Real Estate & Construction News Roundup (4/1/26) – President Trump’s EO Affects Federal Funding, Fannie Mae Accepts Crypto-Backed Mortgages, Private Sector Construction Weakness Offsets Public Sector Gains
April 08, 2026 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogIn our latest roundup, California to pursue office-to-housing conversions, hoteliers to increase investment in artificial intelligence, private credit exodus to boost commercial real estate capital, and more!
- President Donald Trump’s executive order to remove regulatory barriers to affordable home construction could affect federal funding for cities and states that don’t follow what the order calls “regulatory best practices,” including faster permitting, fewer green building mandates and relaxed limits on exurban development. (Robyn Griggs Lawrence, Multifamily Dive)
- California state policymakers have been pursuing policy changes that remove barriers to converting older commercial buildings into housing. (Keith Loria, Construction Dive)
- Private sector weakness largely offset modest gains in public construction spending, despite data center gains. (Sebastian Obando, Construction Dive)
Read the full story...Reprinted courtesy of
Pillsbury's Construction & Real Estate Law Team
New Law Prompts ABC Minnesota/North Dakota to Design New Telecommunications Safety Training Program
June 29, 2026 —
Grace Calengor - Construction ExecutiveOn the first day of the year, a
Minnesota law requiring installers of underground telecommunication infrastructure broadband, fiber or phone lines (when projects utilize directional drilling, and/or work is being conducted within 10 feet of existing utilities) to undergo a 40-hour certification went into effect.
Originally passed in mid-2024 and proposed to go into effect in July 2025, the law’s requirements were postponed until January 2026, giving
ABC Minnesota/North Dakota—in partnership with
NCCER and the
Minnesota Cable Communications Association—time to roll out their
Safety Qualified Underground Telecommunications Installer training program, which would ensure the workforce of their contractor members were certified.
Reprinted courtesy of
Grace Calengor, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
Read the full story...
Nevada’s Mandatory Nonbinding Arbitration Law for Civil Cases is Going Through Changes
May 14, 2026 —
Brandon Wright & Manuel Gurule - Lewis BrisboisNevada currently operates an expedited litigation program designed to resolve civil disputes with a value up to $50,000 without incurring the “usual” expense of litigating these disputes. Over time, however, the number of civil cases that have been “exempted” from this program based on the claimed damages exceeding $50,000 has grown dramatically. In response, the Nevada Legislature recently enacted a number of rule changes designed to streamline Nevada’s arbitration process and include more cases. Among these changes are increasing the arbitration “cap” from $50,000 to $100,000.
By way of background, the Nevada’s Court Annexed Arbitration program is a mandatory, non-binding program for civil cases in judicial districts that have county populations of 100,000 or more [1]. Nevada’s Court Annexed Arbitration was born out of NRS 38.250, which was enacted in 1991 and went into effect in the summer of 1992. The newly enacted NRS 38.250 was regarded as a way to address the problem of increased court caseloads while promoting judicial economy and efficiency in civil cases having a probable jury award of less than $25,000 [2]. Initially, cases that were automatically exempt from the program included class actions, medical malpractice disputes, divorce proceedings, and other domestic relations matters [3].
Reprinted courtesy of
Brandon Wright, Lewis Brisbois and
Manuel Gurule, Lewis Brisbois
Mr. Wright may be contacted at Brandon.Wright@lewisbrisbois.com
Mr. Gurule may be contacted at Manuel.Gurule@lewisbrisbois.com
Read the full story...
Course of Construction Exclusions and the CGL Policy
July 20, 2026 —
Anna M. Perry, Rachel S. Kindseth & Nina Catanzaro - Saxe Doernberger & Vita, P.C.I. Course of Construction Exclusions
Course of Construction (“COC”) exclusions are found on General Liability and excess liability policies, typically a wrap-up or project specific policy, and generally exclude “all property damage occurring during the course of construction.” Insurers claim COC exclusions are not problematic because they are intended to prevent an overlap in coverage between the general liability policy and first-party property Builder’s Risk policy. However, because General Liability policies and Builder’s Risk policies provide coverage for different risks, COC exclusions can create a gap in coverage for owners and contractors. Therefore, any exclusion on a wrap-up or project specific policy that limits coverage for property damage liability should be scrutinized, and amendments sought when warranted and commercially achievable, for owners, developers and contractors because General Liability policies do not cover the same risk as that of a Builder’s Risk policy.
