MODERN
HOME BUILDERS
Issue 109 www.modernhb.com
BEST PRACTICE FOR INDUSTRY LEADERS
A legend in lumber Embodying what is meant by a ‘family-business’, building materials company 84 Lumber has based its success on a dedication to people
Working together Why building stronger relationships with real estate agents is key if builders are to maximize their success over the long-term
Grow your business With so much new work on the horizon, it is crucial to have an easy-to-use, reliable management software system in place
EDITOR’S LETTER Chairman Andrew Schofield Managing Director Joe Woolsgrove Editor - Libbie Hammond libbie@schofieldpublishing.com Assistant Editor - Will Daynes Staff Writers - Alex McDonald, Danielle Champ Art Editor/Production Manager - Fleur Daniels Art Editor - David Howard Advertising Designer - Paul Gillings Sales Director Alasdair Gamble Operations Director Philip Monument Operations Manager Natalie Griffiths Research Managers Ryan Finn, Jo-Ann Jeffery, Ben Richell, Kieran Shukri Editorial Researchers Adam Blanch, Mark Cowles Jeff Goldenberg, Mark Kafourous James Page, Wendy Russell Richard Saunders Advertising Sales Johanna Bailey, Mike Berger, Jessica Eglington Alex Hartley, Reid Lingle, Theresa McDonald, Ibby Mundhir, Sam Surrell
Hello and welcome to the August edition of Modern Home Builders. I was so excited to be able to include a feature from Ben Caballero in this magazine. The current Guinness World Record holder for ‘Most annual home sale transactions through MLS by an individual sell side real estate agent’, Ben was also the first real estate agent to exceed $1 billion in residential sales transactions in a single year. He has a unique position and perspective on how real estate agents and builders can both benefit from working in closer collaboration – read his article on page 4. We also take a look at safety – an issue that has always been on the agenda for home builders but one that has been compounded by the added requirements of Covid-19. According to our author, technology can help the construction industry manage increasing demand, mitigating risk while ensuring quality outcomes at the same time. The article is on page 8 if you want to learn more. Technology is also discussed on page 12, where Kai Duebbert introduces a ‘stress-free business management system’ – it certainly sounds appealing! Take a look at the feature to see if it might help you.
Libbie Hammond EDITOR
Web Sales web@schofieldpublishing.com
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ON THE COVER This month’s cover story focuses attention truly embodies not just the American dream,
Cringleford Business Centre, 10 Intwood Road,
but also the spirit of family. Putting people first,
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the company to a multi-billion turnover. For the full story of this fascinating business, turn
Chicago, IL 60611
to page 22.
Please note: The opinions expressed by contributors and advertisers within this publication do not necessarily coincide with those of the editor and publisher. Every reasonable effort is made to ensure that the information published is accurate, and
BEST PRACTICE FOR INDUSTRY LEADERS
using their feedback in a real and dynamic way
207 E. Ohio Street, Suite 351,
T: (312) 854-0123
BUILDERS
listening to employees and customers and has helped Maggie Hardy and her team take
Finelight Media
HOME
Issue 109 www.modernhb.com
on the success of 84 Lumber – a business that
Schofield Publishing - Corporate Head Office Cringleford, Norwich, NR4 6AU, U.K.
MODERN
A legend in lumber Embodying what is meant by a ‘family-business’, building materials company 84 Lumber has based its success on a dedication to people
Working together Why building stronger relationships with real estate agents is key if builders are to maximize their success over the long-term
Grow your business With so much new work on the horizon, it is crucial to have an easy-to-use, reliable management software system in place
correct at time of writing, but no legal responsibility for loss occasioned by the use of such information can be accepted by the publisher. All rights reserved. The contents of the magazine are strictly copyright, the property of Schofield Publishing, and may not be copied, stored in a retrieval system, or reproduced without the prior written permission of the publisher.
MODERNHB.COM
1
INSIDE THIS 4
8
ISSUE FEATURES
4 HOME BUYING Ben Caballero looks at how builders and real estate agents can work more closely together to create long-term success
8 HEALTH & SAFETY The right safety tools will help the construction
HOME BUYING
industry manage increasing demand, mitigating risk while still ensuring quality outcomes
12 BUSINESS MANAGEMENT Why you need an easy-to-use, reliable management software system in place to deal
12
18
with the increasing amounts of work on the horizon
18 CELEBRITY HOMES MHB’s monthly report on the real estate of the rich and famous – this issue we highlight Alex Kadavi’s modern home with outstanding LA views, and Eleonora R. Sears’ Massachusetts mansion
NEWS
BUSINESS MANAGEMENT
16 UPDATES News and information from the construction and home building industry
16
36
42
17 BELLAVISTA HOMES 2
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22
COVER STORY
HEALTH & SAFETY
8
CELEBRITY HOMES
2
M/I HOMES
84 LUMBER MODERNHB.COM
3
Working
together
How builders can build a better home buying strategy. By Ben Caballero
A
remarkable 88 percent of all buyers today purchase their home
4
estate agents is key to long-term success. While nine in ten buyers work with real
The four most common areas where differences are most pronounced are sales
through a real estate agent, a
estate agents to buy a home, unfortunately for
contracts, closing date, and which title
steady increase since 2001. While
builders, agents and their buyers, unnecessary
company and lender are used.
builders use multiple sales channels to sell
friction can occur due to the differences
SALES CONTRACTS: Builders are corporations
their homes, successful builders have learned
between the way new homes and existing
and operate under different conditions. They
that building good relationships with real
homes are sold.
are often accountable to company directors,
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HOME BUYING to provide a clean title. It would be highly inefficient and time-consuming for builders to engage with multiple title companies. LENDERS: Not all mortgage companies are the same. If a lender is unable to deliver a loan or delivers it late, this can be costly for a builder. Builders need to close a home sale on time because every day it is not closed, they carry the costs for interest, property taxes, insurance, utilities, maintenance and more. The upside for agents – who understand these differences – is that selling new homes has many advantages. First, builders help real estate agents solve one of agents’ most persistent problems: a lack of inventory. Builders are the best source of new business for agents because that’s what they do: create new inventory. Second, builders and agents share the same goal of selling homes. Real estate agents have the buyers, and builders have the homes. With these two forces together, a beautiful and bountiful business relationship is created. Third, builders are in the business of selling homes. They are highly motivated sellers whose object is to move their inventory. Unlike an existing home sale, builders are like you, they sell homes. Builders are sellers who don’t have life-long memories attached to the homes they are selling. Fourth, new homes offer buyers more. They feature the latest energy saving technologies, updated floorplans, modern design and colors, and lower maintenance costs. New homes are constructed with the latest building codes, and they are, well, new. Finally, new homes show better: there are no odors, deferred maintenance issues, or pets in the way. Plus, the builder representative is an agent’s ally and will do much of the hand holding to create a relationship with them. While it’s true that when inventory is as scarce as it is today, builders can pick and choose their buyers, that’s not always going to be the case. As a former builder for 18 years and as a licensed Realtor for many more, I’ve been on both sides of the fence. My experience shareholders, legal departments, lenders, and
municipal inspections, material deliveries, labor
convinces me that the key for a builder to
land developers as well as the municipalities
dependability, and vandalism can all cause
maximize their success over the long term is
where they build. Individual sellers are not.
delays. Builders cannot provide a fixed closing
to build stronger agents relationships.
As a result, builders must use different sales
date because of these and other variables.
contracts.
TITLE COMPANIES: Specific documentation
table to attract agent business. Builders have
CLOSING DATES: Variables outside the
is required to certify a builder is authorized to
detailed knowledge of their product — from
control of a builder, including weather,
sell the property and allow the title company
the materials, available options, and upgrades
Builders bring so much expertise to the
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5
to the history of the subdivision. Builders need
current property listing information – which
changes, or new photos are available, you must
to leverage this knowledge.
creates trust in the marketplace.
reflect that change immediately in the MLS.
The MLS also is the great connector. It’s
That’s what helps build trust between a builder
Tapping the power of the MLS
the tech platform that more than 1.4 million
and agents and buyers when the most current
Perhaps the most overlooked resource for
licensed and active real estate agents use to
and accurate property information is on the MLS.
builders to sell more homes and sell them faster
make transactions happen.
is maximizing listing exposure through the
When a builder properly leverages the MLS, they increase their profitability because when
power of the Multiple Listing Service or MLS. The
to their clients because they have access to
homes sell faster, builders reduce carrying
MLS is what makes the real estate market work.
the MLS.
costs and build more homes. It’s also why
The MLS is the most powerful and lowest-
Unfortunately, many builders put homes
big builders, who are marketing 100 or more
cost marketing tool to reach the greatest
in MLSs solely because it is an item on a
homes a year, can’t rely on a few people to
number of buyers.
checklist. But to maximize the power of the
manage the MLS process.
