Building Business News-July 2012

Building Business News NEWS Volume 17 • NO.7

July 2012 2011 July 2010

www.kchba.org

The Official Newspaper of City The Home Builders Association of Greater Kansas City The Official Newspaper of The Home Builders Association of Greater Kansas

More thanGolf 750Tournament Builders Call on Congress to Make HBA Hosts Housing and Homeownership a National PriorityP3 Inside this Edition

NAHB Remodelers Awards

HBA members came out in full force for the 2010 Annual HBA Golf Tournament on Friday, June 9th at the Falcon Ridge Golf forward. structing viable projects and hiring new Club in Lenexa, KS. Renewed interest in “Though we workers, he added. the tournament was gratifying for everyone involved with 144 golfers and a portion of the are seeing some In more than 250 individual meetings proceeds benefiting two important charities. hopeful signs of with their representatives and senators, The Salvation Army and Hillcrest Transitional recovery in many builders called on their lawmakers to: Housing were presented with checks from markets throughout Support legislation to restore the flow Home Builders Association Foundation Fund to support their important work. the nation, our inof credit for new housing production.

The day started with a continental dustry still faces stiff NAHB is urging the House Financial breakfast and registration where golfers could Services Committee to consider H.R. headwinds,” said purchase mulligans and skirts to raise extra money for the charities on hand. A putting NAHB Chairman 1755, the Home Construction Lending contest sponsored by The Kansas City Star Regulatory Improvement Act. Sponsored Barry Rutenberg, a where the winner brought home a new putter. home builder from

by Reps. Gary Miller (R-Calif.) and Brad To spice up this year’s event, Richard Lois Mather, George Schluter, Mark Hoffman, co-chairsandTommy Angotti (Factory Direct Gainesville, Fla. Miller (D-N.C.), the measure currently Wyatt Hoffman, Travis(Pinnacle Graham, and Sara Corless at Appliance) andChris DebRagland, Swearingen Persistently tight has 96 co-sponsors and would remove Bank) Legislative offered games throughout theD.C. day to NAHB Day in Washington lending standards barriers to lending while preserving the keep golfers entertained. The longest drive, for home buyers, regulators’ longest favoritefrom hole, Thank you tobuilders the 2010and HBAhome Golf Tournament Sponsors ability to assure the safety and More putt, than and 750everyone’s home builders where golfers could opt to put on a skirt and uncertainty regarding the future of the the soundness of the Aristocrat Homes Kansas City Homes andfinancial Garden institutions around the United States trekked to Capitee off from the women’s tee box.

Capitol housingFederal finance system, ongoing threats Kansas they oversee. seeking cosponCity Star NAHB featuringisKansasCity.com tol Hill onFinishing June 6 tothecallday on Congress to was a lunch Continental Title Company and HomeFinder.com to vital housing tax incentives, and sors for similar legislation in the Senate, and awards where checksa were make housingceremony and homeownership naCrowley Furniture Nebraska Furniture Mart featuring B/S/H presented to the charities and tournament overly burdensome regulations are ham- Pacific S. 2078, the Home Building Lending tional priority and to take concrete steps Factory Direct Appliance Mutual Door & Window winners. pering a housing recovery and keeping Improvement Act, sponsored by Sens.

First American Title ProBuild to get housing back on track in order to Grandview Winnelson The Water Close Stewart Title of Kansas City countless home building firms from conBob Menendez (D-N.J.) and Johnny create jobs and keep the economy moving Kitchen and Bath Showroom Tile and Stone Warehouse Guier Fence Company, Inc. Top Master Huber Engineered Woods Western Chandelier Company Wilson Fans & Lighting

HBA Night at the K!

Congratulations to the Tournament Winners Join HBA members and families for an evening of fun,

1st Place A Flight Ken Rosberg Austin Roeser John Judge Jeff Sheppard 2nd Place A Flight Don Klamm Josh Bright Ryan Bealmear Matt Nordstrom 3rd Place A Flight Bob Kobush Gary Ely Brandon Johnson Jim Bray PRSTRT STD U.S. Postage PAID Permit No. 108 Lawrence, Ks

networking Royals baseball!

1st Placeand B Flight Harley Saxco

th Friday,Greg July Prieb 13

Randy Bailey Royals vs Sox RexWhite Fuller

Tailgating 2nd Place Bbegins Flightat 5 p.m.

David Eickman First pitch at 7:10 p.m.

Richard Wetzel Just $10 Chris perWilliams ticket Sterling Cramer AND it’s buck night! ($1 hot dogs, peanuts, Pepsi) 3rd Place B Flight Stay for Free Fireworks Show after the game Russ Grossman Limit of 150 tickets for this event.

Lea Bailes Brandon Frazeeor 816-733-2245 Contact Phil Yancey, phil@kchba.org Todd Jennings

Mark your Calendar

October 2-17, 2010

Isakson (R-Ga.).