General liability policies provide defense and indemnity to the insured(s) for claims made by a third-party against the insured. Broad COC exclusions serve to preclude coverage for all property damage, not just property damage to the insured project. This includes property damage to property other than the insured project, e.g. an adjacent property. On the other hand, Builder’s Risk policies provide first-party property coverage for direct physical loss to the project during the course of construction. The Builder’s Risk policy will not provide coverage for property other than the project itself (e.g., adjacent property) and it will not provide a defense or indemnity in the event the owner of the damaged property brings a claim against a potentially at-fault party.
Reprinted courtesy of
Anna M. Perry, Saxe Doernberger & Vita, P.C.,
Rachel S. Kindseth, Saxe Doernberger & Vita, P.C. and
Nina Catanzaro, Saxe Doernberger & Vita, P.C.
Ms. Perry may be contacted at APerry@sdvlaw.com
Ms. Kindseth may be contacted at rkindseth@sdvlaw.com
Ms. Catanzaro may be contacted at NCatanzaro@sdvlaw.com
Read the full story...
The Who/What/How of Sealing Plans for Architects and Engineers (Law Note)
March 03, 2026 —
Melissa Dewey Brumback - Construction Law in North CarolinaThe proper use of professional seals in North Carolina is critical. Failure to follow the prescribed requirements can
subject you or your Firm to a Board sanction.
Did you know that the NC Board of Architecture and the NC Engineering Board have jointly prepared a fairly straightforward document that can tell you exactly what you need to know about sealing of plans?
That document,
the “Seal Brochure” (pdf) is available for download. Every state’s regulations are a little different (thank you Federalism!) so it is worth reviewing with your staff at regular intervals, especially if you do work across state lines.
Read the full story...Reprinted courtesy of
Melissa Dewey Brumback, Ragsdale Liggett PLLCMs. Brumback may be contacted at
mbrumback@rl-law.com
AI Adoption in Construction: A UK Practitioner’s View
April 20, 2026 —
Aarni Heiskanen - AEC BusinessI recently talked with
Chris Brady, an AI adoption consultant based in Birmingham, UK, who has spent 18 years working in construction. Two years ago, he began integrating AI into his work with contractors and SMEs, initially as an add-on service, and it has since become his main business.
Chris now runs
Metrix, an AI consultancy focused on UK construction companies, alongside two other ventures: Trade Upskill, an education platform for construction professionals, and ctrldash.ai, a compliance-automation SaaS for construction SMEs, both of which are soon to launch.
What struck me most in our conversation was how grounded his approach is, built on years of direct industry experience rather than arriving from outside with a technology solution looking for a problem.
Read the full story...Reprinted courtesy of
Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
Integration Can Inoculate in Utah
July 20, 2026 —
Mark O. Morris - Snell & WilmerThe Utah Court of Appeals recently reaffirmed, in the construction context, Utah’s strict approach to enforcing integration clauses to preclude parol evidence and other legal theories that would vary the written terms of a contract. In Reid v. All Surface LC, 2025 UT App 134, decided last September, the court affirmed in all respects the trial court’s grant of summary judgment based on the strength of an integration clause against a homeowner who sued a contractor for breach of contract, breach of the covenant of good faith and fair dealing, fraud, negligent misrepresentation, civil conspiracy, negligence, and breach of the implied warranty of habitability. More recently, however, the same court rejected those same arguments in Tidwell v. Jensen, 2026 UT App 13 as to tort claims arising from a used car sale.
The facts in Reid were sympathetic to the plaintiff. After being told she had a mold issue near a defective basement shower, the plaintiff solicited bids. A remediation contractor advised that while it could address the mold, the shower replacement should be handled by someone else. The plaintiff contacted All Surface LC, a shower replacement contractor. During an interview, the sales representative stated that All Surface could “do full mold remediation, tear everything out, and reframe the shower.” The plaintiff ultimately retained All Surface, expecting it would both resolve the mold issues and replace the shower.
