NEW ORLEANS – On Monday, March 30, 1031 Canal Development LLC issued the following statement regarding the site of the building collapse. 1031 Canal Development has entered into a contract with Kolb Grading, and is now awaiting city approval.

From the time the building collapsed, 1031 Canal Development has been working to retrieve the remains of the two men who died in the collapse and remain in the building and demolish the building.

Since the collapse, the City has exercised control over the site. In January, the City advocated the use of DH Griffin Wrecking to carry out a demolition by implosion. In January, Griffin and 1031 Canal Development entered into a term sheet agreement in which Griffin agreed to provide $50 million in insurance to cover any damages caused by the implosion.

Appropriate insurance is absolutely essential because of the risks attendant to an implosion and because Griffin has demanded immunity and indemnity from the State of Louisiana. 

After negotiations with Griffin, the City and the State, 1031 Canal Development signed a contract only to learn on March 18, 2020 that Griffin was unable to obtain the liability insurance required by the contract.

As a result, to retrieve the remains as quickly as possible and to safely demolish the building, 1031 Canal Development has entered into a contract with Kolb Grading, a nationally regarded demolition contractor, to carry out a traditional demolition (with no requirement for State immunity and indemnity) and has applied for a permit with the City to carry out the work.

As soon as the City approves the demolition permit, 1031 Canal Development is ready to move forward.