ComplaintsforIroko Properties, LLC

• Initial Complaint

  09/27/2022

  Complaint Type:

  Order Issues

  Status:

  Resolved

  More info

  I hired Iroko Properties, LLC to remodel and add an addition to my home in ******, **. The estimates for completion were consistently raised during the project and this I understand. The problem was that the company refused to finish the project after I had paid for everything in full. The project has now gone on for over 1.5 years and I have been nice but to no avail. The Contractor *************************** always has come up with some type of reason for not finishing and now he states he wants me to pay for the final work done and then he will file for the Final Home Inspection. I already have paid in full for everything but there are a few jobs that need to be finalized like the painting which I paid over $11,000 for as an example. The painters were here to finish the job but he said they wanted an extra $300 so he sent them home. He owed me money for return items such as wood flooring but he said he forgot about that. I'm tired of the way he does business and just want the project finished, I'm entitled to have the job finished especially after $320,000 that I put into the project. Please help! The painting is just one example of what needs to be done that has been paid in full. The attic door has been open for over 10 months, I have also worked as an employee without pay just to make my residence livable. *************************** the contractor I have dealt with just makes one excuse after another and I am tired of it. I know I have rights! Thanks for your help with this matter.

  Business response

  10/12/2022

  ****, et al, 

  1) This was a cost plus agreement. Cost for the project is all direct costs like: subcontractors, labor, material,  equipment, rentals, permitting deliveries project management, to name but a few. Cost plus is a percentage charge (15% in this case) over the actual cost cover company  overhead and profit. Our model, as was explained to you, is outsourcing by employing the best possible subcontractors in their respective fields that are not the least expensive but will do good quality work, use of good quality material and deliver the best possible outcome for the project.   

  2) This project started in the middle of the pandemic with material shortages on key aspects of the project and continuous increases in lumber material cost.  These cost increases however unfortunate were passed through   as per the model in 1. above. 

  3) We tried to keep the cost as low as possible but given material and labor increases as a  result of the pandemic it was difficult to predict with accuracy the end cost. Being sympathetic to the rising cost we were willing not to charge overhead and profit for a good portion of the project for around $6K loss to the company and only pass the actual cost through to you.  

  4) The work was completed with additional items added at the end like for instance canned lights in the bathroom which you agreed to,  but in the end when we submitted the invoice you refused to pay. We paid my vendor to keep him whole as he did the work. 

  5) The items outstanding on the project are punch items, our communication to you was that we will complete the items  and as we will be doing them free of change, will complete them when we can dedicate a resource. We  contacted you about a month and a half ago to complete the open punch items as there was a lull and we had time available for punch item work, but you were going out of town and we needed to reschedule. 

  6) You contacted us recently via txt message to ask about completing the punch items, We reiterated the current cost position i.e. that we are more than willing to complete the punch items at a time we can dedicate a resource to this task.  As an alternative we proposed to bring in subs to do the work,  for you to pay them directly to complete the punch items,  if it was beneficial to you to get the work done sooner,  but as you chose not too.

  7) If the company had charged its full fees of cost plus for the project we would have had funds to contribute to this task and would have gladly completed this work. The work outstanding is around $700.   

  8) Our intention is to still complete the work when we have time to dedicate a resource. As an alternative we want to propose,  to resolve this,  we each contribute $350 to this and pay the people to do the work. 

