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EDITOR’S LETTER
Summer Shortage This July, the Associated General Contractors (AGC) of America reported that construction employment in June stayed steady at the highest level in six years. AGC also reported that the number of unemployed workers with construction experience was the lowest since 2001. But some contractors are finding it difficult to find qualified workers to meet demand. “Expanding job opportunities throughout the economy make it increasingly dif-
ficult for contractors to find experienced construction workers,” AGC Chief Economist Ken Simonson said. “This scarcity shows up in record workweeks for craft workers and flattening of employment totals despite higher construction spending. “Reports from around the country and recent Census Bureau data on construction spending show there is plenty of demand for new construction, especially apartments and a variety of private non-residential projects,” he added. “Until now, all segments of the industry have added workers at a faster rate than the overall economy. But some projects may be delayed or put on hold without new measures to recruit and prepare future workers.” We’d like to hear what your company is doing to cope with this shortage. Please contact me at alan. dorich@pmcmg.com or tweet us at @ConstructToday to tell us how you’re getting by during this tough time.
alan.dorich@pmcmg.com Construction Today Editor PLEASE NOTE: The opinions expressed by interviewees, contributors and advertisers within this publication do not necessarily coincide with those of the editor and publisher. Every reasonable effort is
made to ensure that the information published is accurate, but no legal responsibility for loss occasioned by the use of such information can be accepted by the publisher. All rights reserved. The contents of the magazine are strictly copyright, the property of Construction Today, and may not be copied, stored in a retrieval system, or reproduced without the prior written permission of the publisher.
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EDITORIAL EDITORIAL DIRECTOR
John Krukowski (john.krukowski@pmcmg.com) CT EDITORS
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Staci Davidson
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Eric Slack
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PROJECT COORDINATORS DeWayne DuPree, Melvin Eagleton, Ken Ellis, Ryan Finn, Daniel Lynch, Georgiana Mullinix, Casey Mullen, Moumita Ryan, Sondra Snowden, Kal Steiner
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JULY/AUGUST 2015 | CONTENTS
On the Cover The Martin Group The Martin Group drives business through its connections in the data center industry.
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Columns and Features 8
Industry Events The BIM Integration Congress will help construction professionals decode the latest planning technology.
10 Acoustic Design Achieving acoustic privacy in the workplace needs to be a priority. 12 Best Practices Here are the key ways to take control of your construction project shipments. 14 Technology Testing can prevent spoofing and jamming attacks against GPS systems. 168 Last Look Hatch Ltd. and The Mosaic Company are thrilled to be working together.
Florida Regional Spotlight 38 Bay to Bay Properties Bay to Bay Properties builds with efficiency and developer relationships in mind. The company began as a twoman operation in 2003.
Departments 22 Commercial The Los Angeles International Airport is at work on a $508 million terminal modernization. 72 Civil EPC contracts will likely stay as the predominant form of contracting in the energy sector. 92 Industrial The promise of using 3-D printing to print actual building components excites many. 108 Institutional Environmental product declarations make lives easier for contractors. 130 Residential It is important to understand what is the driver of consolidation in the homebuilding industry.
70 VJA Construction VJA Construction specializes in building and renovating hotels, along with performing commercial work on franchise preschool centers and high-profile projects such as the Orlando Eye. 104 Hatch Ltd. – The Mosaic Company’s New Wales fertilizer plant Hatch Ltd. and The Mosaic Company are in the midst of an ambitious expansion project at Mosaic’s fertilizer plant in Florida. Hatch, an employee-owned, multidisciplinary professional services firm, provides technical and strategic services. 140 A-Investments Development Corp. The Odessa, Fla.-based A-Investments Development Corp. specializes in paying tribute to Cuban ancestors and heroes through the restoration of historic buildings.
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CONTENTS | JULY/AUGUST 2015
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Company Profiles COMMERCIAL: Profiling retail, office, hospitality, entertainment and mixed-use construction.
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Yates Construction – CenturyLink Technology Center of Excellence Yates Construction is completing CenturyLink’s new, futuristic Technology Center of Excellence with many energy-efficient features.
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Lisgar Construction Lisgar Construction reaches a major milestone by always providing quality workmanship and fulfilling commitments on time.
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Klewin Construction – Hacienda Hotel conversion project Klewin Construction is leading efforts to convert the more than 40-year-old Hacienda Hotel near LAX into two vibrant new hotel properties.
Bossart Builders Bossart Builders, the most active church builder in New Jersey, adapts to new, multipurpose trends.
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Itzko Glass and Metal Itzko Glass and Metal’s founder took some risks when starting his California-based company.
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DMR Architects DMR Architects prides itself on every project it has completed and looks forward to celebrating 25 years in business next year.
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Phoenix Associates Construction Phoenix Associates Construction combines 40 years of industry knowledge and treating its clients and subcontractors like family.
Bay to Bay Properties Bay to Bay Properties builds with efficiency and developer relationships in mind.
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SG Construction – Shearer’s Foods Expansion SG Construction is helping Shearer’s Foods add to its facility in Burlington, Iowa.
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The Weitz Company LLC – One Belleview Station The Weitz Company is on schedule and budget on the One Belleview Station project in Denver.
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Oddo Development Oddo Development builds, rents and manages apartments that look like single-family homes for the long-term.
Allied Builders System – PBS Hawaii Headquarters Allied Builders System is taking the lead in the construction of a new studio and headquarters facility for PBS Hawaii.
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Boyle Investment Company Boyle Investment Company has been developing Tennessee for more than 82 years and is continuing with a concentration on mixed-use projects.
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Barry Swenson Builder – San Jose Skyport Marriott A dual-branded hotel is Barry Swenson Builders’ latest contribution to the building stock of San Jose, Calif.
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Embrey – The Carillon Embrey develops, builds and manages projects for itself and third parties using decades of experience and solid business management techniques.
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KPRS Construction California-based KPRS Construction flourishes by participating in multiple market sectors.
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Vila Construction Vila Construction continues its nearly 100-year legacy of delivering quality projects to clients.
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VJA Construction VJA Construction specializes in building and renovating hotels, along with performing commercial work on franchise preschool centers and high-profile projects such as the Orlando Eye.
INDUSTRIAL: Profiling factory, warehouse, power plant and energy-related construction and related business.
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FCL Builders – SKF Global Technical Center FCL Builders brings innovation to the Chicago suburbs with a new R&D center for SKE.
CIVIL: Profiling heavy/ highway, utility, water/ sewage treatment plant and airport construction and related business.
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CCA: 30th Anniversary – Gerritsen Bridge, Pulaski Skyway Extensive experience and resources have allowed CCA Civil to take a leadership role in the reconstruction of some major bridge projects in the Northeast.
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Allied Projects Ltd. Allied’s ‘good core’ of employees keeps it strong, its President says.
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Superior Construction Co. Gary, Ind.-based Superior Construction Co. places great emphasis on safety.
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Walsh Shea Corridor Constructors – Crenshaw/LAX Transit Project Walsh-Shea Corridor Constructors considers community impact as it builds a new light rail line to LAX.
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Austin Power Partners Three contractors have united to bring their experience to a project at Chicago’s O’Hare Airport.
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Neiman Enterprises Neiman Enterprises wants to change the education system to prepare the next generation of skilled timber industry workers.
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California High-Speed Rail Authority San Francisco to Los Angeles in less than three hours is the goal for the California High-Speed Rail Authority.
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Cadence McShane Construction Cadence McShane is at work on Turnpike West, an industrial building in Dallas.
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Big-D Construction – Beverley Taylor Sorenson Center for the Arts Big-D Construction is managing an arts center project at Southern Utah University.
Hatch Ltd. – The Mosaic Company’s New Wales fertilizer plant Hatch Ltd. and The Mosaic Company are in the midst of an ambitious expansion project at Mosaic’s fertilizer plant in Florida.
INSTITUTIONAL: Profiling healthcare, education, places of worship, laboratory, military, library and museum construction and related business.
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Hensel Phelps – Mule Creek State Prison Hensel Phelps is providing the project expertise needed to help California solve its prison overcrowding.
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Kinetic Construction – Camosun College Trades Education and Innovation Complex Camosun wants to prepare its students through the Trades Education Complex.
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Rycon Construction Inc. – The 90 Project Rycon Construction is meeting the tight schedule of The 90 project.
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Turner Construction – Cleveland Clinic Cancer Center A strong preconstruction process allowed Turner Construction to overcome a harsh Cleveland winter in building a new cancer center.
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J.D. Beam Inc. J.D. Beam completes an office building on North Carolina University’s Centennial Campus that is drawing a lot of attention.
RESIDENTIAL: Profiling multi- and single family homes and buildings.
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John Moriarty & Associates – Hyde Beach Resort & Residences John Moriarty & Associates is hard at work on south Florida’s latest luxury condominium project.
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Arco Construction Arco Construction emphasizes planning to overcome a compressed timeline and provide the students of FSU with a modern housing option.
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A-Investments Development Corp. Florida-based A-Investments Development Corp. pays tribute to Cuban ancestors and heroes through historic building restoration.
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Hunter Interests – Serene Hills The 456-acre Serene Hills community located in Lakeway, Texas, will cap the distinguished career of its main developer, Douglas Hunter.
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Rycon Construction Inc. – The Yards at 3 Crossings The Yards is slated to open in 2016 with Rycon leading the way.
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The Hanover Company The Hanover Company develops, constructs and manages its rental properties to ensure success in the urban market.
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Rybak Development & Construction Rybak Development delivers projects with strong architectural features at a lower cost.
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Alliance Residential Builders Amenities abound at Alliance’s rental communities. It has invested in more than $3 billion worth of real estate.
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Power Design Inc. Power Design’s design/build capability and expertise in multifamily developments leads to new business relationships.
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Bradbury Stamm Construction – The Neighborhood in Rio Rancho Bradbury Stamm is heading up a project for active senior living community outside Albuquerque.
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Wallside Windows Wallside Windows ensures that its products meet the expectations of its customers.
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Live Oak Contracting Florida-based Live Oak Contracting is experiencing immediate success in the multifamily marketplace.
Webcor Builders – Residences at Columbia Square Webcor Builders is at work on a project in the heart of Tinseltown.
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INDUSTRY EVENTS
INTO THE FUTURE The BIM Integration Congress will help construction professionals decode the latest planning technology. BY JIM HARRIS
use of BIM in construction » The planning and design is a major point of interest for contractors.
AT A GLANCE: What: BIM Integration Congress Where: Hilton San Francisco Airport Bayfront, 500 Airport Blvd., Burlingame, Calif. When: Aug. 26 and 27 To register or for more information: www. bim-integration-congress.com
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uilding information modeling (BIM) in recent years has emerged as a standard practice for contractors both small and large, local and national. With the technology advancing at a seemingly daily basis, adapting or optimizing BIM can be challenging for practically anyone. Construction professionals seeking answers or advice about this crucial technology can find what they’re looking for at the BIM Integration Congress, Aug. 26 and 27 in San Francisco. Construction Today recently had the opportunity to ask Jack Parker, director of product development at American Business Conferences – the event’s organizer – about what attendees can expect.
CONSTRUCTION-TODAY.COM JULY/AUGUST 2015
Construction Today: This is the first year for this event. Tell us how and why this got started. Parker: American Business Conferences has been organizing engineering events for many years in sectors as broad as rail, automotive, manufacturing, oil and gas, and utilities. The topic of BIM had been mentioned in several case studies across several of these sectors, which led us to recognize it as a critical emerging process for the whole construction industry. As with all of our events, we then conducted in-depth research, speaking with around 50 designers, contractors and owners from across North America. Everybody expressed the topic of integration and collaboration as the next big hurdle to fully utilize BIM in their day-to-day workflows. In particular, the industry was in severe need of a strategy and process-led conference that didn’t just shout about how good the technology was, but presented case studies on how to forge integrated multi-office teams.
