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BBB Accredited Business since
Phone: (210) 680-5626 Fax: (210) 680-5625 7915 Mainland Dr Ste 200, San Antonio, TX 78250
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A BBB Accredited Business since
BBB has determined that KM Builders meets BBB accreditation standards, which include a commitment to make a good faith effort to resolve any consumer complaints. BBB Accredited Businesses pay a fee for accreditation review/monitoring and for support of BBB services to the public.
BBB accreditation does not mean that the business' products or services have been evaluated or endorsed by BBB, or that BBB has made a determination as to the business' product quality or competency in performing services.
Reason for Rating
BBB rating is based on 13 factors. Get the details about the factors considered.
Factors that raised the rating for KM Builders include:
- Length of time business has been operating
- Complaint volume filed with BBB for business of this size
- Response to 4 complaint(s) filed against business
- Resolution of complaint(s) filed against business
Customer Complaints Summary Read complaint details
|Complaint Type||Total Closed Complaints|
|Problems with Product/Service||4|
|Total Closed Complaints||4|
Customer Reviews Summary Read customer reviews
|Customer Experience||Total Customer Reviews|
|Total Customer Reviews||2|
Licensing, Bonding or Registration
This business is in an industry that may require professional licensing, bonding or registration. BBB encourages you to check with the appropriate agency to be certain any requirements are currently being met.
These agencies may include:
City of San Antonio Development Services Department
1901 S Alamo St, San Antonio TX 78204
Phone Number: (210) 207-1111
Type of Entity
Business ManagementMr. Keith Moehle, President
Contractors - General Home Builders Home Improvements Home Improvements - Additions Painting Contractors Roofing Contractors Construction & Remodeling Services Cabinets Contractors - Flooring Kitchen & Bath - Design & Remodeling Kitchen Remodeling Kitchen & Bath Design Outdoor Kitchens
Alternate Business NamesKM Builders Inc KM Construction KM Design Center KM Remodeling
This company offers design/build services for remodeling kitchens, baths, room additions, outdoor living areas, etc.
Industry TipsBefore You Build Your Home Tips for hiring a contractor Tips for hiring a roofing contractor
Customer Review Rating plus BBB Rating Summary
BBB Customer Review Rating plus BBB Rating Overview
7915 Mainland Dr Ste 200
San Antonio, TX 78250 (210) 680-5626 Directions
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Complaint Trends - Last 3 Years
Customer Review Trends
BBB Customer Review Rating plus BBB Rating Overview
BBB Customer Reviews Rating represents the customers opinions of the business. The Customer Review Rating is based on the number of positive, neutral and negative customer reviews posted that are calculated to produce a score.
|Customer Review Experience||Value|
|Positive Review||5 points per review|
|Neutral Review||3 points per review|
|Negative Review||1 point per review|
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Problems with Product/Service
Read Complaint Details
Complaint: KM Builders/Remodeling was contracted on 3/2/15 to build a garage extension to our existing garage. We paid a deposit for design fees. At proposal meeting, ***** ****** (*****) presented the proposed design and options to consider for our requested project. Base project price with profit and overhead were presented, along with prices (minus profit and overhead) of the various options. When my wife and I decided on the two options we wanted, Mr. ****** had his staff present us a final proposal that included the price of the two options selected. However, profit and overhead was only calculated against one of the options (Driveway) and not the other options (Electrical). As I calculated the presented cost myself, I questioned Mr. ****** about how he calculated the profit and overhead. ***** ******'s response was that profit and overhead were not calculated against any subcontracted costs, of which the Electrical option was a subcontracted cost. That explanation made sense I was then able to calculate the figures presented by KM Builders. We signed the contract and paid KM Builders an initial down payment (per the payment schedule). Due to the overall project cost, the next day, 3/3/15, I spoke with Mr. ****** and told him we were unsure of the project. I told Mr. ****** to put a hold on the project and not to incur any further costs for the project. While understanding that the initial deposit we paid for design was non-refundable, I asked if he would refund us our down payment. ***** ******'s response was he tends to not refund any payments made, and told me that he would like to do a future project for us for which he would apply our down payment to and he would not charge for any re-design work. On 3/23/15, I called ***** ******, informing him of the decision we had come to regarding the project. I informed Mr. ****** that we did not want the garage extension and that we only wanted the Electrical option portion, minus certain items. ***** ****** stated he would have his staff get in contact with me in a day or two. By 3/31/15, I had not heard from KM Builders or ***** ******; therefore, I contacted him. I told Mr. ****** that our preference was to have the down payment returned to us. Being that Mr. ****** told me on 3/3/15 that he had incurred additional costs over the design fee in the contract, I offered to pay him a reasonable amount for that initial design effort. But, if Mr. ****** was still insisted to not return our down payment, then have it applied to the Electrical option. On 4/1/15, Mr. ****** responded stating he would finish discussing with his team that day and that he would call or e-mail afterward, but he would not furnish me with any lists of costs. Having not received anything from KM Builders or ***** ******, I followed up with ***** ****** on 4/16/15. KM Builders finally provided me Change