Pass comprehensive legislation to Tax Credit Extension reform housing government sponsored enterprises Fannie Mae, Freddie Mac and the Federal Home Loan Banks that provides a federal backstop to ensure a reliable and adequate flow of affordEPA Responds to Lead able housing credit in all economic and Rule (Continued on page 2)

P5

P9

2010 Fall

Parade of Homes Home Builders Association of Greater Kansas City

Final Deadline The 2012 Fall Parade of Homes returns later this year, September 29-October 14, however, now is the time plans.

To access Mark to yourmake calendar for the 2010 Fallthe Parade of Homes.

Since 1947, the Parade of registration forms, go www.kchba.

Homes has been Kansas City’s local org and click on the Parade ofresource Homes for buying a new home. The 2010 Parade of page. Look under Information for Homes returns October 2-17.

Builders and download the entry forms. Follow directions to submit Parade Entry Schedule or call the office, 816-942-8800.

July 16

Parade Entry Schedule Late Entry Deadline $1,995

Now thru July 6 BW $1,295 Color The final deadline for home entires is $1,595 July 16, 2010. Entry Home Information, Community Late deadline July 20 Information, Region and Housing Style was due on June 25. To submit your entry for BW $1,995 Color $2,295 the Final Deadline , visit www.kchba.net/ parade2010 or call the HBA office at (816) 942-8800

Inside this Edition

NAHB Rally in KC KC Improving Market

P7 P9

www.kchba.org

Calendar

More than 750 Builders Call on Congress to Make Housing and Homeownership a National Priority

Missouri South Area Council

July 11 8 a.m.-4:30 p.m.

KCMO International Energy Code Training

July 12, 10 a.m.

Parade Committee Meeting

July 13, 5 p.m.

HBA at the Royals

July 17, 11:30 a.m.

Board of Directors Meeting

July 19 4-6 p.m.

Associates Council Connection at the Well

August 2 & 3 8 a.m.-5 p.m.

Certified Green Professional (CGP) Course

Page 2

For more information or to register for any event, go to www.kchba.org or call 816-942-8800

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Continued from page 1 financial conditions.

Preserve current housing tax incentives, including the mortgage interest deduction and Low Income Housing Tax Credit, as the debate on tax reform moves ahead.

Support legislation to make much-needed improvements to the Environmental Protection Agency’s Lead: Repair, Renovation and Painting (LRRP) rule. Sponsored by Sen. James Inhofe (R-Okla.), the Lead Exposure Reduction Amendments Act of 2012 (S. 2148) would offer several reforms to EPA enforcement of the lead paint rule, including reinstating the opt-out provision to allow home owners without small children or pregnant women residing in them to decide whether to require LRRP compliance.

Cosponsor House and Senate bills that would reduce the overreach of federal power under the Clean Water Act. House bill H.R. 4965, the Preserve the Waters of the United States Act, and its identically named Senate companion measure (S. 2245), would prevent the EPA and U.S. Army Corps of Engineers from finalizing or implementing their draft guidance to expand the reach of the Clean Water Act to include virtually every ditch, pond and

seasonal runoff ditch in the nation.

“In this pivotal election year, it is imperative to ensure that presidential and congressional candidates on both sides of the political aisle understand the importance of housing and homeownership,” said Rutenberg. “Today, builders from across the land reiterated this message to their legislators and reminded them that there can be no economic recovery without a housing recovery.”

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Building Business NewsB

Volume 18 • NO. 7

www.kchba.org

July 2012.

Government & Politics Local Builders Call on Congress with NAHB

Sen. Roy Blunt (R-Mo.), left, meets with members that include NAHB Third Vice Chairman Tom Woods, far right (Photo by Herman Farrer)

During NAHB’s Legislative Day in Washington D.C., the HBA was represented by nine builders who met with members of Congress from Kansas and Missouri to talk about issues ranging from appraisals and wetlands to Freddie Mac and lead paint regulations.

Tom Woods, Woods Custom Homes, is a veteran of NAHB’s Legislative Day and estimated the Kansas and Missouri contingencies met with a total of 9-10 legislators that day. “These meetings are necessary because the reality is we are the

experts in homebuilding and legislators don’t have the information they need,” said Woods. “It makes a difference to honestly explain how their decisions affect our businesses.” He added, “Everyone needs to know you can affect government from city councils to Washington D.C. If you are involved and create those valuable relationships, lawmakers will listen.”

Construction, Inc. Travis Graham, Graham Construction Kevin Stucker, Summit Custom Homes Chris Ragland, Homes by Chris Tom Woods, Woods Custom Homes Bob Frost, Frost Construction Co. George Schluter, GWS Inc. Mike Brown, Brown Midwest, LC Sara Corless, HBA

More choIceS. More StYLe. LeSS tIMe. HBA Participants: Richard Mather, Richard Mather Builders, Inc. Mark Hoffman, Hoffman

More choIceS. More StYLe. LeSS tIMe. IntroducIng the

WHAT:

WindoW & door SyStem HOMEOWNERSHIP IS UNDER ATTACK! Local economies have suffered from the slowdown in home construction, and home buyers and owners face difficulties getting access to affordable mortgage loans and avoiding foreclosure in today’s distressed environment. What’s worse, policymakers are considering scaling back the mortgage interest deduction, imposing more requirements on borrowers and letting the foreclosure crisis deepen.