The MLS drives more business in residential real estate than any other technology. It has the best market data – the most accurate and
6
Real estate agents deliver incredible value
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MLS, you must manage every home listed for sale throughout its listing lifecycle. Every time the property status changes, price
We have found that a single listing can average 23 changes from its initial posting to its closing. For every 100 homes sold, that’s
HOME BUYING
2,300 changes needed to keep the data current in the MLS. Having updated property data in the MLS is what agents want, and their buyers expect – and deserve.
Builders can be the differentiator I’ve often been asked, ‘What’s my secret to success?’ To me, the key to success is always to have focus. Specializing is key for almost every highly successful real estate professional. My specialty is working exclusively with builders. If builders can help show more real estate agents the opportunities available with new
Ben Caballero is founder and CEO of HomesUSA.com, and he holds the current Guinness World Record title for ‘Most annual home sale transactions through MLS by an individual sell side real estate agent.’ Between 2004 and 2020, Ben sold 43,265 homes totaling $15.188 billion in sales volume. Ranked by RealTrends as America’s top real estate agent for home sales since 2013, Ben is the most productive real estate agent in US history. He is the first real estate agent to exceed $1 billion in residential sales transactions in a single year. He is also the first real estate agent to exceed $2 billion in annual sales, which he accomplished the last three years straight. An award-winning innovator and technology pioneer, Ben works with more than 60 home builders in Dallas-Fort Worth, Houston, Austin, and San Antonio. https://homesusa.com/
homes, they can be that differentiator agents need. F MODERNHB.COM
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Building a
safer future Bob Butler explains how the construction sector can tap into tech to drive quality as well as safety
F 8
or a sector that is sensitive to economic
had to navigate large hits to the bottom line as
cycles, Covid-19 has been one of the
well as disruptions in labor, supply chains and a
demonstrated remarkable resilience, upping
most challenging periods for the
decline in demand. On the upside, construction
its game with rigorous Covid-19 protocols
construction industry. The pandemic
has the potential to jumpstart recovery as the US
designed to keep workers safe. Now is the
presented an additional layer of complexity in
gets back to business. But what will this look like
time to take stock of these procedures,
an already high-risk sector. Organizations have
in a post-pandemic America?
looking at how they can be applied to
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In the last year, the construction sector has
HEALTH & SAFETY
avoid other tragedies as the industry moves
— whether by rigorous inspections against
demand, mitigating risk while ensuring
forward.
building codes, or minimizing the spread of
quality outcomes at the same time.
The key challenge lies in cementing these safety procedures, ramping up operations
Covid-19 throughout work sites. Technology can do some of the heavy
Easily scalable processes
as demand returns to normal levels, and
lifting here. The right tools will help the
Inspections are critical in the construction
safeguarding against risk across the board
construction industry manage increasing
sector, covering everything from pre-starts MODERNHB.COM
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and daily site safety audits to near miss
fit with your ways of working. A simple way to
laid the foundation for levelling up their
reporting. Keeping it all in check starts with
start is by using a digital checklist for anything
operations. Regular inspections for quality
one important step: inspecting your own
from risk assessments to job hazard analysis.
assurance, site audits and risk assessments,
Moving from paper to digital through
present the entire operational ecosystem
processes first. By assessing and eliminating unnecessary bureaucracy, organizations can
a platform like iAuditor helps drive
instead of fragmented elements operating in
unlock the full capabilities of their workforce.
accountability with actionable tasks and
their own silos.
SafetyCulture helps some of the world’s
validation by having a clear endpoint that an employee can complete. It effortlessly
this data, organizations have oversight
and accountability in their organizations.
streamlines the whole inspection process
across everything from inventory to
In our line of work, we see the value in
from collation to analysis - and to action.
equipment failures and can take action accordingly. Unpack trends over time and
simple, effective processes every day. The construction sector shoulders both
Raising visibility
find opportunities for better operations.
a broad and high-risk scope of work and
Like most industries, construction is
For instance, data collection from near miss
over-complicated workflows affect how it is
experiencing a rapid shift to digital channels.
reporting can be invaluable for understanding
managed.
New ways of tracking information, onboarding
and targeting trends. Teams can analyze
subcontractors and reporting mean that
trends over time and help pinpoint areas for
they should be simple and routine. Digitization
digital checks aren’t just an efficiency boost
hazard reductions and other improvements.
is the obvious solution here, but it needn’t
for safety audits. It increases the quantity,
come with the time-consuming complexity
consistency and quality of information
Build a culture of speaking out
often associated with digital transformation.
gathered.
It’s the people on the frontline in every
Inspections should not be a burden, instead
Consider introducing processes that already
10
By using a centralized system to house
largest industries embed a culture of safety
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In digitizing inspections, businesses have
industry who have the ability to own safety
HEALTH & SAFETY
practices from the ground up. A safer worksite is a better worksite, and it requires everyone’s help to get there. Organizations must actively encourage employees of all levels to speak up when something raises a concern in the workplace. Everyone needs to take responsibility to create a genuine culture of safety, from the frontline to senior management. Put processes in place that connect teams from a distance, engaging and enabling them to speak up, raise issues and take action. An effective business doesn’t prescribe rigid ways of operating, but puts power in people’s hands and makes them part of the solution. As we look to life post Covid-19, it’s the people on the frontline of every industry who have the visibility to build a culture of safety from the ground up. It’s down to each
Bob Butler is General Manager North America, at SafetyCulture. SafetyCulture is the operational heartbeat of working teams around the world. Its mobile-first operations platform leverages the power of human observation to identify issues and opportunities for businesses to improve everyday. More than 28,000 organizations use its flagship products, iAuditor and EdApp, to perform checks, train staff, report issues, automate tasks and communicate fluidly. https://safetyculture.com
and every member of your team to ensure procedures and guidelines are followed. F MODERNHB.COM
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Grow your
business Introduce a stress-free business management system to reach the next level, says Kai Duebbert
W
e all know that feeling of
Excel file, the schedule that could be in Trello,
rising panic when you’re
the timesheets in yet another online system,
struggling to keep on top
and the proposals distributed over many
performing well, particularly as people attempt
of lots of projects and trying
The US construction sector is currently
directories on a file server. Because of this, the
to get back on their feet post-pandemic. But
to update separate systems while running a
same data is entered multiple times, wasting
one of the main challenges that companies face
successful business.
your valuable time and leading to confusion
is managing workloads efficiently and recruiting
and miscommunication because one system
and keeping the right staff.
There’s the time off that might be in an
12
wasn’t updated but the other one was.
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BUSINESS MANAGEMENT
The frustrations of dealing with disjointed
consider implementing a new system to
Service-based SMEs of up to 250 employees
information across multiple systems can both
iron out these issues and manage multiple
need a system that links proposals, projects,
reduce profits and drive people away, holding
projects. But it’s crucial to have an easy-to-
timesheets, tasks, time off and schedules to
back businesses in their growth, effectiveness
use, reliable management software system
each other in one central location, and where
and accountability.
in place as you look to reap the rewards
updates in one area are reflected across a
of increasing amounts of work on the
central dashboard, giving crucial business
horizon.
insights.
Business owners in the construction industry may believe they are too busy to
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13
to know what they are meant to do and
To succeed and grow your business, you need access to game-changing insights that will save you time and money. It’s worth it in the long run because it will reduce your personal workload - and stress levels
where they need to be. The sales team needs to understand the availability that’s there, and management needs to know what pipeline is in place so that resources can be planned accordingly. We were tripping over each other with ineffective and inconsistent data in spreadsheets, and we were unsure about what work was coming from our sales and quotes
We understand your pain
ourselves when our company, Murphy
pipeline. This all resulted in long hours, stress,
As a fully qualified land surveyor and business
Geospatial, first started as a small, family-run
lower than ideal productivity, and unhappy
owner of a leading surveying company in the
business in the 1980s.
staff and customers.
