Homeowners of upscale condos in San Francisco's Millennium Tower, featuring water leaks in the building's storage area and crumbling water-damaged walls in their garage, have filed multiple lawsuits against the building's developer, Millennium Partners, as well as against the city and the Transbay Joint Powers Authority.
But these homeowners might be tilting at windmills in their quest to get someone to pay to repair construction flaws that are causing the tower to sink into the ground- 16 inches so far - and to list 15 inches to the side measured at the top point.
According to Bloomberg.com's article with the Associated Press, even though Millennium Partners carries a liability policy for $100 million, that may not be enough to cover the cost of the repairs.
Worse, that policy may have been voided by flaws in the building. “I don't foresee a scenario where anyone writes a check under any policy,” said Sarah Sherman, the U.S. property practice leader at JLT Specialty USA, an insurance broker in San Francisco.
In short, owners might have to pay to repair the still-sinking tower themselves. Assuming someone can figure out how to fix the quagmire.
Click here for photos and Bloomberg's Who Will Pay for San Francisco's Tilting Tower?