The big potential of the city fix-up market

THE POTENTIAL of the home

I improvement market has never been more promising than at the moment with the impetus of increased interest in restoring vintage homes and the realization that inner city housing has its advantages.

Termed recession-proof, the average growth rate of remodeling for the next decade is forecast to run between 15-250/0. The trend to urban fix-up has been accelerated by the rising costs of new construction and financing of new homes. In addition, the high cost of transportation has made homeowners more aware of the advantages of living closer to work and public transportation.

Story at a Glance

Remodeling and repair business flourishing ... interest in Victorian mansions, advantages of urban life accelerate ref urbishing of inner city. homes ... building products business profits.

Materials for remodeling and repair are expected to continue to have a dominant influence on the building products industry. Georgia-Pacific has reported home remodeling accounting for l79o of its total sales in 1980, an amount of $880 million.

G-P chairman Robert Flowerree has characterized the remodeling and repair business as "growing very rapidly and it should continue to pick up as costs of new construction continue to go up and more people choose to renovate older homes in choice, close-in locations."

Rust-Oleum Corp., a manufacturer of rust-inhibitive coatings, has had enough confidence in the home improvement boom to launch a national home improvement sweep- stakes. Allowing a tie-in with paint related items such as brushes, rollers, ladders, drop cloths, sandpaper, and scrapers, the sweepstakes offers prizes for both retailer and consumer with the support of a full schedule of national television and consumer magazine ads.

Summarizing a nationwide trend, Richard Dodge, merchandise mgr. for Wickes Lumber Co., said "Sales of treated lumber for use in urban areas have increased approximately 3os/o a year over the past five years, a surprising fact considering that other lumber use, primarily new housing, has been down in the same period."

The purchasing agent for another large building center chain reports "Our sales of wood into the urban market have increased between 2090 and 3090 each year over the past five years, as more and more people are building decks and fences, and enjoying outdoor living. One reason is people are becoming aware that they can buy treated lumber, which resists termites and decay, at a lower price than untreated woods such as redwood or cedar."

Aside from individual owners who are buying and renovating urban homes for their private use or speculation, there are many historic preservation groups working to have older homes accepted by the National Register of Historic Places. Homes rescued and renovated by such groups are not necessarily destined to become museum pieces. While some of these wonderful old houses become private homes for large families, many are remodeled into apartments or condominiums. Others are trans(Please turn to page 62)

APARTMENTS in this old building are reached by an outside stairway of wood. Vintage multiple unit buildings as well as single family homes are being renovated as people return to urban living. The older city house (lower photo) was converted into two apartments with balconies to provide privacy lor residents of both units.