CBF2011 - Nov Dec by Amie Mayhew

November/December 2011

FORUM

Journal of the Colorado Association of Home Builders

Colorado’s second home market is

alive — and kicking

the sizzle behind the sale What buyers want in new home design

www.hbacolorado.com

Siding : ADOBE ,™ Reversible Trim : SMOOTH 4"

We believe in the home. We believe in the ofﬁce park. We believe in the building and we want to help you make each one great. We operate more than 450 building material facilities all across the country, all devoted to those who create the buildings that shape America. We are ProBuild. And we believe in the building. If you do too, visit us at www.probuild.com.

THAT THE HOME YOU’VE BUILT IS SOMETHING SPECIAL. THAT IT HAS CHARACTER. THAT IT’S ONE OF

A KIND. THESE ARE THINGS HOME BUYERS ARE LOOKING FOR. AND THEY’RE THINGS THAT TRUWOOD

PROVIDES. SO EVEN IF BUYERS AREN’T ASKING FOR TRUWOOD BY NAME, THEY ARE ASKING FOR IT.

www.TruWoodSiding.com | ASK US ABOUT OUR FSC PRODUCTS. The TruWood Collection, manufactured by Collins Products LLC | phone 1.800.417.3674

TruWood’s material content is backed by third-party certifier Scientific Certification Systems. SCS-MC-01178 | www.SCScertified.com

FILE NAME: DATE: IMAGES:

THAT’S BUILT AND A HOME THAT SELLS. THE TEXTURE, THICKNESS AND SUBSTANCE OF TRIM SAYS

11290_TW 5258 - Trim Ad_HbldrMag.indd Wednesday, October 26, 2011 5:00:23 PM TW_2009 SCS-MC-01178_TRIM-AD.eps • Adobe Batten-v2atnew_2010.tif

TRIM. IT’S ONE OF THOSE LITTLE EXTRAS THAT COULD MEAN THE DIFFERENCE BETWEEN A HOME

• Components Manufacturing • Doors • Engineered Wood • Insulation • Lumber • Millwork • Moulding • Siding & Trim • Windows

11 Colorado Locations Lumber. Building Materials. Components. Millwork.

www.probuild.com

features

ColoradoBuilder

FORUM

www.hbacolorado.com

November/December 2011 vol. 15, no. 6

contents »

Official Publication of the Colorado Association of Home Builders

CAHB executive committee President Peter Tobin President-Elect David Tschetter Treasurer Tom Brinkman Secretary Rob Griffin Immediate Past President Emil Wanatka Government Affairs Chair Chris Elliott Executive Officers Council Chair Sue Hibbs

State Representative to NAHB Skip Howes

CAHB Staff Executive Vice President Amie Mayhew

CAHB editorial board

Colorado’s second home market From condos to legacy homes, second-home building carries on

Bill Armstrong, Chair Tom Brinkman Karen Durfee Randy Feuerstein Tom Hayden Peter Tobin 600 Grant Street, Ste 550 Denver, Colorado 80203 P: 303.691.CAHB (2242) F: 303.639.4954 www.hbacolorado.com

Sizzle sells How building what buyers want in new home design translates to more sales

Dedicated to the advancement of the home building industry, Colorado Builder Forum is published six times a year for members of the Colorado Association of Home Builders. Copyright © 2011 by CAHB. No material may be reproduced without the express permission of CAHB. Acceptances of advertisement in Colorado Builder Forum do not imply endorsement or approval of the product or service advertised.

PO Box 5998 Eagle, Colorado 81631 800.852.0857 www.hungryeyemedia.com president / group publisher

34 RMBC Exhibit Hall New products, services give builders edge in selling homes

Colorado Sustainable Design Awards A look at innovation and opportunity

Brendan Harrington 303.359.9016 brendan@hungryeyemedia.com editor

Kim Jackson kim@writingwerks.com creative director/advertising production

Lindsay Burke lindsay@hungryeyemedia.com Project manager

On the cover: The custom 3,600 sq ft Boulder county home was designed by Osmosis Architecture for empty nesters who wanted a contemporary home for this phase of their lives. Open living defines the space with telescoping doors that open to the outdoors, and everything they need on a daily basis on the main floor. Here, the master retreat enjoys panoramic views of the mountains. Photo Credit: Eric Lucero, E.L. Imagery

November/December 2011

www.hbacolorado.com

Susan Humphrey 303.217.4512 susan@hungryeyemedia.com account executive

Martha Dickenson 303.257.6499 martha@hungryeyemedia.com

heritage

(her-i-tij)

departments

Something passed down from preceding generations... tradition.

contents »

08 28

President’s Letter

Knudson Associates: 1977...

Thanks for your help this year

John Knudson provides distinctive home and commercial design services when he founds and grows the Boulder-based ﬁrm.

Member Spotlight Industry veteran Jeff Whiton takes the reins at Denver Metro HBA

Knudson Gloss Architects: 1989...

Jerry Gloss proves instrumental in directing an extensive range of award-winning residential design services, cementing the ﬁrm’s nationally recognized reputation.

48 50

The addition of partners Paul Mahony and Marty Beauchamp in 2002 reinforces KGA’s lasting tradition of notable residential design, whether custom home, market-driven production housing, or remodel and home renovations.

RMBC Wrapup From new contacts to long friendships, RMBC connects builders

Builder Financing

KGA Studio Architects: 2011...

Let’s talk appraisals

Jerry, Paul, Marty, and their talented team enhance KGA Studio Architect’s design heritage to create solutions that will beneﬁt and serve their clients ... for generations to come.

Colorado Builder Forum is printed on elemental chlorine-free paper in conjunction with the International Joint Commission and is consistent with the U.S. Environmental Protection Agency’s standards.

“Our design philosophy is embedded in the belief that the best design is one that serves the client.”

Please recycle this magazine.

303.442.5882 950 spruce st. louisville, co 80027 Please visit our portfolio of work at www.kgarch.com 6

November/December 2011

www.hbacolorado.com

President’s Letter

Thanks for making my term as president a special one As we prepare to greet winter, I am sitting here reflecting on where the year went and how time flies when you are busy in a continuing flat housing market. I was going to say time flies when your having fun, but in today’s market, the reality is it has certainly not been very fun. However, if there’s a bright side, survival is a good thing — and the CAHB and its members are still fighting the good fight.

Final RMBC: A great success! Our Rocky Mountain Builder Conference in October was one of the best I have attended. To start, we had many attendees, along with high-quality exhibitors, sponsors and speakers. NAHB President Bob Nielson delivered the keynote speech and reinforced that NAHB efforts in Washington are strong and is addressing the many issues we all face in home building. We were also enlightened by the many educational sessions given by local and national speakers. One of the best was a town hall session on lending. Representatives from Wells Fargo Bank, Advantage Bank, 1st Mortgages, and Bellco Credit Union shared their insight about the challenges they face in lending. Meanwhile, the audience asked questions that provided interesting dialog on one of our toughest issues: Borrowing money.

Thanks Paula and Conference Committee Finally, the conference would not have been a success without the tireless efforts of Paula Huggett and the Conference Committee. The committee coordinated the flow of all the sessions, along with time to view the exhibits and dialog between speakers and presenters. That was no easy task over our busy three-day conference. Thanks to Paula, the committee, our sponsors and speakers and to the exhibitors for making the conference a success.

CAHB loses two HBAs Over the past year, membership has had it challenges, too. I am sorry to announce we have lost two of our local HBAs: Pagosa Springs HBA and the HBA of the Upper Rio Grande. As our challenges continue, we wish the best to those members and salute their efforts with the HBA federation over the years.

started the Mountain to Mesa local chapter, Peter Tobin and has been one of our national represenCAHB President tatives to NAHB and a board member to CAHB for many years. David’s experience and enthusiasm make him a solid choice to join the CAHB Executive Committee. Welcome David.

November/December 2011

www.hbacolorado.com

Proud member of the Home Builders Association since 1953

Jeff Whiton leads Denver HBA The Metro Denver Home Builders association announced Jeff Whiton as its new CEO (See story on page 28). Jeff brings a wealth of experience in leadership, production home building and knowledge of home building associations. On behalf of the CAHB, I welcome Jeff as one of the new leaders of our Denver Metro chapter.

Many thanks to those who make the CAHB work In conclusion, I want to thank everyone who has made my year as president special. It has been an honor to serve as CAHB President. And I would be remiss if I didn’t thank all of you who really make the CAHB work. First, to of all to my fellow executive team, thanks for working as a team and charting the course during this troubled time of home building. Thanks to our lobbying team at Colorado Winning Edge; they know politics and they put us on the map at the capitol. Thanks to Chris Elliot for chairing our Government Affairs Committee. That is no easy task, and your dedication to our cause is to be admired. Thanks also to our accountants at Rubin Brown and the Financial Task Force. Your input and oversight has been a great assistance to CAHB during our time of financial challenges. I want to give a special thanks to Amie Mayhew for being the CAHB executive vice president. Your leadership in managing CAHB’s affairs has been impressive in your short tenure as EVP. Your experience over the years at CAHB has certainly paid off, and we are in good hands moving forward. Finally, thanks to all of our board members who served during the year. I appreciate your time and personal scarifies that made CAHB a success in 2011. As we look ahead to next year, keep fighting the good fight!

Combining 220 years of employee experience in plumbing and hardware.

Best wishes to all, Peter Tobin

David Fiore joins Executive Committee At our Board of Directors meeting in Beaver Creek, David Fiore was ratified as CAHB 2012 Secretary. David’s contribution to our association has been impressive. David

Where the Professionals Shop

Best wishes, Peter Tobin

3200 Walnut Street • Denver, Colorado 80205 303.292.3550 • www.denhw.com

sizzle

This custom Boulder home was designed by Osmosis Architecture

the

for a pair of empty nesters who wanted a more contemporary home. Everything the couple needs on a daily basis is on the main level, with extra bedrooms on the lower level for kids and grandkids.

behind the sale By Kim Jackson

What buyers want and don’t want in new home design— and how that translates to sales As we wind down the year, it’s a good time to take a look back at what worked, what didn’t and what’s ahead in new home design. And if you’ve been building — and selling — homes this year, you know what buyers want. After all, if you’re building what they want, your homes are selling fast. If you’re not, read on…

Photo courtesy Eric Lucero, E.L. Imagery

Smaller homes must live larger

November/December 2011

www.hbacolorado.com

Anne Olson Postle, AIA, president of Osmosis Architecture (formerly Olson Architecture), specializes in designing housing for builders. While 30 percent of her clients are custom and the balance are production builders, she understands what today’s buyers want — and designs homes to meet their desires. Whether buyers are just getting into their first home or building a custom home, across the board, she’s observed that the trend is toward smaller square footage. “Every home that we’re doing is smaller for the buyer than it was five years ago,” Postle said. There are two reasons for smaller square footage. The first is budget.