RALLY WITH US AND TELL YOUR ELECTED OFFICIALS TO: o Protect the mortgage interest deduction o Guarantee credit-worthy consumers and small businesses the opportunity to obtain mortgages and loans o Resolve the foreclosure crisis JOIN US AND STAND UP FOR HOMEOWNERSHIP!

DATE:

Tuesday, September 25, 2012

TIME:

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PLACE:

Harry S. Truman Library and Museum

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July 2012

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Volume 18 • NO. 7.

Government & Politics & qa Frequently Asked Campaign Contribution Questions

In this election year, many voters like to participate in the democratic process by making contributions individually through a political action committee (PAC). The rules that apply to campaign contributions are ever evolving and so here is a list of frequently asked questions and with the answers provided by the State of Kansas Governmental Ethics Commission.

Question: Who is permitted to make a contribution under the Campaign Finance Act? Answer: The Act permits any individual, political action committee (PAC), party committee, corporation, partnership, trust, organization or association to make a campaign contribution to a state or local candidate or to a party or political committee.

Question: What is the maximum amount that can be contributed to a political action committee (PAC)?

Answer: There is no limitation on the amount of money a contributor can donate to a PAC. However, a candidate may not donate campaign funds to a PAC.

Page 4

Question: Can a candidate receive a contribution for both the primary and general election at the same time and have the candidate earmark the general election contribution to be used at a later date in the general election cycle?

Answer: Any contribution given through midnight on the day of the primary election counts toward the primary election cycle. Contributions given in one election cycle cannot be allocated to another election cycle. Any contribution given from the day after the primary election through the last day of the calendar year counts toward the general election contribution limitation.

Question: How much can a candidate loan or donate to his or her campaign?

Answer: There is no limitation on the amount of money a candidate and/or spouse can loan or donate to the campaign. Other family members are subject to the same contribution limitations as any other individual.

Question: Can a husband and wife write one check for the maximum allowable limit or must each write a separate check?

Answer: Either is acceptable. A single check can be written for both contributions or each individual can write a separate check.

Question: What is the difference between an anonymous contribution and an unitemized contribution?

Answer: An anonymous contribution is a contribution received when the identity of the donor is unknown. An unitemized contribution is a contribution of $50 or less, where the identity of the donor is known, but the donor is not required to be listed on a receipts and expenditures report.

Question: If an individual owns a business, can the business and the individual both contribute?

Answer: Under Kansas law, both the individual and business (unless the business is a sole proprietorship) are treated as separate entities. That means both the individual and his or her business can make a contribution to the same candidate or committee.

Question: Can candidates accept cash?

Answer: A candidate is permitted to accept no more than $100 in cash from any contributor.

If a contributor wishes to donate more, he or she is required to write a check, use a credit card or obtain a money order.

Question: Does the occupation and industry for every individual donor need to be reported?

Answer: The occupation of a contributor and the industry the individual works in must be reported for any contribution that is over $150 given to a candidate, party committee, or PAC.

Congratulations to Pacific Mutual Door celebrating 100 years of business!

A Century of Distinction, 1912-2012. www.kchba.org

Building Business NewsB

Volume 18 • NO. 7

www.kchba.org

July 2012.

Government & Economics

Missouri Requiring Fingerprinting of Real Estate Applicants/Licensees All new real estate licensing applicants, as well as all currently licensed Missouri real estate salespersons and brokers, are required to have their fingerprints taken through the Missouri State Highway Patrol’s approved vendor for both a Missouri State Highway Patrol and a Federal Bureau of Investigation fingerprint background check. L-1 Enrollment Services is the current vendor. Effective July 1, 2012, 3M/Cogent will be the approved vendor.

New applicants – Everyone who is applying for an original Missouri license is required to be fingerprinted before making application for an original real estate license. A copy of the receipt provided by

Building Business News

the approved statewide vendor will need to be attached to the license application.

Assuming everything else is in order and no convictions or guilty pleas are disclosed, a temporary work permit will be issued even if the fingerprinting results are not yet received. However, a license will not be issued until the fingerprinting results are received and a satisfactory result is indicated.

Existing licensees – All existing licensees, including inactive licensees, will have to be fingerprinted and authorize the results be provided to the Missouri Real Estate Commission before submitting their real estate renewal application in 2012.

All existing licensees, including inactive licensees, must be fingerprinted and authorize the results be provided to the Missouri Real Estate Commission before submitting their 2012 real estate renewal application.

Each individual must contact the approved statewide vendor to schedule an appointment to have their fingerprints digitally taken.

Home on the Range is it Safe Yet?