United Kingdom and Ireland, I have first-hand
had problems in keeping pace with the
Let the system take the strain
in a challenging environment and highly
changes. We struggled with delegating tasks,
Many companies are on the same journey
competitive market requires to succeed.
obtaining the right information at the right
that we were on in the beginning. Having
time, and making important - and shareable
worked on thousands of projects over the
to divide their time, leaving them feeling
- scheduling, resourcing, and other strategic
years, we realized that we needed a focused
overworked and unable to keep on top
business decisions.
management tool to keep track of our work.
We understand how people can struggle
of things. We were in a similar situation
14
The business grew very quickly, and we
experience of what a fast-growing business
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When a project goes live, your team needs
We spent a long time trying, unsuccessfully,
BUSINESS MANAGEMENT
to find a business management system that could work for us, but they all seemed far too big and complex. In the end, we decided to design our own and, using my skills in software development, we created a system that fits our sector perfectly and is ideal for remote working. Geospatial surveying is an important part of the construction sector and therefore shares a lot of the challenges with the homebuilding industry in managing a variety of projects, field crews and office staff and, importantly, keeping track of the sales pipeline. A home builder could start out with their own company and have all their information on a spreadsheet, but then the firm grows, more people join, and suddenly you find yourself juggling with different sources of data. It may seem obvious to have a streamlined system that can keep track of everything, but it’s understandable when companies start out quite small before things get more complex. The main issue with these companies is that they don’t have a problem getting the work in the first place, but they have a problem getting it done.
Light at the end of the tunnel Implementing a web-based platform allows you to manage your projects, your staff and your business wherever you are, whenever you need to, in real time. You can literally take your office with you, on any device. The result is that you have the tools to help you adapt quickly to ever-changing requirements, massively improving the efficiency and effectiveness of what you do and how you do it. To succeed and grow your business, you need access to game-changing insights that will save you time and money. It’s worth it in the long run because it will reduce your personal workload - and stress levels. We’ve had several early adopters in Ireland and the US who have started to use our system over the last year and have seen the benefits it can bring. That gives us great satisfaction. Now, when we’re demonstrating it to new customers, they can really see how it will help
Kai Duebbert is Kompass BMS managing director. Developed and used for more than 15 years, Kompass is a business management system focused on giving service-based firms with 20 to 250 employees exactly the tools they need to manage their business processes, in a fully integrated way, from enquiry to the final invoice. It has been built by business owners in the construction sector, using a GIS platform that records project coordinates and the history of each job. Kompass BMS - which is a standalone company - has its main office in Dublin, Ireland, and is looking to expand to other countries and sectors. www.kompassbms.com
them. It gives them some light at the end of the tunnel. F MODERNHB.COM
15
Now selling Century Communities, Inc., a top ten national homebuilder, has returned to sought-after New Braunfels, TX with over 100 single-family homesites at Hidden Springs. Homebuyers can choose from a versatile selection of inspired single- and two-story floor plans, with exceptional included features like granite countertops, 42” cabinets, and 9’ ceilings. Boasting a prime location with mature trees,
Gold award winner
Hidden Springs offers quick access
Kolter Homes, a Builder Magazine ‘Top 100’ honoree and leader in developing next-generation,
to the Comal and Guadalupe rivers,
highly amenitized, master-planned communities in the Southeast US, was recently honored with
shopping at New Braunfels Town
three Aurora Awards by the Southeast Building Conference. Two of the company’s model homes
Center at Creekside, the 70-acre
were recognized with ‘Best Single-Family’ awards, and Kolter’s Artistry Palm Beach community
Schlitterbahn Waterpark, and
was named the 2021 ‘Residential Housing Community of the Year.’ Three additional Kolter model
other popular area amenities. The
homes earned interior design awards in the 2021 competition.
community expects to open a model home for tours in fall 2021. The home options at Hidden Springs include three to four bedrooms, two to 2.5 bathrooms,
“We are grateful for the recognition, and pleased to provide our residents with award-winning new homes and communities,” said Robert Rademacher, President of Kolter Homes. “I am also very proud of our team and vendor partners who put in the effort, care and attention every day to deliver champion-level results and experiences to our customers.” The ‘Best Single-Family’ awards were earned for floorplans Kolter Homes currently builds in
one and two bay garages, lofts, game
Northwest Florida, Southwest Florida and Southeast Florida. Artistry Palm Beach, the 2021 Gold
rooms, sliding door options and more
Aurora Award winner for ‘Residential Housing Community of the Year,’ is located in Palm Beach
(per plan).
Gardens, Florida, and offers new homebuyers 12 unique floorplans they can personalize along with a lakeside clubhouse, wide walkways, scenic streetscapes and gated entrance.
Innovative designs LGI Homes, Inc. has announced Terrata Homes is now selling in the Austin, Texas market with the opening of its
Island mortgages
newest community, Spicewood Trails,
Motto Mortgage, an innovative mortgage brokerage franchise focused on transparency and
where it is offering a carefully-curated
compliance, has a new office in Hawaii. Motto Mortgage Home is now open in Honolulu and serving
collection of innovative designs that
all markets throughout the Paradise State.
combine a luxury aesthetic with
Established by Thu Nguyen, with extensive experience in finance, Motto Mortgage Home is a
everyday functionality. This newly
customer-first, full-service mortgage brokerage. “Motto Mortgage Home offers an advantageous
designed collection includes five floor
alternative to the traditional mortgage bankers currently operating in Honolulu,” said Nguyen. “We
plans ranging in size from 2,643 sq ft
provide the scope, scale and support of a large retail lender, while offering the flexibility, autonomy
to 3,976 sq ft. Open floor plans with
and exceptional service of a local mortgage broker.”
up to four bedrooms and four baths
Thu will serve as the broker and
showcase centrally located family
mortgage loan originator for the office.
rooms, private master suites, spacious
She is a mortgage expert and takes great
walk-in closets, game rooms, media
satisfaction helping homebuyers achieve
rooms, private offices, flex spaces,
their dream of homeownership.
formal dining rooms, covered outdoor
Motto Mortgage Home is open for
living spaces with outdoor kitchens
business, but currently implementing
and professionally landscaped front
health precautions to make the mortgage
yards. Each of these five floor plans is
experience as safe as possible for
equipped with the upgrades today’s
customers and employees. Currently, no
homebuyers are searching for.
walk-ins are available; it is appointment only until further notice. A digital mortgage experience is available for borrowers who would prefer to conduct business remotely.
16
MODERNHB.COM
INDUSTRY NEWS
Printed home
Resort-style for Richmond
Twente Additive Manufacturing (TAM) has announced that its Fibonacci House, Canada’s First 3D
Traditions of America, a national
Printed Home, which is also the world’s very first Airbnb listed 3D Printed Concrete Tiny Home, is
leader in the development of active
now available for vacation rental.
adult communities, will be offering
The house showcases the
234 new homes in Richmond,
advantages that the 3D Concrete
Virginia along with exceptional
Printing Technology has to offer;
resort-style living. Traditions of
free form design with curved walls
America at Chesterfield will be the
that gives the house the fluid
first of its kind in the area and the
outline combined with the robust
28th community for this award-
structure that enables the home to
winning active-adult builder.
be completely sound and climate
Managing Partner & Founder
proof, easy to maintain and clean.
Tim McCarthy says of this new
The Fibonacci House was printed
development: “After decades of
using a concrete printer designed and sold by Twente Additive Manufacturing, a construction-
building highly successful 55+
technology company. The design of the house was created using the Fibonacci Sequence, a
communities across Pennsylvania,
well-known pattern that is often referred to as ‘the golden ratio’ which can be found in nature
we are thrilled to enter the Virginia
in numerous variations. The site of the printed house is in the Kootenay Lake Village project at
market with a product we feel is
Procter Point, one of the fastest-growing communities in the Nelson, BC catchment basin.
unrivaled - and long overdue - in
All proceeds from the Airbnb revenues are being directly diverted to an affordable homes
the greater Richmond area. Our
project spearheaded by World Housing, an international NGO. Building on the lessons learned
singular focus is - and has always
from the Fibonacci house, World Housing will build what they hope is the first community in
been - building communities for
Canada of affordable living space built entirely with 3D printing.
the 55+ homebuyer. We understand them. We know what they want. And we can deliver on our mission of
Massachusetts mergers
improving the lives of 55+ adults.” A suite of resort-style amenities -
BluSky Restoration Contractors, LLC has merged with Bridgewater, Massachusetts-based Integrity
including a Clubhouse with Fitness
Construction & Development, LLC and Carver, Massachusetts-based RebuildEx of Plymouth
Center, Outdoor Heated Pool, Tennis/
County, LLC.