“People are more frugal and they don’t want to spend money on something if it’s not going to benefit their lifestyle,” Postle said. The second is energy efficiency. Heather Attardo, AIBD, is owner of 3 Trees Design and Drafting, Inc., which specializes in providing design and working drawings for all aspects of residential architecture (new construction, remodels, basements, additions) for builders and homeowners. “With energy efficient building and products, you’ll see more significant energy savings in homes with less than 3,000 sq ft,” Attardo said. “Above that, and it tends to be less efficient, with larger rooms or lofts that aren’t necessarily being used on a daily basis.” And that’s where the key is in designing homes for today’s buyers resides: Making the smaller square footage live larger. Fortunately, today’s designs coincide with what buyers actually want in their homes: More open, flexible space throughout the home. “The space has to work for the family and it has to work for entertaining,” Postle observed. “The

kitchen island has to be the place where the family eats lunch, but it also might be the buffet place for parties.”

What’s ‘out’

One room buyers no longer want is the living room. Actually, buyers don’t want closed in, wasted space anywhere in the home. And the living room “tends to be a furniture museum that doesn’t fit, especially with the younger buyers’ lifestyles,” Postle said. Attardo also has eliminated the dining room for many clients. “We encourage clients to go with a larger breakfast area, where that space can convert to a larger dining area, when needed,” she said. “You want to have that space very close to the kitchen. No matter who you’re entertaining, they’re always gathering around that kitchen area.” Olson’s biggest peeve? Laundry rooms that owners walk past when entering the home, usually just off the garage. At the Rocky Mountain Builder Conference, she co-presented an educational session entitled, “The New Buyers: What they want, don’t want and can’t live without.” She cited a study’s findings where when a 25-45-year-old man walks into his home, his blood pressure drops. When the same-aged woman walks into her home, her blood pressure goes up three percent. Why? She’s about to start her second job, and

Colorado Builder Forum

November/December 2011

Photo courtesy Eric Lucero, E.L. Imagery

the first thing she most often sees when she walks in the door is the laundry room. Instead, Postle designs a family foyer, where the family can shed and stow their shoes and boots, coats, keys — pretty much anything you’d do when you get farther into your home. Laundry rooms are now making their way off the master suite, or in a home with teenagers, in the form of a stackable unit in a three-foot closet near the teens’ rooms.

The $400,000 Hartford II model,

Design with your buyers in mind

In a home with younger children, bathroom towel bars and closet rods with hangers are out, in favor of hooks. Installing hooks in your models shows buyers you understand the challenge of getting kids to hang a towel or put away their clothes. Why not just make it easier for them — and their mothers? It’s one small detail that goes a long way toward selling your homes faster. That’s where Doris Pearlman’s expertise takes form. The president of Possibilities for Design, Inc. — and who presented with Postle at the RMBC — is an interior merchandiser who uses design to create sales tools for builder clients nationwide and in Canada. Merchandising differs from interior design in that it demonstrates lifestyle and is designed to sell homes, not the furnishings inside. Pearlman’s firm develops buyer profiles for builders’ homes based on age, stage, wage, retail characteristics, interest and ethnicity. “It’s a broad brush of what people value,” she said. “I have to understand who those people are.” Once her target audience is established, Pearlman designs a product that includes floor plans, color schemes, themes and furniture packages to coincide with the vision of the buyer. If she’s done her job right, when buyers open the door, they walk into

November/December 2011

www.hbacolorado.com

The contemporary four bedroom, four and a half bathroom Boulder county home boasts 3,600

sq ft home with

sq ft on the main living level, with a finished lower-level walkout. Telescoping doors allow the

four bedrooms

entire main level to open to the outdoors, for great indoor-outdoor living.

and three and a

Color my world

half baths.

a home they emotionally identify with and one that helps them understand how it fulfills their needs. That’s really important, because, she added that buyers make decisions within the first two or three minutes. “Everything else is defending the decision.”

What buyers want

So let’s get down to brass tacks. Buyers want that smaller home, only they want it to be smarter and better. Spaces within the home need to be interactive and perform multiple functions. That means a designsavvy floor plan, but one that has to wear a lot of hats. Office spaces are working for more than one person or purpose. For example, a home office can also be used as a guest bedroom, which means ensuring there’s a bathroom close by — either attached or just outside the room. Laundry rooms have hobby spaces for kids’ craft projects or a sewing room. Designing in lots of pocket spaces helps clutter find a home in various rooms. And because younger people are used to working in cubicles, the small

offices — often a 10 x 12 room — isn’t needed like it once was. Command centers are taking over, as long as they’re open. “You can’t close them off,” Postle warned. “If there are pocket offices opened to other parts of the home, as part of the action, this little area can be tucked away.” She’s finding that pocket offices and command centers are working for both empty nesters and first-time buyers, as long as the need is for a place where e-mails and phone calls can be handled, and not as a fulltime home office.

Kitchens

Since energy efficiency is only second to smaller homes, it makes sense that energy efficient appliances are a must in the kitchen. Buyers also want islands, and according to Pearlman, “the bigger, the better.” But keep the raised bar counter off the island. Postle says without it, the space feels larger and a lower bar stool is easier for both kids and the older buyers to use. While granite is still popular, Pearlman observed that buyers are opting

colors you’re going to see big time

beautiful, beautiful effects,”

is a lot of bright yellows come into

Pearlman said.

the palette,” she said. “We’re also

Color is so important in new

seeing that spa color Aegean blue

home design, because it has to be

that everybody loves so much.

used for two to three years at a

That’s been here so long, it’s al-

time. It’s a fine line to walk when

Choosing the right colors in your

gray,” she said. “Fifteen years

most becoming a neutral.” That’s

using color palettes because you

homes can make the difference

ago, four years ago, there was

merged to become teal, a strong

don’t want your models to look

between putting your buyers at

no gray in the palette — and no

accent color that combines well

old. “You want to look new, but

ease and irritating them.

one wanted to see it. Now, it’s

with grays and beiges.

you want to pick a road in the

olor has a profound effect on our moods, emotions, thoughts and actions.

Doris Pearlman is well known for

Next year’s color trends “A great example of that is

a neutral color and gray is ‘in’.

In fact, she noted, “we’re see-

middle that people will love,” she

her annual color predictions. She

Gray clothes, carpet, cars. You

ing a lot of strong colors. We’re

said. “You don’t want to be so out

has spoken each year at the RMBC

name it; gray is ‘in’ right now.

seeing a green that is an iceberg

to the edge — either left or right

to a packed room on what buyers

It doesn’t have to be cold, but

lettuce green. We’re seeing in-

— that you’ll polarize people.

want in a new home. And while de-

we’re seeing gray in the palette.

your-face orange again, as a very

sign is important, many in the room

It’s here to stay for the next

strong color. These colors are

‘catalog culture’ where we take

really want to know is what colors

seven years or so.”

also a fact that gray is a neutral.

our leads by way of catalogs. “In

These colors all combine with

the past 15 years, peoples’ taste

gray and gray needs strength.”

has gotten a lot better and more

will be “in” the following year. She was a member of the Color

Big, bright accents are in, too. “They’re a way to give you some-

Color palettes are created

She feels we’re living in a

sophisticated,” she said, “and

Marketing Group, which sets col-

thing new, what you want and

ors trends two to three years out

can’t live without,” she said.” As

based on region and location.

that’s due to a lot of retailers

in multiple industries, including

such, purple and wine are being

So while blue is coming back

have gotten on line and in your

carpet, appliances, tile, roofing,

used as accents in pillows and

along coastal areas, she expects

mailbox. It’s a challenge to the

automobiles and furniture. She

area rugs. And white is the new

Colorado to be one of the last

home building industry to ensure

explained that selecting color

black, often in the form of all-

states to adopt it as part of a

that their models are as appeal-

palettes is not so much about an

white homes. “If you show white

color palette.

ing as these catalogs are, as well

industry as it is about a need. That

kitchens to your prospective

need is to create color palettes

buyers, people will buy them,”

either. Sometimes, it’s about

fully merchandised. Look to see

that industries can subscribe to,

she added.

texture. Pearlman is seeing

what colors are repeated in retail

stone, rustic bricks on the walls

stores, and in advertisements,

so that over a period of time, we

Pearlman noted that colors in

Color isn’t always about color,

as these retail stores are beauti-

become familiar enough with the

fashion are a year ahead of colors

now. “And we’re seeing a lot of

and you’ll see the changes in

‘new’ color, that we love it.

in home furnishings. “One of the

iridescent and mosaic tiles with

color trends.”

Colorado Builder Forum

November/December 2011

At Solterra, Possibilities for Design worked with Toll Brothers on the Bella model to create a ‘must-have’ home for buyers. The 3,800 sq ft, two-story foyer with curved staircase home has four bedrooms and four bathrooms, a gourmet kitchen, a two-story family room, private study, master bedroom-sized walk in closet, three-car tandem garage and a large game room.

for solid surface countertops, because they are more sustainable. “Companies that offer a quartz product formulated in a way that’s more environmentally sound is becoming more popular,” she said. And she noted that a lot of sizzle is being added to the kitchen “by wonderful backsplashes and wonderful tiles.” Since natural gas is more readily available in new neighborhoods, Attardo noted that downdraft cook tops and gas ranges are even more popular. Because these appliances are wider than typical appliances, “we’re adding more countertop space to kitchens these days,” she said. And because designers don’t want the proportion of those appliances to take away from the countertop space, Attardo said, “we’re adding more square footage to the kitchen.” Walk-in pantries are still a big plus, she noted, mostly due to the continued popularity of Costco and Sam’s Club shoppers. When done right in a twolevel home, these super-sized closets can be converted to an elevator, for buyers who want to age in place.

Flex space is critical

Except for first-time buyers, many of today’s buyers prefer four bedrooms. Yet because bedrooms are doing double, often triple duty, many buyers can comfortably live with three bedrooms. This is where flexibility enters the picture. If one of the bedrooms is slated for a daily home office, Attardo

includes a bathroom directly accessible from the office — whether it’s a powder room or a full bath. Pearlman’s use of a fourth bedroom is often that of a study that can be converted to a guest bedroom, all through the simple addition of an attached bathroom.

Empty nesters like pet spaces

Many empty nest buyers, whose kids have flown the coop, have turned to pets for that little pitter patter in the house. As such, laundry rooms off the garage are giving way to pet spaces, which can include a pet wash station, or simply a space for a dog bed, food and water bowls and/or litter boxes. These spaces often have a dog door to access the yard, even including an enclosed area, so the dog is free to go inside and outside at will. “Yard space that works for these animals is important,” Postle noted.

Master suite needs a retreat

Buyers still like their master retreats, which includes the master bedroom, attached five-piece bath and a sitting room. While the sitting room is often used when one person can’t sleep — or is relegated to the room because

of snoring — it’s increasingly being used as an exercise room, as well. Postle has seen many empty nesters forgoing the tub, in favor of a very large shower. “It’s a risk for a builder to just leave the tub out altogether, though,” she said. “It’s better to offer that as an option, because there are buyers who want to take a bath in a soaking tub once a year.” She spoke with a custom home buyer who said that they never used the tub, but it’s where they bathe their grandchildren when they spend the night.

Energy efficient building is a hot button today

“Ten years ago, production builders didn’t have time to consider energy efficiency,” Attardo observed. “Now, they’re adding as much energy efficiency to their construction and passing along that savings as much as possible. That’s because buyers want it.” Pearlman agreed and added, “Because of energy conservation and sustainability, people have recognized the folly of having a room for every action and reaction. So they’re looking for homes that multitask.” When a designer’s job is done right, buyers understand the perceived value that builders are creating for them.