Order #1 on 4/20/15. However, it did not have any of the deductions from the Electrical option that I discussed with ***** ****** on 3/23/15 (this is because no one from his office called me to go over the deductions). Within Change Order #1, KM Builders was providing us credit for the initial deposit and down payment, which was keeping with what Mr. ****** told when we spoke on 3/3/15. Upon reviewing of Change Order #1, I noticed that KM Builders had now included profit and overhead against the Electrical option, of which KM Builders had not previously included in the final proposal or subsequent original contract. Some of the other direct costs also seemed excessive. I responded back to ***** ****** that evening on 4/20/15. I informed Mr. ****** that some of his direct costs should be further reduced based on the work remaining in Change Order #1. I also informed Mr. ****** that the Change Order #1 did not contain any of the deductions to the Electrical option that I discussed with him on 3/3/15. Lastly, I informed Mr. ****** that the original contract did not have profit and overhead applied against the Electrical option, restating back to Mr. ****** what he told my wife and I on 3/2/15 that profit and overhead did not include subcontracted work. Having not received a response from ***** ******, I followed up with him on 5/3/15. I also provided a copy of the Change Order #1 with annotations that some of the direct costs should be reduce further, identifying the deductions desired to the Electrical option, and indicating that profit and overhead should be reduced for they should not include the Electrical option per the original contract and Mr. ******'s statement on 3/2/15. Three more weeks had passed and I still had not heard from ***** ******. So, I followed up with Mr. ******, again, on 5/25/15. Because neither ***** ****** nor KM Builders had contacted me in five weeks, I requested our down payment be returned to us. On 5/28/15, ***** ****** replied. He apologized for the exceptional delay, stating he had gone through some loss of personnel and gotten behind on multiple items, mine included. Mr. ****** provided a revised proposal, Change Order #2, that included the deletions I indicated to the Electrical option, but he disagreed with my other requests. ***** ****** stated he did not want to prevent me from losing all the money I had spent (down payment and design deposit), and he did not feel that he was obligated to refund or even apply all the money that I had paid for the original project. As a result, Mr. ****** stated he would not credit me for the design deposit since the project was not the project they designed. ***** ****** also stated that he reserved the right to rescind the offer. After review of Change Order #2, I replied back to ***** ****** on 5/29/15. I reminded Mr. ****** that when he and I spoke on 3/3/15, he stated he would apply what we had paid to a future project and he would redesign at no additional cost. I further reiterated that his profit and overhead should not include the Electrical option, stating they were not included in the costs in the original contract and Mr. ******'s explanation on 3/2/15 that he does not include subcontracted work in factoring his profit and overhead. I attempted to negotiate an offer with Mr. ******. Additionally, because I had not received any actual construction work from KM Builders yet I indicated that any further payment I would provide would be payable upon completion of the project. Otherwise, if I made full payment I would not have any leverage to ensure the work was completed in a timely and satisfactory manner. If ***** ****** did not accept my offer then I requested he return my down payment, with allowing him to retain a portion to cover the full cost for project design development (indicated in the contract and change orders). ***** ****** responded on 6/2/15, stating the only reason I did not see profit and overhead applied was because it was in a list of options. He further stated that he had explained to me at time of proposal that any option I selected would have these (profit and overhead) applied after the total number of options had been selected by me, and indicated he would not negotiate the prices with me unless I brought some other reason to the table that he deemed legitimate. That same day, 6/2/15, I responded back to ***** ******. I concurred that the original proposal that included all the options did not have profit and overhead applied. Then I explained to Mr. ****** that in the final proposal presented by KM Builders, after my wife and I had decided on the options we wanted, that profit and overhead applied. However, the profit and overhead that was applied in the final proposal was only applied to one option (Driveway) and not the second option (Electrical). Based on Mr. ******'s last claim regarding his profit and overhead, I explained to Mr. ****** that if profit and overhead had been applied to all the selected options what the additional profit and overhead would have been if factored against the Electrical option, as well as indicating to him what the contract Grand Total would have been if profit and overhead had been factored against all the selected options. I indicated what the final amount would be for the Change Order if profit and overhead were factored in accordance with the original contract (not against Electrical option), as well as KM Builders applying the design deposit I paid and Mr. ******'s statement to me on 3/3/15 that he would redesign a future project at no additional charge. I also provided ***** ****** a copy of the KM Builder's final proposal that includes the options my wife and I selected and pointing out that profit and overhead did not include the Electrical option, and I provided the last two pages of the contract to show the grand total price in the contract matched the price in the final proposal. I have provided a legitimate response, based on factual information. It is 6/8/15, another week has gone by since my communication to ***** ******, and no response or progressive movement from the business.
