Haley’s Flooring and Interiors Expands by 32,800 Square Feet

Haley’s Flooring and Interiors, a Huntsville-based business working primarily in residential construction, expanded its cabinetry division with a 3,800 square foot office space as well as two warehouses at 17,000 and 12,000 square feet, respectively, which are to be fully operational in mid-August.

Haley’s Flooring and Interiors purchased the facility in April for an undisclosed price from Crunkleton Commercial Real Estate. The facility has been in use since early June, and CFO Michael Haley estimates that the facility is currently being used to 95% of its potential, doubling the business’s cabinet sales capacity.

The facility is expected to be fully functional in mid-August, after cabinetry division staff have moved into their offices.

Over the last year, the company has been in “hiring mode”, doubling the amount of cabinetry staff, according to Haley. The cabinetry division now employs 25 to 30 people.

“We basically outgrew our building that we were in,” Haley said. “To expand more, we had to find a building for that growth.”

After estimating 5-20% sales volume growth in the last 3-5 years and 20-25% in 2022, Haley said, “I'm really happy with the 5 to 20% growth across the board.”

He added that profits for the business rise steadily along with sales volume, but there has been no significant growth in the profit margin over the last few years because of the rising cost of materials.

Rather than offering retail services, Haley’s Flooring and Interiors’ cabinetry division works with more than 10 builders in North Alabama and is actively finding more. The business primarily sells cabinets made and distributed in the US.

Haley attributed 95% of the cabinetry division’s sales to new construction single-family, townhouse, and condo homes. The remaining 5% of sales come from larger, commercial apartment complexes.

“It's been very difficult three or four years to try to stay ahead of those price increases to these builders,” Haley said. “Giving them a price increase to catch in front of those price increases is actually pretty difficult, but we have gotten better at it, and last year we got it back to where we want to be.”

The space once allotted for the cabinetry division is now being used to hold additional furniture and accessory products. Haley hopes that the additional space for furniture and accessories will result in 5-20% furniture and accessories sales growth in the next year.

By: Laura Boehringer

Prior to purchasing its new facility, Haley’s Cabinetry and Flooring began constructing a new warehouse but ultimately decided to lease the space out to another business as the timeline of its progress was not satisfactory. w