What it means to be four times bigger... Bigger selection, better service, best value. We’re now running with the Big Dogs! Robinson Brick is now General Shale Brick. We’re now the nation’s largest masonry supplier!

http://denver.generalshale.com 14

November/December 2011

www.hbacolorado.com

McCrerey Fine Homes, LLC repurposed an old farm house

From condos to legacy homes, the second home market...

is alive — and kicking By Kim Jackson / Photograph by Jon Eady

November/December 2011

www.hbacolorado.com

and built this roughly $3 million New Age farm house on a 45-acre infill site in Boulder county. McCrerey has found that the legacy homes he’s building today are completely outfitted with about $200,000 in high-tech controls and home automation, all controlled by an iPhone, iPod or iPad.

ontrary to what you may think, second home building continues throughout Colorado. For some buyers, the down market has offered a chance to get in on a mountain property at nearly rockbottom prices. For others,

while they’re keeping an eye on the economy, they’re building multigenerational legacy homes. For others still, they’re buying condos, town homes or patio homes for their attractive lock-nleave convenience. Admittedly, the market has cooled in the past few

years. Yet an August NAHB blog reported that five percent of all the nation’s housing units — more than 6.9 million of them — qualify as second homes. Using data from the most-recently available 2009 American Community Survey (ACS), the blog

noted that in Colorado, there are five counties where at least half of the housing stock is made up of second homes: Hinsdale (86%), Mineral (67%), Archuleta (65%), Grand (60%) and Summit (59%). In April, the Summit County assessor’s office

Colorado Builder Forum

November/December 2011

Photo courtesy Matt Krane

issued an analysis of the county’s economic activity for 2011 reappraisal. However, in contrast to the ACS data, Summit County reported that 68 percent of the county’s housing units are second homes.

Cash buyers on legacy homes At all income levels, the economy has had its effect. Yet in the second home market, there’s an interesting phenomenon afoot. People are building legacy homes. Big ones. And they’re paying cash. Mark McCrerey has been building custom homes in Summit and Boulder counties since 1978. Until the past few years, the owner and CEO of McCrerey Fine Homes, LLC built an average of a dozen custom homes a year, evenly split between spec and second homes. Half of his second home buyers lived in the Denver metro front range, while the other half lived out of state. And before 2008, McCrerey said, our custom homes averaged $1.5 million in costs.” This year, he’s building two custom homes: One is a second home outside Golden city limits; the other is a primary home in Boulder county. Each home’s costs are $3 million or more. Both are legacy homes. And both owners paid cash for their homes. The 7,900 sq ft Golden legacy home was built to accommodate three generations of a family that everyone can enjoy all at once. While the heart of the home is still the kitchen and great room, there’s a recreation room for games and movies. The informal dining room flows into the kitchen/great room space, without separation. The 7,500 sq ft Boulder county New Age farm home sits on a pristine, 45-acre property that’s surrounded by city of Boulder open space. McCrerey deconstructed and repurposed the home that was previously there for the new home, so the new owners could enjoy the stream that runs through the property, mountain views, open spaces and their horses.

Home automation, stone add to costs

This 5,500 sq ft home in Elk Run at Keystone was designed by Summit Studio, PC and built by Travis Construction. Construction cost of the home was $1.3 million and it features five bedrooms, five-and-a-half baths. Inside, the owners had spent a fair amount of time in Andalusia, and wanted the home to reflect that Spanish influence

According to McCrerery, both homes live large — and they’re completely finished with a number of amenities, including about $200,000 in high-tech controls and AV equipment. “That’s a big statement,” he said. A fully automated home includes automated lighting control, shade control and all electrical appliances. The computer systems that used to control the home automation or lighting systems have been replaced with an iPad, iTouch or iPhone. “These people generally travel,” McCrerey observed. “So when they’re gone, they don’t have to be there to check the temperature or if they turned the lights on or off, because they can do that remotely. They can check the camera to see if anybody is in the house or the driveway. Home automation is one thing that’s bringing the cost of the house up.” So are the walls of stone. His customers are opting for whole walls done in stone now in quartz, granite or

throughout. Because they love entertaining, a full wine bar

was built into the living room. November/December 2011

www.hbacolorado.com

Colorado Builder Forum

November/December 2011

Photo courtesy Faris Cox

limestone, which “are adding a lot of cost to a house. That much masonry is cumbersome and heavy, so we have to beef up the foundation to support the walls,” he said. The homes also use stone veneers, colorful and expensive glass and onyx tiles and handmade lighting fixtures accents.

Big homes, low HERS ratings: How it’s done Both homes enjoy low HERS ratings. An NAHB-certified green building professional and a graduate master builder, McCrerery sources the best materials locally, which also fit the green building criteria. He built the Golden home with a 10 kw photovoltaic solar array on the roof — so it produces electricity — and achieved a HERS score of 32. The Boulder county home attained a HERS score of 19. “We’re better than 81 percent of the houses out there that meet building code,” he said. The property has a 29 kw photovoltaic solar array — 290 panels — in the field. “That’s one way to achieve it,” McCrerey said. “The other way is we drilled nine geothermal wells down to about 600-plus feet. We’re circulating water to pre cool and heat the house.” While federal government tax credits and Xcel Energy rebates help defray the cost of the systems, photovoltaic solar arrays and geothermal wells still add to the cost of a home. “A geothermal water system can add $7,000 to the cost,” McCrerey said. It’s estimated that a photovoltaic array returns it investment in seven years, where a geothermal well’s payback is 12 years. And he sees a trend: “If they’re spending that kind of money on their homes, they still want to build sustainable homes and pass that along to their kids.”

Architect designs legacy homes at Copper Mountain Patrick Hubbell, AIA, also has been working on legacy homes this year. The president of Summit Studio, PC started his architectural practice in Frisco 18 years ago and collaboratively works with builders on production homes, custom spec homes and full custom homes. He’s currently working on two homes at the base of Copper Mountain. One is a client’s legacy home; the other is a spec

Pine Ridge Construction built home for a builder. The 6,000 sq ft custom second home is designed for the 16 town homes along the Fossil Trace Golf Course in Golden, entire family to stay there. With four which were designed as owners’ full families, including grandchildren, first homes, however, 40 percent it’s expected that there will be more were bought as second homes. than 20 people in the house at times. So Hubbell designed the house with two master suites; one is on the main level and the other is on the top floor of the three-level home. Because the home was designed on an uphill site, there’s an elevator that’s mainly used to bring bags to the upper two floors. The home has six bedrooms, six and a half baths, an exercise room and a den that can be an additional bedroom when there are a lot of people there. “The idea behind the den is when you’ve got 20 people in the house, the owners need a place to escape from the mob hanging out in the kitchen,” Hubbell said. When complete, the home will also be energy efficient. He’s added an EPA rated, solid masonry fireplace in the kitchen, which will burn wood more efficiently than a traditional fireplace. “The masonry burns almost all of the wood and leaves almost no smoke at all,” Hubbell explained. He’s also designed a bread oven in the kitchen, which again, generates more toasty heat. When construction is complete, there will be an outside fire pit and hot tub, as well as a heated driveway “to melt the ice every once in a while,” he said. All told, the construction budget on the home is $2 million.

Spec custom second home is on the books Down the road at the base of Copper Mountain, he’s designing a similar spec home, with the same square footage, two master suites and six bedrooms. “People who can afford this kind of a second home, obviously, have a certain amount of money and want a certain amount of luxury in the home,” Hubbell said. “They let their imagination go a little bit more than they would in a primary home. A ski home has to have lots of bedrooms and baths; it really needs to accommodate a lot of people, so big dining rooms, big kitchens and lots of space for entertaining are a must.”

Thinking about building or remodeling? Let’s connect.

Keep your project on schedule. Arrange your service connection by calling the Xcel Energy Builders Call Line at 1-800-628-2121, or, fax your application to us at 1-800-628-2521.

November/December 2011

www.hbacolorado.com

xcelenergy.com

Photo courtesy rich stimmel

Functional yet fashionable fireplaces that reflect your style and taste

Directly adjoining the Tiara

Many buyers want lock-n-leave homes

Rado Golf Course, and against a backdrop of the

On the other side of the secondhome spectrum are those buyers this 2,800 sq ft courtyard who live more modestly, yet want home in the Seasons by to have a home in Colorado to Tiara Rado features an open enjoy the outdoor life that’s readily living concept. Priced in the available or be closer to their chillow $700s, the front of the dren and grandchildren. For many home faces the Colorado of these second-home owners, that National Monument. means a condo, town home, patio home or courtyard home — often on a golf course or in a ski resort area. Faris Cox has been building small, planned developed units for 17 years in Golden and Jefferson County. And while the owner of Pine Ridge Construction (formerly Pine Ridge Development) didn’t set out to specifically build second homes along the Fossil Trace Golf Course in Golden, 40 percent of the town homes there are owners’ second homes. Most of his buyers are from Colorado; often they own a home in the mountains and want another one closer to Denver. “Folks are downsizing, and looking for smaller, flex place rooms,” Cox said. “I don’t think the second home market is looking for too much different than the primary market, except maybe for smaller units and going vertical.” He recently had a mixed use project in Golden, where in addition to office space, ten 1,200 sq ft condos were available. Half of them became second homes. “It’s very convenient to lock the door and leave,” he said. Bookcliffs and Grand Mesa,

Attached, single family homes are second homes of future If Cox looked into a crystal ball, he’d see fewer single family detached, and more attached, single family homes. And he has plans for creating another 16-unit planned development when home building picks back up. “I’m keeping my eyeballs open,” he quipped. Part of his plans are a reflection on his own life. “Condos and town homes offer living for the elderly, such as elevators or no stairs to climb,” Cox said. “I’m still quite mobile, but one day I may not be. There are a lot of considerations for all of us when we get to that level of what is next for us.” While Cox contends that most second homes are town homes and condos, he also knows many people with second homes in the $3 or $4 million range. He owns a second home in Montana and another man he knows there also owns homes in Colorado, Phoenix, Texas, Mississippi. With an annual income of $30 million, he can certainly afford several homes.

Economy has affected second-home buyers, too Yet, Cox said that the economic downturn has affected everyone, even at that level. “They’re not dummies,” he quipped. “They want an investment. And most everybody has not escaped from this. Even the wealthy have investments that haven’t done what they wanted them to do. They’ll look hard at putting dollars out there, period. Second-home buyers have all gotten hammered along the way; their net worth may not be what it was. They may be more scrupulous about where they put their dollars.”

The only design-driven gas fireplaces with interchangeable burners and panels. Truly Traditional, Neo Classical or Ultra Modern. w w w. h o m e a n d h e a r t h o u t f i t t e r s . c o m

November/December 2011

www.hbacolorado.com

5 MUrray road, UNiT C-4 edwards, Co 81632 970.569.3916 999 easT evaNs aveNUe deNver, Co 80210 303.722.6698

Siding : FOUREIGHT LAP , Reversible Trim : OLD MILL ® TEXTURE

Photo courtesy jon eady

With a 29 kw solar array (290 panels)

Grand Junction development appeals to second-home buyers The development is a horseshoe-shaped development that surrounds the back nine holes at the city-owned Tiara Rado Golf Course. Most of the development’s outside border is federal lands, primarily associated with the National Park Services’ Colorado National Monument.