Pickleball Court, Bocce Courts,
“Integrity and RebuildEx are made up of really great people who are going to fit right in with
Walking Trails, Shuffleboard, Putting
the BluSky family,” said Drew Bisping, BluSky president. “We’re excited to further expand on
Green and a full-time Lifestyle
the great reputation both companies have established, and we look forward to serving New
Director - are what make Traditions of
England’s property restoration needs.”
America at Chesterfield unparalleled
The merged companies will continue as BluSky Restoration
in the region. “From a development standpoint,
Contractors, operating 37 offices
this site is one of the best I’ve seen.
in 17 states from coast to coast.
The gentle, rolling topography
Integrity and RebuildEx specialize
will make a spectacular setting
in property restoration and
for the Chesterfield community.
reconstruction services in New
Curvilinear street designs, cul de
Hampshire and Massachusetts,
sacs, and many homes backing to
including the greater Boston
trees and privacy will add to the
metropolitan region. In addition
appeal. With a network of walking
to structural rebuilding services
trails and having many homes within
currently provided by Integrity
walking distance to the expansive
and RebuildEx, BluSky plans to add its mitigation and commercial roofing business lines to the
clubhouse - this is poised to be an
northeast markets.
A+ neighborhood,” says Art Plante,
The announcement is the fifth in a strategic plan of mergers and acquisitions to support BluSky growth. BluSky has grown from a privately-owned Colorado startup in 2004 to one of the largest
Regional Vice President for Traditions of America’s Virginia Operations.
national restoration firms in the United States.
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17
Photo credit: Joe Bryant, Juwan Li and Marc Angeles
Modern classics Two breath-taking properties feature in this issue – reconstructive surgeon-to-the-stars’ Alex Kadavi’s totally modern home with outstanding LA views, and Eleonora R. Sears Gilded Age Massachusetts mansion
R
econstructive surgeon-to-the-
been incorporated in the home several times
More unusual design features include a
stars, Alex Kadavi, made his fortune
in addition to the price, including bedrooms
retractable DJ table in the foyer, a koi pond
keeping the beautiful people
(there are seven) and measurements.
as large as a swimming pool that can be
looking their best. His success in
According to the listing, the home’s Non-
viewed from inside through glass walls, a
the cosmetic-medical field made it possible
Fungible Token (NFT) art gallery features seven
glass elevator encompassed in the koi pond,
to fulfil one of his dreams: design and build,
indoor large-screen media displays and a
and numerous seven-horsepower jets in the
in collaboration with Ali Rad Design Group,
rotatable 2-D laser projector that casts light
infinity pool that coordinate with the home’s
‘Palazzo di Vista,’ a contemporary-futuristic
in a rhombic-shape up to 1,650 square feet
music - so swimmers can literally feel the beat.
home. It is located on top of a promontory in
over the pool with misters, emulating Disney’s
Bel Air with some of LA’s best views.
California Adventure Park’s World of Color
with seven bedrooms and 11 baths, which
attraction. Also featured is artwork by Ghost
includes a master wing with a floating
Palazzo di Vista is for sale with a unique asking
Girl, Andy Moses, Shane Guffogg and Jimi
wrap-around deck and the ‘seven-star resort’
price of $87,777,777. The number seven has
Gleason.
bath. There is a glass-walled wine room,
Located in the city’s Bel Air neighbourhood,
The house is sited on a bit over one acre
multiple dining venues both inside and out, a theater large enough for a crowd, additional lounge areas and a suspended glass floor walkway. The kitchen is large and minimalist in design and is open to the outdoors with two glass walls. There is also a detached guest house. The NFTs and physical artwork are not included in the listing price but are negotiable. The listing agents are Aaron Kirman of Aaron Kirman Group at Compass and Mauricio Umansky of The Agency.
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MODERNHB.COM
CELEBRITY HOMES Photo credit: Douglas Elliman
Updated mansion
Harold Vanderbilt (to whom she
Many of America’s Olympic stars of today
was once engaged), Cole Porter
can thank socialite Eleonora R. Sears, who
(who played the piano at some of
in the early 20th century made women’s
her gatherings) and Judy Garland,
sports in the United States acceptable and
her oceanfront mansion was the
popular. When she died in 1968 at the age
perfect venue for everything from
of 86, Boston Globe sportswriter Victor Jones
intimate dinners to fundraisers.
wrote, she ‘was probably the most versatile
Two years after Eleonora’s death, the home
original mantels. Large slabs of white marble
performer that sports has ever produced —
was purchased by a family-owned Boston
have been used in the spacious kitchen
not just the most versatile female performer,
construction materials company, Benevento
and bathroom updates. Large windows and
but the most versatile, period.’ She was a
Companies.
French doors open to the terraces that fill
four-time national tennis champion, the
Built in 1904 on Massachusetts’ Gold
the home with sunlight, creating an elegant
first women’s squash champion and an
Coast, the 28,000-square-foot mansion has
accomplished horsewoman, who was the
11 bedrooms and 13 baths sited on three
beachy vibe.
first woman to ride a horse in a major polo
oceanfront acres with a private beach and
Sarkis Team, Douglas Elliman Real Estate,
match. With her social standing and the
carriage house. All rooms have ocean views
Boston, Massachusetts.
wealth it provided, the home she chose was
with most having fireplaces retaining the
Source: www.elliman.com
The listing agent is George Sarkis of The
a glamorous Gilded Age mansion with 400 feet of Massachusetts Atlantic oceanfront and private beach, where she lived for 40 years until her death in 1968. Named ‘Rock Edge’ due to its location above the rocky shore, the home has undergone a meticulous 21st-century update and is now for sale at $22 million.
For details of these houses and other celebrity homes, please visit: www.topTenRealEstateDeals.com https://www.toptenrealestatedeals.com/weekly-ten-best-home-deals/home/l-a-s-bestviews-laser-art-dj-booth-seven-star-resort-bath https://www.toptenrealestatedeals.com/weekly-ten-best-home-deals/home/americasmost-versatile-athlete-her-historic-mansion-is-for-sale
As a socialite whose friends and frequent home visitors included the Prince of Wales, MODERNHB.COM
19
84 LUMBER
Maggie Hardy
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MODERNHB.COM
A legend
in lumber
Celebrating 65 years in business in 2021, 84 Lumber remains the first choice for contractors and builders across the entire US, thanks to its dedicated team and inspirational President and Owner, Maggie Hardy
A
s the nation’s leading privately
owner, Maggie Hardy, is one hundred percent
Company as a company, although that sounds
held supplier of building materials,
invested in the success of the company
strange!” he said. “She really thinks of it as a
manufactured components
and her people, in way that public-listed
living, breathing entity, or almost one of her
and industry-leading services
businesses find hard to emulate.
children. This is really, truly a family business,
for single- and multi-family residences and
Frank Cicero, Chief Operating Officer at
built around people and full of staff who have
commercial buildings, 84 Lumber already
the company (and who has worked for 84
been here for years and we have all grown
holds a unique position in the market. Not
Lumber for 38 years), believes that this is a
together to do this job.”
only does its lack of shareholders give it a lot
very important factor that sets the business
of operational flexibility and freedom, but its
apart. “Maggie doesn’t really view 84 Lumber
Given Frank’s history with the business, he is perfectly positioned to give the magazine’s MODERNHB.COM
23
84 LUMBER readers a brief insight into its evolution, which started back in 1956, with its founder, and Maggie’s father, Joe Hardy. “Joe started a company to help contractors build houses in Pittsburgh, Pennsylvania, where there was a miniature housing boom at the time,” said Frank. For 20 years, 84 Lumber added stores across the States and then in 1976, it recognized a new competitor in the form of ‘home centers.’ These
We build everything from the ground up, and I think that’s how we keep our culture as one. We bring transparency to everything – to our associates, our customers and our vendors, and we all work together. We have 350-400 people that work in our team headquarters, and these are the people that support our 250 locations throughout the US
were selling raw materials for building houses as well as stocking bathrooms and kitchens –
listening to people and then acting on what
the 2008 housing bust. It heralded a tough few
bolting on the other peripheral items that are
they said – which is another of Maggie’s
years for 84 Lumber, but as a company that was
needed to create a home. “We saw this as a great
strengths – that made us what we are today.”
privately held, it weathered the storm. “Maggie
model as the stores would draw in retail traffic.
