Staff Reports
A luxury townhome community in downtown St. Petersburg is now on hold from a legal battle between developer and builder, which reacted to an alleged payment default by getting the city to suspend the project’s permits.
Neil Rauenhorst, a licensed architect, real-estate broker and construction financial officer, is the head of Tampa-based NJR Property Investments. The website for NJR Investment & Development Company LLC website describes Rausenhorst as “one of the most active and prominent developers in the Bay area over the past 25 years.”
In 2015, Rauenhorst announced plans to build Regent Lane Townhomes, a “gated townhome community a block and a half from bustling Beach Drive” Peregrine is a St. Petersburg-based construction company hired as general contractors to build Regent Lane. Matthew Foster and Brian Baack are Peregfrine’s co-managers.
As the Tampa Bay Times reported in 2015, Regent Lane was the “third low-rise residential project announced or under construction” in the Beach Drive area. The site is across the street from the location that restaurant and hotel owner Steve Gianfilippo intended to build a series of “New York-style brownstones priced from $1.3 million to $1.8 million.”
Each of Regent Lane’s planned 2,335-square-foot homes would be four stories high with three bedrooms, 3.5-baths, private elevator, roof deck and a two-car garage. Asking prices were to range from $848,500 to $928,000.
“I think the market right now is attractive in many aspects,” Rauenhorst told the Times. “High-rise condominiums are under development, mid-rise and high-rise apartments are under development, townhomes are under development. I think we’re looking at a very strong market from all of those segments.”
Court records show a certificate suggesting the original contract amount was $6.5-million to build 20 townhomes at “400 Regent Lane” and ascend to “438 Regent Lane.”
The homes were planned to be ready for occupancy within a year.
However, in September 2017, NJR Property notified Peregrine Homes that Peregrine was in default for failing to complete the project on time.
According to a case filed Oct. 24 in Pinellas County Circuit Court, after NJR rejected a payment request, Peregrine “improperly” told subcontractors to suspend all work, and asked the City of St. Petersburg building department to suspend all permits – which they did Oct. 20.
Peregrine then filed a $640,208 lien against NJR.
In the suit, NJR is seeking damages for breach of contract and filing a fraudulent lien.
