Building Business News February 2020

February 2020

“I remain optimistic about the outlook for housing�

Governor Bowman

600 E. 103rd Street | Kansas City, MO 64131

On the Cover: Cover story

3

Fed Governor Bowman Addresses KCHBA Members Members gathered for the annual Economic Forecast Breakfast last month to hear from Federal Reserve Board Governor Michelle Bowman and Economist Chris Kuehl.

Features Members See the Latest New Home Innovations at the International Builders Show 5 More than 250 KCHBA members traveled to Las Vegas last month to hear from NAHB officials and learn about the latest innovations in new-home technology and materials.

Goals for 2020 from the Membership Committee

11

KCHBA has many accomplishments it can look back on and be proud of in 2019, but with the start of 2020 what’s next?

Preview the KCHBA’s Home & Lifestyle Show Check out what’s happening and get your tickets to attend Kansas City’s only home show, produced for KC by KC .

In Every Issue Calendar 4 Anniversaries 20 New Members

21

Residential Permit Statistics

23 2

12

Fed Governor Bowman: Positive Growth in Housing Over Next Several Quarters

T

he Kansas City Home Builders Association kicked off 2020 with its annual Economic Forecast Breakfast, sponsored by Premier Building Supply, on Jan. 16 at the Marriott Briarcliff. About 250 members attended to hear Federal Reserve Board Governor Michelle Bowman and Economist Chris Kuehl deliver their outlooks for housing.

“I remain optimistic about the outlook for housing,” said Gov. Bowman. “Low interest rates will continue to be a key factor supporting growth in housing activity.”

Kuehl had a similar message: “I’m optimistic that 2020 will be as good as 2019. Everything is trending in a positive direction with a growth orientation.”

Kuehl did acknowledge there are three things to watch moving into 2020. One is the labor situation and whether unemployment stays low. The second thing is the impact of the consumer, who has been driving the economy for decades yet is difficult to predict.

And third is that we don’t talk ourselves into a recession. Kuehl noted that with all the rhetoric that will be produced during the political campaigns the reality of the situation may get lost in candidates’ attempts to tell voters “the economy is going to crash if you don’t vote for me.”

3

in ONE One CLOSING One RATE One LOAN Simple • Easy • Fast

CapFed’s Construction-To-Permanent Loan • You enjoy quickly processed construction draws.

• Your client enjoys ONE loan throughout the building process and life of the loan.

913-381-5400 or 913-652-2541 capfed.com

3

Social icon

Rounded square Only use blue and/or white.

For more details check out our Brand Guidelines.

Feb/March Calendar

Rhythm Media will assume Publishing of New Home Guide March 2020

Feb 13 Build-PAC Fundraiser Feb 13 Associates Council Meeting

N

ewpoint Media, a Texas based media company and national publisher of hundreds of Real Estate titles announces that New Home Guide Kansas City will be published by Rhythm Media LLC, a Kansas City based media company and Publisher of The Real Estate Book of Greater Kansas City.

Feb 26 HBA/NARI Career Fair Feb. 26 Kansas Area Council

“It was a natural addition to The Real Estate Book of Greater Kansas City”, says Keith Sauro President and Publisher of Rhythm Media LLC. Starting in March of 2020, Mr. Sauro plans to co-brand both products in one comprehensive publication.

“Having successfully published the Real Estate Book in Kansas City, we help consumers looking for resale and new homes. It just makes sense to have one comprehensive hyper-local product that markets both new and resale homes using two great brands.

When consumers start their search, they aren’t always sure of their direction to purchase new or a resale home. By providing all choices in one well designed product we can help all homebuyers in Kansas City, while we maintain the integrity of both brands.”

March 11 Kansas Legislative Day March 13–15 Greater Kansas City Home & Lifestyle Show

CONSTRUCTION TRADES

CAREER FAIR

Kansas Area Council

Wednesday, February 26, 2020, 9:00 a.m. – 3:00 p.m.

NEW LOCATION:

2020 Chair ¦ Jeff Ashner 2020 Co-Chair ¦ Patrick Willis

Johnson County Community College, CTEC Building 12345 College Blvd., Overland Park, KS 66210

Save the Date!

Meet with students enrolled in construction trades programs from area high schools and community colleges.

This event is open to the public and will be promoted on various media platforms. $175 table top fee includes: • Continental Breakfast & Box Lunch (1 per table top, additional $25/person for food) • Table and 2 chairs. Tables are 5’x2’ and uncovered, bring your own covering.

• Free guest wifi.

• Electricity is limited and not available to all tables. Please indicate if you must have access to an electrical outlet. Bring your own extension cords and power strips.

• Due to limited space, your display must be able to fit on the table. Extra floor space may not be available.

Contact Gretchen if you require additional space.

Feb. 26, 11:30-1:00 p.m.

Located at Milburn Golf Club; Lunch Included

To reserve your table, call Kansas City NARI (913) 362-8833 or email Gretchen Evans, kcnarigretchen@remodelingkc.com.

For promotional timeline purposes, please reserve your table by January 10, 2020.

Mark your calendar for the first Kansas Area Council of the year.

Demonstration Area: Show off your skills in the new CE Lab demo area. Let the students see “How To” properly set tile, lay flooring or frame a wall for example. Ask Gretchen for details. An additional $75 fee will apply to use the lab for demonstrations.

• Setup from 7:00 - 9:00 a.m.

• Tear Down from 3:00 – 5:00 p.m.

• Proceeds will benefit the Kansas City NARI Futures Fund.

Prices: Builder members discounted / Associate members

$25 / Guests $40 Email Paige@kchba.org to register For questions or more information please contact 816-942-8800.

This event is not sponsored nor endorsed by JCCC. Kansas City NARI is fully and solely responsible for this event and the views expressed.

4

250 KCHBA Members Attend IBS in Las Vegas

I

t was a full week in Las Vegas as 250 KCHBA members joined 65,000 other home building professionals from around the world at the Las Vegas Convention Center where more than 1,400 exhibitors displayed the latest in building products and technology.