What is impacting the economy now and what does next year look like? This has been another mixed year and transition is always challenging. Tune in to see what awaits as presented by Economist Chris Kuehl, August 14, 11:30 a.m. at the HBA during the Kansas Area Council Luncheon that will be open to all HBA members and guests. Register online at www.kchba.org.

(

www.kchba.org

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July 2012

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HBA Events & News

Volume 18 • NO. 7.

Saul Ellis Achieves 50 HBA Wins National Award for New Website Years of Membership

Sara Corless, HBA, presents 50 year award to Saul Ellis, Saul Ellis and Company

Saul Ellis, Saul Ellis and Company, has earned the honor of 50 years of membership with the HBA and NAHB. As Sara Corless, Executive Vice President, presented the award she commented that it is truly remarkable to have maintained fifty years of membership.

She asked Ellis to share a story and he recalled when he started in homebuilding. He was a student at UCLA and answered an ad posted by a builder. After graduating in construction engineering, Ellis returned to KC and wanted to build Los Angeles styled homes so he built two. He was surprised when he had trouble selling them, not because of quality but because of style. With advice from his father to listen to buyers, he proceeded to build homes and that suited the Kansas City market. Ellis has primarily been a Johnson County builder and said he has handed over more than 6,000 keys to new home owners.

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Home Builders Association of Greater Kansas City has been recognized for its outstanding website, www.kchba. org, with an Award of Excellence from the Executive Officers Council (EOC) of the National Association of Home Builders (NAHB).

The Association Excellence Awards is an annual program designed to recognize the outstanding accomplishments of state and local home builders’ associations and executive officers in the field of association management.

EOC membership is comprised of the staff executives who direct more than 750 NAHB-affiliated state and local home builders’ associations representing more than 140,000 home builders in communities across the United States.

“The Association Excellence Awards recognize the outstanding effort, commitment and achievement an executive officer and an association’s membership have made,” said Chuck Kavanaugh, president of the EOC and executive officer of the Home Builders Association of Louisville, Ky. “These awards are well deserved and represent a true showcase of the outstanding work of home builders’ associations around the country.”

“It is truly an honor for the hard work and professionalism of the HBA staff to be recognized with this Association Excellence Award,” said to Executive Vice President Sara Corless. “I applaud their dedication to representing the home builder members and rewarding

the professional staffers who work to preserve the American Dream of homeownership for our community.”

The HBA enlisted the services of WSI Internet Advantage to rebuild the website with the following objectives in mind: • Update the look and feel to be beautiful, functional, and efficient • Provide technology that is dependable and responsive • Simplify the structure and design for easier navigation • Provide a platform to effortlessly communicate the latest news and events in the housing industry.

One of the features helping accomplish the goals is the integration of social media, according to Greg Stoll

steimer, WSI Internet Advantage. “With 5 billion views of videos in the U.S. on YouTube last year, 3 million Tweets a day on Twitter, and over 800 million Facebook users, it was clear that social media needed to be an important part i of the HBA’s communication strategy,” o said Stollsteimer. “By linking the webp site to these three important platforms, M hosting their videos on their YouTube m channel, automatically pushing news c feeds to Facebook and Twitter, and prop viding ‘share’ icons on each post, the b HBA is engaging their members and s the public with meaningful information a about the housing industry.” w The AEA winning entries will ben come part of the online EOC Idea Loan o File so that other executives and associations across the country can access i and learn from them in order to provide s better service to their own members and m community. l For more information and to view c the website, go to www.kchba.org or A contact Sara Corless, scorless@kchba. org. To learn more about the Associat tion Excellence Awards, go to www.

T nahb.org/aea.

D K

www.kchba.org

Building Business NewsB

Volume 18 • NO. 7

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HBA Events & News

July 2012.

Certified New Home Sale Professional Designations Earned

by J & K Properties Jenni Mann, Hunt Midwest Real Estate Development, Inc. Mark McManus, McManus Development Diana Tufaro, Monsour Builders, Inc. CSP Class Participants

A class of seventeen recently participated in the three-session Certified New Homes Sales Professional course designed for specialists in new home sales. They gained a broad understanding of the home building business, discussed consumer psychology and learned the advanced techniques used by real estate veterans for

greeting, closing and overcoming objections. The class was taught by Shawn McGuire, Celebrity Homes from Omaha.

CSP Participants came from Kansas, Missouri, Tennessee, Nebraska, Iowa and Oklahoma and included: Mike McGlynn, Celebrity Homes Leslie Petersen, Celebrity Homes John Miller, Distinctive Homes

Kimberly McIntosh, Monsour Builders, Inc. Peggy Holmes, Reece & Nichols Linda Martin, Reece & Nichols

Patty McDole, Reece & Nichols Nick Mckinnis, Reece & Nichols Jill Murphy, Reece & Nichols Travis Ruf, Reece & Nichols Dorothy Mask, Reece and Nichols Jay Evans, Two Structures LLC Willis Lusk, Two Structures LLC Lettiann Betts, Weichert Realtors Graham-Welch, LLC

Kansas City Chosen as a Site to “Rally for Homeownership”

In cooperation with NAHB, the HBA is joining together to “Rally for Homeownership,” September 25, noon- 1 p.m. at the Harry S. Truman Library and Museum. These rallies send a powerful message to elected leaders that Americans value homeownership for countless personal reasons and because homeownership generates jobs and revenues that will help speed the nation’s ailing economy to recovery.