Maggie’s philosophy recognized the
personally invested her own money to keep
But then in 1989, the big box stores like Home
different needs and trends of each location,
the company going through those hard times,”
Depot start opening up, so in turn, the company
and over the four years from 1992 to 1996 she
said Frank. With Maggie’s support, 84 Lumber
spent the next three years figuring out how to
reset the culture. “Deciding to stop waiting for
persisted; in 2011 it entered a period of recovery,
best fit into this new world.”
people to come into stores, she created an
with new stores arriving four years later.
outside sales program, with associates that go
“We had this little growth spurt in 2016/2017
and while only in her late 20s at that time, she
In 1992, Maggie became Company President,
out and meet builders and find out what their
and from 2017 to where we are today, we have
had essentially spent much of her life beside
needs are, and drive sales into the stores in
been on this wonderful trajectory of growth
her father at 84 Lumber, learning about the
that way,” added Frank.
that could see us end 2021 at over $7 billion of
business and how it works, and her arrival
revenue,” exclaimed Frank.
heralded a step change in approach. “It was a
Growth trajectory
major shift in our company and is why we are
If 1992-1996 reset the culture, then 1996-2001
the areas where stores are located has been a
successful today,” asserted Frank. “When Maggie
set the foundations. Having established a great
crucial factor in the evolution of 84 Lumber, and
became 84’s President in 1992, she visited
model and facilities, 2001-2006 saw 84 Lumber
a differentiator between it and the competition,
stores, listened to our company associates and
enter bigger markets, and just as it was seeing
because as Frank notes “it’s so different from
found out what each individual market needed
success in new locations such as Dallas, Los
market to market. As you can imagine – a
to be successful. It was really her patience,
Angeles and Phoenix, the market was hit by
builder in Boston is going to have different
Maggie’s philosophy of learning a lot about
needs to one in Northern California.” The strategy has been very successful and means that 84 Lumber can supply its customers at every stage of a house’s construction, wherever they are located. It starts with the framing. “We do windows, exterior doors, siding and roofing, and then we go inside with interior doors and trim. The range is broad and encompasses everything that you see in a house,” explained Frank. Frank referenced a few of the items supplied by 84 Lumber, but his list was just a small selection – the business offers a huge variety of construction building materials and supplies, from decks and drywall to stairs and moldings.
James Hardie James Hardie is the world leader in fiber cement siding. The company empowers homeowners and building professionals alike to achieve the home of their dreams with premium quality solutions that enable endless exterior design possibilities, while also delivering trusted protection and long-lasting beauty. Hardie® siding and trim products come in a wide variety of profiles, sizes, textures, and more than 700 colors. Only Hardie fiber cement products are Engineered for Climate® ensuring that you get the best performance for your region. James Hardie’s exclusive ColorPlus® Technology delivers a beautiful finish that resists fading. Learn more at jameshardie.com
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Congratulations 84 Lumber on your continued success! We look forward to our ongoing partnership.
© 2021 James Hardie Building Products Inc. All Rights Reserved. AD2115 07/21
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84 LUMBER – may not be new inventions in themselves, but they do include innovation in the way that 84 Lumber delivers them to the construction site. “What we want to do is receive a question from our customer, work with them to develop a measurement of that delivery option, go and do it, assess it, come back and review it, score it, price it and if it’s deemed worthy and it goes to the adoption stage, ultimately scale it,” said Ken. “That could be for floor panels, it could be longer panelized wall systems, or it could be usage of cranes instead of rolls on a job site. It involves manufacturing of products, as well as the installation side and how we can join them together. We work really hard with our stores to make sure that the store, the plant and the labor are all pointed at the customer.” In fact, the synergy between stores and Its buying power and depth of inventory
conversation. He explained that the business
manufacturing is a priority, and Ken confirmed
means that contractors’ projects will stay on
now has 12 manufacturing plants in total,
that the business is committed to increasing
budget and on time, and its understanding
based predominantly east of Mississippi
its manufacturing capability to support the
of local markets means that the advice of staff
and manufacturing for its own stores
growth of the stores. “That means looking at
and range of professional services and specialty
and customers. With an investment and
markets with stores we are in today and adding
products available meet the needs of its
modernization program underway, 84 Lumber
or increasing manufacturing in those markets.
customer base.
is greatly expanding its capacity both in
We are also taking positions in new markets
facilities and the equipment inside, upgrading
both in terms of stores and manufacturing sites,
Capacity expansion
to automated truss lines, pluck systems, wizards
so it is really exciting to be on the edge of that.”
Another significant additional aspect that
and various types of modern equipment. “We
sets 84 Lumber’s product selection apart is
are looking at autofeed systems, and with some
already underway, with March 2021 seeing
its own in-house manufacturing capability.
of the new plants we have staked out, we see
the opening of a new, dedicated truss plant in
“Once Maggie’s new philosophy and culture
that type of technology becoming part of it,”
Richmond, Virginia. The new component plant,
were set up, she knew we had to get into
he said.
which primarily manufactures wall panels, roof
This process of location expansion is
manufacturing,” said Frank. For over three
“The efficiencies also come from our
and floor trusses, is fully automated, outfitted
decades, the organization has established
associates and the training programs we
with the latest design software, computerized
itself as a leading manufacturer of metal plate
have for them, as well as the set up of the
saws, a trackless gantry system and laser
connected roof and floor trusses and wall
equipment. We have focused on our industrial
projection equipment.
panels for some of the country’s largest single-
engineer talent process, with process managers
family and commercial builders.
going into our facilities to work with the
another opening, this time in Statesville, North
To get some further details about
operators to look at how they are setting up
Carolina. The utilization of the technological
this important segment of 84 Lumber’s
and then modernize that aspect of it as well.”
solutions in each of these new truss plants
business, Vice-President of Installed Sales & Manufacturing Ken Kucera joined our
The products built inside 84 Lumber’s facilities – trusses, wall panels and floor panels
Just five months later, 84 Lumber celebrated
means that the manufacturing teams can design and manufacture the right solutions for
INDOOR SPACES WITH AN OUTDOOR FEEL The indoor/outdoor living trend has continued to rise in popularity. For the past few years, homeowners have been craving spaces designed to open to the outdoors, framing the views around them and seamlessly integrating their interior design style to outdoor entertaining spaces. While traditionally indoor/outdoor living spaces have included opening an entire wall to the outside, there are many ways to bring the outdoors in. Remove Boundaries with Big Doors Contemporary design is on the rise, with more homeowners seeking out designs that incorporate natural light and clean lines. As a pillar of contemporary design, walls of glass like big doors from Andersen, accentuate the view outside and provide the feeling of openness in the home. The Andersen MultiGlide™ doors help homeowners add more square footage to their home by connecting the indoors to an outdoor living space designed for relaxing and entertaining. Visit your nearest 84 Lumber store for more information about Andersen MultiGlide™ doors.
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MODERNHB.COM
INDOOR SPACES WITH AN OUTDOOR FEEL Andersen® Big Doors give you the ultimate design freedom to blur the line between indoors and out. And with the best options for indoor and outdoor living spaces*, there is a style and design for almost any home.
Explore the possibilities at andersenwindows.com/bigdoors “Andersen” and all other marks where denoted are trademarks of Andersen Corporation. ©2021 Andersen Corporation. All rights reserved. 07/21 DMS
For information on Andersen products, visit 84Lumber.com to find a location near you.
2107_84Lumber_BigDoors_Ad.indd 1
7/19/21 11:41 AM
84 LUMBER customers in much less time and deliver them to the jobsite ready to install. While the component manufacturing side
The growth the company is undergoing also
at the ground level and learn all about
means that it is looking for new associates to
design and engineering. The opportunities
add to the team – it is looking to hire as many
for advancement through the company are
is a crucial contributor to the success that
as 3,000 roles across the country throughout
impressive, and recruitment and finding the
84 Lumber has achieved over its history, the
the rest of 2021. In a short video on YouTube
right team members is a continuous process
facilities and machines are nothing without the
that gives a small insight into 84 Lumber’s
for 84 Lumber. “We are proud of our associates
right operators, and this applies to the stores,
truss plant in New Britain, Pennsylvania,
and what we do here, and I think it’s reflected
too. From the top floor to the shop floor, the
Sean O’Connell, the plant general manager,
in our growth and what we will be doing in the
business strives to hire great people and keep
commented that working for the business has
future,” said Frank.
the same culture – for this reason it has never
given him the opportunity to ‘play a part in
undertaken an acquisition.
building the future.’
“Our people set us apart,” stated Frank. “We
In fact, everyone along the value chain is important to 84 Lumber – putting people first is a priority. “I think what drives the
build everything from the ground up, and I
People-first approach
company more than anything is watching the
think that’s how we keep our culture as one.