Summit Homes won a Safety Award of Excellence during the show; KCHBA hosted a hospitality suite, sponsored by Spire, Tuesday evening at Caesar’s Palace with over 100 members in attendance; and several members attended the Gold Key event Monday evening where the theme was the 1980s.

Check out KCHBA’s Facebook page for more photos from IBS.

KCHBA staff member Courtney Reyes sat on an NAHB panel during a workforce development session where she explained the initiatives the association has undertaken to promote jobs in the skilled trades to attendees from across the country.

Harold Phelps, Bruce Rieke, Don Julian, Jerry Braklow and Brent Jones

5

2020 in Las Vegas

Builder Mike Powell of Be Home and his wife, Tara, enjoyed the hospitality suite, sponsored by Spire.

Cliff Garrett of Spire with Jerry Braklow and guest

Jeff Ashner was honored with a Best in American Living award for his personal home, which he featured in the 2018 Artisan Home Tour.

The theme for the Gold Key party was the 80s. Shawn and Lindsey Woods fit right in with their MTV t-shirts and neon jewelry.

6

Builder Brian Tebbenkamp, Patriot Homes, snagged an inflatable zebra at the Gold Key event as a gift to take home to his daughter.

Wrapping up KC Permits during the 2010s

A

recent NAHBNow post compared national single-family home production during the 2010s to the rate over the last 60 years. The NAHB reported: “The 2010s was by far the lowest decade of single-family production in the last 60 years. During this 10-year period, single-family home construction totaled just 6.8 million units. By comparison, single-family starts ranged from 9.3 million units in the 1960s to 12.3 million in the 2000s.”

KCHBA permit report data is available only from the late 1970s, but it follows a similar trend. The years from 2010 through 2019 show the lowest number of permits issued during the most recent 40 years.

KITCHENS & BATHS BY BRIGGS

The Kansas City metro permitted 43,173 single family units during the 2010s as compared to the second lowest decade, the 1980s with 52,931. The decades in the middle of the period were roughly equal with 81,583 in the 1990s and 80,336 during the 2000s.

Premier D e c orative Plumbing

11009 STRANG LINE ROAD, LENEXA, KS 66215

n

913.387.4900

n

KBBRIGGS.COM

home

Robert Dietz, NAHB Chief Economist, discusses the interplay of supply and demand in the home building industry as follows: “The paradox of declining inventory, rising home prices, and underperforming single-family construction has been the most important home building research focus of the last decade.

Traditional demand-side housing analyses are insufficient to explain these market conditions. The lack of building is rooted in a set of supply-side headwinds that limit home construction in expanding markets.

STARTS HERE

FURNITURE

Since 2015, NAHB’s explanation and forecasts have referred to this complex set of limiting factors as the five Ls: lack of labor, lots/land, lumber/materials, lending for builders, and laws/regulatory burdens. No single factor alone can sufficiently explain the housing supply equation of the last decade. And to a certain degree, the challenges offered by this set of issues are rooted in consequences of the Great Recession on the structure, organization, and enforced policies on the housing industry in the 2010s.”

•

FLOORING

•

APPLIANCES

•

ELECTRONICS

nfm.com

1601 Village West Parkway, Kansas City, KS 66111 913-288-6200 ©2019 Nebraska Furniture Mart, Inc.

Dietz goes on to predict that the outlook for the 2020s will experience a rebound in home building: “There is little doubt that the next generation will experience more single-family construction than the 2010s, as Gen X reaches its peak earning years and millennials increasingly seek out single-family homes for purchase.”

7

Workforce Development Featured School: Bonner Springs High School

B

onner Springs High School’s Ryan Mellick has been teaching “shop” since 2007 and has taught at Bonner Springs High School since 2014. The classes he teaches are Carpentry I and II, Principles of Wood Working, and Furniture Fabrication and Design. These classes give students the opportunity to work with their hands, building a variety of items.

sheetrock to it and adding the siding. On the inside, students will be running the electrical, plumbing, and installing the walls. Once the students are finished with the house it will be move-in ready.

Bonner Springs’ Furniture Fabrication and Design class is making the cabinets for the house, as well as building their own piece of furniture. This class usually has the largest number of participants in the KC MADE competition. The students design their own piece of furniture or take ideas from existing pieces to come up with their own ideas. Once this is done the student draws plans and comes up with a Bill of Materials so the student knows how much the piece will cost to build. Once that is completed, the student is allowed to build the furniture.

Students Building a Tiny Home This year, students enrolled in Mellick’s Carpentry class are building a tiny house. The project is designed to take students through each stage of construction allowing them to see what is done and how it is done. Students are building each stage of the tiny house, including framing the house, attaching

Building furniture is not as easy as it sounds in this class. All of the wood arrives rough sawn. This means the majority of the lumber still has the bark from the tree on it and there is no straight edge to start with. Students learn how to correctly mill out a board into a usable piece.

2020 FUNDRAISER

have a

HEART for BUILD PAC FEBRUARY 13 | 6 PM - 8 PM

JOIN US FOR WINE & WHISKEY AT THE FERGUSON BATH, KITCHEN & LIGHTING GALLERY 1840 CHERRY STREET, KANSAS CITY, MISSOURI 64108 COMPLIMENTARY VALET PARKING

RSVP BY FEBRUARY 4, 2020 TO PAIGE@KCHBA.ORG OR 816.942.8800 CONTRIBUTION LEVELS GOLD KEY | $1,000 BUILD-PAC SUPPORTER | $500 DOLLAR-A-DAY | $365 CENTURY CLUB | $100

These contribution levels are merely suggestions. Donations are accepted in advance or at the door - personal checks or personal credit cards welcome.

BUILDContributions to BUILD-PAC are completely voluntary. Federal law requires political action committees to report name, mailing address, occupation, and name of employer for each individual whose contribution exceeds $200 in a calendar year. Foreign nationals cannot contribute to BUILD-PAC. The contributions will be used for political purposes and are not tax deductible.

8

This practice is used in both the Furniture class and the Principles of Woods Class. The Principles of Woodworking class has a focus more on tool safety and getting students acquainted to being around the equipment while they build pieces using a variety of different cuts or machines.