NAHB is organizing these events in seven critical “swing states” this election year. The goal is to make homeownership a top priority for lawmakers by highlighting the housing challenges facing communities across America.

Rally locations and schedules (subject to change) are:

Tampa, Fla. – July 11 Detroit, Mich. – July 20 Kansas City, MO – Sept. 25 Building Business News

Milwaukee, Wisc. – Sept. 27 Columbus, Ohio – Oct. 9 Richmond, Va. – Oct. 11 Las Vegas, NV – TBA The rallies are modeled after the Columbia S.C. rally earlier this year that drew more than 900 citizens and highprofile speakers including then-GOP presidential candidate Newt Gingrich and Rep. Jim Clayburn (D-S.C.) These events will help make the voice of the housing industry heard and turn back misguided policy proposals with a visible show of support and stories from the HBA presidents, state lawmakers, business and community leaders and current and future home buyers.

Everyone is encouraged to attend and more details will be available soon from the HBA and at www.ProtectHomeownership.com where those interested can sign up for notifications. www.kchba.org

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July 2012

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HBA Events & News

Earn Your Certified Green Professional (CGP) Designation NAHB’s Certified Green Professional™ designation recognizes builders, remodelers and other industry professionals who incorporate green building principles into home. Class work leading to the designation provides a solid background in business management and green building methods, as well as the tools to reach consumers.

The HBA is offering the two classes that lead to the CGP designation. The first is Business Management for Building Professionals, August 1, 8 a.m.-5 p.m. at the HBA. Cost is $200 for members. The second is Green Building for Building Professionals which is a 2-day course, August 2 & 3, 8 a.m.-5 p.m. at the HBA. Cost is $350 for members.

To receive your Certified Green Professional (CGP) designation from NAHB, you will need to take the Building Management for Building Professionals class. Learn the(Continued on page 11)

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Volume 18 • NO. 7.

Industry Professional and Volunteer Joins HBA Staff Welcome to Phil Yancey who joined the HBA staff in June and is now working as the Membership Manager. Phil has been an involved HBA member for eleven years, most recently representing Weber Flooring. He has served in a variety Phil Yancey of volunteer roles including the Associates Council Chairman, Missouri South PAC Chairman, and member of the Board of Directors.

“As a member of the HBA, I have been able to build relationships with builders and associates over the years that will never go away,” said Yancey. “The organization has been good to me and opened many doors that otherwise wouldn’t have been opened. I want to pass those experiences along to old and new members and encourage everyone to get involved.”

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Building Business NewsB

Volume 18 • NO. 7

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Industry News

July 2012.

Improving Markets Index: Kansas City, MO-KS MSA

By Elliot F. Eisenberg, Ph.D. Senior Economist, NAHB Housing Policy Research

NAHB recently unveiled an index that tracks housing markets on the mend, the NAHB/First American Improving Markets Index (IMI). The IMI is intended to draw attention to the fact that housing markets are local and that there are metropolitan areas where economic recovery is underway. The index measures three readily available monthly data series that are independently collected and are indicative of improving economic health.

The three are employment, house prices and single family housing permit growth.

For the eighth release 100 markets are currently classified as improving under a conservative examination of local economic and housing market conditions.

Among these areas is the Kansas City, Missouri-Kansas metropolitan statistical area (MSA).

The health of the Kansas City housing market is due its diversification and location. With Kansas City near both the geographic and population centers of the US, it is a natural hub for transportation, warehousing, manufacturing and distribution. In addition, Kansas City is one of 10 regional cities for the federal government making it the largest single employer in the metro area with over 140 agencies maintaining a presence including the IRS, SSA, and many others. Kansas City also benefits substantially from the presence of the University of Missouri-Kansas City, and the many other post-secondary educational institutions. Kansas City is also a regional healthcare center and due to the large presence of Ford and G.M. has enjoyed the recent improvement in the auto sector. Lastly, Kansas City is headquarters for Sprint Nextel Corp, Hallmark Cards, Inc., H&R Block and several other Fortune 1000 firms.

According to home builder Chris Ragland, owner of Homes by Chris, LLC, Building Business News

“Kansas City is picking up because the number of homes for sale are very low, prices are starting to rise, and families that have been waiting to buy a home for years, are finally confident enough to move forward with their long delayed plans.” She went on to say that “with the improvement in the automotive industry and continued growth in healthcare, there is also a steady stream of transferees with good incomes, and more often than not these buyers want nice housing and, due to the lack of available supply, that often translates into new construction.”