For any young people who want to
success of its people. We all get tremendous
We bring transparency to everything – to our
experience this for themselves, 84 Lumber
amounts of enjoyment from that, especially
associates, our customers and our vendors, and
has a component designer apprenticeship
Maggie,” said Frank. “We are going to take care
we all work together. We have 350-400 people
program, where successful applicants enter
of our associates and customers first, and
that work in our team headquarters, and these are the people that support our 250 locations throughout the US. “Surprisingly enough, everybody is here between 6:30-7:00 a.m. and everybody leaves between 5:30-6:00 p.m. because the team headquarters works the same schedule as the stores; there is no differentiation here - we are all one team.” “What our associates can get done both in the manufacturing space and in the stores that we supply, I think it’s been a differentiator in this current run that we are on,” agreed Ken, from a manufacturing perspective. “In some markets, we are adding tools that they haven’t had before, and they quickly take advantage of it.”
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ForceField® Premium Tape For roofs
84 LUMBER indeed, building long-term relationships with
but we want to make sure we have a strategic
customers is also something else that sets us
partner along for the ride with us.”
apart,” he added.
vendors that have been with you for over six
Technology evolution
decades, beside you every step of the way,
forming close collaborations with the customer,
This customer-first approach was also made
giving you what you need and probably a little
and he agreed that this approach would
evident during the Covid-19 pandemic months
bit more - all that has kept us growing and
remain very important. “It can happen in many
of 2020, when, as a designated essential
thriving through these challenges.”
different ways, so it could be simply having the
business, 84 Lumber and its stores remained
product they need, but it’s also the research
open. “Those front line associates that took care
feedback from those working on the front line
and development, value engineering, bringing
of our customers were the true heroes of this
has been a cornerstone of her success: “Having
them cost and time saving ideas, decreasing
company,” proclaimed Frank. “We didn’t miss
an owner who constantly asks ‘what do you
cycle times - that is the trade off to get to that
a beat, and actually after the first three to four
need’ has been essential,” he said. Therefore,
relationship,” he reiterated.
weeks starting on March 16th, our business
when Frank described the arrival of Paul Yater,
boomed off the planet, and we had front line
the newly appointed Chief Information Officer
associates who worked through it with us.
in 2017, it wasn’t a surprise to learn that part of
This echoed Ken’s previous comments about
This collaborative approach requires a lot of flexibility, and Ken agreed that this way of operating has contributed to 84 Lumber’s
30
“However, when you are a 65 years old company with an owner like Maggie, and
“The pandemic did cause people to really
success. “I think its going to really tell the tale
love their homes,” he continued. “I think the way
in the next 12-18 months where capacity and
people look at their homes is a bit different
constraints of manufacturing are going to
right now, plus we have an economy with very
remain,” he added. “We need to listen to our
low interest rates for people to buy houses. So,
customers and form deeper relationships with
we have a boom in the building industry, but
them and ultimately, if there is an investment
I think some of those suppliers through 2019
in capital to get there, we are willing to do that,
into the pandemic weren’t ready for the surge.
MODERNHB.COM
From Frank’s description of Maggie, getting
his process involved discussions with the teams
RoyOMartin 84 Lumber became a customer of ours in 1999 with their first purchase of 23 AC plywood. Our relationship grew when they purchased their first load of 8’ 7/16 OSB in July 2007. Along the way 84 has helped expand our demographic reach especially in WindBrace® and Tuffstrand® extended length panels. Today, we are proud to have 84 Lumber as one of our top OSB customers. 84 and RoyOMartin are both family owned businesses, so we can both appreciate all the highs and lows that come with that! In 2016, RoyOMartin hosted their annual shareholders meeting at Nemacolin and had the very unique privilege of having Maggie Hardy speak to Martin family members. RoyOMartin family board member Eric Howard recalls, “Maggie opened her heart up to us about her growing up, working with her dad and her lumber company that, like ours, had very humble beginnings. Noting the numerical size of her family (quite small), versus ours (enormous), I realized: Maggie’s employees are her family, and it shows in her actions.” RoyOMartin President Scott Poole attributes 84 Lumber’s success to their commitment to their customers’ success. “Through their decades of growth to over 250 locations, 84 Lumber has proven their commitment to the building industry. As we prepare for the generations to come, we are excited to have 84 Lumber at our side.” From all of us at RoyOMartin, we congratulate 84 Lumber on an amazing 65 years. Thank you for being a wonderful partner.
84 LUMBER on the shop floor. “We are around three and
our digital and technology offerings to operate
bring a different angle to solving challenges. “I
half years into this IT road map, and our CIO
at an even higher level.”
believe that ‘group think’ can be counterproductive
spent several months travelling the country
Through the transformational roadmap Paul
at some point, so if an owner who happens to be
seeing people so that he could take what we
is creating, which focuses on both customers
a woman can put a little different tilt on that and
had and make it better,” said Frank.
and associates, 84 Lumber’s systems and
crack open some new ideas and creativity then all
technology are being designed to work as hard
the better,” added Ken.
Paul was tasked with optimizing the company’s network to support 84 Lumber’s
as every member of the team and help take the
planned growth and expansion, and his
organization to the next stage.
Commited to communities
conversations revealed a key theme: It was time
From speaking with Frank and Ken, it
for change. “The evolution of technology in the
is clear that Maggie’s management style
With the business also being nationally certified through the Women’s Business Enterprise National
building materials industry is reshaping how
(Frank described her as a ‘fearless leader and
Council, Ken acknowledged that being female-
we do business,” commented Maggie upon
entrepreneur’) and her approach to business
owned and operated does give the business a
his appointment. “Paul’s vast experience with
have been game changers for 84 Lumber.
uniqueness in the industry and gives it a platform
global organizations will allow us to redesign
Decisions made from a female perspective can
from which it can work with customers on certain projects. “We also found that we were able to provide mentorships for women-owned firms
Biewer Sawmill We are thrilled to have the opportunity to work with such an incredible company like 84 Lumber every day. We really appreciate the relationships built and the business that we have done together over the years out of our SPF and SYP sawmills. Congratulations to 84 Lumber on 65 successful years of business, we are looking forward to being a part of the next 65 years! The Biewer Sawmill Team
that are smaller in nature. This is definitely a relationship we are focused on building, so we are going to be adding associates to that program,” he elucidated. “We want to get the word out and make sure we are connected with groups that are focused on women and minority ownership and bringing more people to the table to help face all
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MODERNHB.COM
the shortages and constraints we have on the industry.” Mentioning the way that 84 Lumber works with some community groups and smaller businesses brought Frank to the topic of philanthropy. The business believes that being a good corporate citizen goes beyond donating money and materials. For 84 Lumber, it means having a commitment to helping individuals and organizations most in
campaign in May 2021 in honor of Military
communities across the country and to give
need, as well as a vision for making a positive
Appreciation Month. “Operation Appreciation
back to those who have given so much.”
impact. Through its Building Hope program,
is one of our favorite times of year,” said 84
it has worked with numerous charitable
Lumber Vice President of Marketing Amy
Appreciation, 84 Lumber has donated to
organizations, ranging from volunteer fire
Smiley. “It means a lot to us to be able to set
various military-related charities, highlighted
departments, to chapters of the Red Cross and
aside time to honor heroes from all of our
company associates around the country who
Throughout the years of hosting Operation
United Way, to the national efforts of Habitat for Humanity. In 2020 alone, the business donated millions to a variety of charitable causes. Members of the United States military have always been recipients of 84 Lumber’s strong commitment to helping others. To continue the tradition, the building materials supplier
BlueLinx Congratulations to 84 Lumber on 65 years in business and becoming the nation’s largest privately held building materials supplier. BlueLinx are proud to have served 84 Lumber for over half a century. As one of the nation’s largest building products distributors, we take pride in providing each 84 location with the products and services that meet their individual needs. We look forward to the next 65 years.
hosted its sixth annual Operation Appreciation
MODERNHB.COM
33
84 LUMBER have served, launched major partnerships
Signing Day event in Pittsburgh, Pennsylvania.
in the skilled trades. “As a 65-year-old building
with organizations including the Fisher House
In a style similar to National Signing Day
materials company, we know firsthand that
Foundation, and one year, the company even
events for high-school athletes, the students
young people can thrive and have incredible,
gave away a tiny house to a military veteran
committed to careers in the skilled trades
lifelong success through the skilled trades,”
in need.
and signed ‘letters of intent’ for a job offer,
said Maggie. “We are proud to be a sponsor
May 2021 also witnessed an event that
apprenticeship or advanced technical training.
of SkillsUSA, and we are even more proud of
highlights not only 84 Lumber’s dedication
Following the signing, Maggie surprised all ten
the students we’ve been able to get to know
to developing the technical skills of the next
students with scholarships, totaling $50,000,
through this event.”
generation, but also its generous approach
towards the trade school of their choosing.