Tools of the Trade All of the Industrial Technology classes at Bonner Springs High School have access to a 4’ x 8’ CNC machine, which is used to create a variety of different student ideas. Students also have access to a 25” planer and a dual-head 36” sander to help speed the process along. The best way to describe the shop is to think of it as a regular cabinet shop complete with a finish booth.

Get Involved KCHBA members are welcome to visit the shop by contacting Mellick at mellickr@usd204.net. Bonner Springs High School is located at 100 McDanield St, Bonner Springs, KS 66012. More information can be found at https://www.usd204.org/.

HBA Building Remodel Donor Profile: Samsung How long has your business been a member of the HBA? Samsung’s Home Appliance Builder Division has been a part of the Kansas City HBA going on four years now.

Home at the 2019 Home and Lifestyle Show with the HBA, Patriot Homes and Ferguson. I walked away from that weekend feeling grateful for the opportunity. I felt we were able to educate the attendees that walked through the Smart Home on the attributes of Samsung’s connected appliances and how easy they are to incorporate into their home.

Why did you feel it was important to donate to the HBA building remodel?

KCHBA is one of the most dynamic and active HBAs in the country. [Samsung] felt it was important to contribute and partner with the HBA in areas where we could make a positive impact for years to come.

What is your favorite Samsung product to put into a home?

Easily our Family Hub™ Refrigerator. With the Family Hub™, homeowners can shop for food, organize family schedules, play music from Pandora, Spotify or Amazon, and even see who pressed their Ring Doorbell… all on the Family Hub™ screen.

The Family Hub™ can also manage expiration dates and recommend recipes based on those expiration dates, thus reducing food waste and saving money. It also allows control of the connected devices in your home from the SmartThings app that is available on the refrigerator.

How has the HBA impacted your business?

The HBA has allowed Samsung to forge new partnerships and build relationships with builders across the Kansas City market. These relationships are important as more and more homebuyers demand our brand in their homes.

What is your favorite memory of the HBA? I would have to say the experience of participating in the Smart

Continued on page 17

9

New Staff Member – Jordynn Webster

T

he HBA is pleased to welcome Jordynn Webster to the team.

Jordynn will serve in the role of Government Affairs and Workforce Development Manager. Originally from Carthage, Mo., Jordynn attended Missouri State University where she received a BSBA in Marketing and Fashion Merchandising with an emphasis in Product Development. Over the past 6 years, she has lived in Washington, DC, with the opportunity to work in both public and private sectors of the government. During that time, Jordynn worked in a variety of policy areas, organized fundraising efforts for several Members of Congress, and oversaw the planning and implementation of over 150 events held by different organizations. In addition, she was fortunate enough to volunteer for the Joint Congressional Committee on Inaugural Ceremonies for the 2017 Presidential Inauguration. As a Missouri native and a lover of all things Kansas City (GO CHIEFS!), Jordynn is thrilled to be back in the heartland and is looking forward to representing the KCHBA and most importantly each and everyone of you.

10

KCHBA Accomplishments in 2019, Goals for 2020

T

he Home Builders Association of Greater Kansas City (KCHBA) wants to always provide its members with relevant information regarding the current state of the industry, including a reflection of the growth that has taken place and the value of that as we look toward the future. The past year has been marked with many accomplishments within this organization – accomplishments each individual member of this organization should be proud to have played a part in producing.

Suffice it to say, because of your efforts, 2019 was a year of significant achievement for the housing industry. As we look to the new year, 2020 also brings in a new decade with new opportunities. With that, I wanted to make you aware of KCHBA’s Membership Committee goals for 2020 including: • Retain current builder and associate members.

• Ensure new members are properly integrated into the KCHBA with an on-boarding process.

• Host “HBA 101” seminars, taught by KCHBA EVP Will Ruder, to help potential and new members become familiar with the organization.

• Add enough new builder members to meet the NAHB requirement of 250 for an additional director at the national level, which affords the KCHBA a louder voice and another vote on issues nationally.

• Share the value of the KCHBA internally and externally.

In 2019 KCHBA: • Saved members $10,000 per housing start through our national, state and local advocacy efforts.

• Recorded over 4,600 single-family permits and more than 3,000 multi-family permits from 58 localities.

• Supported 29 housing-friendly candidates.

• Participated in over 170 meetings and events with candidates, elected officials at all levels of government, municipal staff, and community leaders.

• Produced the 2nd largest Parade of Homes in the country.

• Implemented Parade of Homes tours for students as a part of our Workforce Development initiative.

• Hosted 29 networking and education events, which were enjoyed by more than 2,500 participants.

• Built the first ever smart home inside Bartle Hall at the 72nd annual Home & Lifestyle show.

• Raised nearly $13,000 for scholarships, community revitalization and other projects at the first-ever Home Builders Foundation Fund of Greater Kansas City Topgolf Tournament.

• Donated $34,000 to local charitable organizations through the Foundation.

• Remodeled the HBA building, which has afforded us one of the finest association headquarters in the country.

If you know of a builder, developer or subcontractor who is not currently a member of this organization but you believe should be, please contact a member of the Membership Committee so we can create a plan for engaging that company in a meaningful conversation about how the KCHBA can benefit them.

Thank you for your support of the association in 2019 and thank you in advance for your assistance with reaching our goals in 2020.

Sincerely, KCHBA Membership Committee Co-Chairs Bill Arnold & Gary Kerns barnold@ckfco.com gary@kernshomebuilding.com

11

Membership Committee Members: Bill Arnold, CKF Jack Baker, Bovard Insurance Mike Bryant, Mike Bryant Heating & Cooling Ryan Christopher, Anything on Anything Bruce Coffin, Fidelity Bank Jim Dwyer, 2-10 Home Buyers Warranty Mike Guthrie, Raynor Garage Door Misty Hanson, Stewart Title Curtis Harris, Gordon Energy Gary Kerns, Gary Kerns Homebuilders Kathie Rogers, Roth Living

Come See Bobby Berk, Tamara Day and Guess Your Way to $500k

P

urchase your tickets now for the 2020 Greater Kansas City Home & Lifestyle Show, March 13-15 at Bartle Hall! In addition to national talent including designer Bobby Berk from Netflix’s hit series Queer Eye and KC’s very own HGTV designer Tamara Day, this year’s Home and Lifestyle Show has some new and exciting features.

