Lennar Asks Subcontractors To Reduce Rates.. Or Else!
February 21, 2007
One of the largest home builders in the country, Lennar, has been suffering from a soft housing market just like every other builder. To offset this recent market shift Lennar has decided to ask for lower rates from it’s subs. This makes sense until you hear that they are asking for lower rates on WORK ALREADY PREFORMED.
Of course all of these subs have a contract with Lennar stating how much they will paid. Lennar has no choice but to honor these contractors however if a subcontractor refuses to reduce their rate they will “be excluded from bidding future work for a minimum of six months.”
Source: The Orange County Register
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