Building success
to philanthropy and Maggie’s hands-on
At a time when the residential housing
involvement. In celebration of the next
sector is booming, and businesses continue
As the company navigates the second half of
generation of trade workers, 84 Lumber hosted
to expand, this event shone a much-needed
2021 and celebrates its 65th anniversary, now
ten high school seniors for a SkillsUSA National
public spotlight on students pursuing careers
is a great time for 84 Lumber to highlight all of its successes. As Frank puts it, “how many
Metrie Metrie has been a proud partner of 84 Lumber for over 25 years. Rooted in family ownership and values, our two companies are dedicated to serving customers’ needs at an exceptional level. This focus allows us to be operationally entrepreneurial while delivering across a national footprint. We have grown together over the years, enduring earthquakes, housing bubbles, and pandemics. In today’s constricted supply and high demand environment, our strong relationship has fostered the communication, collaboration and trust needed to not only survive, but thrive in these uniquely difficult conditions. Congratulations to the Hardy family and 84 Lumber on 65 Years of success!
65-year-old companies are there, privatelyheld by the second generation and turning over $7 billion a year?” As it heads into its next decade, Frank and Ken envision the business continuing to be a privately-held, family company, consistently growing its store locations, expanding its team of loyal associates, and entering new markets where it is not present. “We will also be
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MODERNHB.COM
investing capital back into our existing stores
She really wanted to give back to each and
so that they continue to have the tools they
every one of them, and she came up with the
need,” added Frank.
idea that we would pay each one of those staff
New store openings are already frequently
members a certain dollar amount for the first
celebrated at the business, and 84 Lumber
five days they achieved $1m revenue and then
is expanding into Stockton, California; Boise,
she kept adding $500 a day. We went back 40
Idaho; Detroit, Michigan and more later this
days later and gave everyone in the store a
year. “This is all part of the road map to growth
check for $18,000! I think this really shows what
that is driving us forward,” said Frank.
being privately-owned means, as you can really
These investments are all very much part
Maggie Hardy, Company President with her father and company founder Joe Hardy
put your money where your mouth is. If you are
of Maggie’s willingness to give back to the
the CEO of a public company, I am not sure if
company, and Frank concluded with a story
that is your MO.”
that really highlighted not just Maggie’s own
Under Maggie’s leadership, 84 Lumber
generosity, but also her personable approach
has been built to survive the highs and lows
to management and the level of engagement
of market changes, embracing innovation
she has with her teams. “Her true love is visiting
and technology, and creating valuable and
a store and seeing the associates, making sure
rewarding careers for hundreds of staffers. On a
people are successful,” he said. “One of our
continuing path of evolution and growth, and
stores in Dallas, Texas got on a bit of a run this
representing a true American success story,
year where they were doing a million dollars in
84 Lumber can be proud of its heritage and
revenue a day. Maggie visited the store when
legacy and look forward to a future where its
they were on day five of this success, and she
contributions continue to build on the success
saw just 86 associates delivering these results.
of a nation. F
84 Lumber www.84lumber.com Products / Services: The USA’s largest privately held building materials supplier
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BELLAVISTA HOMES
Hasta la vista
One of Central Florida’s more exciting enterprises, Bellavista Homes has been built upon its ability to forge healthy and strong relationships with all of its potential buyers, and is now benefiting from increased migration to the Sunshine State
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BELLAVISTA HOMES
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F
ormed in 2014, while Central Floridabased residential community developer and builder Bellavista Homes may be a relatively young entity, its
activities are buttressed by the many years of industry experience possessed by its founding members. At the core of the company are its three principle leaders, individuals who each possess 30-plus years of experience in the home building market, and who – even
Another quality that sets us apart is our flexibility. When we started Bellavista, we knew that we needed to diversify ourselves, if for nothing else than to be best prepared for the next cycle that might impact upon the residential building market. This way of thinking led us to take on more commercial and industrial work
when in the past they worked for competing firms – have managed to maintain a strong
that the company will not only always be
wealth of commercial work, including office
relationship with one another.
upfront about the potential challenges facing
spaces, sports facilities, event/convention
a project, but that it will invariably come back
centers, and hotels.”
Aldo Martin, CEO and co-founder of Bellavista Building Group and Bellavista Homes
with a solution to those issues. “I certainly
talks about how the company came to be. “It
think that is a trademark of who we are,” Aldo
Superior workmanship
was several years after the recession of 2006-
affirms. “Another quality that sets us apart is
While Aldo appreciates that what he is about
2007 – which caused many businesses in our
our flexibility. When we started Bellavista, we
to say can often be regarded as a cliché, he is
sector to go to the wall – that I was attending
knew that we needed to diversify ourselves,
still keen to stress how the business sees itself
a trade show and happened to come across
if for nothing else than to be best prepared
and its employees as one big family. “There is
one of the men who would go on to become a
for the next cycle that might impact upon
absolutely no way whatsoever that we could
partner here, Dennis Perez. I remember saying
the residential building market. This way of
have gotten to where we are today without
to him that I believed that the market would
thinking led us to take on more commercial
the efforts of our people, and in turn our own
return to growth, and that I was looking at
and industrial work.
ability to ensure that they remain happy and
putting together a team together for a new venture.”
“Here in the US, it is much more common
focused on the task at hand,” he says. “When it
for people in our space to be very sector
comes to our clients and sub-contractors, we
specific in the projects they undertake. We –
apply a similar mind-set in that we treat them
Flexible approach
on the other hand – do all kinds of work, from
and their respective businesses as if they were
There may have been a degree of scepticism
detached single-family homes, to multi-family
our own, working hard to protect them, and
towards Aldo’s thoughts at the time, but
housing products and apartment complexes
always making decisions that essentially treats
within a matter of months the new business
made up of hundreds of units. We also do a
their bottom line as importantly as Bellavista’s.
was up and running, with Aldo as employee number one, partner Steven Hiss as employee number two, and Dennis joining the fold later. “When making the transition to the new team, we were very privileged to see the vast majority of the clients that we had forged strong relationships with in the past migrate over to us,” Aldo continues. “That meant that from day one, we had contracts in place, work to carry out, and cash flow coming in, which allowed us to get off to a fast start. Many of those clients remain with us to this day, and the relationships we share with them only go from strength-to-strength.” One of the things that said clients tell Aldo and his team on a regular basis is that what they particularly like about working with Bellavista is the knowledge MODERNHB.COM
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BELLAVISTA HOMES
What you have to remember as well, is that a sub-contractor can have the luxury of choosing who they wish to work with. Therefore, it is imperative that we maintain the best possible relationships with this workforce.” Proof of Bellavista’s superior efforts and workmanship can be found in its many completed projects, examples of which Aldo is more than happy to share details of. “One particularly memorable undertaking was our work on Balmoral at Water’s Edge, a resort community located in Haines City, Florida,” he details. As well as boasting resort styled single family homes, Balmoral at Water’s Edge also comes with resort styled swimming pools, a water park, gardens, and a gated entrance. “There is a great story linked to this project, and one that really goes a long way towards highlighting how we constantly strive to go that extra mile for our clients,” Aldo continues. “The first phase of it involved the building out of the homes themselves, the resort’s amenity center, and its main swimming pool, and it was next to the latter that the client wanted to have built the water park, complete with towers, slides and more. Not long after this first phase of the project was complete, the client came to us to say that they were planning a grand opening of the complex in 45 day’s time, and that they really wanted the site cleaned up and as operational
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as possible before his guests arrived. So, what
huge amount of credit with the client, and we
revenues and profit margins. Part of this would
we did was gather the team together to devise
have since gone on to do additional business
have been down to the fact that it was considered
a way in which we could complete the second
with them to the tune of several hundreds of
an essential business, able to operate throughout
phase – which was supposed to have a four-
thousands of dollars.”
the last year-and-a-half, while another important
month lead time – in 45 days. “In order to achieve this turnaround, we
For Bellavista, the work continues to come in
factor is the increase in migration to Florida, which
thick and fast. Among the varied mix of projects
has created immense demand for housing. “This
worked every single day, pretty much around
that it is currently working on – as of August
migration is not only occurring domestically, but
the clock, to the point where the night before
2021 – or has plans to in the coming months,
also internationally, with more and more people
the grand opening itself, myself, Dennis and
include 100,000-square feet of professional
from South America – for example – wanting to
several other team members were on-site at
office space close to Orlando International
come here to start a new life,” Aldo highlights.