November/December 2011

www.hbacolorado.com

Title: ...ICING ON THE CAKE. Pub: Homebuilder Magazine Trim Size: 8.375 x 10.875 Bleed Size: 8.625 x 11.125 Close Date: 9.6.11

Jack Acuff agreed. The past CAHB president and developer of the Seasons at Tiara Rado in Grand Junction, said, “One of the tough things people have to deal with somewhat psychologically is the fact that more than likely, when they build a home in today’s market, when it’s done, that home is probably going to appraise for less than what it cost to build it.” He added, “That’s just because the appraisal situation is so messed up right now. For financial reasons, people have had to dump certain properties and sell them for less than what they owe. Appraisers are using that information — and it doesn’t necessarily reflect the true market. It’s a little disconcerting that after you build a house, it appraises for less than the cost to build it.”

Midwestern buyers like four seasons And they often come from the Midwest. “Many times, you see Midwestern folks move to the Phoenix area, and they miss the seasons,” Acuff explained. “So they start working their way back. Maybe they stop at places like Sedona or Prescott, AZ or St. George, UT. They find western Colorado and end up settling here, because we do get the seasons — and that’s the main reason I named it the Seasons at Tiara Rado.”

TRIM AND SIDING ARE NOT ICING ON THE CAKE. THEY ARE CAKE. THEY’RE AN ESSENTIAL PART OF WHAT MAKES A GRAND HOUSE

GRAND. A MODERN HOME MODERN. OR A DREAM HOME SIMPLY DREAMY.

WELL-CHOSEN TRIM AND SIDING MAKE A STATEMENT ABOUT STYLE THAT BUYERS

UNDERSTAND IN AN INSTANT. AND EVEN THOUGH HOME BUYERS MAY NOT BE TW 5258 - Trim-Siding Ad_HBuilderMag TruWood TW 5258 InDesign CS5 4cp

Appraisal situation due for a correction

File Name: Client: Job #: App: Colors:

Hubbell added that while the custom home he’s designing right now is a legacy home that the owners want to keep in the family for decades, many traditional second-home buyers have, in the past, bought homes to keep for a while and sell for a profit. “I’m seeing a lot less of that ski house; that confidence is gone now,” he said. “People don’t think they can necessarily sell the house at the end of the day for more than they paid for it.”

in a field near the home and nine The development’s buyers geothermal wells, the New Age farm are typically empty nesters house has attained a HERS score of and retirees who usually rejust 19. McCrerey said the owners locate from other parts of the felt that if they’re spending that kind country to single family deof money, they wanted a sustainable tached homes with more than home to pass along to their children. 2,200 sq ft. Patio and courtyard homes there are typically 1,300 sq ft and appeal to second-home owners, due to the single-floor living, outdoor spaces, low-maintenance exterior materials and low-water landscaping. “The second-home buyers I’ve seen want to be here to be with the grandkids for a meaningful part of the year, and the rest of the year, they may have a home somewhere else,” Acuff said. “The second reason people come here is the climate in Grand Junction appeals to people, and they want to be here part of the year.” He feels the third reason people move there is Grand Junction is close to outdoor activities, including Moab, Lake Powell, Vail and Beaver Creek.

800.525.1255 ASKING FOR TRUWOOD BY NAME, THEY ARE UNDOUBTEDLY ASKING FOR IT.

www.TruWoodSiding.com | ASK US ABOUT OUR FSC PRODUCTS. The TruWood Collection, manufactured by Collins Products LLC | phone 1.800.417.3674

Denver, Co

TruWood’s material content is backed by third-party certifier Scientific Certification Systems. SCS-MC-01178 | www.SCScertified.com

Even though most of his owners are scaling back on square footage, they’re still looking for outdoor living, “and that’s cheap living space,” Acuff said. “Our climate is conducive to outdoor kitchens, fire pits and covered patios most of the year. If they’re an active empty nester, they also don’t need a plethora of empty bedrooms.” Looking ahead, the builders, developer and architect see that to stimulate the second-home market, problems in the financing sector must be corrected. While McCrerey’s and many of Acuff’s buyers pay cash, Acuff noted that they often still need to sell their properties somewhere else. “Even if they could afford to own two properties at once without financing, as you get older, you want to simplify your life and divest yourself of what you’re not using. It’s really slowed down our market, because people can’t sell something somewhere else. And with that market fairly in neutral right now, it’s really an impediment to getting that second home market — the portion I deal with — as stimulated as before.” McCrerey added that although his clients don’t generally get loans for their homes, they’re still concerned about the economy. “Everybody’s portfolios have lost value,” he said, “whether they’re the regular working people or those who own these legacy types of homes. Everybody’s thinking about it. Some are thinking that by putting their money into a hard asset like this, they can protect it over time, rather than being in the market. It gets back to the macro economic climate, both in the U.S. and worldwide. People are really worried about how Europe or China can affect us, or how we invest in them can affect us.”

In Congress’ cross hairs: Mortgage interest deduction? While some second-home buyers don’t rely on financing to get into their homes, many buyers do. Our U.S. Congress may have something to say about that, too, which could become a complete disincentive for Americans to own a home — both primary and any secondary home.

Yet the tougher second-home building market does present opportunities. For example, McCrerey didn’t set out to be a legacy home builder. “At this point,” he said, “we’re willing to build any homes, any types.” Yet interestingly enough, both of this year’s homes are being built for customers he built second homes for 15 or 20 years ago. “Both clients have come back to say, ‘Hey. I want to build another one now,’” McCrerey said. His advice? “Always stay in touch with your clients. You never know when they want to come back. That’s how I’ve gotten the legacy home work; it’s all by referral.” Over the years — and even though he doesn’t have to — he encourages customers to call if they need anything. And if a customer asks McCrerey to look at the boiler, “I gladly go over there. You never know if they have a friend or another family member who wants to build a home.”

November/December 2011

www.hbacolorado.com

Latex paint: 5-year limited guarantee.

In Congress’ efforts to raise money, Skip Howes,

Composition shingles: 20-year limited guarantee.

CAHB’s representative to NAHB, said that one of the issues on the table is to address the mortgage interest deduction (MID). As part of the discussion, Howes said, Congress is considering lowering, or completely eliminating, the amount of the deduction on a primary home. Our representatives are also considering taking away equity-line-of-credit loans and the MID on secondary homes, which includes vacation and motor homes. “When you look at it from the second-home standpoint, what’s the impact going to be on local economies and businesses?” asked Howes. “It’ll be interesting to see what happens, because the Super Committee’s report of recommendation is supposed to be out November 22 or 23, before they go on their Thanksgiving break. Then Congress has to act on those by the Christmas break, or the automatic cuts come into play.” While Howes doesn’t think it’s in our Congressional leaders’ cross hairs, there is potential that the “mortgage interest deduction could come under assault,” Howes

Double-pane insulated windows: 20-year manufacturer’s warranty.

said. “If the MID went away, you’d probably see another decline in property values, because there’s no longer a benefit to owning a home.”

Silver lining: New opportunities

Nothing Lasts Like An Acme Brick. We Guarantee It.

Part of that benefit extends to the community in that building homes provides jobs and helps the economy. “So now we’re starting to see a decline in foreclosures,

When you buy a new home, you want it to last a

Oak panel door: 1-year manufacturer’s warranty.

Since 1891, we’ve shown that Acme Brick is

lifetime. But when windows break, the roof springs

the best thing to have

a leak, and the paint peels, it is nice to know that

around your house

along with fewer people who are behind in their pay-

one product, Acme Brick, will last a

ments,” Howes said. “All we need to do is whack home

and your family. So, for lasting beauty that comes with a

ownership with another Samurai sword and property

lifetime. Each Acme Brick is made

values plummet again.” At the time of this writing the

from fine earth clays, blended for

100-year, fully transferable limited guarantee, choose

color, and hard-fired in computer-

Acme Brick.

Congressional Super Committee had not yet met. NAHB has created a web site: www.SaveMyMortgage

controlled kilns at temperatures that

InterestDeduction.com, to stay on top of the issue. But according to Howes, “everybody’s waiting for the Super Committee to come back with its recommendations, then congressmen will posture and play on what they might and might not do.”

Because, if you don’t see the Acme name, you

can exceed 2,000 degrees. The result is a brick that

won’t get Acme quality.

will outlast your mortgage. In fact, we guarantee it –

Or the guarantee.

for 100 years.

And, he noted, many congressmen are preoccupied with their re-elections more than serving their constituents. “It’s time for Congress to think about the citizenry of this country, rather than Wall Street.”

401 Prairie Hawk Drive • Castle Rock, CO 80104 • (303) 688-6951 • brick.com

member’s spotlight

by Kim Jackson

Industry veteran Jeff Whiton sets course for Denver HBA as new CEO Biggest goal: Grow membership You may be able to pluck the kid out of Midwestern farm country, but you sure can’t change the work ethic Iowa farming native Jeff Whiton learned at his father’s knee — and still practices today. The CEO of the Home Builders Association of Metro Denver grew up in Perry, a small farming community in central Iowa. His father started a feed operation in 1947, and eight years later, bought a mill that’s been on the site since 1875.

Greatest influence was his father “My dad had a great influence on my life,” Whiton said. “My dad was the kind of guy who always opened the place up early in the morning and stayed until the work was done.

November/December 2011

www.hbacolorado.com

Everybody in town respected him because he provided a good service at a good price. He was one of the pillars of the community and I always looked up to him.” From the time he was seven or eight years old, Whiton worked for his dad at the mill, first lugging feed sacks, then to delivering feed in the trucks, walking through hog and cattle lots, climbing in barns and throwing more feed sacks. As a proud Perry High School Blue Jay, Whiton played all the high school’s sports. And while in his opinion, the teams weren’t very good, he enjoyed playing them anyway. One team did stand out, though. He was a sprinter on the relay team and he helped the team win the 100-yard Conference championship.

Great Floors & Finishes. Smart builders looking for increased profit and less headaches look to Saddleback Design. Saddleback helps homebuilders simplify the interior finish process for their buyers by offering a huge selection of materials, professional in-house interior designers, and the highest quality installations. The result ? The ultimate customer service experience for your buyers, and higher margins equaling greater profitability for you the builder. Give us a call today and see how we can help you.

SADDLEBACK

D E S I G N 2901-A Walnut St. • Denver, CO 80205 • 303.940.3932 • FAX 303.940.3794

member’s spotlight

We are a

“GreeN”

College gave him a new direction

CommerCial Paving

While his two brothers returned to the family business after college, Whiton left the mill behind when he went to Iowa State University, where he was graduated with a bachelor’s degree in Economics. From there, he spent a year at the University of California at Berkeley, during the worst part of the People’s Park riots in the late ‘60s. And while he didn’t participate in the riots himself, he said, “I had to walk by them going to class every day. It was an interesting time.” Whiton returned to Iowa State University to pursue his master’s in Economics, with an emphasis in Housing Economics. A research paper he wrote on housing markets really piqued his interest in the home building industry — and he had completed all his education requirements, except his thesis, when U.S. Homes recruited students on campus to build homes in Florida.