CT: What are some of the highlights of the event? Who are the keynote speakers and what will they be discussing? Parker: We are very proud of the owner and facility management representatives who will be sharing their insights, including Sutter Health, California High Speed Rail, Massachusetts State, Irvine Company and Judicial Council Of California. At the end of the day, it is these clients who are writing the checks and it is their buy-in the construction industry needs. Our owner presentations will outline the deliverables needed and the best practices for using BIM in facility management to reduce operational costs. Of course, we also have very exciting designer and contractor involvement. Clark Construction Group will be talking about the role of cloud technology to share data across multiple offices. McCarthy Building Companies will outline how to allow contractors into the design process to reduce duplication of work. Gilbane Building Company will reveal the superintendent perspective on using BIM on-site and SSOE Group and Balfour Beatty with both outline their experiences with laser scanning and model-based layout. More than 20 case studies will be delivered in total.
to restructure their organization and improve their collaboration techniques to radically improve efficiency. The BIM Integration Congress will provide more than 20 30-minute presentations, plus more than three hours of Q&A time and six hours of bespoke networking experiences. CT: What else would you like people to know about the event? Parker: As our event is 100 percent based on the needs of end-users in the industry – such as designers, contractors and owners – we are constantly looking for feedback and insight. If you have any questions about the event, or thoughts on how we can deliver even more value, or just for a friendly chat, don’t hesitate to get in touch! For more information about the BIM Integration Congress or to register, visit www.bim-integration-congress.com.
CT: Who would benefit the most from attending? Parker: The agenda has been designed such that any stakeholder in the industry will benefit – from designers such as architects and engineers, contractors and subcontractors, owners and facility managers and vendors and solution providers. We are typically expecting a very high level of quality attendees, with most registrations so far having director of virtual design construction or senior BIM manager job titles. CT: How will this event give attendees the skills they need to best implement and optimize the use of BIM in their own operations? Parker: The industry today knows that BIM is the future. Technology-driven sales pitches are no longer required. The next step is to understand how to create an efficient and integrated design-construct-operate workflow to actually apply the potential cost and time savings associated with BIM to every project. Crucially, our event is vendor neutral. This means that there is no large software provider influencing the agenda or speaker faculty or approving presentations. Attendees will hear genuine experiences and positive and negative feedback on solutions out there in the market. This means that instead of hearing just what the technology can do, they will learn how to leverage the full potential of 3-D modeling and how
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INDUSTRY EVENTS
‘The industry was in severe need of a strategy and process-led conference.’
ACOUSTIC DESIGN
PRIVACY NEEDS Achieving acoustic privacy in the workplace needs to be a priority. BY NIKLAS MOELLER
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by deliberate eavesdropping or simply by being within audible range of a conversation. Indeed, a lack of acoustic privacy carries real risk, particularly in environments where there is a perceived need for it or an expectation on the part of its users, such as in healthcare facilities, bank branches and law firms. However, other types of spaces — such as commercial offices —also have privacy needs.
ur current preoccupation with the Internet’s impact on privacy is understandable given its rapid spread into almost every aspect of our lives. However, we should not lose sight of the fact that privacy can still be violated in more traditional ways, whether
Image © K.R. Moeller Associates Ltd.
»
Understanding Acoustic Privacy The area of intelligibility around a speaker is not circular. Its shape is determined by numerous factors including the orientation of the person speaking, as well as the physical barriers and absorptive/reflective materials used within the space.
Image © K.R. Moeller Associates Ltd.
» When sound masking is applied, the area of intelligibility shrinks.
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Though many people immediately equate acoustic privacy with speech privacy, there is more to this concept than the ability to clearly hear what another person is saying. For example, even if the conversation taking place in a neighboring room is unintelligible, a listener may still be able to identify the speaker’s tone and ascertain whether they are happy, sad or angry. This type of information can be considered private under certain circumstances, such as when issuing from behind the closed door of a human resources manager’s office. How much we understand of a conversation also depends on whether or not we can see the speaker’s lips. In other words, there is also a visual component to acoustic privacy, which is important to bear in mind when designing a space. It is easy to understand the need for acoustic privacy from a speaker’s perspective, particularly in environments where they are discussing medical information, financial planning and similarly confidential topics. However, a lack of acoustic privacy has impacts beyond divulging sensitive information to unintended parties. Acoustic privacy is also vital to employees’ overall satisfaction with their workplace. A decade-long survey of 65,000 people run by the Center for the Built Environment (CBE), University of California, Berkeley, found that lack of speech privacy is the No. 1 complaint in offices. The topic of workplace satisfaction also emphasizes the need to consider those occupying spaces other than closed rooms. Though some may dismiss the importance of acoustic privacy when designing an open plan, studies show that it has a significant impact on productivity. For instance, research conducted by Finland’s Institute of Occupational Health shows that unwilling listeners demonstrate a five to 10 percent decline in performance when undertaking tasks, such as reading, writing and other forms of creative work. Though an organization might not consider privacy a goal within
The Articulation Index (AI) remains the most widely used method of assessing speech intelligibility within the built environment. To calculate AI, one uses a test signal that includes the frequencies known to specifically impact speech comprehension. This signal is measured at one meter from the “source” and again at the “listener” location. The background sound level is also measured at the “listener” location in order to quantify how loud the test signal is relative to it — a value known as the signal-to-noise ratio (SNR). This value is critical because the lower the SNR, the less the intelligibility and the greater the speech privacy. The final AI value ranges from zero (where the conversation is completely unintelligible) to 1.0 (where everything is heard and understood). On a 0 to1.0 scale, many would expect a value of 0.5 to mean that a listener would understand 50 percent of a conversation, but — as is clear from the chart above — they would actually understand approximately 95 percent, because the relationship between AI and actual comprehension is not linear. The shaded area along the left showing the “confidential” privacy range indicates just how low an AI is required for true privacy. If AI is above 0.3, there is effectively no privacy.
Designing for Acoustic Privacy Of course, building occupants should always try to be mindful of their voice level, but proper etiquette is only effective to a point. The remainder of the acoustical burden has to be borne by the design using a threetiered approach called the “ABC Rule,” which stands for absorb, block and cover. Most people are familiar with using walls, doors, workstations and a well-planned
Image courtesy of K.R. Moeller Associates Ltd.
Assessing Speech Intelligibility
The relationship between the Articulation Index (AI) and intelligibility is not linear — for example, a value of 0.5 means a listener can understand approximately 95 percent of a conversation, not 50 percent. A very low AI value is required for true privacy.
layout to physically block voices and noises, as well as the benefits of installing ceiling tiles, wall panels and soft flooring to absorb them. Fewer understand the importance of covering noise — a role played by a sound-masking system. In any space, voices diminish in volume over distance. However, background sound levels are often so low in indoor environments that speech carries intelligibly over nine to 15 meters (30 to 50 feet) or more in open space. A sound masking system raises the background sound level, which reduces the SNR. Voices disappear below the new level after a much shorter distance. The masking sound also covers noises arising from general activities or reduces their disruptive impact on occupants by minimizing the change between baseline and peak volumes in the space. Therefore, though the masking sound is audible, occupants perceive treated spaces as quieter and more private. When adding sound masking, it is important to ensure that the system is professionally designed, installed and tuned so as to provide consistent coverage throughout the space. Outdated specifications allow for a wide tolerance (e.g. up to 4 dBA), but such variations in masking levels permit a swing of 40 percent or more in performance. Modern, well-tuned sound masking systems are able to keep variations to just 0.5 dBA, providing dependable coverage throughout the installation. Clients can verify performance by requesting a tuning report. Attention must be paid to the topic of acoustic privacy within our built environment. Though an organization may decide that it is more motivated by the need for a high performance workplace than acoustic privacy, taking the steps required to lower speech intelligibility allows them to reap both rewards.
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Niklas Moeller is vice president of K.R. Moeller Associates Ltd., manufacturer of the LogiSon Acoustic Network sound masking system (logison. com). He also writes an acoustics blog at soundmaskingblog.com.
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ACOUSTIC DESIGN
an open plan, it is impossible to justify increasing disruptions. Taking the steps required to lower speech intelligibility within this type of space increases occupants’ output and reduces error rates.
BEST PRACTICES transportation more Âť Managing effectively can increase performance for construction firms.
REDUCING RISK
Here are the key ways to take control of your construction project shipments. BY STEVE BIRD JR.
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re you satisfied with how your company manages transportation today? Many construction companies and building material manufacturers are not content with how equipment and materials are delivered to their warehouses, jobsites or laydown yards. Several factors have made the efficient movement of project materials more challenging than ever. The right trucks and equipment are hard to find — an estimated shortage of 40,000 drivers nationwide has caused a capacity gap in trucking. Safety and risk are growing concerns; the number of large trucks involved in property damage and fatal crashes has increased since 2010. Finally, the logistical complexity of many projects can complicate communication among con-
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tractors, suppliers and trucking carriers. As a result, deliveries arrive late, deadlines are missed and profitability is compromised. Construction companies can tackle these challenges either by hiring full-time professionals to oversee the supply chain or by enlisting the help of a third-party logistics (3PL) company. The growing complexity of the transportation market, combined with the unique challenges of heavy hauls, oversized shipments and material deliveries, require the work of specialists who can focus on finding the right trucks and equipment for a project. Aligning yourself with transportation professionals ensures you have access to the best-priced trucks in the market at any given time. Managing transportation more effectively can increase performance for construc-
tion companies and manufacturers in the following three areas:
Safety and Risk Management With more vehicles on roadways than ever before, safety is a big concern for shippers and regulators. A carrier that causes an accident on a jobsite, or while hauling product in route to a jobsite, can lead to major legal ramifications for a shipper if that carrier is deemed unsafe. According to the Federal Motor Carrier Safety Administration (FMCSA), the number of large-truck crashes that caused property damage and fatalities increased more than 8 percent between 2010 and 2013. Intent on reversing those trends, the FMCSA has rolled out a system that rates the safety behavior of drivers and carriers.
Reliable Service A successful construction project depends on the timely delivery of materials and products to the work site. Selecting the right carriers and communicating deadlines are only part of this process. To ensure reliable transportation throughout a project, construction companies and manufacturers must understand logistics, oversee pre-planning and remain in constant contact with carriers. Because contractors and manufacturers ultimately take the blame if orders are wrong or work is delayed, they need to have an active role in managing the movement of freight. Here is an example: your construction company has a commercial project that requires moving a large crane from Dallas to a work site in Kansas City. It requires breaking it down into several shipments utilizing low-boy and flatbed trailers. Your company works with a logistics professional to develop a load plan. You decide that the most efficient approach is to move the crane in eight loads. The next steps are selecting CSA-approved carriers than can handle the shipments and securing government permits to ensure the hauls are compliant.
BEST PRACTICES
The Compliance, Safety, Accountability (CSA) initiative tracks driver violations and provides monthly safety scores on carriers. Carriers and their drivers are penalized for unstable loads, poor driving practices and other safety risks. The CSA rating is a valuable tool for construction companies and building material manufacturers. Working only with CSA-approved carriers and regularly checking those carriers’ monthly scores will help reduce risks and negligent practices in your transportation. It also reduces you company’s liability if something goes wrong. In choosing to work only with carriers that are compliant with safety rules, your company minimizes risk and improves safety in your network. It is important that your company has a robust process and tools to regularly check carrier CSA scores, or leverage the experience of a 3PL to manage their carrier base.
From that point, you need to stay in contact with carriers to make sure the crane is delivered safely and on time. This work includes tracking drivers’ hours, communicating the job schedule, helping carriers find re-loads to reduce deadhead miles, and confirming delivery. A complex project like this increases the likelihood that something will not go according to plan. You need a specialist dedicated to fielding calls from carriers and relaying accurate information so that the crane arrives on time and in good condition. Having a logistics professional you trust ensures reliable service and allows you to focus on other areas of your business instead of the shipment details.
Competitive Pricing The biggest challenge facing shippers today is the shortage of available trucks across all transportation modes. The amount of available truck capacity today is 15 percent lower than in 2006, according to the Journal of Commerce’s Truckload Capacity Index. The shortage has given carriers more negotiating leverage, which has led to higher load rates across all modes. Some companies rely on the same dedicated carriers for all of their work. This approach can lead to higher rates as well as logistical challenges for distant projects. In today’s market, it pays to have access to a large network of carriers. This creates buying power and the ability to command lower rates. For example, let’s say your manufacturing company needs to obtain competitive pricing on 20 loads of bagged cement going from Kansas City to Baltimore. You enlist the help of a 3PL, which draws from its network of flatbed carriers around Kansas City that need to haul freight back to the Baltimore area. This is commonly referred to as a “backhaul,” and these carriers will offer a lower load rate since they need to get back to Baltimore. This allows the 3PL to pass savings back to your manufacturing company and the contractor for the shipment of bagged cement. A logistics company that is well-connected in the trucking industry can almost always command a more competitive load rate than a construction company or manufacturer who looks for carriers on the open market. The capacity shortage, increased government regulation and other factors have made shipping freight more complicated than ever before. Fortunately, establishing some best practices in managing transportation can help construction companies and manufacturers reduce project costs and risks.