1am cleaning things down and making it ready
Airport, several large apartment complexes
“As a matter of fact, I was recently speaking to
to receive people. The result was that the client
located throughout the state, up to 1000
an old mentor of mine, who told me that he
was able to hold his grand opening celebration,
residential units, a number of large custom
felt that Central Florida is now in the midst of a
and while the water slides were not yet open
homes, and even a church!
similar wave of expansion as that seen in places
for use, they were lit up with water running
In spite of the damage dealt globally by the
like Atlanta 30-off years ago, and that will see it
down them, providing a fantastic visual for
Covid-19 pandemic in 2020, Bellavista would
being a major metropolis in the South East of the
everyone. Needless to say, this bought us a
in fact enjoy its best year ever in terms of
country for years to come. “Fortunately for us, Orlando has plenty of space in which to grow, and I believe that the local economy will only become more diverse as we welcome more homeowners and businesses to the region. From that perspective, the future looks fantastic for companies such as Bellavista!” F
Bellavista Homes www.mybellavista.com Services: Residential community developer and builder
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M/I HOMES
Adapting
to change
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Although the pandemic has had hard hitting consequences, M/I Homes has been smart in its response to ensure it continues to provide beautiful homes for families across the country
S
Patrick Mayhan
cattered across 16 markets in the US, M/I Homes is a home builder founded in 1976 with a heart for family residences and a core value
that believes in treating its customers right.
that continues to affect the service delivery for
We spoke with Patrick Mayhan who serves the
many industries,” Patrick says.
business as its Vice President of Purchasing at
As far as business is concerned, the
the Houston Division office and he tells us of
contractor prides itself on creating homes in
the recent successes that have been making
which families can build a sturdy future, and
the company a household name in the home-
in order to support that vision, the company
builders industry. He also shares with us how
works closely with developers and design
the business is overcoming the supply chain
consultants to secure land acquisition that will
struggles that have plagued the construction
house communities safely and securely. “We
industry as a result of Covid-19.
partner with different land developers who
Since the beginning of its 45-year journey,
buy raw land and essentially renovate it by
M/I Homes has earned a reputation for
putting in the infrastructure, street paving, and
delivering better quality, design and value
the power and sewer lines. They then divide
in order to create successful communities.
up the land into certain lots, and following
Although it has remained committed to
that, they’ll reach out to home builders and sell
providing a greater home buying and home
the lots to establish a master plan community.
building experience, it has also had to adapt
From there, we purchase those lots and start
rapidly to the turbulent changes enforced
building and selling the homes,” he describes,
by the global crisis to continue to support its
continuing to note that by aspiring to create
clients.
better, personalized living spaces, an M/I home
“I’m inclined to believe that all industries
is equipped to be energy and water efficient,
are experiencing very similar situations
sustainable and built to last. “We also have a
with regards to the supply chain troubles. A
Land Development Department that allows
circumstance that may not be as well-known,
us to self-develop new communities when it
that has been occurring in our neck of the
makes more financial sense to do so.”
woods, is that many products that go into a
One support structure that has enabled
home are manufactured by facilities/plants
the business to do this successfully, which
based in Mexico and are shipped across the
Patrick is happy to share, is the company’s
border into Texas and other nearby states. For
strong financial support from its corporate
a while, the Mexican Government has shut
headquarters based in Columbus, Ohio.
down all those plants and manufacturing
The extra reinforcement has enabled it to
facilities that make doorknobs for example,
stay ahead of the competition, despite the
brick, HVAC condenser units, etc. so we were
challenges posed by the Covid-19 pandemic.
unable to get any materials or products, even
“Back in March of 2020, when the US Federal
at a reduced capacity from that region. When
Reserve lowered interest rates to near historic
the Mexican Government eventually opened
lows, in order to help suppress the projected
up the border again, there was a severe lag in
economic forecast decline at that time, the
the supply chain due to shipping and freight
result caused major demand from people to
haulage shortages. With less drivers to send the
buy new homes across the US. This, along
trucks across to deliver the goods and services
with numerous manufacturers deciding to
throughout the country, it added another layer
temporarily halt operations on many of their MODERNHB.COM
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M/I HOMES and lumber mills across the States. As he mentioned, many businesses geared up to shut down their facilities in preparation for a decrease in demand and to save the money that would otherwise be wasted on keeping them operational. However, the opposite happened. In a time where the world was forced to remain cooped in the confines of their homes, many saw it as an opportunity to reinvent their living environment. “But with a record demand and a diminished capacity to service that demand, we faced a massive backlog – it was just a consequence of the pandemic. Unfortunately, these supply chain facilities at the same time, created a perfect
and CEO made a commitment to hold off any
challenges have caused pricing from nearly
storm of record demand, with much more
employee layoffs until a better long-range
all sources to rise dramatically, which we are
limited capacity to handle this.
picture could be realized. By the beginning of
forced to pass along to our buyers. Our lumber
the second quarter of 2020, sales and demand
costs alone from August 2020-to-June 2021
had shot up dramatically.”
shot up over 200 percent on average. Until
“People who were living in the inner cities, where there was a higher population density,
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were then motivated to move away from the
According to Patrick’s experience, many
close quarters and buy homes in the suburbs.
businesses within his industry expected the
demand. In July, we finally saw a drop in sales
Through the uncertain time during the first
economy to falter in response to the pandemic.
demand, although it remained fairly strong.
quarter of 2020, our Corporate Headquarters
This would impact the operations of plants
We believe that the overall barrage of price
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very recently, we have not seen a slowdown in
increases from all materials and products has started to subside, although others do continue to happen due to record demand and already committed projects in the pipeline, which has meant that direct supplier and manufacturer relationships have been absolutely key. We have learned how important it is to be flexible in these circumstances and within our operations and logistics,” he shares. As a result of this, the business placed a large
The company’s goal in the future is to build
Homes’ future is a matter of continuing to
emphasis on fine-tuning its communication,
and capitalize on what is already available to
strengthen its financial strategies with the help
not only within the company but throughout
it, and with growth comes an additional need
of its corporate headquarters. As long as it
the supply chain, to ensure that operations
for employee infrastructure and a skilled labor
remains focused on its aspirations to grow and
were underway to the best of their ability.
force to continue with its success; all factors
expand, Patrick has no doubt that the business
“We also had to change where we sourced
that Patrick is confident will come together for
will continue to lead the home building
our materials because those who we
the business’ prosperity. “This isn’t necessarily a
industry. F
normally worked with were having their own
situation of re-inventing the wheel, but we do
problems when it came to acquiring supplies,”
believe we’ve got a good strategy and a good
Patrick states, adding that throughout the
model for what we do and how we’re going to
unprecedented period of 2020 and throughout
keep our business secure to survive the effects
2021, he was astonished by the sheer volume
of the pandemic,” he says. Despite the setbacks,
of the impact, a reminder of how fragile the
the path ahead looks promising for the home
corporate ecosystem can be.
builders. As far as Patrick is concerned, M/I
M/I Homes www.mihomes.com Services: New home residential construction
“Trying to mend this situation means that unfortunately, there will be a slight standstill as a result of price increases that have come about from the difficulties of material sourcing. There is a percentage of buyer groups that we sell to who have now put their purchasing on hold so I think the overall demand will subside a bit, and that will balance out and eventually we hope to see the pricing that we’re paying start to go down as well,” he explains. Regardless of these challenges, Patrick is an optimistic man who believes in the robustness of his business. His main focus at the moment is to hold back as many cost increases as possible to provide some breathing space for the other components that keep M/I Homes going. “I feel like my job has shifted from trying to find savings, into doing my best to hold back the avalanche of price increases hitting us from all sources. Sometimes I can get a supplier to lower the increase percentage in order to suppress it, but sometimes I cannot. Due to the record demand that we received, which I’m sure many companies in our industry have received as well, M/I Homes is implementing what we call ‘good land positioning’ to prepare for the next three years. As far as our new communities, we want to expand growth here in the Houston market and ensure that we are well prepared to do so,” he informs us. MODERNHB.COM
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