CoNtraCtor

Ask us how we can make your next paving project a “Green” one

Street Paving Parking lotS SubdiviSionS ShoPPing CenterS Pavement rePairS roCk ProduCt SaleS

14802 W. 44th avenue golden, Colorado 80403

www.apc.us.com

(303) 279-6611

Building career began in Sunshine state So he ditched his thesis and built high-rise condominiums for U.S. Homes on Clearwater Beach for five years. That’s when he discovered he didn’t like living in Florida. So he contacted the office here in Colorado and according to Whiton, “they said, ‘Come on out.’ I had five years’ experience and they couldn’t find anyone with my level of expertise. That was in the ‘70s, when the market was hot and there were employment shortages.” He stayed with U.S. Homes until it was sold to Lennar Homes in 2000, and stayed with Lennar until 2004. He then moved into multi-use real estate development — industrial, commercial and residential. With McWhinney Enterprises in northern Colorado and Schuck Corporation in Colorado Springs, he worked on 5,000- and 10,000-acre projects. Last year, Whiton joined KB Home. Then earlier this year, the national builder underwent changes that coincided with the Denver HBA CEO opportunity. As a long-time home builder who knows many in the industry, Whiton said, “I’ve been associated with the HBA since 1985, so I have a long history with the organization.”

Today’s goal: Grow membership Now, after having built more than 20,000 homes in Colorado, he’s immersed in moving the HBA forward. “I am a home builder, first and foremost,” he said. “I know just about everybody in the industry in some fashion or another. I come in with a home builder’s perspective and I know what the needs are for home

Without adding a single step to the construction process, achieve a new level of energy efficiency in every home you build. Introducing STYROFOAM SIS™ Brand Structural Insulated Sheathing from Dow Building Solutions. Simple to work with at just one-third the weight of OSB,† this revolutionary building material not only meets or exceeds structural codes, it provides R-3.0 to R-5.5 insulating value and even satisfies code as a water-resistive barrier when used with WEATHERMATE™ Construction Tape from Dow. So you can create a big difference in monthly utility bills without a big change in your process.

Whiton met Cheri at the Denver Metro HBA when she served as the PAC director there. They’ve now been married for 23 years.

builders and the associated industry professionals that depend on the home building industry.” With the industry ranging between 25 and 30 percent of what it was five or six years ago, he’s seeing things slowly begin to change. “We’re finally seeing that the economy and its effect on home building has bottomed out,” he said. “The home building industry has taken it on the chin. And I see a road back. Hopefully, it won’t be too long a road.” That road back is paved with a laser-like focus on growing membership. “The way we focus on growing membership is by serving our members,” he said. “One of the critical things is making sure we create a good, positive business environment, so we can build homes. That includes political actions, management and governmental affairs. We’re in a highly regulated industry; we need to make sure that we have reasonable regulations and that the interests of home builders — and, ultimately, consumers — are protected.”

www.dowsis.com

Make a big difference without a big change.

800.525.1255 Denver, Co

Based on 1/2-inch STYROFOAM SIS™ Brand Structural Insulated Sheathing ™ Trademark of The Dow Chemical Company (“Dow”) or an affiliated company of Dow

†

November/December 2011

www.hbacolorado.com

Colorado Builder Forum

November/December 2011

member’s spotlight

Education and networking will gain more attention Educated members become better builders. Better builders enjoy greater profitability and customer satisfaction. As such, Whiton plans to add to the long list of educational programs, where members can use what they learn to keep their competitive edge. He also plans to develop opportunities for members to meet one another, and make those important networking contacts. From civil to structural engineers, to attorneys, land planners, light fixture reps, communications and advertising, “we bring in a lot of different areas of business that rely on home builders,” Whiton said. “My job is to balance those interests and pull them all together. We have to have a business environment that creates a demand for housing, one where our members can grow and prosper.”

Rewarding home life recharges, inspires him Although a self-described workaholic, Whiton does have a life outside the industry. He’s been married to Cheri for 23 years and has a stepdaughter. He and Cheri met when she was the PAC director at the HBA and he served on the Government Affairs Committee. “We liked each other,” he laughed. The couple spends a lot of time at their second home in Estes Park, hiking in Rocky Mountain National Park (they’ve been on most of the trails) and working around the home there. “Getting outdoors and back to nature is the way I recharge,” he noted. While Whiton credits his father for his work ethic — and his goal to make a mark in life as his dad did — he’s most influenced daily by Cheri and her work. Cheri switched careers from PAC director to nurse practitioner some time ago and is currently a nurse practitioner in hospice care. “To watch what she deals with and goes through every day, just makes me realize how wonderful the rest of the world is,” Whiton said. “She’s my inspiration every day. Certainly my dad’s had a huge influence on my life, but my wife is the most important person to me.”

The CCEE provides training to educators on how economics works. “We provide classroom resources and educator training, so our social studies teachers can have good sources for information to train our young folks on how the economy works,” he explained. “We have a professional staff that creates lesson plans and educational programs. The CCEE creates and sponsors the stock market game that many schools use.”

Members gain edge with green building

While it’s tough to really know whether the road back for builders is a long or short one, Whiton’s vision of how it’s coming back is clear: Energy efficient building has taken hold. “There’s been a revolution in home building in the last two years with the green movement,” he said. “National builders are really pushing their sustainability and green programs. And local builders — whether they’re custom or 10- to 20-home builders — are building homes much differently than they were two or three years ago. That’s our edge in the marketplace and that’s what’s going to move us forward.” He added that this renewed focus on energy efficiency has been driven by builders, not through governmental mandates. “Builders are doing this to create a better product,” he said, “and that really excites me.” He credits industry leaders, including Tom and Caroline Hoyt and John Kurowski, and HBA staffer Kim Calomino for personally showing him how energy efficient building can transform the industry. “Kim was one of the drivers here on the staff for the BuiltGreen program. Those people piqued my interest and it never has subsided. Now, with 2011 and 2012, we’re seeing green building really coming into fruition.” “ We’re the strongest thread in the social fabric of society. I There’s no mincing words here: really believe that about home builders. My job is to bring Jeff Whiton has a lot on his plate. Fortunately he has a hearty appetite that out and let everybody see it.” and from the first day on the job, — Jeff Whiton, Executive Director, Home Builders Association of Metro Denver he’s been cleaning that plate, one morsel at a time. But, he says, it’s really not just about him; it’s about the Serves on economic education board people in the industry. “I’ve been around for a long time,” he Other free time is spent helping students understand noted. “My old saying is ‘We’re the strongest thread in the social the role economics plays in our lives. For the past 15 fabric of our society.’ And I really believe that about home buildyears, Whiton has served on the board — and is the past ers. My job is to bring that out and let everybody see it.” chair — of the Colorado Council on Economic Education.

November/December 2011

www.hbacolorado.com

Contractors General Liability Colorado’s New Admitted Carrier

Builders Insurance Group is proud to enter the Colorado General Liability marketplace, partnered with Western Pacific Insurance Network, Inc. (WPIN) as its wholesale insurance broker. As a local Colorado wholesale broker, Western Pacific works directly with Independent Agents to provide this General Liability product containing competitive premiums and broad coverages for general contractor home builders, commercial contractors, remodelers, and most trade classes.

Highlights and Options: 

A- “Excellent” ADMITTED Paper



Primary/Non-Contributory Wording*



Fully compliant with CO HB 10-1394



Subsidence coverage*



No Super Montrose Exclusions



Per project aggregate limits*



$2,500 GC minimum premium



Primary limits up to $3m/$3m



$750 trade minimum premium



No tract home limitations



Blanket AI and WOS*

Premium credits (15%) available for builders who use approved home warranty programs



AI w/Ongoing and Completed Ops*

“ * ” - denotes optional coverage

About Builders Insurance Group Builders Insurance Group is a leading provider of General Liability and Workers’ Compensation to the construction industry. Headquartered in Atlanta, GA, Builders Insurance Group has delivered innovative, customized insurance products and services to the building community since 1992. The Company has extensive experience and understanding of the construction market and was founded by builders for builders. Policyholders can be confident they are receiving unmatched service, reliability and the financial stability of a secure partner. About Western Pacific Insurance Network, Inc. Western Pacific Insurance Network, Inc. is a specialty wholesale insurance broker in the Rocky Mountain Region, with origins tracing back to 1918. Through its partnerships with quality carriers and Independent Insurance Agents, WPIN maintains its ability to provide competitive products for Colorado contractors and contractors around the country. For more information, please contact or have your current insurance agent contact: Rick or Eric Richter Rick@wpininc.com Eric@wpininc.com Phone: 866-904-3777 Fax: 303-933-4500 www.wpininc.com 10397 W. Centennial Road, Suite 250 Littleton, CO 80127

RMBC’s Exhibit Hall showcased new products and services that can give Colorado’s builders the edge in selling homes

New Products

Jason Int’l MicroSilk Hutter+EuroBath introduced Remo Jacuzzi’s Jason International MicroSilk line, the first hydrotherapy created specifically to rejuvenate skin. Using a Jacuzzi tub, the MicroSilk technology creates bubbles that are less than 50 microns in size. To give you perspective, that’s 1,000 to 10,000 times smaller in diameter than a human hair. The bubbles easily penetrate our skin and because they’re negatively charged ions, attach themselves to dirt and oil in an effort to become neutral. What that really means is that MicroSilk bubbles clean skin without soap and moisturize it without lotions. Where a Jacuzzi is used to relax muscles, MicroSilk bubbles are a ‘facial’ for the whole body. Fine-line wrinkles are removed, and its been shown to lighten age spots. The bubbles add elasticity to skin and the effects of the recommended 20-minute ‘bath’ last for eight hours. Mmm… It’s the best of both worlds in the bath: A Jacuzzi soak, combined with a fullbody facial. More info: www.HutterEuroBath.com or 303-298-8453.

Trex Company, Inc.

Dow Powerhouse™ Solar Shingle Exhibitors at the final Rocky Mountain Builder Conference introduced some brand new products (which you may see later at the International Builders Show in February). Some are practical and aesthetic, while others are pure luxury. Other exhibitors offered services we haven’t seen at the RMBC before, while others still were there to educate and inform about products or issues that face the industry. If you weren’t there, here’s a peek in the exhibitor hall of the RMBC’s swan song at Beaver Creek. by Kim Jackson 34

November/December 2011

www.hbacolorado.com

Dow Solar launched its new solar roofing shingle, the Dow POWERHOUSE™ Solar Shingle, in Colorado— its first market in the country — at the RMBC. POWERHOUSE combines the performance and protection of a conventional asphalt roof with an integrated photovoltaic (PV) system that powers the home. It operates as both a roof and solar product, and is installed directly onto the roof deck — using galvanized roofing nails — along with standard asphalt roofing shingles. It’s designed to be installed by current roofers and electricians. And because they’re part of the roof itself, the POWERHOUSE Solar Shingles have no impact on the roof’s integrity; the shingles are both the roof and the solar energy generator. Dow launched the product in Colorado, because it’s one of the best locations in the country for solar production. Currently, D.R. Horton sports the solar panels on its homes in west Arvada’s Spring Mesa community. More info: www.DowSolar.com or Taylor Henderson, Henderson@dow.com or 303-815-6080.

