CAPITAL LUMBER COMP{NY

moves its Southern California operation to Chino Valley

Complete planning and construction supervision by Treated Pole Builders, lnc.

The plan & build concept and turn key operation, offered by Treated Pole Builders, Inc., gives Capital Lumber Company a new 5 acre facility.

Designed to fit the needs of the redwood and cedar industry, this all new installation offers Capital Lumber total effectiveness in the markets with absolute efficiency.

Capital Lumber Co. Manager, Mark Lofland, and Leon Durham, President of Treated Pole Builders, Inc., review the final details of the New Chino facility.

Experience and total product knowledge by key sales personnel is an essential requirement in keeping Capital Lumber a leader in the industry over the past 30 years.

With market emphasis on efficiency - organization of stock and dryness of material is essential in a successful operation.

Wellplanned staging areas offer smooth, efficient traffic flow when handling material.

Our plan & build concept is tailormade for lumber companies. Let our capabilities and long history of accomplishments work to your benefit I in solving your particular problems.

More Moulding for R & R

Restorations will result in a greater use of moulding by the remodeling industry with continued updating of merchandising methods by moulding manufacfurers to meet the needs of the home center clientele resulting in greater sales to this growing market.

John Hammon, exec. v.p., National Home Improvement Council, and Frank O'Dowd, exec. v.p., National Building Material Distributors Assn., told Wood Moulding and Millwork Producers at the semi-annual meeting.

Hammon told the group, representing SOVo of the country's softwood moulding and millwork manufacturers, that the remodeling industry is currently using as much moulding as ever, but usage could increase significantly because of increased restoration work which traditionally uses wider profiles and larger quantities.

Basing his remarks on a representative sampling of his industry, Hammon noted that "Moulding is a necessity on almost every remodeling job. " In addition, creative use of moulding is providing a number of remodelers with a selling edge against competition.

DEATER'S viewpoint ol wood moulding market was provided for Wood Moulding and Millwork Producers by Victor Camozi, pres. of the Western Building Materials Assn. He was one of seven shelter industry associations execs addressing the semiannual meeting.

"Home centers are growing," O'Dowd said, "and as they grow, they're looking for suppliers with updated selling approaches. Many now demand unitized loading, truck shipping and multiple drop-off points. All demand well-merchandised products. For this reason, moulding manufacturers must continue to improve their merchandising methods if they are to continue to increase their d-i-y sales. "

Housing Recovery ShakeY

After realizing a "reasonablY strong" rebound in home sales and starts in the summer, the housing recovery is now in serious doubt because of a recent upward swing in interest rates, according to Herman J' Smith, president-elect of the 124,000-member National Association of Home Builders (NAHB).

"Unless there is a decline from the sharp increases in interest rates, we could have one of the shortest housing recoveries on record," Smith said.

Althoueh the rise in interest rates won't be-reflected in sales and starts figures immediately, the higher rates will cause the loss of 50,000 to 75,000 new housing units later this year and another 170,000 to 200,000 units next year, Smith said. Before recent interest rate hikes, NAHB currently forecast 1.2 million starts in 1980 and 1.49 million in 1981.

High mortgage interest rates hold down sales activity by pricing potential buyers out of the market. For example, on a $65,000 house with a 5Vo downpayment, 4 million fewer households qualify for a loan at l2%o than at 9Vo.

"The lower end of the market, financed by FHA loans and VA guarantees, has been particularly hard hit by cancellations of commitments by mortgage bankers as well as cancellations of sales," Smith said. This is the segment of the market that led the housing recovery in June and July, when interest rates fell sharply aftbr reaching their all-time high in April.

"Three times in less than one v-ear. we have seen interest rates rise and fall so sharply and so rapidly that it seems virtually impossible to sustain any .level of stability in housing produbtion. " Smith saiil.

"Only a few years ago, a rise in mortgage rates of 200 basis points took place over a period of two years. Today, it seems ihat it only takes a matter of weeks. It seems blear that some fundamental changes are needed in order for our industry to function as the.provider of needed housing and a major contributor to our national economy. ' '

Retail Seminars Popular

Strong demand for Western Wood Products Association's new Retail Lumber Seminars has the 1980 calendar $lly booked and dates filling up fast for spring and fall of 1981. -

"The day-long presentations are a new approach to reach more lumber

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