  Please let me know what you decide 

  Managing Member

  Iroko Properties LLC

  Customer response

  10/12/2022

  **** has filed a generic rebuttal for the most part to my complaint.  During the work of over the last 1.5 years now that was completed, he continuously had his contractor crew redo mistakes or issues they had created e.g. (The refrigerator nook had to be redone because it was not the right size at a cost to me, the electrical work on the outside motion sensor light had to be redone because another of his contractors removed the wiring at a cost to me, the painting contractors made many mistakes but were never redone and they never cleaned up the paint on the windows or other areas as this was to be completed on the final touchups but **** sent them home saying they wanted an extra $300 for final touchups, forgetting that he owed me money for some wood flooring that was extra that couldn't be sent back as time had expired on returns, the microwave never had an electrical outlet inside the cabinet but was sealed up by the cabinet contractor and finally the microwave facing was put on months later at a cost to me, there was not supposed to be backsplash on the countertops but it was added by mistake and it was supposed to be removed, but it would have been a cost to me so I said to leave it at a cost to me).  I could go on and on with mistakes and extra costs to me not Iroko Properties.  Another issue I have is that **** never told me he was also a contractor doing miscellaneous jobs for my project on his own time, instead of just being in charge of the project oversight, he actually was paid to do contracting work not specified to me when hired.  He came out many times to do work but would never finish basic tasks and his promises to complete projects were just that, promises.  For a company to go overbudget a number of times during the project I can understand but after $320,000 of money that I spent for a completed project for **** to be worried about $300 for his painters to finish is just wrong, it doesn't make any sense.  He didn't even give me a chance to pay that, he just sent them home, he had an underlying issue and I'm not sure what it is, as a man's word and handshake are the most important things to me, and his timelines mean nothing.  He stated in his rebuttal that he was going to complete something on my project but that I was out of town, and he had to reschedule, but that is ridiculous as there was a key lock box, he could have had easy access, he is not being honest.  Also, he ordered extra doors and never returned them for a refund, extra wood flooring that had a timeline of return of 60 days and never returned them at $100 a bundle and there were 8 bundles that I finally had to sell back to **** for a total of $250, which is just wrong.  The extra tiles he ordered were never returned and were past the expiration for returns, it's just a pattern. One final thing as I could go on forever, I asked **** to clean up his contractor crews' messes of garbage and debris, beer cans, coffee cups, pallets, pallet bundling debris, etc. that only need to be placed in the dumpster and he sent me a bill for $1200 and I asked him nicely to remove a tree ***** from my property at least 10 times during 2021 and he just refused.  These are all examples to name just a few of inept and deceitful aspects of Iroko Properties, and that he was a contractor himself instead of just overseeing the project is just wrong.  I would like to be reimbursed for my continuous work on the project, and for the cleaning I had to do in the yard to remove everything that piled up over 1.5 years. Thanks!

  Business response

  10/12/2022

  Mark et al, 

   

  This will be our last response to this diatribe, as we were hoping that an amicable resolution could be found but that seems unlikely. 

  We tried to accommodate you by not charging our overhead and profit in a very difficult project from a timing, material and labor perspective which resulted in a great financial  loss to our company on an already tight project.   

  Our offer to close the open items still remains for you to accept or reject. 

  Rgrds

  Iroko Properties LLC

  Customer response

  10/13/2022

   
  Complaint: 18134534
  
  I am rejecting this response because:

  Iroko Properties owes me for the cleanup of a jobsite that was over 1.5 years in duration.  There is no excuse for such an occurrence.  Besides the unfinished project which I have waited patiently to be completed, and the repeatedly redoing a task at my cost, the least they could do is to compensate me for the cleanup that I personally did myself.  I removed everything that was on my property worksite related to the project, and I should have not had to do that, it is called business ethics.  It was an exhausting task for me. Iroko properties submitted a quote to me for cleanup of the property to be $1325 and I would like to be compensated for that at the very least, besides the other work that I completed as the homeowner.  I will now have to complete the project on my own and would like the key lock box removed.   
  
  Sincerely,
  
  *************************

  Business response

  10/13/2022

  Dear ****, et al, 

  We propose to settle this matter with the requested $1325 and if accepted consider the matter closed.  

  Iroko Properties LLC 

  Customer response

  10/14/2022

   
  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me, contingent upon Iroko Properties scheduling the Final Home Inspection and passing inspection.
  
  Sincerely,
  
  *************************

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