Steve Bird Jr. is account director for Ryan Transportation, a third-party logistics company that has served the construction industry since 1986. Contact Steve at 913-890-6507 or sbird@ ryantrans.com.
has rolled out a system » FMCSA that rates the safety of drivers and carriers.
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TECHNOLOGY navigation systems » Satellite can be vulnerable to signal jamming and other threats.
CYBER SECURITY G
Testing can prevent spoofing and jamming attacks against GPS systems. BY GUY BUESNEL
lobal satellite navigation systems (GNSS) have become a vital instrument in many construction companies’ toolsets. Their accurate locating capabilities and universal availability can help crews more easily collect data and save time when surveying, easily locate sites, manage fleets and even help protect expensive, critical equipment from theft. But GNSS technology and the global positioning systems (GPS) receivers they communicate with also are vulnerable to malicious attacks via RF interference, jamming and the deliberate counterfeiting of signals known as spoofing. These attacks have a direct impact on security and accuracy and can ultimately undermine a construction company’s profitability.
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Top Threats
In an InfoSec Institute report that detailed the various security threats to satellite systems, jamming and GPS spoofing were listed as two of the top 10 threats. Jamming is done via transmitters emitting electromagnetic interference that blocks tracking devices from acquiring GPS broadcast signals. According to an October 2014 notice from the FBI’s cyber division, auto thieves shipping stolen vehicles to China used GPS jammers placed in shipping containers in an attempt to thwart tracking of the containers. Cargo thieves in North Florida used GPS jammers with a stolen refrigerated trailer containing a temperature controlled shipment to prevent any GPS tracking of the trailer. In another instance, a trucker
who decided to drive beyond his maximum number of hours rather than stop concealed his whereabouts by using a GPS jammer. It’s a true story; fortunately the trucker was caught because his GPS jammer inadvertently jammed a nearby cell tower. GPS spoofing is little trickier to carry out because it involves either manipulating GPS information at the application level or actually faking the GPS signal. There are even inexpensive apps for tablets and smartphones that can be downloaded after users jailbreak the operating system which allow users to spoof their positions by manipulating data. This data is then supplied to applications on phones or tablets that require GPS position data. To fake the GPS signal, a spoofing device
is used to interfere with a GPS receiver and trick it into tracking counterfeit GPS signals. The false GPS signals could fool receivers into thinking that they are at a different location and could be used in the hijacking of a drone or a vessel. So far, there haven’t been any verified reports of a spoofing attack, but spoofing continues to be a serious threat and it may be only a matter of time. The InfoSec Institute report says GPS spoofing is one of the most insidious threats to GPS systems. Both jamming and spoofing have the potential to wreak havoc on a construction job. Consider the impact of GPS jamming to crews involved in construction of a new highway and using highly automated equipment that relies on GPS signals. Jamming could stall work until the navigation signals return — a costly, time-consuming event. Farmers who were using equipment that relied on GPS during a recent jamming exercise in Idaho affected when their machinery went idle. Spoofing, however, has the potential to completely derail a project, because crews could get lost following fake GPS signals.
In order to mitigate and protect against RF interference, jamming and GPS spoofing, construction crews need to routinely assess and test their GPS equipment so they understand how an attack affects their systems and how they effectively respond. Understanding the equipment, and how robust it is, is vital. Are your GPS receivers robust enough to resist drive-by jammers? Will they output misleading data? One of the most dangerous effects of GPS jamming is that as a jammer gets close, some receivers will start outputting hazardously misleading information, such as incorrect position or time that could lead to costly mistakes. If a receiver is jammed or spoofed, will it detect the attack and generate alerts? Risk assessment should also be a priority. How likely is it that jamming would be encountered at a specific site or on a specific fleet? What is the likely frequency of jamming or spoofing events? What would be the impact of such events on the business in terms of lost hours of productivity? Jamming is widespread and GPS spoofing concerns are on the rise. A single attack exploiting a known vulnerability could be a real blow, causing both financial and reputational damage. Construction firms need to assess their risks, know how robust their GPS equipment is, and they need to be prepared. The good news is that it is possible today to test and protect against current and future threats.
TECHNOLOGY
Ongoing Testing
Guy Buesnel is market segment lead at Spirent Communications, a global leader in test and measurement covering 3G/4G wireless, positioning technologies and network and application security. For more information, visit www. spirent.com.
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COVER STORY: THE MARTIN GROUP leads commercial and high-end residential Âť TMG projects around the country, with clients such as New York Community Bank.
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COVER STORY: THE MARTIN GROUP
DATA DELIVERY
The Martin Group drives business through its connections in the data center industry. BY TIM O’CONNOR
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s a mid-sized general contractor, The Martin Group (TMG) is able to provide the attention and resources needed by clients in any phase of their business lifecycle. “We take a lot of pride in being flexible for the companies we do business with,” President Andre Grebenstein says. TMG tends to gravitate to similarly young companies that need help in facilitating growth, but Grebenstein says the company also provides support work for several mature clients, such as on-call emergency bank repairs for a large Northeast regional bank. Being able to meet the needs of a wide range of businesses while providing hands-on service has helped TMG grow from $5 million in revenue to $70 million in just eight years. “Every client knows they have access to the people with whom the buck stops,” Grebenstein adds. Jerry Martin and Patrick Hynes, who have more than 50 years of combined construction management experience, founded the New Jersey-based general contractor
in the mid-2000s. The company started off primarily as an interior constructor, but, over time, TMG transitioned to data center work and since then has headed commercial and high-end residential projects around the country. Grebenstein says the company works in all project delivery models, including design build, construction management and lump-sum general contracting. TMG’s comfort with different types of projects recently attracted New York Life Insurance, the nation’s largest mutual life insurance company, which hired TMG to complete critical infrastructure upgrades for three of its facilities. Although the company operates in a variety of construction models, Grebenstein says design/build has been on the rise the past two years. “I think it’s speed-to-market driven,” Grebenstein says of the trend, noting that customers want projects finished sooner. TMG prime objective is to » TMG’s create partnerships with clients that lead to continuous work.
The Martin Group www.martingroupservices.com • Revenue: $70 million • HQ: Matawan, N.J. • Employees: 40 • Specia y: Construction management
“If you build a community of partners you can all succeed toge er.” – Andre Grebenstein, president
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COVER STORY: THE MARTIN GROUP
‘Every client knows they have access to the people with whom the buck stops.’ undertook three design/build projects in 2014, valued at a combined $12 million. Two of the jobs were data center expansions or upgrades and the third was a recovery project for a restaurant that was destroyed by Hurricane Sandy in 2012.
Data Center Drive As TMG has grown, data center projects have become an increasingly large segment of its business. The company entered the field by completing smaller data center infrastructure projects, such as swapping out cooling equipment. But as TMG gained experience
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and its reputation grew, the company began doing full-scale data center construction. TMG has partnered with 1547 Critical Systems Realty, a real estate developer that
specializes in data centers. Through that relationship, TMG has completed three data center projects: a small data center in Hawaii, a 35,000-square-foot facility built out
Statewide Conditioning has partnered with The Martin Group on several diverse and unique projects over the past several years. These projects range from plan and specification, design build, industrial and fit-out projects of varying scales and degrees of complexity. The Martin Group’s high standard for professionalism and customer service are consistent with Statewide Conditioning’s doctrine for mechanical contracting, making for a successful team of experts. These values have earned the Martin Group and their partners a high degree of respect among industry peers, professionals and customers alike. Statewide Conditioning looks forward to future opportunity and challenges to support The Martin Group and their customer in all aspects of their projects. The success and satisfaction of the customer is the staple of success. For further information call 732-727-8781, email info@ statewideconditioninginc.com or visit www.statewideconditioninginc.com.
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cloud-based project management system, ProCore, which provides real time access to project data to any device connected to the Internet. The cloud-based software has helped TMG teams to be more efficient and more involved with each project while giving clients instantaneous access to important documentation and communications. “It really took us to a different level as far as job costing and managing project management processes,” Grebenstein says.
Managing Growth
of the ground in Cheyenne, Wyo., and $25 million of colocation space for a building in Orangeburg, N.Y., just north of Manhattan. Grebenstein says data center work now makes up about 60 percent of TMG’s activity,
with 25 percent commercial interiors and 15 percent residential. To keep up with the increasing number of projects, TMG needed to upgrade its own data. In 2012, the company rolled out a
TMG is not the kind of contractor that chases the market, Grebenstein explains. Instead, the company identifies clients it wants to work with and looks to build those relationships. The data center community is filled with a tightly knit group of professionals who know each other and know
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COVER STORY: THE MARTIN GROUP
TMG completed an interior fit-out for United Business Media in Manhasset, N.Y.
COVER STORY: THE MARTIN GROUP
the firms within the industry. TMG fosters those connections and aligns itself with people in the field to create positive word of mouth and expand its market. Grebenstein says TMG clients learn to trust the company and are often quick to recommend TMG to others in the industry. “If you build a community of partners you all succeed together,” Grebenstein adds. As TMG has become better known in the data center field the company has had to be more conscious of the speed of its growth to continue to provide the level of service that attracts customers in the first place. To manage that growth, Grebenstein says TMG aims to add one good client each year with the goal of turning that partnership into ongoing project opportunities. The most recent additions were the LeFrak Organization, a family owned real estate firm that has enlisted TMG on projects in the Manhattan, Brooklyn and Queens boroughs of New York City, and Infocrossing, a data center company. “They are quality blue-chip clients,” Grebenstein says. Creating partnerships that lead to continuous work may be TMG’s prime objective, but Grebenstein says the company will also take on single project clients when the job is driven by an existing relation-
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ship, such as a $5 million restaurant reconstruction in Sea Bright, N.J., not far from TMG’s headquarters in Matawan, N.J. “When you’re a mid-sized company, resources are limited and you need to deploy your resources where there is maximum impact,” Grebenstein says.
Entrepreneurial Culture Being selective in the number of new clients TMG undertakes allows the company to have a clear understanding of its project pipeline and whether it must scale up staffing. Careful staff planning is a necessity for companies such as TMG where each employee can make a large impact on operations. As a result, TMG does not conduct project-based hiring; instead new team members are brought into the company only when TMG has a need for a specific skill set. Grebenstein says he looks for people who take initiative and show good judgment. If team members have a strong foundation on how to conduct business, the technical skills can be easily taught, he adds. attributes part of its »TMG success to careful staff planning on every project.
The approach has fostered an entrepreneurial culture within TMG’s ranks. “It’s an environment where we are all very forthcoming,” Grebenstein says. “We understand mistakes are made, we learn from our mistakes and don’t make them again.”
Further Support Grebenstein believes in continuous improvement and the next phase for the company will build on that dedication to quality. Throughout the organization, TMG wants to bolster the pre-construction
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F&G Mechanical Corp. Congratulations to TMG on all your accomplishments, continual growth and many years of success. F&G thanks TMG for their ongoing confidence in our ability to work together, and for the tremendous relationship we have established over the years of our partnership.
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COVER STORY: THE MARTIN GROUP
One of TMG’s data center projects was a 35,000-squarefoot facility in Cheyenne, Wyo.
department, in an effort to better support its evolving project base. “That’s a key piece to being able to support the developers,” Grebenstein says. In addition, an enhanced construction department will allow the company’s other employees to remain focused on superior project execution. Grebenstein explains that having more depth in pre-construction services will allow TMG to be at the table when key-go or no-go decisions are made on new project deals.
Commercial
By Jim Harris
Terminal Conditions
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assengers on Southwest Airlines flights to and from Los Angeles International Airport (LAX) will soon receive some much-needed breathing room. The airline broke ground in November 2014 on a $508 million modernization of LAX Terminal 1, of which the Dallas-headquartered company is the sole occupant. Southwest is contracting directly with construction manager at-risk Hensel Phelps to deliver the project, which it anticipates will be complete by the end of 2018. The program team also includes program manager AvAirPros, design manager ODEMCO, and PGAL, which is providing design and engineering expertise. The project will completely transform the terminal by adding a number of amenities and features that will give travelers a less-congested experience. The terminal will also feature a brighter, more modern internal design and fixtures. “We’re going beyond what is required by code,” Program Director Don Ostler says. “We want to make sure our passengers have a great experience.”