NATURAL GAS BRINGS YOU SAVINGS FOR YOUR FUTURE.

Guess Your Way to $500k

Homeowners save with natural gas.

Natural gas furnaces heat homes more efficiently than electric heat pumps: the average household can save $400 to $500 a year with a natural gas furnace.

New this year, the Dream Home Contest offers show attendees the opportunity to guess the correct combination to unlock a vault and win $500,000.

Never been done before!

Veterans Community Project and the KCHBA have partnered to turn one of VCP’s tiny homes into a children’s playhouse to be auctioned off to the highest bidder during the show. Architects and designers submitted their ideas for remodeling the tiny home and consumers voted for their favorite -- congratulations to HOK Architects! All proceeds from the auction of the VCP tiny home playhouse — and 12 other playhouses built by KCHBA members and area high schools — will benefit VCP.

A BETTER TOMORROW STARTS TODAY. www.kansasgasservice.com

Friends & Family Night Block Party Join us Friday, March 13 for KCHBA Friends and Family Night. The theme of this year’s event is a neighborhood block party. Why? Because the party will be held in the cul-de-sac of Tamara Day, star of HGTV’s Bargain Mansions Saturday, March 14 • 2:00 p.m. on the Main Stage Meet & greet following presentation Bobby Berk, one of the Fab 5 from Netflix’s Queer Eye Sunday, March 15 • 11:30 a.m. on the Main Stage Meet & greet following presentation Show hours at Bartle Hall: Friday, March 13, Noon-9:00 pm Saturday, March 14, 10:00 am-7:00 pm Sunday, March 15, 10:00 am-5:00 pm Tickets: Tickets on sale now.

Buy tickets in advance online for $10; $12 at the door.

Kids 12 & under and Veterans with ID free.

For more information, visit kchomeshow.com.

12

playhouses built for the Parade of Playhouses. The evening will include 101.1 The Fox giving away a car to a veteran live on-air from the show. Look for more details in This Week at the HBA as we get closer to the show.

Parade of Playhouses KCHBA members and local schools are building children’s playhouses to be auctioned off to the highest bidder at the show. All proceeds from the auction will benefit Veterans Community Project. This year, 12 playhouses will be featured at the show. Playhouses are being built by:

THE

• CKF, LLC • Gardner-Edgerton School District, sponsored by Grata Development • Engle & Volkers KC realtor group

THAT

Fasone &partners Fasone inc. &partners Advertising MArketing Pr inc.

• Ernst Brothers Home Construction, sponsored by Stewart Title • Excelsior Springs School District, sponsored by Syler Construction

Little Agency gency Aoars!

Little R Roars!

THE THAT

|

|

Advertising | MArketing | Pr

• Grant’s Custom Homes

Make your business ROAR!

• Habitat for Humanity, sponsored by Bickimer Homes • Hunt Midwest • KCHBA Young Professionals • Northland Career Center • Olathe Advance Tech Center, sponsored by Ashlar Homes • Winnetonka NKC School District, sponsored by David Elliott of Construction Planning and Services

Contact Karol Angotti or Michal Fasone 816.753.7272 karol@fasonepartners.com mj@fasonepartners.com

Plus, Veterans Community Project is turning one of its tiny homes into a playhouse, which will also be auctioned off to the highest bidder.

Smart Home 2.0 Remotely monitor and control the dishwasher from your smartphone with Wi-Fi connectivity. Receive alerts when there’s unexpected activity in your home. Set connected lights to turn on and off as people come and go. Monitor moisture and temperature.

These are just a few of the features you can check out in this year’s Smart Home 2.0. Back for a second year at the show, this year’s smart home is being built by students at Metropolitan Community College. These students are receiving hands-on experience in construction by assembling and breaking down the smart home in their classroom. In the days leading up to the show, they will be onsite at Bartle Hall reassembling it, with assistance from KCHBA members and class instructors.

Partners with HBA Since 2010

Tickets on sale at KCHomeShow.com

FasonePartners.com 13

NAHB Unveils New Website T

they can quickly access a wide variety of resources and information specific to their areas of focus.

o better serve the needs of our members, industry partners and other key stakeholders, NAHB recently unveiled the all-new nahb.org. The site not only features a much more modern look, but also greatly improved search performance, enhanced content functionalities and an improved navigation for an even better user experience.

Logging In While much of the information on the website is made available to the general public, a significant amount of valuable members-only content and resources can only be accessed by members who log in. All member and non-member login credentials on the new site are the same as those used for the old website.

Member Profiles Members are especially encouraged to log in so they can view their member profile and update it, if they wish to do so, with photos, bios, company information and links to social accounts. To access your member profile, click the Welcome button in the top right corner of the webpage after logging in.

Notable Changes

Questions and Feedback

Visitors to the new nahb.org will immediately notice a new layout, highlighting the latest news, upcoming events and top issues relating to the housing industry. Members will also enjoy the new Community section, which provides a comprehensive hub where

NAHB also posted answers to commonly asked questions about navigating the new site. Those who have additional questions or would like to submit feedback about the website’s functionality and design can email communications@nahb.org.

14

NAHB Elects Leadership for 2020

M

embers of NAHB elected four senior officers to top leadership positions within the federation during the association’s International Builders’ Show in Las Vegas.

the home building industry, Huey founded AGH Homes, Inc. in 2000. In addition to building high-end custom homes for buyers on individual lots, AGH Homes has also built in Hoover, Ala., and in several golf course communities in Vestavia, Ala.

Taking the helm as NAHB’s Chairman of the Board this year is Dean Mon, a New Jersey-based builder and developer with more than 30 years of experience in the home building industry. The first Hispanic to be elected chairman of NAHB, Mon is president of the D.R. Mon Group, Inc., which specializes in the development and construction of green urban living projects throughout New Jersey. Since 1985, the company has created communities in Morris, Hunterdon, Union, Hudson and Monmouth Counties.