Desired Settlement: Along with application of my down payment, in accordance with ***** ******'s statement on 3/3/15 I request design deposit be applied to the Change Order, as also indicated in the original contract and Change Order #1. In addition request that profit and overhead be factored keeping in accordance with the final proposal and original contract, which is that profit and overhead is not applied to the Electrical option work. Otherwise, refund my down payment, with KM Builders keeping the design deposit.
Business Response: Mr ******* is correct in almost everything he has described. He does not understand that what I was willing to do in the original contract, specifically, remove any profit or overhead for the electrical portion of a much larger contract, I am unwilling to do for a much smaller contract as I must cover my overhead and would like to make a profit on this job without using up all the funds we needed to cover our costs for the design work. He now has the design work and detailed budget which I told him would only wold only be given to him if he paid a downpayment. He paid the downpayment and took all the design work and the detailed budget. Now after receiving everything he needs to do the building on his own he is unhappy with his decision. Applying the down payment to a different contract is a very generous offer considering we are in a contract to build the building and I am acquiescing greatly by even considering rescinding that contract. We reserve the right to apply overhead and profit to any future contract if we are going to apply the down payment from previous contract. This offer will expire in 30 days.
I am responding to Mr. *******’s response per paragraph as follows:
Problems with Product/Service
Read Complaint Details
Complaint: We contacted KM Builders after hearing the advertising show on WOAI radio. ***** ****** and his associate Jesse arrived to talk to us about our project on March 2, 2015. The project involve building out the 1st floor of our barn and adding an 20'x 20' extension to the footprint. The first floor was 1400 sq. ft. The renovations would include 2 bathrooms, 2 bedrooms, kitchen, living room, dining room and laundry. ***** said it could be done for $150k. That was the number we were thinking but had not shared it with him. I felt confident that it could be done based on their experience. I signed a design agreement and ***** asked for $3000. ***** said that if we decided not to go forward with the build he would refund the $3000. He also added a handwritten note to the "Project Description" line. " 20x20 room addition; remodel 1400 sq. ft. , 2 bathrooms...client will pay additional $3000 if it decided to move forward with project. Contractor will refund client $3000 if project can't be designed for above budget and client decides not to proceed with the above project." About a week later the KM Builders staff showed up to measure everything. ***, *******, and **** ******* their architect. They were here 3 or so hours. I gave **** a list. It included the obvious needs, 2 bedrooms, a master and a guest bedroom which would accommodate 2 queen size beds. Kitchen with induction range, soapstone and butcherblock countertops, linear drains in the showers. Living room, dining room, laundry room. 6 to 8" baseboards etc. we sat down and **** made a rough sketch to get an idea of what I wanted. We seemed to be on the **** page. On May 4th, 2015 ****** and I met **** at the KM showroom to see the preliminary drawings. We were excited. It took a while for **** to show us the actual drawings. We wondered why. **** explained that remodeling on average costs $100 per sq. ft. And the kitchen $250 per sq. ft., bathrooms $20k-$30k. He also said the he wished that ***** had talked to him about the project first. ****'s first drawing didn't include the 20'x20' extension. He said that this design would cost $132k and the extension would take another $60k! That's the reason he didn't include it. Then he had a second drawing. It had 3!!! Bedrooms......never ever did we say we wanted 3 bedrooms (tiny). We tried to understand what had just happened. We decided we couldn't go forward and we'd have to find a way to get it done. We can not spend more than $150k. I texted **** to not spend any more time on the project and asked for a refund. ***** called me and wanted us to let them finish the design and he would Only charge us an additional $2000! I have a design degree and can do that myself. Why would we want to waste any more time with drawings that did not address our needs? I mailed a formal refund request to KM Builders on May 23, 2015.
Desired Settlement: Refund $3000 as per the signed agreement.
Mr and I have mutually agreed to dissolve this issue. **** ***** has agreed to remove her complaint from the BBB and I will refund her the design fee. I s. *****would like to express my sincere apology to **** *****. KM BUILDERS works diligently to keep the communication flowing and tries to avoid miscommunication at all costs.