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The terminal project has been in the works for the past several years. “The renovation within our current space at Terminal 1 will allow us to better serve our customers today as well as provide the opportunity to expand our network options alongside any growth in customer demand,” Vice President of Airport Affairs Bob Montgomery said in a press release. In addition to better accommodating passenger flow, the terminal will also be upgraded to current seismic control regulations and receive upgraded mechanical systems. “We are touching every part of the building from the front curbside to the aircraft apron and from top to bottom,” Ostler says. “We’re keeping the bones, but fixing everything else.”
Meeting Mandates A major part of improving the experience at the terminal will involve relocating and expanding the TSA security and baggage-screening checkpoint. The existing checkpoint was retrofitted into the terminal, which was completed in the early 1980s. “The terminal was designed for a pre-9/11 type of boarding preparation, and the checkpoint was placed into available space, which created passenger difficulty,” Ostler says. “What we’re trying to do is better meet modern security requirements.” The new terminal will include a new 12-lane security-screening checkpoint and a fully automated checked baggage inspection and sorting system. An additional 37,000 square feet will be added to the
IN THIS SECTION terminal to accommodate the new checkpoint, increasing its total area to 400,000 square feet. Other key features of the new terminal will include a refurbished arrival and baggage claim area; new passenger boarding bridges; renovations to support office space; a modernized aircraft parking, apron pavement and hydrant fueling system; façade improvements and relocation of the main terminal entrances and ticketing lobby to the west end of the building. “By reorganizing the interior uses of the building and shifting the ticketing lobby and main entrances to the west, passenger drop off and pick up areas are anticipated to improve, as well as congestion in front of Terminal 1 reduced,” Southwest Airlines says. The new terminal will have 13 gates capable of accommodating Boeing 737-800 aircraft. The airline currently operates 125 flights a day. Southwest serves more than 7.4 million passengers at LAX annually, which is roughly 11.1 percent of the airport’s total passenger volume.
Modern Amenities Travelers will encounter even more amenities beyond the security checkpoint, as the terminal’s concourse will be redesigned to have a “hip, modern Californian feel that taps into the LA feeling and energy of the Southwest brand,” the airline says. Southwest Airlines is collaborating with airport owner Los Angeles World Airports (LAWA) and concession manager and operator Westfield on the design of the concourse. “The design vision forges the unexpected with efficiency, which is expressed through simple but sculptural forms curated with artisanal, creative and fun products, palette, and finishes,” Southwest Airlines adds. “The design is expected to bring the terminal to life with opened and expanded views to flight operations and inviting sight lines outside, as well as authentic layers of materials and finishes, sculpted facades and pops of color inside.” The concourse will feature roughly 35,000 square feet of concessions, nearly double the current 16,000 square feet. “People will have many more choices,” Ostler says. The concourse will include full-service restaurants along with a variety of casual and on-the-go food offerings, as well as new high-end retail and shops offering traveler essentials. Rock & Brews, a casual dining restaurant founded by Gene Simmons of the rock band KISS, will be one of the new dining anchors of the concourse. “The redevelopment of Terminal 1 is another pivotal milestone in our journey to bring world-class dining, retail and amenities to the millions of travelers who use LAX as their gateway to the world,” Westfield Executive Vice President Dominic Lowe says. “We are thrilled to partner with Southwest Airlines and Los Angeles World Airports to create a uniquely Los Angeles, cutting-edge new environ-
Bay to Bay Properties p.38
Bay to Bay Properties is expanding its client base to include big-box retail. Company Profiles 24 29 32 34 36 38 41 44 46 48 50 53 58 60 62 64 68 70
Yates Construction Allied Builders System – PBS Hawaii Headquarters Barry Swenson Builder - San Jose Skyport Marriott Bossart Builders DMR Architects Bay to Bay Properties Boyle Investment Company Embrey – The Carillon KPRS Construction Lisgar Construction Klewin Construction Itzko Glass and Metal Phoenix Associates Construction SG Construction – Shearer’s Foods The Weitz Company LLC – One Belleview Station Oddo Development Vila Construction VJA Construction
ment and passenger experience to rival the world’s best terminals.”
‘World Class’ The Southwest Terminal modernization project is part of an overall $8.5 billion capital improvement program at the airport. The program, dubbed “LAX Is Happening,” includes a number of terminal and runway improvements projected to conclude by 2018. Recently completed improvements include a new international terminal. “The Terminal 1 improvement project will bring a better passenger experience and 1,500 construction jobs to LAX,” LA Mayor Eric Garcetti said in a press release. “As part of our investment in LAX, we’re remodeling every terminal and creating 40,000 jobs, because Los Angeles deserves a world-class airport.”
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Commercial | YATES CONSTRUCTION – CENTURYLINK TECHNOLOGY CENTER OF EXCELLENCE
Future Tech
YATES IS COMPLETING CENTURYLINK’S NEW TECHNOLOGY CENTER OF EXCELLENCE. BY RUSS GAGER
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echnology is a major driver of the U.S. economy, and contributing to that growth is the new Technology Center of Excellence being completed for CenturyLink next to its headquarters in Monroe, La. The third-largest telecommunications company in the United States, CenturyLink hosts IT solutions for enterprise customers and provides cloud infrastructure in the network services market. Constructing the futuristic, three-story, 325,000-square-foot facility has been a challenging, fast-track project for construction manager Yates Construction. “It’s quite unique,” Project Executive Cleet McHenry declares. “It’s not a typical building – everything slopes and curves. We had a site package and a steel package that came out initially to get started with the foundations
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and steel. The interior package came along after that.” Additional construction challenges were the weather. “We’ve had two of the worst winters we’ve had in a long time,” McHenry laments. “Our biggest obstacle was just the weather. It was really colder and wetter than normal.” Despite these challenges, when construction of the project began in March 2013, Yates Construction had no lost man-hours due to accidents or injuries on the job, and the ribbon-cutting was held on schedule on March 26. Yates Construction self-performed some minor activities such as assisting with concrete, erosion control and site maintenance, but hired approximately 35 subcontractors – 60 percent of whom were local – to work on the technology
center. Until summer, the finishing touches are being put on the building. The CenturyLink Technology Center of Excellence includes a technology research and development lab, a network opera-
Yates Construction – CenturyLink Technology Center of Excellence www.wgyates.com • Location: Monroe, La. • Employees onsite at peak: 12 • Scope of work: Technology center
“It’s not a typical building – every ing lopes and curves.” – Cleet McHenry, project executive
More than 1,700 augur cast pilings were driven for the center and a five-story concrete parking garage next to it that handles 1,202 vehicles. Adjacent to the garage is a separate mechanical building that houses the chillers, cooling towers, back-up electrical generators and other equipment. This design eliminates the need for roof-mounted mechanical equipment. The center’s concrete foundation stabilizes
Yates is happy to work on the CenturyLink Technology Center of Excellence with its unique design.
its steel structure and features a concrete deck flooring system. Approximately 60 percent of the exterior is an insulated curved aluminum panel system and 40 percent is curved curtainwall that gives a futuristic feel to the building and its sloped roof.
Network Lab The second floor of the center is approximately 36,000 square feet that is dedicated
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tions center and collaborative office and meeting space. It also includes a customer experience center where the company’s latest offerings will be demonstrated, along with an executive briefing center that will enable sales and support teams to present solutions to current and prospective customers’ challenges.
Innovation Hub In the center, employees with skills in networking, the cloud, information technology and other areas will work together to create innovative products and services for CenturyLink’s customers. They will have unique workspace options that will enable them to collaborate and innovate anywhere on the campus through voice-over-Internet Protocol service. The company is transitioning from a traditional network communications provider to an integrated provider of advanced IP-enabled network, cloud, hosting and IT services. CenturyLink considers the Technology Center of Excellence to be key to accomplishing this transition successfully.
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Commercial | YATES CONSTRUCTION – CENTURYLINK TECHNOLOGY CENTER OF EXCELLENCE
technology center’s concrete »The foundation stabilizes its steel structure.
to the network lab, which has a capacity of 800 racks, each of which will hold multiple servers. The floor is raised two feet above the actual floor to allow the routing of communication cables, electricity and room for ventilation. “When the temperature is right on the outside, the lab will circulate 100 percent of outside fresh air,” McHenry says. “When the temperature outside is 55 degrees and the humidity is right, they’ll utilize that to cool the lab. Once it is fully occupied, keeping it cool will be a huge load.” The network operations center is also on the second floor. It can seat up to 160 people and has a large wall covered with flat screen displays that monitor the entire computer network.
Move a Street The CenturyLink Technology Center of Excellence has been built in a portion of a street, a pecan grove and a small parking lot. “We had to basically go in and move a half-mile-long city street,” McHenry
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remembers. “We had to get the zoning and planning for it.” The street was removed and the 365,000-square-foot corporate headquarters connected to the new technology center with a circle-shaped plaza
that measures approximately 50,000 square feet or 2.2 acres and is covered with brick pavers. “There’s about 17,500 square feet of water with 11 fountains in it,” McHenry says. To make way for the technology center, approximately 82 pecan trees were harvested and milled locally. This yielded approximately 20,000 square feet of lumber, from which veneer paneling and flooring, as well as solid material for coffee bar countertops throughout the facility, were produced.
‘This is a project that will win numerous national awards for design.’ “We ended up with 72,000 3-inch pecan, tongue-and-groove veneer panels with a birch backer on it,” McHenry says. Approximately 18,000 square feet of the paneling covers walls throughout the center, except for 1,100 square feet, which was used as a border in the executive briefing conference room around a large carpet inlay under the conference tables. The landscape design for the campus included planting a new tree for each tree that was removed, and more than 100 trees have been planted, along with other vegetation.
LEED Silver The architectural firm of Moody Nolan designed the CenturyLink Technology Center of Excellence to aim for LEED Silver certification. It features a mixture of 28 varieties of slow-growing The new CenturyLink structure has been designed to have a lot of energy-saving features.
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Commercial | YATES CONSTRUCTION – CENTURYLINK TECHNOLOGY CENTER OF EXCELLENCE
The technology center will employ a daylight harvesting system to help it save energy.
vegetation that bloom throughout the year on the lower roof along with a white membrane on the upper roof. These roof surfaces are visible from the adjacent existing headquarters facility and provide a striking visual appearance along with emphasizing the sustainable features of the two materials. Other energy-saving features include tankless, point-of-source
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hot water heating in restrooms and break rooms, “smart building” controls for mechanical and electrical systems, LED lighting, intelligent electrochromic windows, audio/visual equipment, security devices, uninterruptible power supplies and generator backup systems. The carpeting and systems furniture are 100 percent recyclable. McHenry attributes the single-biggest energy savings to the 37,000 square feet of electrochromic glass, which CenturyLink calculates is the single-largest installation of that glass in the country. It changes tinting based on the angle of the sun and the time of day. “It also helps out on the radiant heat inside the building and helps control the lighting,” McHenry says. “If you have as much glass as we have here, if it’s really bright outside, it’s hard to work in here. The tinting helps with the glare of the sun.” The electrochromic glass leverages nanotechnology and pre-programmed intelligence to tint automatically in response to outside conditions and user preferences, eliminating the need for blinds or shades. Its manufacturer reports it has been shown to reduce lighting, heating and cooling loads in typical buildings by 20 percent or more. The technology center’s daylight harvesting system features dimmable ballasts, which allow the building to save energy. The lighting design reportedly optimizes energy performance by 20 percent over the current energy code. High-performance luminaries and daylight harvesting will contribute to reductions in energy-use goals. Building occupants have control of their environment through low-voltage controls within the space as well as task lighting. Each floor of the technology center has dedicated storage areas for recycling glass, plastic, metal and paper. Items from these collection points will be gathered weekly, and a similar recycling program will be established in the current headquarters building. “This is a project that will win numerous national awards for design,” McHenry predicts. “It’s really unique, and we want to make sure we do it justice.”
Commercial | ALLIED BUILDERS SYSTEM – PBS HAWAII HEADQUARTERS
Hawaii is getting help from the » PBS local community in funding and promoting its new headquarters.