TrexElevations™ steel deck framing system was engineered by a Colorado deck builder who got tired of call backs because owners’ wood decks were rotting and waving. Trex purchased the company in February and showcased the product at the RMBC. The Elevations steel framing system rounds out the world’s largest manufacturer or high-performance, wood alternative decking and railing products that completely eliminates any wood or substructure on the deck. And next year, structural steel posts will replace the last of wood products on Trex deckings: the wood posts. It’s easy for a contractor to use; everything is made to a contractor’s specifications. No special tools are needed to install. The steel cuts with a standard skill saw or warm drive saw. It’s flame resistant — a big plus for mountain decking — and Trex offers owners a 25-year warranty on the product. More info: www.Trex.com, then Ryan Seeley, 720-988-0420 or Rseeley@Trex.com.

Colorado Builder Forum

November/December 2011

New Products

Blinds Corners & Curves Remote motorization of window coverings is here, regardless of whether you’re building a home automation system into your homes. Blinds Corners & Curves offers total control of motorized window coverings through the touch of an iPad, iPhone or Droid. So whether your buyers are in the kitchen or across the country, they can open their window coverings whenever they want. The window covering specialist also offers all its Hunter Douglas products with Lutron Lighting System motors, which combines Lutron’s award-winning motorization and lighting control systems with Hunter Douglas’ industry-leading products. Lutron’s tubular motor, PowerRise®, opens Hunter Douglas window coverings by battery or hard wiring, and by remote control or wall switch, the entire room or the entire house. More info: www.bccblinds.com or Brenda Howard, 303-755-5000 x219, bhoward@bccblinds.com.

November/December 2011

www.hbacolorado.com

While WaterFurnace has been providing geothermal heating and cooling equipment through dealers for nearly 30 years, its products are now directly available to contractors. The company offers in-floor radiant heat, forced air heating and cooling and domestic hot water. Because the up-front costs of geothermal heating and cooling is usually an owner’s biggest obstacle to installing the system — even with the 30 percent tax credit up front — WaterFurnace now offers financing for the home owner or through the builder. The company also helps builders

“Since 1972, helping our clients successfully build from the ground up.”

Sauter Timber Traveling from Rockwood, Tennessee, Sauter Timber spotlighted its heavy timber framing products at the RMBC. Founded in 2002, Sauter Timber is one of the premier wood component providers, producing and manufacturing heavy timber components for timber framers, log home companies, home builders and other contractors. The company specializes in joinery services for the timber frame industry. With more than 20 years’ experience, Sauter’s craftsmen use a computer numeric controlled Hundegger K2 milling machine for accuracy and have the artisanal skills to hand craft even the smallest details to perfection. Builders receive their orders precut and ready to assemble, whether it’s a heavy timber component, structural or whatever is needed. The company primarily uses Douglas fir, and also uses yellow pine, white pine and oak. More info: www. sautertimber.com, Reinhard Sauter, 865-3546363 or Reinhard@SauterTimber.com.

WaterFurnace market geothermal, to move houses faster. The company’s geothermal systems can deliver up to five dollars of energy for every dollar of electrical energy used, which translates to an efficiency rating of 500 percent, compared with the most efficient gas furnace that rates 97 percent. With the most efficient equipment in the industry and the widest residential product line, WaterFurnace has one of the best warranties in the industry: A ten-year parts and labor allowance. More info: www.WaterFurnace.com, and Justin Larsen, 877-258-0208 or Justin.Larsen@WaterFurnace.com.

cost effective solutions professional & responsive extensive local expertise commiteD to excellence practical & personalizeD

Milgard Windows & Doors Milgard’s spotlighted its Essence™ Series of wood windows at the RMBC, which offer a new view on building energy efficient wood windows. Inside, windows are available in pine, Douglas fir or primed wood. The wood surface is free from unsightly nail holes or staples, making it perfect for staining, sealing or painting. Outside is Milgard’s fourth generation of durable fiberglass, which won’t warp, chip, peal, crack or corrode in Colorado’s tough weather extremes. The exterior also comes in 15 colors The Essence window is designed to answer the need of every channel of construction — from custom and remodeled homes to commercial applications. Milgard guarantees the Essence against parts, pieces and glass breakage to the residential home owner for the life of the home. Milgard won the 2011 Crystal Achievement Award from Window & Door magazine for the most innovative window by a large manufacturer. More info: www.Milgard.com, or Ed MacGuire, EdMacGuire@Milgard.com, 719-499-4003.

Consulting EnginEErs • • •

Geotechnical environmental

• •

related services

•

Responsive, professional services based on 38 years of expertise

www.agwassenaar.com Main Office: (303) 759-8100 Toll Free: (877) 696-0826 offices in Denver anD coloraDo springs

“We build relationships, not just clients.”

Colorado Builder Forum

November/December 2011

New services

Lowe’s Commercial Services This was Lowe’s first time at the RMBC. And the company offers a great savings opportunity to HBA members throughout the state. Every commercial customer at Lowes’s gets a five percent discount on every purchase, every day. You don’t have to be an HBA member to get that. But you do to get this: Lowe’s Commercial Sales has partnered with the National Association of Home Builders, where HBA members can earn an additional two percent discount on purchases made on their Lowe’s accounts receivable — for a total of seven percent (7%) off on purchases made at Lowe’s. Note: When you visit the page, you’ll see the offer ends December 7, 2011. That’s been extended by a year, to 2012. To get the special NAHB discount, just register at LowesForPros.com/ nahb. More info: www. LowesForPros.com/nahb or Mike Carter, 303-8682587 or Mike.M.Carter@ Lowes.com.

OFF

November/December 2011

AJ Karas Auctioneers When you think about selling a home at auction, your first thought may be that’s it’s a distressed sale. Well, that’s old school. For some builders, it’s been a savvy business decision, because it’s a cost effective, accelerated method to sell homes. For ten years, Janelle Karas has been exclusively selling homes at auction through AJ Karas Auctioneers. The company has a system in place to market the property, hold the auction and close in 60 days. A real estate auction is time oriented and creates awareness; the can choose the specific date and time to sell the property. It creates urgency. And because it has a sense of ‘deal,’ buyers are motivated. The auction brings the most ready, willing and able buyers to the table to compete with each other — and drive the price up. An auction frees builders from holding costs or maintenance fees, while getting a fair price. Buyers do all their due diligence before the day of auction, including all financing and inspections, title research, disclosures, taxes and package terms and conditions — and there are no contingencies in the buy/sell contract. More info: www.AJKaras.com or Janelle Karas, 303-954-8631 or Janelle@ajkaras.com.

New Home Star Everyone knows more traffic should mean more sales. But it’s rarely that simple. Now, there’s a way for builders to get the fixed cost of sales off the books, while enjoying more sales. Many builders have already partnered with New Home Star, a three-year-old franchise that helps builders and developers to sell more homes. Here’s how it works: Builders outsource their sales to New Home Star, similar to how various trade functions are outsourced. Here’s how it works: Builders’ current sales staff are transitioned to New Home Star and trained under the company’s proprietary sales and marketing platform. The company’s approach simultaneously focuses on increasing traffic and conversion with a range of targeted processes designed to maximize new home sales. Sales Associate Marketing Initiative (SAMI), for example, encompasses the small things a sales associate can do every day to boost traffic to a community in just 30 minutes a day. Associates also complete the New Home Star Asset 180º, where sales associates are tasked with answering 180 questions about the home, the community, the area pretty much anything a buyer may ask about a property. More info: www.NewHomeStar.com . In Colorado Springs, Keith McKinney, 719-494-3778; Denver/Boulder: Kimberly Karsell, 303-669-8006, or Todd Wakely 303-548-7106.

www.hbacolorado.com

ProHome Colorado Since 2003, ProHome Colorado has been partnering with builders to handle their home warranty programs, which include preclosing new home orientation walkthroughs, explanations and demonstrations of maintenance items for home owners, home warranty review and 30-day and 11-month warranty item walk throughs. ProHome also fields and documents all home owners’ phone calls and 24-hour emergency services and schedules all subcontractors for work on homes. At the RMBC, ProHome Colorado unveiled its software platform — three years in the making — where home owners can log on for access to their claims, while builders can access all the information they need to know, and subcontractors can track their projects. Builders can now log into the system, at their own convenience, for reports that used to be generated out of the corporate offices. More info: www.ProHomeCO.com, then Bill Armstrong, 303-679-9090 or Inquiry@ProHomeCO.info.

Cornerstone Creations Sometimes you just need a visual to really get you thinking about your spaces. Cornerstone Creations did just that by showing how the Kelvin color/ temperature options of lighting affects colors builders and interior designers select in finishes. Using the same colored backdrop, tiles, wood, plates, napkins and candles, the booth dramatically demonstrated the effect lighting has on our interior treatments — from incandescent to various values of CFL and LED lighting. The booth highlighted that builders are beginning to understand how the color value of light they’re choosing affects how prospective buyers feel when walking through their models or homes. A great interior can translate to a disaster with the wrong Kelvin color/ temperature of light. What to do? Think light first, then select fabric and treatments to work with the light. And to create a well-lit room, you must have a variety of layers of light to work with, which can include recessed canned, decorative, wall sconces, task and natural lighting. More info: Nancy@CornerStoneCreationsllc.com or 970-485-1330. Colorado Builder Forum

November/December 2011

education & information

5 The Only ICC Approved Basement Window System in the Industry!

Pacific Northwest National Laboratory

Protects against moisture, air & water leaks in critical non-roof detail areas: Window and door openings Foundation & sheathing sill splashback areas Inside/outside corner details

www.hbacolorado.com

www.boman-kemp.com

Contact your local Lumber Dealer for Grace Vycor Plus Flashing and other Grace Underlayment Products

November/December 2011

A week before the RMBC, New Town Builders announced that it’s now using Rocky Mountain Blue Stained Pine — the result of the pine beetle infestation in the mountains — as a vertical stud in its homes’ building frames. In fact, New Town Builders is the first production builder in the state to order delivery of blue stained pine in mass quantities to build homes. And the builder had a booth at the RMBC, promoting and encouraging other builders to use this wood in their homes. The wood is graded by the West Coast Lumber Inspection Bureau, to ensure strength and durability that meets construction standards. Blue Stained Pine has been used in the past for kitchen cabinetry, flooring and artisan uses over the past few years. Using the wood now in structural components has a few benefits. For one, it helps prop up the state’s struggling lumber industry. One mill is currently in receivership; if it’s shuttered, 400 jobs go with it. Another, equally important reason to use the wood is it helps reduce the threat of forest fire in Colorado’s more than three million acres of devasted timber — which also helps restore the forest ecosystems and protect watersheds. What’s more, it’s expected that the useable wood will be harvested during this cycle of pine beetle infestation, making it a ‘collector’s item’ of sorts in homes — and an added selling feature. More info: www.newtownbuilders.com, Perry Cadman, President, 303-707-4461 or pcadman@newtownbuilders.com.