Comparing 2010 American Community Survey data for Kansas City to the US, offers strong evidence that Kansas City is doing well and some insight into why. The labor-force participation rate is almost five percentage points higher in Kansas City than in the rest of the country, in part because the unemployment rate is more than two percentage points lower.

The percentages of persons employed in professional, scientific and management and administrative industries are 14 percent higher than the national average.

In addition, the number of persons with a bachelor’s degree is about 17 percent above the national rate, as is the number with a graduate or professional degree.

Lastly, because the local economy is doing well, the number of vacant housing units, be they owner-occupied units or rental units, is almost 20 percent lower than what it is for the nation as a whole.

According to Steven Haynes, General Manager of McCray Lumber Millwork, “house prices are starting to rise because firms have right-sized themselves for the current conditions and thus those persons with jobs now feel more secure than they have in quite some time. In addition, there is a growing sense of cautions optimism.” Whatever the cause, house prices are definitely recovering. Prices are up 4.5% since the trough in February 2011 and appear to be on track to continue to increase.

Improving economic conditions have resulted in payroll employment being down just 3.1% from its peak in April 2008 and up by 2.9% since the bottom in March 2010. Single family permitting activity is up 3.8% on a seasonally adjusted monthly average basis from the trough set in March 2009. While new

homes are being built in many parts of the Kansas City MSA, activity is primarily centered in the cities of Shawnee and Overland Park in Johnson County on the Kansas side of the border and in Liberty and the northland area, because of the excellent schools, in Clay County on the Missouri side of the border.

Missouri North Luncheon Feature KCMO Codes and Northland Growth Kansas City codes & inspections and growth of the Northland were the topics presented at the Missouri North Area Council membership lunch in June. Greg Franzen and Jade Liska from the City Planning & Development Department of Kansas City, Missouri were the featured speak- Jade Liska, KCMO Planning and Development, Brenner ers.

Franzen primarily Holland, Hunt Midwest, Gary Kerns, Gary Kerns Homebuilders, Greg Franzen, KCMO Planning and Development discussed some of the new portunities for development especially energy efficiency requirein Clay and Platte counties. The area ments established by the Department of represents 50 percent of the city’s land Energy in the 2012 International Energy mass and the current population stands Conservation Code. at 157,000 which accounts for 34 percent Franzen described how the planning of the KCMO total population. In the department held meetings with local years 1970-2010, Jackson County lost stakeholders who could weigh in on the 137,990 residents, but Clay and Platte how to adapt the requirements to local Counties increased by 90,530. codes. The new codes became effective Tax Increment Financing (TIF), the in June, but will not become mandatory public financing method that is used for until October 1. Prepare for the mandasubsidizing development and infrastructory energy code changes through FREE ture, has been used effectively in the training, July 11, 8 a.m.-4:30 p.m. at Northland. According to Liska, areas the KCMO Health Department, 2400 like Shoal Creek and KCI are primed Troost Ave. Participants will be better for development. Statistics show the able to understand and apply the critical Northland could add more than 150,000 concepts for the correct use of the code people in the next 50 years. in the design, plan review, inspection, More information is on the Planning and analysis of projects. This is worth 6 Departments website at http://www. hours of continuing education credit. kcmo.org/CKCMO/Depts/CityPlanninLiska presented information about the gandDevelopment/index.htm growth trends of the Northland and op-

www.kchba.org

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July 2012

www.kchba.org

HBA Members

Happy Anniversary

1958 Bodine-Ashner Builders, Inc. 1974 Financial Consultants, Inc. Willis Construction, Inc. 1979 Dusselier & Marks Homes, Inc. 1986 Jones Iron & Metal, Inc. 1987 Chris George Homes, Inc. 1989 True Builders, Inc. B L Rieke Custom Homes, Inc 1992 Olathe Glass Company, Inc. 1993 K C Drywall Construction, Inc. 1994 Forner-LaVoy Builders, Inc

These companies’ continued membership shows their support for the local home building industry.

The strength of an association is in its membership and a thank you goes out to all of those members who continue to support the HBA. (If you know these members, please encourage them to renew and remember all the benefits they’ll miss by not renewing their membership)

1998 Atmos Energy 1999 R. E. Taylor Construction, LLC 2001 McGraw Homes, Inc. 2002 Besel’s 2003 LBS Homes, LLC Kansas City NARI Mossman Lumber Co 2005 Roeser Homes, LLC Habitat for Humanity Kansas City, Inc 2006 Stoneworth Building Products 2007 Harrington Brothers Inc. Heating and Cooling

2009 Dan Rowe Properties 2010 Huber Engineered Woods LG Homes, Inc. Woodbridge Homes, Inc. 2011 Wyss Construction, LLC Brookside Builders Lifestyle Homebuilders Zeotech Construction Co, Inc Aspen Homes AH2.0. LLC ParkView Homes, LLC Pfeifer Homes, Inc Fasone & Partners Mill Creek Homes, Inc Fred Riley Custom Homes Lapolla, Industries

5 Solid Reasons to Call K&E Flatwork Today!

816-746-6100

HBA’s

Associates Council Connection

Networking After Hours Thursday

July 19th 4-6pm at The Well Bar, Grill, & Rooftop in Historic Waldo

7421 Broadway KCMO

This event is for Associate Members Only Join other associate members for great food and drink specials while networking opportunity!