2019 NAHB Chairman Greg Ugalde, from Torrington, Conn., remains on the leadership ladder as Immediate Past Chairman.

Ugalde is president and chief legal officer of T&M Building Co., Inc., one of the state’s largest home builders. Since its founding in 1962, T&M has built more than 4,000 new homes in over 45 Connecticut communities for trade-up and first-time buyers. He is also the founder and owner of GFU Investments, LLC, a builder/ developer minority-owned business that focuses on urban development and workforce housing.

NAHBNow, 1/23/20

KCHBA Member Brown Quoted in EPA Release on WOTUS Rule

“Addressing ongoing housing affordability concerns will be the top issue for America’s home builders in 2020,” said Mon. “In this key election year, we will work with the White House and Congress to advance comprehensive housing finance reform and reduce burdensome regulations to enable more families to achieve homeownership or have access to suitable rental housing. We will also urge Congress to adopt practical workforce development and immigration policy that will help our industry fill open jobs and reduce the cost of remodeling and home construction.”

E

nvironmental Protection Agency (EPA) Administrator Andrew Wheeler has announced a final, new “waters of the United States” (WOTUS) regulation at the International Builders’ Show in Las Vegas that resolves years of uncertainty over where federal jurisdiction begins and ends.

“The Navigable Waters Protection Rule is a big win for states, municipalities, builders and developers, landowners and the American public,” Wheeler said in remarks to the NAHB Leadership Council. “It will make it easier to understand where the Clean Water Act applies and, as importantly, where it does not.”

Also moving up on the association’s leadership ladder during NAHB’s Las Vegas meeting was John “Chuck” Fowke, a Tampa, Fla.-based custom home builder with 40 years of experience in the home building industry. He was elected as First Vice Chairman of the Board. Fowke is founder and president of Homes by John C. Fowke, Inc. His company has built hundreds of luxury homes throughout the Tampa Bay area.

KCHBA member and Johnson County Commissioner Mike Brown was quoted in an EPA press release on the new WOTUS rule: “The Trump Administration has applied long overdue common-sense guidelines in reforming the onerously stringent WOTUS rules… and it has made all the difference for our agricultural, land development and construction industries. As a County Commissioner, General Contractor and long-time member of the Kansas Wheat Growers Association I see and hear firsthand how much positive impact these changes will immediately have on these critical industries of Johnson County, the State of Kansas and the USA. Another obstacle has now been removed and a collective sigh of relief can be heard on the fruited plain as further restrictions are pulled off industry and the economic machines are allowed to do what they do best! A HUGE thank you to President Trump and his Administration!”

Jerry Konter, a Savannah, Ga.-based home builder and developer with more than 40 years of experience in the home building industry, was elected as Second Vice Chairman of the Board. His company, Konter Quality Homes, is one of the largest home building firms in Savannah and has established 17 communities and built more than 2,000 homes and 600 apartments throughout the local metro area.

Alicia Huey joined the NAHB leadership ladder with her election as Third Vice Chairman of the Board. A Birmingham, Ala.-based custom home builder with more than 30 years of experience in

15

BUILDING COMMUNITY In business since 1927,

NASB is one of the largest

construction & development lenders in the Kansas City area.

Our team is ready to help!

Visit nasb.com/construction to connect with a Loan Officer.

KCHBA.ORG Private Mortgage Banking

Good news for your jumbo buyers

10.01% down payment and no mortgage insurance

When buyers are able to put down less than the typical 20% down payment and avoid mortgage insurance, you can broaden the range of properties you show buyers.

Count on the #1 Jumbo mortgage lender. Contact us today!

Andrew Johns, Private Mortgage Banker Office: 913-234-2935, Cell: 563-564-9868 andrew.johns@wellsfargo.com www.wfhm.com/loans/andrew-johns NMLSR ID 965525

Janet M. Betsch, Private Mortgage Banker Office: 913-663-6048, Cell: 913-433-6221 janet.m.betsch@wellsfargo.com www.wfhm.com/loans/janet-betsch NMSLR ID 400435

Available on jumbo loans with a down payment of 10.01% – 19.99% when purchasing a primary residence with a maximum loan amount of $750,000 (up to $1.5 million in some areas). Other restrictions apply; consult with a Private Mortgage Banker for details.

This information is for real estate and building professionals only and is not intended for consumer distribution.

Information is accurate as of date of printing and is subject to change without notice. Wells Fargo Home Mortgage is a division of Wells Fargo Bank, N.A. © 2018 Wells Fargo Bank, N.A. All rights reserved. NMLSR ID 399801. AS4829982 Expires 05/2019

16

Kansas Legislative Day 2020

M

ake sure your voice is heard in Topeka by joining fellow KCHBA members for the annual Kansas Legislative Day on March 11.

For details on travel plans and the day’s schedule, contact Courtney@kchba.org or call her at 816-733-2214.

Kansas City Truss Changes Name

K

odiak Building Partners has announced the name change of Kansas City Truss (and Christensen Lumber) to Premier Building Supply of Kansas City.

“We are committed to serving our local market, and changing our name is just the first step into building, growing, and sustaining our presence for the future in Kansas City,” said Premier President Chris Borrego.

Chris, who has 30 years’ experience in the industry, looks forward to their growth and lasting presence in the Kansas City market.

Samsung Donor Continued from page 9

What is next in technology for residential construction?

According to Bank of America’s Homebuyer Insights Report, 44% of move-in ready buyers demand smart home technology. Samsung is currently positioned to serve this demand with our strong base of connected appliances. Samsung’s SmartThings App makes it easy for homeowners to interact with not only Samsung’s connected appliances, but with several third-party door locks, lights, thermostats, switches and sensors… all under one app.

What do you like most about what you do?

I love working for a global brand leader that produces industry leading, in-demand and innovative appliances that impact homeowners’ everyday lives in a positive way.

