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Thompson Denver Hotel accused of not paying painters, subcontractors millions

Several subcontractors have filed liens against the property
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Posted at 5:37 PM, Jul 12, 2022
and last updated 2022-07-13 00:21:31-04

DENVER — Several subcontractors have filed liens against a downtown Denver hotel, claiming the developer owes them millions for work completed.

At the corner of the iconic 16th Street Mall and Market Street, the Thompson Denver is now open for business.

"During COVID, we painted this hotel," said Daniel Foster, who has been in the commercial painting business for more than 40 years. "We are proud of the work we've done here. It's a beautiful place."

He and his son Drew run their small painting business, Foster's Painting and Wallcovering, and signed a nearly $850,000 contract to paint the high-end, boutique hotel.

At first, all the payments came in on time. But after the Fosters finished the job six months ago, they said the invoices stopped getting paid. The Fosters said they are still owed more than $200,000.

"They're collecting revenue, but we aren't. We aren't getting paid," said Daniel Foster. "We're a small business. And it's hard for us to have this hurt for six months and not be paid. And we can't hang on for another six months."

Contact Denver7 found that they are not alone. Court records show several subcontractors have filed liens against the property owner, alleging unpaid work. One lien for more than $1 million has since been released, but others remain, including a lien for more than $250,000 for A+ Waterproofing & Sealants LLC.

The developer, T2 Hospitality, which has the same office address as the property owner K4 DEV LLC, emailed the Fosters earlier this year stating "there have been liens that have stifled February’s payment," so the Fosters waited for months.

"The general contractor says the developer owes subcontractors $5 million," said Drew Foster, who managed the project. "It's been crippling our cash flow, and we cannot continue to wait. You know, we need the money now."

The hotel operator, Hyatt, distanced itself from the problem, sending this statement:

"Thompson Denver is not in a position to comment on this situation, as Hyatt, the hotel operator, is not responsible for payment of the general contractor or any subcontractors related to the construction of Thompson Denver."

The developer T2 Hospitality has not responded at this time.

For now, the Fosters have started the long process of filing a lien on the Thompson property, which does not immediately help a small father-son business pay the bills.

"I'm just hoping the developer sees the light," said Daniel Foster. "We'd sure love to get paid for what we did."