BuildingBusinessNews THE OFFICIAL PUBLICATION OF THE HOME BUILDERS ASSOCIATION OF GREATER KANSAS CITY

June 2012 Volume 18 Issue 6 Copyright 2012 Published by the Home Builders Association of Greater Kansas City 600 E. 103rd Street, Kansas City, Mo. 64131 (816) 942-8800

Gravel

Executive Vice President Sara Corless Editor Stephanie Stollsteimer Graphics Karla Peterie, Creative Services

Lumber

One Call We Do It All Concrete

Page 10

Volume 18 • NO. 7.

Rebar

2012 Executive Committee Home Builders Association of Greater Kansas City

Workers A PROFESSIONAL CONCRETE FLATWORK COMPANY • Affordable, Upfont Pricing • High-Quality Concrete Flatwork • Exceptional Customer Service • A Professionally Trained Staff • Serving Kansas and Missouri WWW.KEFLATWORK.COM www.kchba.org

President Kevin Stucker Vice President Fred Delibero Secretary/Treasurer Chris Ragland Associate Representative Kevin Kirtley Immediate Past President Travis Graham

To subscribe to Building Business News, call (816) 733-2224 To advertise in Building Business News call (816) 942-8800 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 www.kchba.org

Building Business NewsB

Volume 18 • NO. 7

Welcome

New Members

Congratulations to our new members.

Let’s make them feel at home!

David Dussair Design Build Team, Inc.

5242 Foster Ave. Overland Park, Kansas 66202 (913) 722-1443 www.designbuildteam.com mdussair@designbuildteam.com

Frank Sbisa Sbisa Homes, Inc.

29710 Windmill Ridge Lane Lee’s Summit, Missouri 64086 (816) 697-3604 frank@sbisahomes.net www.sbisahomes.net

Building Business News

www.kchba.org

July 2012.

Earn Your Certified Green Professional (CGP) Designation (Continued from page 8) m a n a g e m e n t skills that give industry leaders the edge.

This course will give you a solid foundation in those best business practices so valuable to smaller businesses: planning, organizing, staffing/directing and controlling. By using case studies and sample forms, your instructors give you practical and applicable tools for management success.

The Green Building for Building Professionals class is to learn how green homes provide buyers with lower energy costs and higher value. This 2-day course for building professionals discusses strategies for incorporating

green-building principles into homes without driving up the cost of construction. You will learn how green homes provide buyers lower maintenance, better indoor air quality and better long-term value. Techniques are also discussed for competitively differentiating your home products with increased indoor envi-

ronmental quality as well as energy and resource efficiency.

If you have already taken the Building Management class you only need to register for the Green Building 2-day course.

If you have any questions, contact Gina Battle, gina@kchba.org or 816-733-2219.

Tell the story of your great homes

n reach Find out how you ca y Star over 1,000,000 weekl ed iz readers with a custom ntial te profile story. Show po unity m buyers why your com ll home. is a great place to ca

To advertise, call your account executive or Kate Mariani-Vacek at (816) 234-4097.

Register for events online

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July 2012

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Volume 18 • NO. 7.

HBA Staff

Office: 816-942-8800 Sara Corless Executive Vice President scorless@kchba.org, 816-733-2216 Gina Battle Tour & Membership Records Coordinator gina@kchba.org, 816-733-2219 Marcia Jurgens Permit & Accounting Mgr. marcia@kchba.org, 816-733-2215 Stephanie Stollsteimer Director of Marketing and Communications stephanie@kchba.org, 816-733-2213 Lori Kodanaz Director of Consumer & Trade Shows lori@kchba.org, 816-733-2217 Andrew McKeegan Association Services Manager Andrew@kchba.org, 816-733-2224 Natalie Tucker Events Support Natalie@kchba.org, 816-733-2247 Phil Yancey Membership Manager, Phil@kchba.org, 816-733-2245

Click this logo at

www.kchba.org to login to your account

Online Resources for HBA Members!

Register for HBA Events Safe & secure online registration Personalized calendar of events.

Notification of your events

Register for events online

www.kchba.org www.kchba.org

Update Your Membership Change your profile, contact info & membership directory listings.

Call today 816-942-8800, or email gina@kchba.org or scorless@kchba.org

Building Business NewsB

Volume 18 • NO. 7

www.kchba.org

July 2012.

Lenexa Offers New Single Family Home Permits for a $500 Flat Fee

Associates Council Reorganizes to Promote Industry Networking

The Lenexa City Council recently approved an inventive program aimed at spurring single family residential development in Lenexa.

This limited-time incentive includes a $500 flat fee for building permit and plan review for the first 200 new single family home permits issued over the next twelve months.