17

2020 HBA Sponsors

Diamond Mike Bryant Heating & Cooling

ONE APPROVAL. ONE CLOSING.

ONE BEAUTIFUL NEW HOME.

Platinum Premier Nebraska Furniture Mart

CONSTRUCTION TO PERMANENT LOANS

Artisan Ferguson Enterprises

When you team up with Fidelity Bank, buyers enjoy locked terms and rates with a single closing.

Builders manage the construction alongside a dedicated, experienced new construction lender.

Platinum Factory Direct/Samsung Kansas Gas Service McCray Lumber Star Companies

LET’S GET BUILDING.

Silver

Fidelity Bank Henges Insulation & Fireplace North American Savings Bank Pacific Mutual Door Shamrock Cabinet

fidelitybank.com | 913.808.4006

Gold

Bovard Insurance Group Builders FirstSource

Capitol Federal

Fasone & Partners First Federal Bank

High Definition Drywall K&E Flatwork

Kitchens & Baths by Briggs

Morgan-Wightman Supply NBKC

Northcraft Flooring & Design Owen Lumber

Phelps Engineering Rew Materials Spire

Sun Lumber

Bronze Bank of Blue Valley C.M. Mose & Son Commerce Bank Complete Home Concepts CrossFirst Bank Hermes Landscaping Locks & Pulls Pella Products of Kansas City ProSource Raynor Garage Door ReeceNichols Teague Lumber

18

UnitedLighting Heating, Cooling & Wilson Plumbing Inc. Wells Fargo Home Mortgage

Sapphire Canaan Stone Works Security 1st Title

Thanks to all of our 2020 Sponsors

$1,000 Makes a Big Difference in Housing Affordability

A

small uptick in home prices or mortgage rates can have a big impact on housing affordability.

Get a sweetheart of a deal!

The latest study from NAHB determined that for every $1,000 increase in the cost of today’s median U.S. home price, 158,857 American households are “priced out” and would no longer be able to afford it. In other words, based on their incomes, 158,857 households would be able to qualify for a mortgage to purchase the home before the price increase, but not afterward.

Those numbers are even more staggering when looking at potential interest rate increases. It takes only a quarter-point rise in the rate for a 30-year fixed-rate mortgage to price approximately 1.3 million households out of that segment of the market and force them to set their sights lower than a median-priced home –- or delay their home purchase altogether.

On a local level, NAHB calculates that 1,185 households in the Kansas City area are priced out of the new home market for each $1,000 cost increase.

MikeBryantHVAC.com (913) 441-7807

NAHBNow, 1/29/20

MEMBER SAVINGS PROGRAM at a glance nahb.org/savings

The Official Publication of the Home Builders Association of Greater Kansas City

AUTO COMPANY

February 2020 • Volume 26 • Issue 1 Copyright 2020

Published by the Home Builders Association of Greater Kansas City 600 E 103 Street, Kansas City, MO 64131 • (816) 942-8800

GM

FCA

$500 Cash Allowance per eligible vehicle Stackable with most National and Local offers NAHB Members, Employees, and Household Family Eligible

NISSAN / INFINITI

BF GOODRICH

Editor Marcia Jurgens Contributing Writers Kari English, Paige Waltman, Tess Hogan Graphics Karla Peterie, Creative Services

SAVINGS Save $500 on most retail vehicles Save $500 - $1000 per vehicle for fleet customers Stackable with most National Retail and Fleet offers NAHB Member and Household Family Eligible

GEICO

Save between $3,250 - $10,500 per vehicle Must be purchased in member’s company name NOT stackable with most National Offers Member’s Company Eligible Save $100 on set of 4 All Terrain T/A KO2 Tires 24 Hour Worksite Assistance Exclusive member rates on Auto and Home Insurance

PRODUCTS

INFO

Chevrolet, Buick, GMC

nahb.org/gm

Chrysler, Dodge, Jeep®, Ram, and FIAT®

nahb.org/fca

Nissan, Infinity

nahb.org/nissan

Tires

bfgoodri.ch/2GToVDu

Insurance

geico.com/disc/nahb 800-368-2734

AUTO RENTAL COMPANY

2020 Executive Committee President Jerry Braklow Vice President Kevin Kirtley Executive Vice President Will Ruder Secretary/Treasurer Tommy Bickimer Immediate Past President Shawn Woods Associate Representative Richard Holtcamp Past Presidents Representative Bob Frost

AVIS BUDGET HERTZ

SAVINGS Up to 25% off base rates and FREE Preferred Service Membership

PRODUCTS

INFO

Car Rentals

avis.com/nahb 800-331-1212 AWD #G572900

Up to 25% off base rates and FREE Fastbreak status

Car Rentals

budget.com/nahb 800-283-4387 BCD #Z536900

Up to 20% off base rates and FREE Gold membership

Car Rentals

hertz.com/nahb 800-654-2200 CDP#51046

BUILDING MATERIALS COMPANY LOWE’S

To subscribe to Building Business News call (816) 733-2217 To advertise in Building Business News call (816) 733-2215 For change of address requests please fax changes to (816) 942-8367 or call (816) 942-8800 For more information, visit the HBA online at kchba.org

SAVINGS Extra 2% off Lowe’s Account Receivable or Business Account FREE Delivery of $500 Plus Orders 5% off at store using LAR or LBA

PRODUCTS Building Materials

NAHB Members Saved over $25,000,000 last year

19

INFO lowesforpros.com/nahb 877-435-2440

Anniversaries 1948

Dixon Construction Co., Inc.

2006

Syler Construction, Inc.

McCray Lumber and Millwork

1989

Quigley Custom Homes, LLC

2015

Overhead Door Co. of K.C.

Hearthside Homes of Kansas City, Inc.

Window World

A Total Door, Inc

1990

2007

Clean Efficient Energy Co.

Blackburn’s All Star Roofing

Dan Smith Home Building Co.

SCI

Dwight Friedley Building Co.

2008

Edward Wayne, Inc.

A Place Called Home Const.

Company, Inc.

Encore Building Co.

