator Kimberlee Martin Joins Ball Janik LLP's Orlando Construction Defect Team
October 06, 2026 —
Ball Janik LLPORLANDO, FL, September 30, 2026 — Ball Janik LLP has added Kimberlee A. Martin to its Construction Defect Practice Group as an associate in the firm's Orlando office. For more than a decade, she has litigated matters in the fields of criminal defense, first-party property, and insurance disputes, taking cases and claims from inception through jury trial. It's the same path many of Ball Janik's clients face when construction goes wrong, and her arrival deepens the firm's trial bench in Central Florida.
"Florida property owners are dealing with complex building problems and less time to act on them. That puts a premium on attorneys who can take a case the distance," said James C. Prichard, Managing Partner of Ball Janik LLP. "Kimberlee has carried property and insurance claims from pre-suit all the way through trial, working hand in hand with experts along the way. Community associations and commercial property owners need exactly that combination, and she brings it to our team on day one."
Most recently, Kimberlee served as Litigation Director, where she oversaw homeowners' property claims in pre-suit and litigation, managed a substantial caseload, and guided associate attorneys on litigation strategy. Her civil work includes jury trials, summary judgment and dismissal motions, expert and witness depositions, mediations, and site inspections, along with close coordination with contractors, consultants, and other experts.
That skill set maps directly onto construction defect and insurance recovery litigation, where cases often turn on site evidence, expert testimony, and a credible readiness to go to trial.
"I've seen firsthand how much is at stake when a building has problems: owners' investments, residents' homes, and everyone's peace of mind," said Kimberlee. "Ball Janik is focused on exactly those clients, which made this a natural next step for my practice. I'm excited to join this team and help property owners hold the responsible parties accountable and get their buildings repaired."
Kimberlee earned her J.D., cum laude, from Florida International University College of Law and her B.A. in political science, with a minor in legal studies, from the University of Central Florida.
About Ball Janik LLP
Ball Janik LLP is a Florida-based law firm offering construction defect, construction law, insurance recovery, and commercial litigation counsel, to its local and national clients. The firm was founded in 1982 and has expanded its capabilities, professionals, and geographic footprint. What started as a small firm focused on real property, land use, and litigation (known then as Ball Janik & Novack) has grown to a team of 70-plus attorneys and paralegals in five offices in Florida, with centuries of combined experience and capabilities. The firm has been recognized by Chambers USA, including for its construction law capabilities in Florida, U.S. News & World Report and Best Lawyers®, The Best Lawyers in America©, Super Lawyers, and Corporate International. Read more at www.balljanik.com.
Utah’s Emerging Framework for Responsible Data Center Development
September 08, 2026 —
Denise A. Dragoo & Josh Miller - Snell & WilmerUtah is establishing itself as one of the nation’s most attractive jurisdictions for large-scale data center development, with a structured, defensible regulatory pathway that gives developers and investors the clarity needed to deploy capital at scale. The cornerstone is Executive Order 2026-03, “Establishing a Higher Bar for Data Center Development in Utah,” signed by Governor Spencer J. Cox on May 29, 2026.
The Executive Order creates an actionable compliance framework letting developers demonstrate stewardship across water, air quality, energy, wildlife, and community engagement – reducing regulatory and reputational risk. Recent enactments on energy self-supply and water rights operationalize these principles, while a few counties have adopted short-term local moratoria to update zoning; understanding how these interact with the state framework matters for site selection.
Reprinted courtesy of
Denise A. Dragoo, Snell & Wilmer and
Josh Miller, Snell & Wilmer
Ms. Dragoo may be contacted at ddragoo@swlaw.com
Mr. Miller may be contacted at jmiller@swlaw.com
Read the full story...
Potential Gap in Workers Compensation Immunity Statutory Framework
June 02, 2026 —
David Adelstein - Florida Construction Legal UpdatesWorkers compensation insurance is important. As an owner, you want to ensure the contractors you hire have workers compensation insurance. Assuming you hire a contractor that is statutorily exempt from workers compensation, you want to make sure, no exception, that any subcontractor that is hired has workers compensation insurance. (Regardless, you always want subcontractors to have workers compensation insurance.). In construction, the prime contractor serves as the “
statutory employer” for purposes of workers compensation insurance.
With workers compensation comes
workers compensation immunity.
Read the full story...Reprinted courtesy of
David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