Live From Hawaii
ALLIED BUILDERS SYSTEM IS HARD AT WORK ON PBS HAWAII’S NEW HEADQUARTERS. BY JIM HARRIS
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BS Hawaii’s new headquarters will be more than just a broadcast relay point for episodes of “Sesame Street” or “Downton Abbey.” The office center and broadcast facility, projected to open April 2016, will help the multimedia organization better serve the island community with cultural, educational and other programs. “This will be a very multifaceted facility,” says Brendan Inglis, a project manager for Allied Builders System (ABS), the general contractor for the facility located in Honolulu. “This facility is meant to be welcoming for the public and will feature community and learning activities.” The two-story, 36,000-square-foot facility – which will be called The Clarence T.C. Ching Campus – will include educational spaces,
a media center, main television studio, emergency broadcast center and offices. The campus will also include a student media innovation center “Learning Zone” for young journalists and teachers involved in the station’s statewide student news initiative, HIKI NŌ. ABS broke ground on the $30 million project in November 2014. Group 70 International is the project architect and Cummings Corp. is the construction manager. “This will be a 21st-century building for a 21st-century Hawaii,” Leslie Wilcox, president and CEO of PBS Hawaii, said in a statement. “Our team has spent a great deal of time on the technology design, which will further help us create, communicate and collaborate.” PBS Hawaii is also looking to the community for help in funding and promoting the
construction project. “Thanks to the generosity of Hawaii’s individuals, foundations and businesses, and with support from the Hawaii state legislature and state administration, PBS Hawaii has reached nearly 90
Allied Builders System – PBS Hawaii Headquarters www.abs.cc www.pbshawaii.org • Location: Honolulu • Employees on ite at peak: 30 • Scope of work: Broadcast center and office facility
“This will be a very mu ifaceted facility.” – Brendan Inglis, project manager
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Commercial | ALLIED BUILDERS SYSTEM – PBS HAWAII HEADQUARTERS
Most of ABS’s work on the project involves adding a second story to an existing building.
percent of its $30 million campaign goal,” PBS Hawaii adds.
Putting it Together The bulk of ABS’s work on the project involves adding a second story to an existing building that formerly housed two television stations. The company is also completely renovating the first story of the building. The new second story is supported by structural steel and will feature exterior glazing. The building’s exterior will also include a decorative aluminum sunscreen featuring artwork depicting Hawaiian culture and landscapes, Inglis says. The majority of the materials being used on the project are being shipped to the island from the continental United States. ABS is working closely with material suppliers on the mainland to ensure materials arrive in a timely manner. “Hawaii has very limited manufacturing here on the island,” he adds. “Material procurement is one of the biggest challenges for projects in Hawaii in general.” Coordinating the transfer of the broadcast signal from PBS’s current leased
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facility at the University of Hawaii at Manoa to the new facility without downtime or a drop in quality is also a challenge. “The build in and of itself is not overly complicated, but getting materials on time, coordinating the schedule and then, at the end, flipping the switch and making it a TV station is,” Inglis says. Allied is working with Atlanta-based media integration firm TI Broadcast Solutions Group on the project’s technical aspects.
Partnership Builders PBS Hawaii awarded ABS the contract from a field of 13 general contractors. “We are so pleased to be working with a great company,” Robbie Alm, chairman of the PBS Hawaii board of directors, said in a statement. “They have a proud record of outstanding work in this community and we really wanted to do this project with a company who will be a true partner in the building of our new home.” Founded in 1970, ABS is an employee-owned and operated general contractor that provides a wide range of planning and
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construction services including commercial remodeling, hospitality and medical construction, new mid-rise buildings and industrial facilities. “The exceptional craftsmanship that defines ABS is readily recognized in many structures, from residences to high-profile commercial buildings throughout the state,” the company says. The company specializes in projects such as design/assist and design/build that require a high degree of teamwork. “We are familiar with the community and how construction works in Hawaii,” Inglis says. “We have good relationships with subcontractors, which allows us to better serve our clients.” The company is regularly recognized as one of Hawaii’s top-250 companies and as a top-20 contractor in the state. “One of our strengths is our ability to build successful partnerships with clients, architects, designers and sub-contractors,” ABS adds. “The ABS team philosophy is extended to each project partnership. Mutual trust and respect is paramount to our success, and ABS offers a professional, hands-on approach to every client and project.”
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Commercial | BARRY SWENSON BUILDER – SAN JOSE SKYPORT MARRIOTT
Sowing Silicon Valley
A DUAL-BRANDED HOTEL IS BARRY SWENSON BUILDERS’ LATEST CONTRIBUTION TO SAN JOSE, CALIF. Barry Swenson Builder has taken an active role in the development of San Jose, Calif., for several decades.
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he Swenson family has taken an active role in the development of San Jose, Calif., for more than 100 years. The family is responsible for a number of city landmarks including the Hotel D’Anza – completed in the 1930s – and the San Jose City Hall and Civic Center. Barry Swenson Builder, a company founded in 1977 by owner and President Barry Swenson – the third generation of builders in the family – is continuing the family legacy started in 1912 by Carl N. Swenson, Barry Swenson’s grandfather. The company, which has completed corporate offices for IBM and Echelon Corp. as well as educational facilities and other buildings, is nearing completion on a project that will help the city meet a need for additional hospitality spaces. The company broke ground in 2013 on two Marriott-branded hotels on a 3.21 acre
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site near San Jose International Airport. A 175-room Residence Inn and a 146-room SpringHill Suites will share a single seven-story building, with guestrooms on the second through seventh floors. The hotels will share a pool, health club, gift shop, three-story parking garage and back-ofhouse areas. Both hotels are owned and operated by Huntington Hotel Group and its affiliate San Jose HHG Hotel Development LP. “We recognized the need for additional extended-stay lodging in the area due to the success of Silicon Valley technology companies and new/expanding companies driving employment growth,” Huntington Hotel Group principal Kevin Keefer said. “We are pleased to hear about several state-of-the-art corporate headquarters being developed in the surrounding area.”
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Barry Swenson Builder – San Jose Skyport Marrio
www.barryswensonbuilder.com • Location: San Jose, Calif. • Scope of work: Hotel construction
“We ecognized e need for additional extended-stay lodging in e area.” – Huntington Hotel Group
San Jose is home to more than 6,600 technology companies employing more than 254,000 people. In addition, 14 Fortune 500 companies are located there. “Our longstanding history building well-located branded hotels makes us and HHG a perfect fit to build the duel-branded Marriott,” said Michael Black, senior development manager with Barry Swenson Builder.
Solid Structures
Other Developments The hotel project is one of several Barry Swenson Builder has under construction in San Jose. The company in December 2016 is slated to complete Centerra, a high-rise building in the city’s downtown that also broke ground in 2013. The $149 million, 21-story Centerra building will include 347 apartments as well as 7,000 square feet of retail space on its first floor. Retail spaces include 14 small “live/work” units, which consist of first-floor storefronts connected to two-story living quarters on the second and third floors for storeowners. “The city wants to provide an outlet for small businesses, especially in the downtown community, while also encouraging people to live here,” the company adds. In addition to serving as the general contractor on the Centerra project, the company also served as architect and original developer on the property. The company spearheaded the initial planning and permitting process before turning the project over to Simeon Residential Properties, which is now Centerra’s owner.
The Centerra tower features a structural shear wall system known as Landmaker. The system, developed in part by Barry Swenson Builder and used in many of its projects in the area, in a post-tensioned slab system that includes the building’s foundation, floor slabs, columns, shear walls and other structural elements. Shear walls are placed on the perimeter of the building as opposed to at their central core. Balancing walls are placed behind the perimeter walls. “The Landmaker structural system is the result of extensive research and development to create the most reliable, affordable solution to the unique seismic requirements of today’s mid- and high-rise structures,” Barry Swenson Builder says. The system allows for a more rapid design and construction process, as well as added protection in a seismic event. “While our primary focus is on structural safety and sustainability, the inherent cost benefit is undeniable,” the company adds. “By utilizing the Landmaker Structural System, we can construct a mid- to high-rise project at up to half the price of a similar steel system.” The hotel and Centerra projects follow several retail and commercial developments spearheaded by Barry Swenson Builder. These include City Heights, San Jose’s first downtown high-rise residential condo project, completed in 2007, and San Pedro Square Market, an urban market that opened in 2011 in San Pedro Square, at the edge of San Jose’s downtown.
‘The city wants to provide an outlet for small businesses, especially downtown.’ The 593,000-square-foot concrete building will feature a precast concrete finish with inserted bricks on the exterior of its first five floors. Upper levels will feature a glass fiber-reinforced concrete finish with simulated brick. The first five floors will serve as the base of the building. Each of these five floors will include 50,000 square feet of retail, living and amenity areas including a fitness center, pool, spa, community room and storage area. The building’s top floors will step down in size to 30,000 and ultimately 17,000 square feet in area each.
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Commercial | BOSSART BUILDERS
20 Years of Building
BOSSART BUILDERS ADAPTS TO NEW MULTIPURPOSE TRENDS IN CHURCH BUILDING. BY STEPHANIE CRETS
Bossart Builders www.bossartbuilders.com • Headquarters: Flanders, N.J. • Employees: Four • Specia y: Commercial
“Churches want large areas for people to come toge er before and a er ervice. Every ing is more of a contemporary community center a er an a ‘church’ look.”– Dave Bossart, president
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ot many builders specialize in houses of worship, but Bossart Builders is the most active church builder in New Jersey. This year, the company celebrates 20 years of building more than a half-million square feet of commercial, institutional and multifamily residential buildings, as well as more than 50 churches from Connecticut to Virginia. Over the years, Bossart Builders has built all kinds of commercial properties. But a company in upstate New York that happened to be designing a lot of churches was looking for a commercial builder in 1995. The company needed a construction manager to coordinate the projects and that’s how Bossart Builders jumped into the church building business. But the company doesn’t construct runof-the-mill houses of worship. Church communities today want full-on, multipurpose buildings for church services, community centers, after-school programs and much more. Most are constructed with moveable pews to service banquets, weddings and other events. Some newly designed churches even have libraries, lounges, coffee bars, bookstores and performing arts stages incorporated into their layouts. “They want large fellowship and foyer areas for people to come together before and after service,” says Dave Bossart, president
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» Bossart Builders help churches provide full-on, multipurpose structures for their patrons.
of Bossart Builders. “Most of our projects have that. Everything is more of a contemporary community center rather than a ‘traditional church’ look.” A church Bossart Builders constructed in Pleasantville, N.J., had a full-size gymnasium due to its youth presence because youth centers have a big
draw to reach out to the community. Bossart Builders also incorporates green building techniques into its designs to make the structures more energy efficient. Bossart himself has taken a number of courses and has a designation as a certified green professional. “I incorporate those
design features to help with efficiency,” he says. “We work along with architects, planners and engineers to design energy-efficient buildings.”
Community and Industry Involvement Bossart maintains a focus on commercial properties, but he also does much building for the community, such as affordable housing. He himself is a 20-year volunteer for Habitat for Humanity. Jason Bossart, his son, joined the business more than 10 years ago. Both are past presidents of the Metro Builders Association in New Jersey. Dave Bossart serves as the Area II New York/New Jersey chairman for the National Associate of Home Builders (NAHB). “My son and I are very active in the homebuilders association on the state, local and national levels,” Bossart explains. “I’m also involved with the Habitat for Humanity organization. I’ve been to Honduras to help build affordable housing, and I recently got back from Armenia, where we
took a team of 16 people to build affordable housing in that country.” Because of his construction management skills, Bossart was named the Community Builders Association (CBA) builder of the year in 2006 and received the CBA Founders Award in 2009. He also presided over the development of the Education-Dream House in Greenbrook, N.J., which won a National Building Award from the NAHB. In 2010, Bossart Builders won the New Jersey Builders Association SAM awards for both Shiloh Pentecostal Church as the “best commercial redevelopment project” and for Mt. Zion Baptist Community Center as the “best commercial building project.” In the last 10 years, many build-
ing awards have been received by Bossart Builders for its church, institutional and residential buildings. The accreditations only strengthen Bossart’s commitment to work. “We’re currently very busy, building six or eight churches a year,” Bossart says. “It’s picking up again after things slowed down a bit during the recession in 2008. Now churches are coming back and finally starting their previously approved projects.” Bossart works as construction manager on his projects and coordinates trades, material suppliers, engineers, architects and planners. “We coordinate the entire development team to bring the project to completion and final certificate of occupancy,” he says.
Quality Electric & Data Inc. has been associated with Bossart Builders for several years. Through Metro Builders association, Quality has forged a business relationship which has involved the two companies in many ventures. We have had the pleasure of contributing to our community as well through Habitat for Humanity and other various charitable associations. Our company has grown through diversity of business, people and associations for the past 35 years, delivering exceptional customer service and accepting nothing less than full customer satisfaction. We are proud to be associated with a company like Bossart Builders who exemplifies the same standards.