Estes Custom Homes, LLC

Groves Custom Homes, LLC

1967 Moffitt Built 1972 Shamrock Cabinet 1974 Graham Construction Co. 1983 Jim Haas Builders, LLC 1984 Brown Midwest, LC 1985 Locks & Pulls 1986 Riffe Homes, Inc. 1987 Prieb Homes, Inc. 1988 Bickford & Company, Inc.

Sherri L. Weaver Design, LLC United Heating, Cooling & Plumbing Inc. 1991 Dahmer Construction, Inc. 1997

2009

Owen Lumber Co.

Mooremark, Inc.

2001

Performance Plus Homes

Royal Metal Industries, Inc.

Rosehill Gardens, Inc

2002

Singleton Construction, LLC

Gahagan & Eddy Building Co.

2010

Teague Lumber Co.

Associated Air Products

2004

Legacy Custom Homes LLC

Steve Scherer Construction

2011

2006

Hilmann Home Building, Inc.

Principal Builders, LLC

Price Residential Group, LLC ProSource of Kansas City 2012 Ashlar Homes, LLC Covenant Homes, LLC Kansas Gas Service Klopfenstine Construction, Inc. LP Building Products 2013 Calyn Homes, LLC Cardinal Crest Homes Digital Lagoon, Inc. Foushee Homes, Inc. McFarland Custom Builders Refined Interior Staging Solutions Wyss Construction, LLC 2014 Armstrong-Citywide, Inc. Aspen Contracting, Inc. Building Solutions Evan-Talan Homes, Inc. Fountain City Custom Homes Gabriel Homes Inc. JFE Construction

20

Fieldstone Homes, LLC Nick Zvacek Construction Still Contractors, LLC Taylor Sterling Construction 2016 McBee Custom Homes 2017 BC Residential Homes, LLC BCI-Bowen Custom Homes Cuzco Painting & Remodeling, Inc. Ebberts Construction CleanUp, Inc. Grants Custom Homes Harding Homes Samsung Home Appliances Wells Bank 2018 Brasstacks, Inc. Bricks By Rick Classic Cleaning Dwellings by Design KC, LLC H&J Custom Home Builders Imperial Roofing KC Custom Homes Market Square, LLC Mid-States Millwork/Heartland Windows MOJO Built, LLC Nelson Eddy Construction, Inc Pat Cochran Concrete Security 1st Title Spellerberg Custom Homes Stonebridge Outdoor, LLC Summit View Farms Development Group

New Members

2019 Black Oak Construction, LLC Brookside Builders, LLC Crestwood Custom Homes DCB Homes, LLC Double O Construction LLC Elevated Electronics Inc Everleigh Design Studio Flo Grills Kansas City Frisbie-Carter Custom Homes KC RELO Magazine Nebraska Furniture Mart Northland Management & Construction Precision Development, LLC Quality Homes, by Mears Rhythm Media/DBA Real Estate Book of Greater KC Robison Design Build

Ask Cathy Marketing Group, LLC of Keller Williams Realty Cathy Counti 209 SE Douglas St Lee’s Summit, MO 64063 (816) 268-4033 askcathy.com

Affiliates

Erickson Build Co. LLC Taylor Erickson 7207 Maple St Overland Park, KS 66204 (785) 366-0347 ericksonbuild.com

Midwest Lumber Jay Waters Jason McCammon Liz Gregoire Nate Domnick 26712 S Brickplant Rd Harrisonville, MO 64701 (816) 281-3500 midwestlumber.com

KC Truss & Panel Greg Heath 1905 NE 24th Ct Blue Spring, MO 64029 kc-tp.com

Semco Outdoor Spiess Custom Homes Walston Door Co. Westland Industries, LLC

Olathe Ford Commercial Tom Moormann 205 S. Fir Olathe, KS 66061 (913) 312-0079 olathefordcommercial.com Pool & Patio Supply, Inc. Natalie Gibbs 11409 W 89th St Overland Park, KS 66214 poolandpatiokc.com Value Clean Industries John Pikus 6950 W 152nd Terrace Overland Park, KS 66223 (913) 235-4206 valueclean.com

21

Anything on Anything Ryan Christopher 15144 Sweetbriar Dr Basehor, KS 66007 (913) 498-9082 anythingonanything.com

Midwest Premier Flooring Glenn Calhoon 320 Victoria Dr Lee’s Summit, MO 64086 (816) 600-8036 Olathe Ford Commercial Jared Richert 205 S. Fir Olathe, KS 66061 (785) 506-2627 olathefordcommercial.com

Single-Family Permits Show Strength in Fall and Winter Months The number of single-family housing permits issued in December in the Kansas City metro increased from the prior month and showed 57% more activity than December 2018, according to the monthly Residential Building Permit Statistics report compiled by the Home Builders Association of Greater Kansas City. The organization reported a total of 434 single-family homes permitted in December 2019, resulting in a year-end total of 4,654 for 2019.

This is an 18% decrease from the 2018 total. However, 2019’s first several months of slow activity not seen in several years and bad weather in the winter and spring 2019 further impeded building.

Permit issuance increased in the latter half of the year.

The top five permitting cities in 2019 were Kansas City, Mo., (675); Olathe, Kan., (494); Lee’s Summit, Mo., (383).; Overland Park, Kan., (323); and Blue Springs, Mo., (281).