Building permit fees vary depending upon the size of the structure and/or

Jerry Ratway, Weber Carpet, Inc, Donna Best, First American Title, Kevin Kirtley K & E Flatwork, Megan Vejraska, Kitchen & Bath by Briggs, Jim Humbert, Advantage Framing, Mindy Arnold, Designed 4 You, Jim Breitkreutz, Beaver Timber, Christina Hayes, Kitchen

standard or estimated construction costs.

Plan review fees are 20% of the calculated permit fee.

“The idea is that a potential savings of $500 to $1000 or more will give a homebuilder, developer or potential new resident an extra enticement to choose Lenexa,” said Beccy Yocham, Community Development Director. “I’m excited to see how this will be received by the building and development community,” she said.

& Bath by Briggs.

Business referrals and experiences are an important part of HBA networking and to address that the Associates Council is gearing up. The group has met to discuss increased opportunities for involvement and networking.

Associate members interested in volunteering to organize events and set goals for the Council are welcome. Register at www.kchba.org or contact Andrew McKeegan, Andrew@kchba.org or 816-733-2224.

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Page 13

HBA 2012 SPONSORS

July 2012

Page 14

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Platinum

Bank of Blue Valley

Gold

SILVER Henges Insulation & Fireplace Phelps Engineering ProBuild United Heating & Cooling

Capitol Federal Factory Direct Ferguson Enterprises bronze First Federal Bank Commerce Bank K & E Flatwork Complete Home Concepts Kansas City Star First American Title Kenny’s Tile Hermes Landscaping McCray Lumber & Millwork Kansas City Title Kitchens & Baths by Briggs Nebraska Furniture Mart Pacific Mutual Door Owen Lumber Pella Products Shamrock Cabinet ProSource of Lenexa Sun Lumber Western Chandelier Weber Carpet

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Volume 18 • NO. 7.

May Brings Even Better News in Housing Permit Activity In the last seven years the highest number of permits in the month of May was 971 in 2006 at the peak of the housing industry boom. During the same time span the lowest number of permits in May was 189 in 2009 at the lowest point of the housing industry decline.

Today builders are enjoying the good news that permit activity continues to tick upward with May 2012 permits totaling 299 single family units coming on line in the Kansas City marketplace, according to the Home Builders Association of Greater Kansas City.

Activity was reported in each of the eight counties the HBA tracks. The growth shows an average increase of 62 percent from 2011. Platte County increased 138 percent with 77 units comparing 2012 to 2011. The market distribution is roughly the same as in 2011 with the top four cities ranking in order: Kansas City with 239, Olathe with 180, Overland Park with 136, and Lee’s Summit with 96. The top four counties ranked as follows: Johnson with 465, Clay with 251, Jackson with 221, and Platte with 133. The difference is Platte County has picked up a significant market share from 7 to 11 percent which represents a gain of 77 more permits this year.

“It has been a long five years for the homebuilding industry so news like this is encouraging,” said Executive Vice President Sara Corless. “Clearly we are not out of the woods, but we are on track to end the year ahead of the 2009 to 2011 trough and that is good news for new home buyers who have more options available.”

Building Business NewsB

Volume 18 • NO. 7

Building Business News

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July 2012.

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June 2012

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Volume 18 • NO. 6.

Home Show-Fall Edition Returns to Overland Park Convention Center

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Prospective consumers will have more time to book those Fall projects before the holidays and winter if they visit the 26th Annual Home Show-Fall Edition and connect with one of over 200 exhibitors expected to be represented at the Overland Park Convention Center. This year, the show is almost a month earlier than last year. September 14-16 the Convention Center will come alive with booth exhibits, stage presentations, cooking demonstrations and inspirational ideas to make the most of home upgrades in this hot market.

“This is a great time to exhibit!” said Lori Kodanaz, Director, Consumer & Trade Shows, HBA. “I keep telling pospects that it is the Right Time, the Vern Yip, HGTV Design Star Right Place and the Right home show

partner. We do not have a conflict with a home Chiefs’ game that weekend and it is early enough in the fall where exhibitors can work a prospect list and boost their year-end business.”

This show is not just for the southern metro area, either. According to Kodanaz, last year’s statistics showed a large number of patrons came from Eastern Jackson County and the surrounding metro area.

This year’s Home Show Stage, sponsored by Spaces Magazine, will feature HGTV Design Star, Vern Yip who will share his eclectic design tips and meet and greet show patrons on Saturday and Sunday. In addition, this year’s show will feature cooking demonstrations featuring local celebrity chefs.

www.kchba.org

The Home Show-Fall Edition hours will be Friday and Saturday, 10 a.m.-8 p.m. and Sunday, 10 a.m. – 6 p.m. Tickets are $7 at the door, $6 for Seniors and Military or online in advance. Kids 12 and under are free and 2- for- 1 promotions will be available. Parking is FREE. Tickets and exhibitor information are available online at www.kchomeshow.com. Contact Lori Kodanaz at the HBA, 816-733-2217, for additional show information.

Building Business News B