4S-year-old Redwood Wholesale Firm Expands

Amid business conditions the company generously labels "fair" and despite specializing in a shrinking field (quality redwood products), Fred C. Holmes Lumber Co. is growing anyway.

Earlier this year, the 45-year-old wholesaler moved into a new yard in Fort Bragg, Ca., with all facilities (including 2-ll2 acre yard, 4,000 sq. ft. two-strory offices and 7,500 sq. ft. dry shed) twice the size of previous quarters.

With 12 employees in Fort Bragg, the company recently added a new outside salesman, Tom Catlow, based in Santa Rosa. Founder Fred Holmes continues to take calls in his Marysville office.

The $15 million-a-year business handles 407o redwood commons, 307o redwood uppers and307o Douglas fir, with redwood clear. all-heart air seasoned timbers their specialty. Their customer mix is 80Eo retall lumber yards and 20Vo other wholesalers, and while 70Vo of their business is in Northem California, they sell as far as Hawaii, the East Coast and overseas.

Vice president Steve Holmes attributes their growth to three factors:

(1) Quality products; they are able to get the hard-to-find products.

(2) Longtime experience, helping the wholesaler cultivate close, dependable contacts with sawmills.

(3) Good s€rvice, such as offering split shipments so customers don't have to order a whole truckload.

As a result, demand continues to grow stronger. Holmes foresees the supply of quality products becoming even harder to get, meaning higher prices and an eventual switch from upper grades to common grades for construction purposes.