HBA Staff

Will Ruder Executive Vice President will@kchba.org 816-733-2216 Marcia Jurgens Vice President of Administration marcia@kchba.org 816-733-2215 Gina Battle Director of Parade of Homes gina@kchba.org 816-733-2219 Dawn Allen Director of Member Services & Events dawn@kchba.org 816-733-2241 Kelcee Allen Home Show Director kelcee@kchba.org 816-733-2246 Kari English Communications Director kari@kchba.org 816-733-2213 Courtney Reyes Director of Government Affairs & Workforce Development courtney@kchba.org 816-733-2214 Jordynn Webster Manager of Government Affairs & Workforce Development jordynn@kchba.org 816-733-2218 Paige Waltman Communications & Events Coordinator paige@kchba.org 816-733-2217 Tess Hogan Communications Intern intern@kchba.org

22

Residential Building Permit Statistics

Residential Building Permit Statistics DECEMBER 2019 CASS COUNTY Archie Belton Cass County Cleveland Garden City Harrisonville Lake Winnebago Lee's Summit Peculiar Pleasant Hill Raymore Village of Loch Lloyd

CLAY COUNTY Clay County Excelsior Springs Gladstone Kansas City Kearney Lawson Liberty North Kansas City Pleasant Valley Smithville JACKSON COUNTY Blue Springs Buckner Grain Valley Grandview Greenwood Independence Jackson County Kansas City Lake Lotawana Lee's Summit Oak Grove Raytown Sugar Creek PLATTE COUNTY Kansas City Parkville Platte City Platte County Riverside Weatherby Lake Weston JOHNSON COUNTY De Soto Edgerton Fairway Gardner Johnson County Leawood Lenexa Merriam Mission Hills Olathe Overland Park Prairie Village Roeland Park Shawnee Spring Hill Westwood

Single MultiS-F M-F Total Family Family Total Units Units Units Units^ Units% Units YTD YTD YTD 0 0 0 0 0 1 0 5 0 2 11 0 19

0 0 0 0 0 0 0 0 0 0 0 0 0

0 0 0 0 0 1 0 5 0 2 11 0 19

3 83 21 1 0 9 38 35 56 21 139 7 413

0 0 0 0 0 0 0 0 0 0 0 0 0

3 83 21 1 0 9 38 35 56 21 139 7 413

1 0 0 23 12 0 6 0 0 7 49

0 0 0 0 0 0 0 0 0 0 0

1 0 0 23 12 0 6 0 0 7 49

35 14 4 412 70 1 34 5 0 51 626

0 0 0 0 0 0 0 240 0 0 240

35 14 4 412 70 1 34 245 0 51 866

50 0 14 0 0 7 2 7 0 24 0 0 0 104

0 0 0 0 0 0 0 0 0 173 0 0 0 173

50 0 14 0 0 7 2 7 0 197 0 0 0 277

281 0 145 3 0 107 68 104 2 348 3 0 0 1061

134 0 0 160 0 0 82 248 0 712 0 0 0 1336

415 0 145 163 0 107 150 352 2 1060 3 0 0 2397

18 90 0 4 0 0 0 112

0 0 0 0 0 0 0 0

18 90 0 4 0 0 0 112

159 130 0 151 7 3 0 450

0 316 0 0 0 0 0 316

159 446 0 151 7 3 0 766

7 0 0 12 2 1 21 0 0 38 20 4 0 12 5 0 122

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

7 0 0 12 2 1 21 0 0 38 20 4 0 12 5 0 122

61 0 1 155 46 35 251 12 0 494 323 65 1 121 108 8 1681

0 0 0 0 0 0 10 0 0 49 857 0 0 0 0 0 916

61 0 1 155 46 35 261 12 0 543 1180 65 1 121 108 8 2597

December 2019

Single MultiFamily Family Total Units^ Units% Units LEAVENWORTH COUNTY Basehor 1 0 1 Lansing 0 0 0 Leav. County 10 0 10 Leavenworth 0 0 0 Tonganoxie 4 0 4 15 0 15 WYANDOTTE COUNTY Bonner Springs Edwardsville KCK/Wyandotte Co MIAMI COUNTY Louisburg Miami County Osawatomie Paola Spring Hill Totals

S-F Units YTD

M-F Units YTD

Total Units YTD

63 2 69 15 37 186

0 0 0 0 0 0

63 2 69 15 37 186

0 0 6 6

0 0 60 60

0 0 66 66

5 0 127 132

0 0 98 98

5 0 225 230

0 6 0 0 1 7

0 0 0 0 0 0

0 6 0 0 1 7

35 53 0 3 14 105

0 0 0 0 108 108

35 53 0 3 122 213

434

233

667

4654

3014

7668

Comparison of Single Family Building Units for Greater Kansas City

(Cass, Clay, Jackson, Platte, Johnson, Leavenworth, Miami, Wyandotte Counties) Month/Year January February March April May June July August September October November December Annual Total

2012 188 182 270 277 294 268 288 260 379 331 283 279 3,299

2013 273 224 335 444 337 333 409 354 384 369 340 288 4,090

2014 287 216 362 439 385 364 375 352 383 468 312 328 4,271

2015 240 260 393 437 395 438 399 425 462 459 360 432

2016 274 408 542 523 503 578 494 536 424 466 417 352

4,700

5,517

2017 2018 457 463 477 463 571 549 562 564 504 598 567 569 512 485 480 514 514 353 583 485 502 354 468 276 6,197

5,673

2019 234 234 357 411 391 387 471 429 396 500 410 434 4,654

Comparison of Permits By Units Issued Year to Date 2012 - 2019 2012 2013 2014 2015 2016 2017 2018 2019

S-F Units 3299 4090 4271 4700 5517 6197 5673 4654

M-F Units 1775 2879 3910 3995 4451 2434 3245 3014

Total Units 5074 6969 8181 8695 9968 8631 8918 7668

^The Single Family number is units and includes both attached and detached units. %Multi-Family units are in buildings with 5 or more units. # Not available at time of report Permit information reflects the most recent data at time of publication. In order to ensure accurate recording of residential building permit statistics, the HBA may revise monthly and yearto-date figures when updated data is made available. Copyright 2020 Home Builders Assoc of Greater Kansas City. All rights reserved.

23

Lees Summit Lumber 103 SE Oldham Pkwy Lees Summit, MO

Grandview Millwork 1227 E 119th St. Grandview, MO

816-246-5373

816-765-4080

First Source for Quality, Value, Service, and a Trusted Business Partner

Builders FirstSource carries a wide selection of high quality building materials suited for both homeowner and professional builders’ needs. We take pride in personal service, and our talented and experienced team provides support to meet the needs of your specific project. Builders FirstSource provides quality materials that will perform well and look great.

Make us your first source for lumber, trusses, construction services, millwork, doors, windows, cabinets, and more.

www.bldr.com

24