Read the full story...Reprinted courtesy of
Mark O. Morris, Snell & WilmerMr. Morris may be contacted at
mmorris@swlaw.com
Managing Rising Costs and Shifting Legal Risk for Florida High-Rise and Condominium Projects
May 05, 2026 —
Stephen Hauptman - Ball Janik LLPFlorida's construction defect landscape is experiencing a major shift. The convergence of material and labor cost volatility, regulatory tightening, and increasingly complex litigation strategies is forcing associations, developers, and their counsel to rethink how they approach risk management and dispute resolution. For those managing large-scale condo and high-rise projects, the stakes have never been higher.
The Cost Volatility Trap
Construction material prices rose at a "staggering" 12.6% annualized rate during the first two months of 2026, according to
recent industry analysis. Tariff impacts are projected to lead to more increases of 5.4% to 6.8%, depending on property type. For associations facing construction defect claims, this volatility creates a cascading problem: repair scopes defined two years ago are now dramatically underpriced, and damage calculations that appeared reasonable at discovery are obsolete by the time of settlement.
Courts and mediators are increasingly scrutinizing how cost estimates were developed and whether they account for existing market circumstances. Associations must now commission updated repair assessments more frequently, a practice that increases investigation costs but strengthens the credibility of damage claims. Conversely, defendants are weaponizing cost inflation as a defense, arguing that claimed damages are speculative or inflated. The practical result: repair sequencing and phasing strategies have become critical litigation tools. Associations that can demonstrate a rational, cost-effective repair plan tied to current market data are more favorably placed in settlement negotiations.
Regulatory Pressure and Deliberate Timing
Florida's 2026 condo compliance regime has significantly changed the defect claims landscape. Elevated transparency requirements, stricter reserve funding mandates, and tightened building safety inspection protocols mean that associations now face dual pressures: Comply with new regulations while simultaneously handling construction defect exposure.
This regulatory environment is changing investigation and documentation strategy. Associations that delay defect investigation to avoid triggering reserve funding obligations or disclosure requirements are taking on considerable legal risk. Recent case law such as the Third District Court of Appeal's reaffirmation of Chapter 558's pre-suit mediation requirements, underscores Florida's intent to resolve disputes early. Associations that move deliberately and record carefully during the pre-suit phase gain leverage in mediation and reduce the risk of expensive litigation.
Timing also intersects with repair sequencing. Associations must now balance the urgency of compliance inspections against the strategic advantage of phased repairs. Some associations are using compliance deadlines as a forcing mechanism to accelerate settlement discussions, while others are sequencing repairs to demonstrate good-faith remediation efforts before litigation commences.
The Emerging Risk Transfer Challenge
As construction defect claims grow more complex and costly, the traditional risk transfer systems, such as design-build warranties, contractor bonds, and insurance, are proving inadequate. Developers and general contractors are increasingly shifting risk to subcontractors and material suppliers, fragmenting liability and complicating recovery efforts for associations. Permitting and approval friction is also creating new litigation pressure points. Delays in municipal approvals, changes to building code interpretations, and disputes over remedial work compliance continue to spawn collateral claims that go beyond the original defect. Associations must now anticipate not only defect liability but also regulatory compliance disputes with municipalities, creating a dual-front legal challenge.
For large communities, this means reconsidering the entire risk architecture. Insurance carriers are tightening coverage, and traditional indemnification chains are breaking down. Forward-thinking associations are engaging counsel earlier in the development process to negotiate clearer risk allocation provisions and more robust insurance requirements.
Taking a Data-Driven Approach
Managing rising costs and shifting legal risk in Florida's high-rise and condo market requires a more sophisticated, data-driven approach. Associations must commission frequent cost updates, move deliberately through pre-suit investigation and mediation, and challenge traditional assumptions about risk transfer. Developers and their counsel should view regulatory compliance not as a burden but as an opportunity to demonstrate good-faith risk management and strengthen settlement positioning.
The firms and associations that succeed in 2026 will be those that treat cost volatility, regulatory change, and litigation strategy not as separate challenges but as linked elements of a coherent risk management framework.
Stephen Hauptman is special counsel in Ball Janik LLP’s Fort Lauderdale office. He may be reached at shauptman@balljanik.com.
