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Wallace Properties—Driving Innovation and Development


In 2008, Sustainable Living Innovations, LLC (SLI), a division of the architecture firm CollinsWoerman, set out to rethink the conventional construction process.

Looking for ways to cut the cost, time and waste associated with a traditional building project, SLI came up with a revolutionary method of concrete and steel pre-fabricated construction involving on-site assembly that is more efficient, inexpensive and sustainable than traditional urban construction. In 2013 they partnered with Bellevue-based developer Wallace Properties to build the 47+7 project, the first commercial application of SLI’s system worldwide.

However, when pioneering an entirely new building system, developers also need a firm that can help pioneer entirely new thinking about the legal issues at play. Wallace Properties President and COO Kevin Wallace looked at the deal, and as a former attorney himself, he knew that the standard form agreements weren’t going to work. So he reached out to the lawyers at Schwabe to help bring this project to life. Having worked with Schwabe on projects in the past, he knew our team would be able to provide innovative solutions for this innovative project.

Over the next year, Schwabe attorneys Dennis Ostgard, Joe Straus and Michael Herbst worked with Wallace Properties to identify potential legal and business risks, and found creative approaches to structure the relationships between the architect, SLI, the contractors, the development manager, the lender and the investors. The project went up on schedule with virtually zero construction waste, and was honored with the NAIOP Judge’s Award for Innovation of the Year.

The 47+7 project welcomed its first residents in the spring of 2015. Schwabe was proud to be a part of this project, helping our client bring sustainable living solutions to our community and provide a huge step forward for the building and construction industry globally.


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“‎Speaking as a guy who has paid his fair share of legal fees and generated his ‎fair share ‎as well, I am truly proud of what Schwabe ‎accomplished. They handled a very difficult job from both a technical ‎and workload ‎standpoint, and it was incredibly well done.” 

- Kevin Wallace, President and COO, Wallace Properties