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Commercial | DMR ARCHITECTS
Concept to Reality DMR ARCHITECTS PRIDES ITSELF ON EVERY PROJECT IT HAS COMPLETED. BY JANICE HOPPE
Architects is dedicated to progressive, » DMR innovative and sustainable architecture, planning and urban design.
DMR Architects www.dmrarchitects.com • Revenue: $35 million+ • Headquarters: Hasbrouck Heights, N.J. • Employees: 35 • Specia y: Architecture
“We have more opportunity to develop and will continue to do what we do, and do it well.” – Lloyd Rosenberg, president and founder
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MR Architects began as a small architectural firm in 1991 with a team of three people and today has become one of the top-five firms in New Jersey with a staff of 35 that will celebrate its 25th anniversary next
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year. “We don’t see challenges; rather, we see situations that need to be solved to get projects completed,” President and founder Lloyd Rosenberg says. “The more problems we get as architects, planners and designers, the more we get to solve and we are really good at solving problems.” The Hasbrouck Heights, N.J.-based firm is dedicated to progressive, innovative and sustainable architecture, planning and urban design. DMR Architects specializes in a diverse range of project types and services, including architecture, urban planning, landscape architecture, sustainable design, interior design and construction administration. The firm performs its services for different sectors, such as public, education, corporate, residential and healthcare. DMR Architects’ licensed professionals in architecture, interior design, landscape
architecture, professional planning, construction inspection and LEED work to ensure its clients’ goals become a reality. The firm will design and create spaces that are functional, aesthetically pleasing and fiscally responsible. “We are very client-oriented. We service our clients to make sure that their needs and the needs of the people who occupy and use the facilities we are designing are met,” Rosenberg says. “We have a talented staff and our projects are led by a senior member of the team. Staff members are assigned to a project based on their expertise in that area, so it keeps them satisfied and the clients satisfied.”
Changing Needs DMR Architects prides itself on being problem-solvers for its clients. The chal-
‘There are always changes in the economy, technology and the way people live.’ lenges that can arise on projects include budgets, schedules, client demands and approvals, and the firm is charged with finding solutions. “There are things we need like approvals from the state or municipal government, financing approvals and developers to agree on what they want to do, for example, in order for all the ingredients to come together to go from concept to reality,” Rosenberg explains. The market sectors DMR Architects specializes in are always changing because of the economy, but the firm is well-positioned in the industry by providing its service to a variety of markets. This helps diminish risks because if one sector is in a downturn, another is most likely doing well. “There are always changes in the economy, technology and the way people live,” Rosenberg notes. New Jersey’s residential market and urban areas are in the process of a big transformation, Rosenberg explains. Today, people want more compact residential units for rent and various amenities and common spaces. In the corporate sector, security is a major focus and to meet those needs DMR Architects designs more secure and protected environments. The healthcare industry is seeing an increase in developing condition-specific buildings, which are separate from hospitals. “The markets are always changing and our clients keep us updated on the changes that go on,” Rosenberg adds. DMR Architects is also seeing an increase in sustainable design, energy-efficiency and LEED-certified buildings. This trend, however, is not new for the firm as it has always designed in the most efficient way while considering construction and operating costs. “Some of our clients want to achieve LEED Gold, Silver or Platinum certification on their buildings and we bring a degree of expertise in sustainability,” Rosenberg says.
mayor and city council. The plan includes strategies to revitalize the downtown, including improvements to the infrastructure, residential, retail and entertainment options, as well as parks, open spaces and streetscapes. Recently, DMR Architects began redesigning and converting Main Street in Hackensack back to a two-way street and designing a mixed-use development along the street. “In its early days, Main Street was a two-way street with a lot of retail and residential on it,” Rosenberg explains. “It was later converted to a one-way street because it was faster to get out of town. We are converting it back to a two-way street to keep people in town.” Moving forward, DMR Architects is positive about its future and expanding into New York, Connecticut and overseas to China. “We are enjoying the better economy now and things have definitely improved from a number of years ago,” Rosenberg notes. “We have more opportunity to develop and will continue to do what we do, and do it well. Wherever our clients go, we will follow them and expand geographically.”
Designed to Perfection Listening is the most important lesson DMR Architects has learned in its 24 years of business. The firm has to hear not only what the client wants, but also what interested parties, state and municipal governments, consultants, engineers and planners are saying and then incorporate it all. “We have a process in our office of going back and reviewing our lessons learned on every project,” Rosenberg adds. “Learning is a continuous process and it’s different things depending on the project. In terms of our projects, I’m proud of them all and have a lot of favorites.” DMR Architects has been working with the city of Hackensack for the past few years as its urban design, planning and redevelopment consultant. In 2011, the firm designated 163 acres in the city as “an area in need of rehabilitation.” The next year, DMR Architects presented a comprehensive rehabilitation plan that was adopted by the
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Commercial | BAY TO BAY PROPERTIES
Bay to Bay sees big-box retailers as the pathway to larger dollar-value projects.
Retail Mavens BAY TO BAY PROPERTIES BUILDS WITH EFFICIENCY AND RELATIONSHIPS IN MIND. BY STEPHANIE CRETS
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were working on investment properties. From there, they began remodeling residential properties, successfully building and selling spec houses and dabbling in light commercial work. Soon the pair established a client base with developers that were focusing on the growing dollar store programs, such as Family Dollar and Dollar General. “The market was hot, but we were still growing our infrastructure and team, so we didn’t overextend ourselves,” Ciliento explains. “We learned that saying ‘no’ to a
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ay to Bay Properties has grown from just a two-man company beginning in 2003. Childhood friends Jerome Ciliento and Joseph Faw, co-owners of Bay to Bay, got into A REG ID I the construction R industry together. Coming out of school, the two decided to try out P renovations for T OT some friends that LIGH
Bay to Bay Properties www.baytobayproperties.com • Revenue: $35 to $40 million • Employees: 25 • Location: Safety Harbor, Fla. • Specia y: Commercial construction
“These are e years for us to grow and do it e ight way because you only have one hot and we’re taking it.” – Jerome Ciliento, co-owner
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Bay to Bay strives to be the best construction firm in the market by understanding clients’ needs.
job can be the difference between success and failure.” Bay to Bay’s goal was to be the best construction firm in the market. Dedicated to understanding its clients’ needs allowed it to stay ahead of each project and deliver a quality product on time and on budget. The company’s reputation spread rapidly
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among the industry’s major developers, opening the door to most of the major expanding national retailers. “We’ve had a lot of growth because we know how to scale, we have the proper staff in place, we have the right infrastructure and we’ve put a lot into our IT,” he says. “We strive to stay on the cutting-edge of technology.”
Bay to Bay’s core business is commercial, but it still holds onto a piece of the residential market, focusing on larger custom and speculative homes. With an average of more than 40 projects a year, the goal is to increase contract value by chasing larger work. Bay to Bay does this by developing and maintaining good relationships with developers, owner, suppliers, vendors, subcontractors and being active in the community. “We’ve learned that as a contractor, you have to always be on your A-game and our goal isn’t to win one job; it’s to win the trust and relationship with the developer.” Bay to Bay is also expanding into big-box retailers. Ciliento believes it is the pathway to larger dollar-value projects.
Data Driven Bay to Bay is a fully data-driven company. It tracks everything from the number of jobs it is winning to the speed of a project, to what engineers and municipalities are easy or difficult to work with and projects from New Jersey to Miami.
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Commercial | BAY TO BAY PROPERTIES
Bay to Bay takes pride in managing “chaos” on projects and executing them well.
Through analyzing and tracking, Bay to Bay has also seen all margins and pricing going up for suppliers and subcontractors. “One thing that’s been a little bit of a struggle is that once the market took a turn for the better, a lot of people were working from budgets that were a year old,” Ciliento explains. “But they’re finally coming around to the turning market.”
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Ciliento says that he worked with subcontractors that were just trying to keep their doors open and doing projects at-cost. To not take a hit during the down market, Bay to Bay focused on volume and efficiencies. “Our efficiencies come from our systems and keeping everyone accountable,” he says. “When you have 90 to 120 days from a permit issued to transform a cow pasture into a store selling products, you don’t have any downtime or room for error. That’s been good training for us and we can compete with the big boys because we can turn projects quicker.” Bay to Bay has strategies in place for where it wants to be in three years. The goal is to be a $100 million company by 2018, which Ciliento sees as completely feasible given its current tactics. “We compare construction to flying a plane,” Ciliento says. “The takeoff and landing are the most difficult. Starting the job is the takeoff and we need to make sure all systems are a go or else you never make it off the runway. The same goes for the landing; we understand the importance of closing out a job and getting everything ready for the final approach. We’re willing to pay more for talent and we created a culture of self-accountability with the understanding that any of us are here to jump in and help out when needed.” This has allowed Bay to Bay to grow quicker. Plus, both Ciliento and Faw pay themselves a modest salary in order to build a stronger team. “We’re a lean machine,” Ciliento says. “We can bid lean work and beat out these $200-million-a-year companies because we’re more efficient.” This all comes back to the company’s systems, infrastructure and willingness to adapt to new technologies. “Our job is to manage the chaos and inconsistencies and understand the project to its fullest, then executing it,” Ciliento says. “Joe and I are here in the office from the sunrise to sundown. These are the years for us to grow and do it the right way because you only have one shot and we’re taking it.”
Commercial | BOYLE INVESTMENT COMPANY
Building History BOYLE INVESTMENT COMPANY HAS BEEN DEVELOPING TENNESSEE FOR MORE THAN 82 YEARS. BY RUSS GAGER
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frequent stop for tourists in the Nashville area is The Hermitage, the estate of Andrew Jackson, who was the seventh president of the United States first elected in 1829. Although he is not remembered primarily as a land developer, locating Memphis where it is now was one of his projects, and an ancestor of the family that now owns Boyle Investment Company – a prominent developer in Tennessee and Alabama since incorporating in 1933 – was there with Old Hickory. “The family has been involved in Memphis real estate since the founding of Memphis,” Boyle Investment Company Executive Vice President Russell Bloodworth says of the Boyle family. “One of the three founders of Memphis was John Overton, and the family descends from him. Overton, Andrew Jackson and General James Winchester did this speculative development on the bluffs of the Mississippi in 1819. So the family just had a long history of investment in Memphis.” That speculative development became Memphis, which in the early 20th century created its own style of the blues. But Boyle
Boyle Investment Company www.boyle.com • Projected 2015 evenue: $100 million • Headquarters: Memphis • Employees: 119 • Specia y: Development and long-term ownership of investment property and mixed-use development
“We approach ings wi tremendous isk aversion.” – Russell Bloodwor , executive vice president
A rendering of the pair of buildings planned for five acres at 11th Avenue North and Nelson Merry Street at Boyle’s Capitol View project in Nashville, Tenn.
Investment Company has kept the blues away from its investments by sticking with what it knows in Tennessee and Alabama. “We’ve tried to stay where we understood more of what we were doing than get off into markets that we didn’t understand very well,” Bloodworth says. He thinks the most complex of recent Boyle Investment Company projects is Capitol View in Nashville. “It’s about a 40-acre downtown project where we are in a joint venture with Northwest Mutual Life Insurance Co. and are developing an area immediately adjacent to the capitol building in downtown Nashville,” Bloodworth says. “The first primary user that has gone in is the headquarters for the Hospital Corp. of America (HCA).” The 11-story tower under construction for HCA will include a hotel, retail and apartments in an urban configuration. Other developments by Boyle Investment Company include a Whole Foods
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market in Birmingham, Ala., several shopping center additions and office buildings in Nashville, along with a large Publix grocery store, a 600-acre multi-use development called Berry Farms in Franklin, Tenn., and a 50,000-square-foot office building in Collierville, Tenn., outside of Memphis. An apartment community and a 443-acre, mixed-use development called Schilling Farms is being developed. “We’re also finishing up a retail, hotel and office redo of a project called City Park in Brentwood, Tenn., which is a suburb of Nashville,” Bloodworth says. “We’ve got a lot going on if you look at it.”
