An Earth City contractor says Gateway Studios owes it more than $840,000 for heating and cooling work at the Chesterfield production campus, the latest in a series of construction disputes tied to the $150 million facility.

Charles E. Jarrell Contracting Co., based in Earth City, filed a mechanic's lien and lawsuit in St. Louis County in April against Gateway Studios LLC, ARCO Construction Co., and A.J. Brown Inc., according to FOX 2. The company says it provided labor, materials, and equipment for HVAC systems at the studio complex on Spirit of St. Louis Boulevard.

Jarrell initially performed the work under ARCO Construction, the project's original general contractor. After Gateway terminated ARCO in June 2024 over scheduling disputes, Jarrell continued under replacement contractor A.J. Brown Inc., a Chesterfield-based firm.

The lawsuit is at least the fourth construction-related legal filing against the studio project, FOX 2 reported.

Gateway Studios declined to comment directly on the suit but said through a spokesperson that it hired third-party experts to evaluate construction work and is disputing work it considers deficient. The company said subcontractors who completed work meeting contract specifications have been paid.

The case is scheduled for arbitration in October.

A troubled build

The 300,000-square-foot campus at 900 Spirit of St. Louis Boulevard broke ground in November 2021 with an original completion target of early 2023. Construction stalled in June 2024 when ARCO stopped work. ARCO spokesperson Craig Workman said at the time that Gateway "failed to pay multiple invoices for work performed and did not provide reasonable assurances of having the financial resources necessary to fund our outstanding invoices and complete the project."

Gateway countered that ARCO breached its contract by missing the scheduled completion date. A.J. Brown took over as general contractor in mid-2024, and the facility opened in 2025.

Public dollars at stake

The project received up to $130 million in St. Louis County Chapter 100 industrial development bonds, providing a 50% property tax abatement over 10 years. Missouri committed an additional $2.9 million through its Missouri Works program. In exchange, Gateway agreed to create 106 full-time jobs averaging $74,764 in annual salary.

Gateway CEO Trey Kerr has said the complex, which includes what it calls the largest dedicated rehearsal studio in North America at 52,500 square feet, was built to serve touring musicians, film productions, and corporate events.

Gateway says the facility is fully operational.