Better Business Bureau:
Problems with Product/Service
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Complaint: Was seeking estimates from several vendors to install a small outdoor kitchen (grill; sink; small refrigerator) on an existing deck. KM Builders was the only vendor who insisted on charging a “design fee”, originally of $1500.00. When I stated that I was not interested in paying any sort of design fee, the company’s representative (Mr. ***** ******) said he was willing to reduce the fee to &750.00. Given the small scale of the proposed project and the fact that no other vendors were asking for any sort of design fee, I continued to decline paying the adjusted fee of $750.00. At that point Mr. ****** stated that he was willing to refund the entire fee should I choose not to go forth with the project, which led me to agree with that understanding. Email correspondence with KM Builders to resolve the issue and to obtain the refund has not worked. Essentially, Mr. ******’s contention regarding the refund is at odds with my recollection of what was stated, and he is not willing to refund the $750.00. If I had not understood that the refund conditions were as stated in the preceding paragraph, I would not have agreed. Mr. ****** claims otherwise, so we have a standoff, but KM Builders has the money.
Desired Settlement: KM Builders should refund me $750.00.
KM BUILDERS presents the Design Deposit Agreement the same way at each consultation. Upon agreement made by the homeowner and the KM BUILDERS representative, a Design Deposit Agreement is then filled out with the design fee written on the Design Deposit Agreement Contract and signed by the homeowner acknowledging the agreed/ upon amount and estimated project amount. This Design Deposit Agreement clearly states that “The total sum shall be applied at the time of the original proposal presentation of any proposal/ contract related to this Design Deposit Agreement and is otherwise non-refundable”.
KM BUILDERS has maintained an "A+" with the Better Business Bureau for several years. We strive to ensure our clients are well taken care of and communication is key. A negative review is extremely rare. This complaint has been discussed in-depth and to everyone's recollection; the verbal agreement stated above did not occur. We are deeply sorry for the confusion and will agree to reimburse 1/2 as a compromise if the customer will agree that this is fair and the matter will be settled.
Better Business Bureau:
Problems with Product/Service
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Complaint: KM builders were hired to design and build an expansion to a house being considered for purchase. They designed a construction plan that did not meet city setback requirement & could not be financed or built. The owner is ***** ****** refused to return the earnest money that was taken for the construction.
Desired Settlement: Refund earnest money and money paid for design
On 7/20/13 and again on 8/7/13 Mr and Mrs ******* hired KM Builders’ designer, **** ******, to design a concept for a room addition to a home they were considering purchasing. They were told that we could not obtain a plot map for the property to ensure that any addition would be within the building setback requirements for that subdivision. We told them that they would need to obtain that from the bank or the current owner. They pushed **** to develop the design concept for the addition without the plot map due to the fact they didn’t want to ask the homeowner for this and had a deadline to meet with their financing. **** worked day and night designing and pricing several different designs due to the fact that the *******s changed their mind about what they wanted repeatedly.
The *******s finally agreed on a design and asked **** to present pricing and a proposal to take to the bank. They put a down payment of $5000 toward the finalizing of the plans, scheduling and starting the project as soon as possible after they obtain the property.
The *******s later called and said they were financing there property and had received the plot map from the bank. They said that the room addition would not completely fit on the property as designed. We told them that we would help them apply for a variance or we could again quickly redesign the project to fit on the property and that there would be no additional charge. They said they would consider that.
The *******s later called and said that they had completed the financing of their home and that they wanted us to refund the money they had paid for the design and the money they had paid for the deposit to build the room addition.
I told the *******s I would be happy to apply the deposit of $5000 toward any room addition that we design and build onto their new home and that, in addition, we would not charge for the re-design work.
In conclusion, we have expended a larger amount of energy and costs for the ******* project especially in comparison to average projects in this price range - thus we have earned the money paid us for work delivered. Our position has not changed – we will still be willing to apply the deposit of $5000 toward any room addition that we design and build onto their new home and not charge for the re-design work.
Thank you for allowing us to clarify our position. As pointed out in the response, KM was hired with the understanding that we would design the customer's plan quickly to meet the deadline for closing. The promise was taken very seriously by us and that goal was met. Before closing there was a completed set of plans, detailed proposal, and signed contract for the construction of an addition in the front yard of the home you were purchasing. This was a tremendous undertaking because in addition to it being a large project, we went through several other plans and renovation ideas on the existing house to arrive at the final plans, all part of the outstanding service that was provided in getting to the final result.
Customer Reviews Summary