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Is Denver Pushing a Reform On Local Construction Defects?

The construction defects reform was out voted at the state-wide level last April 27, 2015 at a 6-5 vote. Senate Bill 177 aimed to provide protection for condominium developers from the threat of defects lawsuit. The senate bill if it were approved would have made mediation or arbitration the method for dispute resolution instead of lawsuits.

Denver Mayor Michael Hancock who supports the bill mentioned that in the event the bill fails, he would like to request officials to study a Denver version of SB 177 to protect condominium developers from class action defects lawsuits.

Mr. Tom Clark, the CEO of Metro Denver Economic Development Corporation, recognized the efforts of the bill and he believes that cities that support the bill should push through with it. Cities like Lakewood and Lone Tree have started to put local construction-defects reform ordinances in motion. The third city expected to travel down a similar path is Littleton.

Hancock mentioned that more people are showing their support to change laws in order to create more housing that would be more affordable for young professionals who are currently leasing apartments and paying rentals that are rapidly increasing.

Management rental companies in Denver observed that some people do not share the same opinion as Hancock. Rep. Max Tyler does not believe that the solution will not increase the supply of affordable housing or address the increasing insurance prices for builders.