Long-term Holder Boyle Investment Company develops and manages its projects. “Most projects are owned by our company,” Bloodworth says. “We are a very long-term holder of investment property. I’m going to guess
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Commercial | BOYLE INVESTMENT COMPANY
the average hold would be in excess of 25 years. We do occasionally develop for third parties, and we do a good number of joint ventures with both lenders and high-wealth individuals.” The company usually has control over the projects on which it works. “On our large-scale land development, if we’re not in control, we have a structure that allows us to have an important influence on the direction of a project,” Bloodworth says. “We’re at risk with a substantial equity contribution in everything we do and pretty attentive to trying to minimize long-term risk. Anytime you provide any service there is some risk. Most of our construction management work is for our own account, so we are at risk in a double way – not only if we give ourselves bad advice, but we’re the ones taking the advice.” Boyle Investment Company sometimes sells its holdings to achieve various goals. “We did several fairly complicated projects in Texas, and then we sold our interest in those when the market was valuing the product very highly,” Bloodworth recalls. “Maybe we shouldn’t have sold. You’re doing this based on your current view of the future, and we’re conservative. We have sometimes wished that we hadn’t sold. We’re tax-averse, and a long-term hold keeps us from having to have a lot of capital gains that we have to reinvest in a short period of time, which doesn’t always lead to the best acquisitions.”
Finding Properties Boyle Investment Company seeks properties with long-term potential. “We’re looking for very well-located properties,” Bloodworth says.
work is underway in the North Gulch in » Site Nashville, Tenn., on the Capitol View project for the headquarters for two subsidiaries of HCA.
“We’re not keen to be in a subsidiary location. We want to be able to cast a pretty clear vision and know that we are going to be in a very viable location 50 years out. That eliminates about 90 percent of the property that we might consider. So most of our locations are extremely strong locations and remain viable after a very long period.” The company holds properties until their potential can be realized. “Historically, one of our clear patterns has been to acquire large acreage tracts and hold them however long it takes until they are development-ready,” Bloodworth says. “That is sometimes a 20-year hold. Other times, we’re coming out of the ground maybe two or three years after the acquisition of a large complex tract. Our Berry Farms development – which is 600 acres with three quadrants of I-65 interchange – that project we held for about seven years as we took it through entitlements and then started development.” Completion of developments may extend beyond employees’ careers. “Most of the projects that I’ve worked on – the large-scale ones – are 30- to 40-year development tract projects. We still have one remaining site in development that we began in 1969 and we’re not quite finished. In fact, we will be redeveloping a lot of our early buildings into a more current form. So that puts us into the property management business in a big way, and it gives us kind of a long-term view to the way we structure our covenant documents and restrictions.” Some portions of a large-scale Boyle development may be sold to other parties. “But we are holding a significant amount of the property for the long haul ourselves,” Bloodworth says. “We are vitally interested in having everything crafted appropriately to go a very long period of time.” Umbrella associations that have subassociations that Boyle Investment manages are crafted to have as few surprises as possible. “Most of our large associations have never had increases in their payments over 30- or 40-year periods, which is fairly unheard of, but that’s just partially because of the way we structure them.”
Since 1933 Today, Boyle Investment Company remains family owned and is managed by Chairman J. Bayard Boyle Jr. – the son of co-founder
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Bayard Boyle Sr. – and Chairman Henry Morgan, Bayard Boyle Jr.’s brother-in-law. Paul Boyle serves as president and Henry Morgan, Jr. and Bayard Morgan serve as executive vice president. Bloodworth attributes the company’s longevity to conservative management. “The real issue has not been how to make a whole lot of new money, but how to refrain from losing money that has already been built up by previous generations,” he emphasizes. “That outlook is quite different from a young entrepreneurial startup, where you are perhaps trying to amass rather than protect and enhance investment,” Bloodworth points out. “So it’s just philosophically a different way of approaching things. We approach things with tremendous risk aversion and are willing to bypass opportunities that – although there might be a lot of profit involved – also entail taking on a lot of risk. So we would rather have a reasonable return and reasonable or lower risk than to have outsize returns with very significant risk.” The environment is a consideration for many of Boyle Investment Company’s developments and of its employees. “Several of us are very interested in environmental issues and work on pro bono-type activities to help support greening and environmental sensitivity in the land
development business,” Bloodworth says. “A good number of us are Urban Land Institute members and active there and also in our locales.” Bloodworth crystallizes his company’s concern. “I think it’s an environmental thoughtfulness that goes all the way to the original acquisition of property,” he maintains. “It’s probably most acutely felt in the planning of these mixed-use developments and how they interface with some of the natural attributes of the site – streams, contours and vegetation. We’ve always been particularly attentive to those issues and the preservation of existing vegetation and enhancement of what we find onsite. “Usually, we can make things a little bit better than the condition in which we found things.” Linkous Construction Company, Inc., based in Memphis, Tenn. is recognized as one of the largest construction firms in the Mid-South. In the past three decades Linkous has built over 40 million square feet of commercial and industrial projects ranging from manufacturing and distribution facilities to office, retail, academic and religious facilities, healthcare, assisted living, and multi-family developments. Linkous is a proud partner of Boyle Investment Company and is honored to serve as their General Contractor.
A new 50,000-square-foot office building in Collierville, Tenn., is underway at the 443-acre mixed-use Schilling Farms community.
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Commercial | EMBREY – THE CARILLON
The Embrey Influence
EMBREY DEVELOPS, BUILDS AND MANAGES JOBS FOR ITSELF AND OTHERS USING VAST EXPERIENCE.
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ounded in 1974, Embrey develops, builds and manages multifamiliy and commercial projects. The company has partnered in projects that total 40 million square feet of multifamily and commercial properties combined, and developed projects in 10 states throughout the country. It also develops projects for joint venture partners and third parties. “At Embrey, we have used three decades of market experience to develop a proven strategy for successful projects that is hard to match in our industry,” the company says. This involves research and analysis, creative approaches to challenges, open communication, inclusiveness and a commitment to do the right thing, the company says. Embrey’s senior professionals in development, construction and property management work collaboratively from start to finish because they are stakeholders with an interest in every project’s success. “This leads to valuable creativity, which is one reason why we have success with challenging locations that others may not see,” the company says. A recent Embrey project is called the Carillon. It is being built near First Tennessee Park, the home of the Nashville Sounds, a minor league baseball team of the Pacific Coast League and the Triple-A affiliate of the Oakland Athletics. The Carillon – which is scheduled to be completed in spring 2016 – is expected to drive development in the Sulphur Dell area of Nashville, where the Tennessee state library and archive buildings are planned for construction.
Luxury Apartments The Carillon will consist of 306 luxury oneand two-bedroom apartments over four stories on 3.91 acres. Square footages of the units will range from 599 to 1,704. Features in the units will include quartz and granite countertops, side-by-side refrigerators, glass-top ranges, wine refrigerators, undermount sinks in both the kitchens and bath-
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collaborates with its clients » Embrey early in a project to determine plans and help eliminate challenges.
rooms, high-end flooring, upscale plumbing and lighting features, and balconies. Residents of the Carillon’s upper floors will enjoy sweeping views of downtown Nashville’s evolving skyline, Embrey says. The top floor will provide partial views of the Nashville Sounds’ playing field. Amenities will include a 7,500-squarefoot clubhouse with a fitness center, which
Embrey – The Carillon www.embreydc.com • Location: Nashville, Tenn. • Scope of work: Mu iunit apartments
“The Embrey Partners’ cu ure is unique, and decades in e making.” – Embrey
will have rooms for yoga and multiple purposes. The Carillon also will have a gaming center, a private dining center, a presentation kitchen, two private residents’ courtyards with grilling stations, outdoor seating and an outdoor fireplace, and a resort-style swimming pool. BGO Architects and Littlejohn Engineering worked on the project. The design of The Carillon will be urban contemporary and complementary to the architecture of First Tennessee Park.
The Embrey Difference The involvement of Embrey’s construction team in a client’s project begins early in the process by collaborating on plans and site challenges. To keep costly surprises to a minimum, the construction team works hard to eliminate the unexpected by meticulous preparation and processes, a dedication to quality and established subcontractor relationships.
“Our construction teams work closely with subcontractors to develop and qualify their bids and conduct a detailed analysis of each bid,” the company says. “This detailed approach helps set us apart and allows us to achieve a more cost-efficient procurement of labor and materials than the average builder. Bids typically reflect the value placed on our long-standing working relationships, our integrity and the desire to build for Embrey.” Embrey Contractors LLC was created to deliver the same value Embrey brings to its own projects to third-party projects. The company focuses on value that maximizes return on investment. Embrey Management Services LLC is the company’s property management team. “We strategically position and proactively manage each property to enhance rental rates in the market,” the company says. “This approach highlights a strong record of enhanced property values. Our experience in analyzing competitive property statistics – such as occupancy levels, rental rates and
amenities – and using that information to present our assets in a positive light gives us a distinct competitive edge.” The strength of Embrey Management Services is in its ability to manage the expectations of investors and residents, the company says. It says its system uses proven methodology, years of experience and streamlined processes to provide annual operating plans, budgeting and financial planning reports. The company’s tenured accountants are said to prepare customized, comprehensive information for each property.
‘Continued Steady Rise’ In 1974, Walter Embrey Jr. launched Embrey Partners during one of the worst recessions in the industry. “So how has the company managed a continual steady rise? By building a core of dedicated development partners that share in the same secret to success – always doing the right thing no matter what and operating with the utmost integrity,” the company says.
Embrey Partners has been an industry player for several decades and is said to have a reputation for attracting strong leaders to its collaborative team. “In fact, many of Embrey’s top management teams offer long-standing tenures with the company and have been part of its ongoing success,” the company says. Walter Embrey Jr.’s enthusiasm for the real estate development business is ingrained in the company’s DNA. To demonstrate this, his son Trey returned to Embrey after 10 years of leading his own real estate investment and development company, which reportedly gave him insight into ownership and leadership. Power Design For 25 years, Power Design has operated as a family-run business built on an unbending foundation of quality service and loyalty to our employees and customers. With more than 130 active projects nationwide, we partner with top developers and general contractors to offer electrical contracting and engineering services, delivering high quality projects on time and in budget.
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Commercial | KPRS CONSTRUCTION
Driven By Diversity
KPRS CONSTRUCTION FLOURISHES BY PARTICIPATING IN MULTIPLE MARKET SECTORS. BY BOB RAKOW
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iversity and exceptional service are the keys to KPRS Construction’s success since its inception 18 years ago. In fact, diversity of product and loyal clients are the reasons the Brea, Calif.-based general contractor survived the recent downturn in the building industry. “The volume of work across the industry slowed down significantly, but KPRS never laid off any employees because the company always had work in the many sectors it serves,” says Joel Stensby, who founded the company along with partners Lev Rabinovich and Paul Kristedja. Those sectors include industrial, office, medical/technology, multifamily housing, hotel, retail, public facilities, tenant improvements and urban living. Additionally, KPRS’ special projects team works on public parks, film studios and schools. Clients are in both public and private sectors. A quick review of KPRS Construction’s profile demonstrates that the company is active in a variety of markets. For example, KPRS recently completed the Pasadena Playhouse Plaza office, located on the Rose Parade route on Colorado Blvd. The state-of-the art, five-story steel office building features five levels of subterranean parking and sits adjacent to the historic Pasadena Playhouse. The art deco style building is 150,000 square feet of mixed-use space for offices and retail shops on the ground floor. Last year, KPRS broke ground on several urban housing projects, including El Monte Gateway Housing and Long Beach Senior Housing. The El Monte Gateway project features several hundred units and sits adjacent to the El Monte Transit Center, a design-build project KPRS completed in 2012 with LA Metro utilizing Gensler design firm. The Irvine Hyatt has recently broken ground. On the industrial side, KPRS built Whirlpool’s southern California distribution facility, which is more than 1.7 million square
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KPRS recently completed the Pasadena Playhouse Plaza office, which is a five-story steel structure.
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KPRS Construction www.kprsinc.com • Headquarters: Brea, Calif. • Employees: 165 • Revenue: $250 million • Specia y: General contractor
“We try to match our ystem to e client’s needs.” – Joel Stensby, president
feet and measures roughly a half-mile in length, with an accelerated schedule. KPRS has several million square feet in industrial projects across southern California. The company’s retail work is equally extensive and includes the Azalea Regional Shopping Center in South Gate, Calif., the build-out of multiple Total Wine locations, and the Porsche Design store in Glendale, Calif., the Aston Martin dealership in Irvine, Calif., along with several restaurants and other retail centers. KPRS’ tenant improvement projects are a major area of work, including studio back lot projects for major production companies. The projects included sound stages,
campus conversions, screening rooms, a commissary for executives and other highend office tenant improvements. KPRS also was involved in The Angel Stadium of Anaheim’s annual off-season renovations throughout the ballpark, including improvements to the Diamond Club Restaurant, the relocation of the press box and upgrading of a reception area and private dining room at the club level.
