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Business Profile

Commercial Contractors

Diversified Construction

Complaints

Customer Complaints Summary

  • 1 complaint in the last 3 years.
  • 1 complaint closed in the last 12 months.

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The complaint text that is displayed might not represent all complaints filed with BBB. Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business.

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  • Initial Complaint

    Date:10/09/2024

    Type:Order Issues
    Status:
    AnsweredMore info

    Complaint statuses

    Resolved:
    The complainant verified the issue was resolved to their satisfaction.
    Unresolved:
    The business responded to the dispute but failed to make a good faith effort to resolve it.
    Answered:
    The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
    Unanswered:
    The business failed to respond to the dispute.
    Unpursuable:
    BBB is unable to locate the business.
    I am writing to express our company’s unfortunate experience with Diversified Construction. We are a small residential hardscape business in Minneapolis, and in July 2024, we hired Diversified to remodel our new shop, with completion promised by October 2024. Our business plans depended on this timeline, and we were repeatedly assured by the owner, James, that the project would be completed on time. However, the project quickly began to fall behind schedule due to poor communication and coordination. By mid-September, it became clear that the project was far from completion, despite reassurances. In early October, just days before the deadline, Diversified presented us with a bill over double the original contracted amount, with no reasonable explanation for the price increase. Naturally, we refused to pay these additional charges. As a result, Diversified walked off the jobsite, abandoning the project altogether. leaving our building unfinished, without a furnace, shop heaters, or garage doors in the front of the building. As winter approaches, we are left with an unheated and unsecured building, risking damage to our sprinkler system and other critical infrastructure. To make matters worse, we have since discovered that Diversified Construction failed to pay their subcontractors. They provided us with a list of about 20 contractors, who we believe are facing similar difficulties with Diversified that we are. We have been receiving calls and invoices from these subcontractors, demanding payment for the work, despite us already making a significant down payment to Diversified. This situation has put our company in a difficult position, with our lease expiring and no suitable space for our staff. We hope this complaint brings attention to Diversified Construction’s unethical practices and helps prevent other people from facing similar issues.

    Business Response

    Date: 11/18/2024

    I have been running Diversified Construction for over 38 years and we have never had a single BBB complaint! What I have learned in that time is that there are ALWAYS at least (2) sides to every story.

    As the so called complaint states, Diversified was never contracted by CCS for this work. It is true that a project manager started dealing with Chris and Sean, in July of 2024, in an attempt to fully understand the plans that were available at that time, as there were many unaddressed scope and finish details. Diversified submitted a proposal in July of 2024 based on the plans at that time and CCS signed the proposal simply as a form of a letter of intent-NO CONTRACT WAS EVER SIGNED. When I became involved a couple of months later, I discovered that there was no contract in place. Because the plans were constantly changing, even up until that 1st week of October, Diversified submitted an updated proposal for the extensive scope changes and finish selections from the July 2024 plan set. It was made known to Chris and Sean that a contract would be required to move forward or Diversified would have no choice but to remove itself and it's subcontractors from the site. CCS chose not to sign a contract with Diversified.

    Subsequently, I have heard that CCS is working with a new GC and that GC came up with roughly the same cost to perform the work. CCS is not looking for Diversified to complete the project as their complaint states and they also fail to mention that they would not sign a contract. Diversified did what any contractor would do in the event of an owner unwilling to sign a contract.

    Customer Answer

    Date: 11/26/2024

     

    We are extremely disappointed with the unprofessional and aggressive stance taken by Diversified. Their lack of customer care and accountability has been glaring, as evidenced by their recent statements.

     James’s claim that no contract existed between us and Diversified is both misleading and false. In fact, we signed two contracts with Diversified, provided a substantial down payment, and their group worked on our project for several months. His contradictory remarks in their last statement only further highlight the inaccuracies in their denial of any contractual agreement. This is simply a loop hole Diversified is attempting to use to get out of the promises they have made.

    After Diversified abandoned our project, we hired another reputable company to complete the work. This new team has been excellent, proving that quality and professionalism still exist in the industry. It’s also concerning that Diversified seems unaware of the financial value of the project they walked away from, which only adds to their pattern of misinformation.

    We want to share our experience to warn others. Diversified has shown themselves to be untrustworthy, unprofessional, and severely lacking in customer service. We strongly advise others to proceed with caution before engaging with this company.

    Let our story serve as a warning—be careful and choose a contractor who values their customers.




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