Redwood siding rising

New investments, second-growth availability drive resurgence of upper-grade redwood

Now, after more than a decade of declining demand, Redwood Empire is poised to help redwood reclaim lost market share. The company acquired its second remanufacturing facility last August, in Redding, Ca., and has been investing to bolster operations there since. The facility, which once produced mostly specialty products for Hawaiian markets, primarily manufactures siding and trim from upper-grade redwood.

fHrne wAS A ttvs when redwood I- was among the more preferred and popular siding materials for fine homebuilding. There never has been any question as to redwood's beauty or durability. Its authentic natural look blends in particularly well in mountain or lakeside communities.

The increased acceptance of vinyl and the introduction of composite materials such as fiber cement have chipped away at the market share for all natural wood species. Vinyl now commands 4O7o of the $6 billion siding market, while wood products hover around 107o. Pricing spikes for redwood's highest grades before the turn of the 21st century likely helped accelerate its market-share drop, as did prior changes in harvesting practices that resulted in less upper-grade redwood coming to market. The perception grew rapidly that upper-grade redwood simply was not available.

The proximity of Redwood Empire's primary sawmill in Cloverdale and manufacturing facilities in Asti, Ca., to southern-range redwood forests provides easy access to quality logs. Each mill is customdesigned to cut for grade rather than to maximize throughput. Though the milling process often takes longer, the result is greater output of upper-grade redwood and more availability of vertical grain lumber, which feeds Redding's siding-production operation.

A Sustainable Product

The redwood siding popular throughout the 20th century largely was the product of old-growth trees harvested from California's San Mateo. Santa Cruz. and Mendocino counties. Now these areas, the first to be logged, are the source of secondgeneration forests managed for decades under California's sustainability laws-the toughest in the nation. Many second-growth trees in the southern end of redwood's natural range exhibit qualities similar to the wood harvested in the hevdav of redwood sidine.

Redwood harvested from sustainably managed forestlands along California's coast has proven to be the source of eco-friendly, long-life products. A renewable resource, redwood trees remove greenhouse gases from the air through photosynthesis, absorbing carbon dioxide and releasing oxygen. Life Cycle Assessment research, which studies cradle-to-grave environmental impacts of building materials, has shown that redwood products store more carbon than is used in their manufacturing. The net result of using sustainably harvested redwood is a decrease in greenhouse gas emissions.

Geography Correlates to Preferences

Even in the lean years for redwood siding, there were pockets of demand across the country with interesting and fairly constant geographic preferences. The East Coast, for instance, has shown the greatest demand for beveled siding, particularly 112"x6" pattern 322R, followedby |12"x8" beveled pattern 323R and some lx6" tongue and groove patterns. Texas markets have generally preferred thickbutted rabbeted siding like pattern 477 The Midwest typically has leaned more heavily toward 1"x6" tongue and groove options, while the West Coast has favored shiplap patterns (particularly pattern 793) and some bevels.

Economic, Consumer & Architectural Drivers

Remodeling efforts that allowed homeowners to seamlessly replace damaged siding on existing structures or match home additions to established looks drove much of Redwood Empire's initial manufacturing at its Redding facility. Indeed, remodeling of aging homes is still forecast to play a significant role in the overall siding market.

Recently, however, new home construction has accounted for a larger share of production. Several factors may be behind the increase in demand for redwood siding for new homes, including price. Once consistently the most expensive option among natural wood siding products, shifting market dynamics have made redwood price-competitive with cedar siding.

Green building trends may also be having an influence. Research indicates consumers are placing greater emphasis on environmental performance and sustainability issues in their purchase decisions. Redwood siding is recyclable and biodegradable, and offers a favorable carbon footprint.

Perhaps the greatest influence has come from the architectural community. Architects have long been attracted to redwood-especially vertical grain redwood-for interior and exterior applications because of the wood's natural beauty. Increased awareness that vertical grain redwood is again available appears to have spurred a rise in architectspecified redwood siding. While vertical grain availability remains somewhat limited in the top Clear All Heart grade, Redwood Empire has produced significant quantities of vertical grain siding in all upper grades, including Heart B, Clear, B grade, and selected commons.

As consumer interest and demand for redwood-helped by architects and designers-moves inside the home, interior trim will likely experience an uptick as well.

For Redwood Empire, the availability of redwood logs whose characteristics resemble their historic predecessors and the increased recognition of redwood's environmental attributes have laid a foundation on which the company plans to build. The Redding mill has the machinery to produce all patterns in the CRA pattern book, and can match virtually any pattern produced in the past 100 years. The siding business is growing, and the firm plans to make the investments necessary to market siding successfully.

Keep your eye on redwood in the siding market. Watch the trends to see how architects and consumers approach and use high-end redwood.