800.733.7886

Rocky Mountain Blue Stained Pine

Basement Window Systems

ICC Approved ESR# 1856

Some exhibitors at the RMBC were there to educate and inform. That was the case with Pacific Northwest National Laboratory (PNNL), which is one of ten U.S. Department of Energy national laboratories that are managed by the DOE’s Office of Science. PNNL is dedicated to addressing the toughest problems in energy, the environment and national security. At the RMBC, PNNL was there to promote the use of well insulated windows for homes in northern climates, as part of its High Performance Windows Volume Purchase program. PNNL’s program, which is in Phase II, program of highly insulated windows strives for a maximum U factor of .22 or lower, which is available in most triple paned windows. PNNL noted that more than 50 window manufacturers already produce windows with the targeted U factor. PNNL’s goal: To reduce the price premium between the most advanced windows on the market and Energy Star®. More info: www.pnnl.gov/, or Terry Mapes, Terry.Mapes@pnnl.gov

Now with RIPCORDTM SPLIT RELEASE ON DEMAND

Colorado Stocking Dealers Alpine Lumber - All Locations Big John’s Bldg & Home Ctr - Glenwood Springs Bighorn Materials - Silverthorne BMC West - All Locations Boulder Lumber - Boulder Builders Enterprises - Denver Breckenridge Bldg Ctr - Breckenridge Chase Lumber Co - Aurora County Line Lumber - Erie Denver Lumber - Denver Douglas Lumber - Castle Rock Edwards Bldg Ctr - Edwards Front Range Lumber - Lakewood Highland Lumber Co - Tabernash & Grand Lake Jordan’s Bldg Ctr - Arvada Lafayette Lumber - Lafayette Mawson Lumber - Fort Collins ProBuild - All Locations Procoat Systems - Denver Specialty Wood Products - Aurora Valley Lumber - All Locations

Visit our web sites: www.graceconstruction.com www.boisebuilding.com DistributeD by:

(303) 289-3271

Ask us about our new

Denver, Co

Colorado Builder Forum

November/December 2011

HomeAid Colorado is proud to thank our annual Gold Key sponsors for their continued commitment to help build dignified housing for homeless families, veterans and youth. Diamond Sponsor

Jill and Ryan Ahrens Platinum Sponsors

Colorado Sustainable Design Awards:

A look at innovation and opportunity

COLORADO A S S O C I AT I O N O F

HOME BUILDERS

Gold Sponsors

Carter Development • Staky Foundation We appreciate your commitment to housing families in need. www.hacolo.org • 303.691.0104 HomeAid Colorado is a 501(c)(3) organization.

BWIA CONTRACTOR’S INSURANCE

hello! Kim

CHFA Home Finance

how can we help you? CONTRACTOR’S INSURANCE: Bonding ��General Liability �Excess Liability Inland Marine (Tools & Mobile equipment coverage) Commercial Automobile  Professional Liability Contractor’s Pollution Liability ��Builder’s Risk COLORADO BW INSURANCE AGENCY LOCATIONS Evergreen: (800) 809-5207 Fort Collins: (970) 223-0924 Frisco: (970) 668-3447 Grand Junction:(970) 243-9012 Gunnison: (970) 641-0614

Holyoke: Littleton: Sterling: Thornton:

(970) 854-2290 (303) 932-3385 (970) 522-6260 (303) 451-5547

Boost your business by telling your customers about CHFA first time homebuyer programs. They will benefit from our fixed rate home loans and second mortgages for down payment and/or closing cost assistance. Also, our CHFA MCC program will save them money each year they live in their home. Visit our website today to learn more.

800.877.chfa (2432) www.chfainfo.com financing the places where people live and work

November/December 2011

www.hbacolorado.com

Special to Colorado Builder Forum from ColoradoBiz magazine

he Colorado Sustainable Design Awards was started by ColoradoBiz magazine three years ago, and recognizes outstanding design in residential properties, among other categories that include civic and commercial properties, as well as interior design. Since then, ColoradoBiz readers have seen outstanding innovations in sustainable building. Yet the judges want to see architects, developers and builders set the bar higher, particularly when it comes to cost and whether those innovations can be adapted for widespread use. This year’s judging panel includes returning judges Joshua Radoff, principal of YRG Sustainability Consultants; Conor Merrigan, high performance building program manager, with the Colorado Governor’s Energy Office; and Susan Powers, president of Urban Ventures LLC. New to the panel this year are Jennifer Lester, president of Philosophy Communications and representing the American Society of Landscape Architects, Colorado chapter; and Katherine Leigh, professor of interior design at Colorado State University, representing the International Interior Design Association, Rocky Mountain chapter. The goal in sharing this program with you is to inspire you to innovate, as well as be recognized and inspired to face the challenge of doing more with less. Here are the Single Family Residential and Communities

category winners. To see all categories’ winners, go to www.cobizmag.com. The following is an excerpt from an essay by Josh Radoff on what the judges were thinking as they evaluated the projects. “If you scan this year’s CSDA winners, you might see a theme that reflects a larger trend that’s gripping the world in various forms and places: Responding to the call for belt tightening by Doing More With Less. After three years of economic downturn, it doesn’t matter if you’re Greece, the Tea Party or the Other 90 Percent, because Doing More with More doesn’t seem to be in the cards. “For those of us in the world of sustainability, the former has always been the mantra. Environmentalism falls flat if it translates into a personal austerity plan of sweaters, dim rooms and meager living. The success of Leadership in Energy and Environmental Design (LEED) and green building should be attributed to the emphasis on not just resource conservation (‘Less’), but also on delivering ‘More’ in the form of daylight, views, healthier air, controllability, thermal comfort, connected community and local economy. “These values can be seen in this year’s winners. Perhaps that reflects our desire this year, more than in years’ past, to stumble upon inspiring acts of frugality. When we examined the price tag, we sought a sigh of relief, rather than a gasp of panic. And we wanted a project that makes you feel like the trend itself is sustainable – and not just the glimmering nature of the project in front of you.”

Colorado Builder Forum

November/December 2011

csda

Residential Single Family

Living Framework House

Streamline Architect/Interior Design

Merten Design Studio

Architect

Photo courtesy of ColoradoBiz

general contractor

Hangar 41 Architecture LLC

Merten Inc. builder

Merten Construction

2 place

Photo courtesy of ColoradoBiz

Overview

Completed in August, this 4,293 sq ft house in Denver’s Highlands neighborhood was designed in the authentic art moderne or ‘streamline’ style. The home was originally designed to be modular due to the rectangular lot. However, the level of detail and complexity of the home’s architecture prohibited this type of building. The decision was to use standard framing with spray in insulation. The aim was to create a whole-system, energy-efficient home that would provide innovative energy capture and flow, on-site food production (both indoor and outdoor) and symmetrical and sensible balance of form and function. The home also features a walk-out mother-in-law suite, as well as a 756-square-foot garage with a large workshop.

Sustainable Features

›› Timed exterior irrigation provides optimal garden hydration; garden areas are located mid-to-down slope to channel water where it will help most. ›› Active energy strategies: Seamless interplay of energy capture and release includes geothermal energy, heat recovery ventilator, photovoltaic panels and programmable thermostats. ›› Passive energy strategies: Southern exposure and dual-paned, low-e windows in an open floor plan. Solatubes – portholes – used in interior greenhouse and select bathrooms.

Overview

rd 3 place

Planned to be located in the Stapleton neighborhood, this concept house will be close to many local shops and restaurants that both serve owners’ needs and reduce the number of vehicle miles traveled. Narrow and tall, the house responds to the form of the original Stapleton flight control tower, which can be viewed from the home’s decks. As another gesture to the history of the site, aluminum siding that was formerly aircraft skin is used at the rear of the house. By building a narrow footprint, much of the building lot is retained for landscaping, allowing ground filtration of water — where formerly it was blocked — and maximizing the usable outdoor space for gatherings. The design team was made up of six individuals, but often, as many as 12 people were involved. “What became of the process was what we termed ‘Design Darwinism’ and the best ideas kept surfacing within the more successful designs,” the entry from Hangar 41 Architecture stated.

Sustainable Features

›› Geothermal heating with solar thermal and photovoltaic systems. ›› The roof is slanted on two axes to direct rainwater to the green wall, where it filters down to a capture basin in the underground garage. The water is then reused to water the landscape and replenish the ground water. ›› Integrated into the home’s facade is photovoltaic glass on the south side, as well as photovoltaic panels on the roof, which provide at least 50 percent of the home’s energy use.

Phantom Canyon Ranch Architect/Interior Design

MQ Architecture & Design general contractor

Merten Inc.

Overview

Completed in September 2009, Phantom Canyon Ranch is a LEED Gold-certified house of 3,012 sq ft, nestled inside Phantom Canyon Nature Preserve in Livermore. The home’s immediate neighbors include hummingbirds, black bear, bobcat and other wildlife. Minimizing the environmental footprint was extremely important to all parties, thus the importance of achieving LEED Gold standards. Also Phantom Canyon is a development in a nature preserve, and the community is promoted through its strong hyper-green identity and encourages or mandates green community planning. The site selection, home layout and adhering to requirements such as a 25-foot building height limit were vital to the planning success. “The site was totally wild, and was basically kept in its original and unmolested state,” the project’s entry stated. “The house was placed in such a way that it did not disturb any of the existing trees or boulders. Locally sourced boulder walls and gravel swales provide runoff control.” 44

November/December 2011

www.hbacolorado.com

Photo courtesy of ColoradoBiz

st 1 place Sustainable Features

›› Structural insulated panels for walls and roof, radiant heat, beetle kill pine flooring. ›› Reclaimed concrete roof tiles support a generous roof-flush system of both photovoltaic panels and evacuated solar thermal tubes. (A battery backup system will keep the refrigerator and select radiant Photo courtesy of ColoradoBiz zones fueled during power outages.) ›› No irrigation system was installed, as all disturbed areas were reseeded with native grasses. ›› The appropriately small-sized exterior patios are concrete pavers, and all parking surfaces and walkways are gravel to minimize runoff and maximize storm water infiltration. ›› Exterior lighting is all covered or points down to minimize light pollution. ›› The house orientation is 12 degrees off the east-west axis, based on true north, to maximize solar gain for passive heating. This layout, combined with its placement on the lot, selection of windows, use of deep porches and other features creates a house that is extremely comfortable to live in and requires minimal mechanical input. ›› The alternative energy systems installer gave multiple training sessions with the home owner and a maintenance manual was provided by the builder. The owner worked with the builder and systems installer to fine tune the performance of the radiant system through the first heating season.

Total Community Options Corporate Headquarters Denver, Colorado

LEED® Platinum Certified

Colorado Builder Forum

November/December 2011

Communities RESIDENTIAL COMMERCIAL INSTITUTIONAL

nd 2 place

Architect

LGA Studios general contractor/builder/owner

Twin Buttes Ecovillage, Durango

Pinon Development Corp.

architect

Barrett Studio architects

CABINET BOXES

Trailside

st 1 place

Sustainability Park, Denver project partners

Denver Housing Authority, Colorado Renewable Energy Society and the Urban Farmers Collaborative

rd 3 place

CLOSET SYSTEMS

csda

architect

Overview

1800 Larimer

www.hbacolorado.com

›› Trailside was designed to let most homes have the front or rear of the home facing south, to maximize passive solar. ›› Every home meets Energy Star® standards; most receive a five-star plus rating, the highest possible. ›› Several homes incorporate solar technologies, such a photovoltaic panels and solar hot water. ›› Trailside is home to the only net-zeroenergy home in Chaffee County. ›› When property for the development was purchased, the land included an old irrigation ditch. Trailside donated the water rights to the school district, so it could irrigate newly constructed soccer fields across the street from the project.

