Fifteen Beacon Contractors Demand Payment

BOSTON The city s latest boutique hotel, Fifteen Beacon, received allegations by many of the hotels contractors who rehabbed the historic Beaux-Arts Boston School Committee building for real estate magnate Paul Roiff, of non-payment of their fees. The roofing company says it is owed $50,000 and that will be initiating litigation. The insulation company says it is owed $60,000. The painting company claims it has an outstanding balance of $160,000; it too has sued. And Friel Development and Construction Co., the general contractor that did most of the work, sued Roiffs company and his financier, Fleet Boston, for $1.5 million in unpaid bills, alleging breach of contract and asking for triple damages. Friel has also been sued by some of the subcontractors. How did things get this bad? The contractor came to Roiff, and said he could blow through this job by September 1998 at a cost of $3.8 to $4 million, explains Roiffs lawyer Philip Tracy. He says the hotel was 16 months late in opening and eventually cost over $15 million to build. Friel is just trying to get paid its final costs, says his attorney John McNamara. (11/30/00)