Sustainable Features

Photos courtesy of ColoradoBiz

Photo by Frank Ooms

November/December 2011

Twin Buttes Ecovillage is a 925-acre master plan development that will feature 65 dwelling units, 150 acres of clustered development and 775 acres of open space. “Durangoans pride themselves on their respectful use of a diverse wilderness — from the Animas to the San Juans,” note the architects, who worked with Trails 2000 to establish multiuse trails for hikers and mountain bikers in the open space of Twin Buttes. No home in the community will more than half a mile from a transit stop and 16 percent of the homes will be designated permanently affordable.

Sustainable Features

Xcel Energy Regional Headquarters

Overview

›› A ll structures in Twin Buttes must meet the sustainability mandate of 50 percent better energy performance than the 2006 International Energy Conservation Code (the equivalent of a 50 percent or better Home Energy Rating System score). ›› T he sustainability mandates and guidelines of the Twin Buttes outline several ways to accomplish the project’s goals, including using photovoltaic solar arrays and geothermal or ground-source heat pumps. ›› T he project encourages the use of passive solar design and alternative building systems that can be locally sourced, such as thick wall straw bale or rammed earth.

DRAWER BOXES

With Salida’s attraction for outdoor enthusiasts in mind, Trailside was designed to be a neighborhood that could access the network of hiking and biking trails, connected by creating a short trail directly through the neighborhood. The community is a ten-minute walk to shops, restaurants and parks along the Arkansas River, and a 15-minute bike ride to access thousands of acres of forest lands. To encourage diversity, homes range from 1,250 square feet to 2,300 sq ft. With 61 homes, Trailside was the first large-scale home development in 30 years.

This 2.7-acre project in Denver’s Curtis Park neighborhood is designed to showcase, evaluate and promote Earth-friendly technologies and strategies across a diverse range of categories including renewable energy, agriculture and water use, transportation, green building and community outreach and education. Sustainability Park is located among several Denver Housing Authority communities that provide low income residents access to locally grown produce and opportunities for education and green-job training. The area has been in transition for the past several years as infill development has occurred on vacant or underutilized lots. The neighborhood is an eclectic area that is home to a very diverse population — from very low income residents to owners of redeveloped loft properties.

Contemporary FRONTS

Overview

We are honored to be part of the team who designed & built the award winning, LEED® CS Platinum Certified

COMMERCIAL CASEWORK

Photos courtesy of ColoradoBiz

Norris Design (pro bono partner)

AND MORE...

Sustainable Features

›› Six LED street lights surround the block, including one solar-powered. It is the first pilot program with the City and County of Denver to test the feasibility of LEDs as a replacement for conventional street lights. ›› A recycled rubber/plastic sidewalk was tested to observe its functionality and maintenance, and to preserve a mature oak tree. ›› Green screen and protective fencing were chosen for security and aesthetics. ›› A B-cycle station ›› Solar-powered drip line irrigation system for the farm ›› Volunteers constructed and installed more than 40 planting beds. ›› Composting/vermiculture is located at Produce Denver’s plot as a demonstration and supply hub for the Urban Farmers Collaborative. ›› A bee hive is stationed at each end of the farm for honey production and education.

Modular or Custom Configured Flat Packed, Ready for Easy Assembly Thermofused Melamines Wood Veneers on MDF .5 to 3mm Thick Edgebands Functional Hardware

970.241.7682 To learn more or to download a free catalog

www.cabparts .com HIGH QUALITY COMPONENT MANUFACTURING

Colorado Builder Forum

November/December 2011

Opening Session

a peEk at the ‘11 rocky mountain builder conference

NAHB Chair Bob Nielson kicked off the opening session of the RMBC with his keynote speech to a packed house at SaddleRidge. He shared NAHB’s recent wins with no third-party testing for lead-based paint, along with numeric limits on storm water discharge. He also announced that because the concept of home ownership as a national priority is under attack, NAHB recently unveiled a new communications messaging strategy. This messaging program specifically targets home ownership as the primary focus of the next election. We’ll have more on this program in upcoming issues of Colorado Builder Forum.

Finance Panel With four industry perspectives, the Finance Forum featured a panel of industry members with sometimes similar, sometimes different perspectives on the state of construction financing. The session was a lively and interactive one, and was even attended by staff members from Rep. Ed Perlmutter’s and Sen. Mark Udall’s offices. From left: Chris Jeavons, Advantage Banks; Bryant Ottaviano, 1st Mortgages; Ron VanSteyn, Wells Fargo; Shane Silvernale, Denver Community Credit Union.

Exhibit Hall The Exhibit Hall was at the heart of the conference. Components of each meal were scattered throughout the hall, to encourage conversations between exhibitors and people attending the conference. As has happened in the past, the Exhibit Hall was also the place where some new products were unveiled for the first time — before the International Builders Show in January. Right: The crew from Wells Fargo Home Mortgage, the Platinum Sponsor of the RMBC, chats with a builder.

From exhibits to educational sessions, the final Rocky Mountain Builder Conference in Beaver Creek was abuzz with information that members across the board found useful, practical and valuable. Members who attended the swan song came away with great — almost inside — information to better run their businesses, as well as a slew of new products that when used, can help them build more efficient — in both time and money — homes.

November/December 2011

www.hbacolorado.com

Top: Jon Lindstrom with Arthur J. Gallagher Risk Management Services Inc., the Title Sponsor of the 2011 RMBC, addresses the crowd at the opening session. Below: CAHB President Peter Tobin presents the President’s Award to Laura Brayman, executive director of HomeAid Colorado.

Chair of the 2011 RMBC Committee Paula Huggett and Perry Cadman, chief financial officer with New Town Builders, chat during Thursday evening’s reception.

The RMBC was also a great place for builders to catch up in person with what’s going on in the various parts of the state. From left: Mark McCrerey from Summit County chats with Bob Peterson, Kevin Tapia and Rob Scott from Northern Colorado.

Colorado Builder Forum

November/December 2011

finance

by Bryant Ottaviano

Let’s talk appraisals At the Colorado Association of Home Builders’ Rocky Mountain Builder Conference, held in lovely Beaver Creek, I was fortunate enough to be selected as a speaker on the Finance Town Hall panel. Most of our conversations inevitably funneled down to appraisals, appraisers and appraised values.

HVCC Not HVAC — no, no, no. It’s the Home Valuation Code of Conduct and it is the culprit behind our appraisal woes. Enacted by Fannie Mae and Freddie Mac, it’s an attempt to prevent influence by lenders to increase appraised values of homes. We all have read or heard about the rouge appraiser who put a million-dollar valuation on a $250,000 home, and how the owner took a ton of cash from the property when he sold it to the unsuspecting buyer. How many properties did the buyer look at? How can a few circumstances that were obviously beyond everyone’s control turn the appraisal industry into what is has become today? And let’s be blunt: It’s a tragedy. How often has your sales team notified you of an appraiser coming to inspect a home, and the appraiser never bothers to show up in the sales office? How many of your sales reps have been told “Oh, I’ll have this appraisal done tomorrow,” and we as the lender don’t receive it until the following week? We actually had an appraisal that went through the management company’s rigorous quality control review. It usually costs about $150 to assign the appraiser, review the appraisal and ultimately release this perfect document into the black hole of the lender. The appraisal came back to us, the lender, with NO VALUE. I’m not joking or making this up; it had NO VALUE. If we as a lender miss one important box on one form or another, the loan is denied, no questions asked. When an appraiser or a management company misses something, it’s a mistake and it’s corrected. Enough of the ranting. How can we fix the appraisal issues? I have put together a quick list of five ‘musts’ when talking with your team. You have to arm yourself with knowledge. Get your lender in your sales meetings. Have the bring an appraiser, (he can wear a mask, so he can’t be identified) so you can talk to the people who are creating the issues. From there: Spend time with the appraiser. If an appraiser won’t come to your sales office, go to him or her. Walk the appraiser through the home, and show the upgrades that you and your team upsold. Explain all the structural changes to the appraiser. How about Energy Star® compliance? Is the home with Energy Star compliance not worth more than one that isn’t? I bet it is to you as the builder who paid for it. In some cases, the lender should ask to have an appraisal conducted three months before construction completion.

November/December 2011

www.hbacolorado.com

When we see that there could be an issue with value, we just get an appraisal. Early on, it helps to scale back upgrades and put a little bit of confidence behind the deal. Did you know that values are held for 120 days on a new construction appraisal, versus an existing home? More important, does your lender know?

Bryant Ottaviano 1st Mortgage Founder and CEO

Settle down on the upgrades! You have to know your

market. You have to understand that allowing for the buyer to go insane in the upgrade center is a recipe for disaster. You’ll end up paying for the upgrades through a reduction in the sales price anyway. If a buyer wants to create a custom upgraded home, make sure the buyer has the cash to pay for the upgrades up front. Make sure the buyer understands how lenders calculate their loan to value. Do you know how we calculate the loan to value, when the appraisal is lower than the sales price? Get an appraisal on the specs! When did you last have

an appraisal done on the various models in your community? Have an appraiser out for a full day and be sure to describe what makes your community different from the one next door. Have conversations, so that when we as the lender go to the HVCC pool of appraisers, your sales staff can present a summary report to the new appraiser as a guide map. You are not influencing value. The appraiser will let you

know if you’re moving to close to the line of influencing value. Be smart about it. Don’t say, “So, what do you think the value is coming in at?” or “We need to get to ‘X’ dollars.” Stay smart when communicating with the appraisers. You can’t broach the topic of value. However, by giving the appraiser comparable sales in the area, you can help the appraiser achieve a better understanding of the current marketplace. Most these folks are good people who are just trying to survive like the rest of us. They have been punished with regulations and censuring — and are fed up with what they have to do and how they have do it, as well. Finally, every once in a while, you need to get a second appraisal. It will help to shore up the value in a

real quick manner. It’s not common, but sometimes it’s needed. In summary, it’s important you know the rules and the regulations associated with HVCC, and start to have more conversations with the appraiser about the benefits associated with your home. We don’t see too many issues on the majority of the transactions we deal with, however when your buyer treats the design center like it’s Sam’s Club, you need to get proactive. They can’t just close their eyes and keep their fingers crossed.

Everyone loves a café. Now, everyone can have one. GE Café™ is GE’s first new line of appliances in 15 years, and it’s an exciting new sales opportunity. With stainless steel exterior and robust styling, builders and new home buyers will want to make it the centerpiece of their new home. For remodelers and their customers, the GE Café will easily transform any kitchen with restaurant-inspired design. At long last, everyone can afford to have an inviting café – right at home. www.geappliances.com/café For additional information contact GE Appliances, 6140 Stoneridge Mall Road, Suite 515, Pleasanton, CA 94588, Phone: 925.730.6423.

GE Café ™

EmployEE ownEd – sErvicing thE rocky mountain rEgion sincE 1963

From custom in-house timber trusses...

to precision cut

Alpine Lumber, the regions largest independent dealer, increases value and reduces costs by improving onsite performance for builders.

VISIT US ONLINE AT

www.alpinelumber.com

303.451.8001

Buena Vista • Crested Butte • Denver • Durango • Eagle • Frederick • Granby • Montrose Parker • Steamboat Springs • Telluride • Angel Fire, NM • Farming ton, NM • Gallup, NM