Other phases have included construction of additional suites, restrooms and common area improvements. Eighteen years ago, KPRS started with nine employees, including the three founding partners. The company got off to a quick start, generating $250 million in billings in the first three years. That came as little surprise to the founders, who were confident the company would thrive. KPRS took on many smaller projects during the recession, but they provided sufficient work to keep the company and its employees busy, Stensby says. “Client service and product diversity have been our plan from day one. Our employees are everything to us,” he says. Three years ago, KPRS acquired Bergman Construction, a retail rollout specialist for the last 30 years that is licensed throughout the United States. The company, now known as BergmanKPRS, is located in the same building as the parent company and specializes in rollout projects for retail, automotive, restaurants and mixed-use clients. “The challenge is to assure clients that you know the product,” Stensby says. To achieve this objective, KPRS has dedicated divisions for each sector in which it works. Construction professionals who know the specific segment head the sectors. “We know the products,” he adds. The KPRS group of companies billed $240 million in 2014 and expects to be above $300 million in 2015, Stensby says. The company opened an office in Hawaii in 2008 when KPRS hired a group of construction professionals who had worked with the company in the past. KPRS has a second office in Los Angeles. “Construction is a service industry. Clients’ goals are always a priority at KPRS,” Stensby says. “With our employees’ help, we match our systems and services to the client’s needs.” Kirra Construction is proud to be a preferred subcontractor and team member to KPRS. Together we have built great relationships and quality buildings for some of the most elite developers and owners. It is our goal to provide KPRS with the highest quality in the industry so they will continue to grow and be successful. We at Kirra Construction look forward to many more successful years and projects with KPRS and the KPRS team.
Last year, KPRS broke ground on El Monte Gateway Housing, which will have several hundred units.
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Commercial | LISGAR CONSTRUCTION
Lisgar Construction maintains a reputation for being extremely hands-on with all of its projects.
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60-Years Strong LISGAR CONSTRUCTION REACHES A MILESTONE BY ALWAYS PROVIDING QUALITY WORKMANSHIP.
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isgar Construction is a Canadian company and third-generation family enterprise that attributes its longevity since 1955 to consistently maintaining an experienced and dedicated team of key personnel, at both administration and field levels. Over the years, Lisgar has acquired a reputation for providing quality workmanship and fulfilling commitments on time. Developing a good client relationship is equally as important as constructing a good building – you must earn your client’s trust and respect and never take it for granted. Lisgar has sustained corporate relations with many clients for more than half-a-century by continually striving to provide its clients the most efficient, competitive and professional quality of service.
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Over its long history, Lisgar has built and developed a wide range of projects, such as The Cookstown Manufacturers’ Outlet Mall, which has been a great success since opening in 1996. Lisgar was involved with the project from its initial conception for the planning, design and construction of the various phases. The Cookstown Outlet Mall, with over a quarter-million square feet, was the first regional tourist destination outlet mall in Ontario and now is part of the Tanger Outlet chain. It continues to be a very successful commercial tourist destination that is well known and easily recognized by its original landmark, a 160-foot-high water tower. One of Lisgar’s most recent projects is The Meadows of Aurora, a six story, 100,000-square-foot retirement community
Lisgar Construction www.lisgarconstruction.ca • Headquarters: Bo on, Ontario • Specia y: High-rise esidential, industrial, commercial and institutional
“We have uccessfully completed numerous projects in all facets of construction, and ome in very isolated and challenging environments.” – John Bifolchi, contracts manager
for York Region Christian Senior Homes, in Aurora, Ontario. Lisgar was selected to build the first phase, and has commenced preparing for the second phase to start later in the year, under Mike Morale, project manager.
Lisgar says it works to ensure its clients’ satisfaction on their projects.
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quality workmanship. We maintain a variety of skilled tradesmen on staff to meet the requirement of working within production plants and administrative offices, which often necessitates undertaking construction activities beyond conventional working hours to minimize down time and inconvenience.”
Committed to Clients
When all six phases of The Meadows of Aurora are complete, the project will result in an approximately $150 million dollar complex comprised of three residential buildings, a nursing home and a community center. The Meadows of Aurora is situated on a 16-acre site next to a conservation area. “It’s a beautiful, natural setting,” President Gino Bifolchi says. “This being the first building on a large site, we started with the most interior part of the property and worked our way out. The initial site work was substantial and we required an extensive access road, which will also service the subsequent phases. We are proud to be part of The Meadows of Aurora, and when complete it will be a well-designed, community-oriented center.”
Lisgar was founded in 1955 and is celebrating its 60th anniversary. “We have dealt with the same bonding agent, legal counsel and banking institution for over 50 years,” Bifolchi recalls. “We still conduct business with trades and suppliers who have dealt with us for 40-plus years and many of our employees have been with us over 30 years. I think it’s a combination of our experience, a strong commitment to our clients and the loyalty of our employees that has made us successful. “I also believe if you treat your suppliers, employees and clients with the same respect and professionalism that you would expect, the results will speak for themselves,” he continues. “One thing we strongly believe is, if you can’t afford to do it right the first time, you definitely can’t afford to do it a second. The challenges you avoid confronting today will inevitably become tomorrow’s problem. It sounds simple, but continually and consistently applying these principles has paid off for us and our clients.” Bifolchi concludes: “At Lisgar we measure our success by our client’s satisfaction in our performance.”
Hands-On Reputation Lisgar Construction maintains a reputation of being extremely hands-on with all of its projects and the Meadows of Aurora is no exception. Other recent projects by Lisgar include work for Ontario Power Generation, Hydro One, Toronto Community Housing Corporation, Toronto District School Board, Pearson International Airport and Tiffin Pier Condominium. Lisgar has also successfully constructed projects abroad such as The Regency Towers Condominiums in Kiev, Ukraine, and Oasis 12 Luxury Condominiums in Playa del Carmen, Mexico. One of Lisgar’s competitive advantages is its versatility. “We have had extremely vast experience, working in both the hottest and coldest climates in the world on very diverse types of projects” Contracts Manager John Bifolchi says. “We have successfully completed numerous projects in all facets of construction, ranging from civil to residential high-rise and some in very isolated and challenging environments. Lisgar prides itself on always providing exceptional
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Commercial | KLEWIN CONSTRUCTION – HACIENDA HOTEL CONVERSION PROJECT
Two in One
KLEWIN CONSTRUCTION IS CONVERTING THE MORE THAN 40-YEAR-OLD HACIENDA HOTEL NEAR LAX.
former Hacienda Hotel is located » The conveniently close to LAX, making it a popular destination for travelers.
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lewin Construction is no stranger to hotel construction. The Miami-headquartered construction management, design/build and general contracting firm is building more than 1,200 hotel rooms across the United States. One of the company’s growing markets for hospitality projects is California, where it is working on the renovation and conversion of the 300,000-square-foot Hacienda Hotel, located in El Segundo, Calif., near Los Angeles International Airport. The Rubicon Companies, a hospitality and real estate investment firm, acquired the more than 40-year-old hotel in 2013. “The Hacienda represents the kind of special situation that Rubicon focuses on, where we can bring both capital and our skill sets to create value for our investors,” Marc Gordon, founder
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and principal of the Rubicon Companies, said at the time of the acquisition. Klewin Construction in January began converting the nine-story, 626-room hotel into two different branded hotels: the Aloft by Starwood and Fairfield by Marriott. The project is projected to conclude in December. “This project is testament to Klewin’s first-class team and competitive position in the California construction market,” partner Kyle Klewin said. The $30 million renovation includes seismic upgrades as well as replacing the hotel’s exterior with an all-new curtain wall. Other improvements include guestroom and corridor improvements; new mechanical, electrical and plumbing systems; a new two-story lobby and porta cache entrance; a new pool; and new landscaping, retaining walls and site utilities.
Klewin Construction – Hacienda Hotel conversion project www.klewin.com • Project cost: $30 million • Location: El Segundo, Calif. • Scope of work: Hotel enovation
“This project is testament to Klewin’s first-class team and competitive position in e California construction market.” – Klewin Construction Building the Best Klewin Construction provides a full range of preconstruction and construction services to its clients including construction management, site and building studies, design-build, scheduling, administration,
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Commercial | KLEWIN CONSTRUCTION – HACIENDA HOTEL CONVERSION PROJECT
project management, budget analysis and owner representative services. “Our seasoned group of on-site field personnel serve as the “right arm” of the owner, representing its interests in the project,” Klewin Construction explains. “Our team works solely to provide the owner with the best quality product delivered within budget and on schedule.” Some of the company’s recent hotel projects include: • The Line Hotel, a renovation and re-branding of the 400 room, 12-story former Wilshire Hotel on Wilshire Boulevard in Los Angeles. The project, owned by Sydell Group LLC and the Yucaipa Companies, includes meeting space, three restaurants and a night club. • Foxwoods Resort and Casino, a $1.2 billion, 5.2 million-square-foot hotel and casino project in Mashantucket, Conn. The project, owned and operated by the Mashantucket Pequot Tribal Nation, includes six casinos with a total of 325,000 square feet of gaming as well as 1,800 hotel rooms and 27 restaurants.
• A $10.1 million Hilton Garden Inn in Windsor, Conn., owned by Windsor Hotel Associates. The 96,000-square-foot facility includes 156 rooms, a conference center, swimming pool, health club and restaurant. • The $154 million Phase V of the Seneca Spa Hotel project in Niagara Falls, N.Y. When fully completed, the 26-story hotel will include 650 guest rooms as well as 221,000 square feet of casino, spa and multi-purpose space on its bottom three floors. The hotel is owned by Seneca Niagara Falls Gaming Corp. • A renovation of the Freehand Hotel in Miami Beach, Fla., that includes the renovation of 63 guest rooms, the conversion of a historic outbuilding into a restaurant and lounge, a brand-new kitchen facility and reconstruction of common areas. Klewin Construction is also rebuilding the pool area and other property amenities and refurbishing landscaping. The hotel is owned by Sydell Group LLC.
In addition to the hospitality sector, the company serves a variety of markets including retail, education, municipal, multi-family housing, healthcare and gaming. Klewin Construction maintains offices in Los Angeles and Mystic, Conn., serving the West and East Coast. The company in May completed Horace Bushnell Apartments, an $18 million project in Hartford, Conn., that includes 74 apartments in nine three-story buildings and a total of 90,000 square feet of space. The project included renovating a historic structure while upgrading units with “firstclass amenities including energy efficient heating and cooling systems, new kitchens, bathrooms, and living spaces,” Klewin Construction says. Klewin Construction’s other ongoing projects in California include building Garvey Square, a mixed-use development in El Monte, Calif. The $48 million project, which broke ground in February, consists of 102 townhomes, 12 condominiums and 5,400 square feet of commercial space, the company says. Klewin Construction is growing its hotel work in Los Angeles and other California cities.
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ITZKO GLASS AND METAL’S FOUNDER TOOK SOME RISKS WHEN STARTING HIS COMPANY. BY BOB RAKOW
IGM started its operation with low overhead, which helped it during the recession.
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olin Itzko took a leap of faith when he decided to start Itzko Glass and Metal (IGM). “IGM was an idea I conjured up back in 2008, and in December of 2010, I was able to make it into a reality,” Itzko recalls. A veteran employee of a commercial glazing company, Trabil Glass, Itzko “was able to harness the logic and approach required to make IGM go,” he says. “I was an estimator tasked with finding work for a field staff of 50-plus glaziers,” he says. “Our claim to fame was strip malls and schools. I can honestly say that we completed
approximately 90 percent of the strip malls constructed in the Sacramento Valley until that market dried up.”
‘Now or Never’ Trabil Glass closed when the economy crashed. Itzko went to work for smaller glazing companies, but “nothing felt like home,” he says. “In 2010, I decided that it was now or never,” Itzko says. “The economy was still a mess, commercial lending was not as prevalent as it had been, but my drive was stronger than ever.”
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Itzko Glass and Metal igm.ca.us • Revenue: $15 million • Location: West Sacramento, Calif. • Employees: 20
“We consider our general contractors as partners as we work toge er to facilitate e completion of common goals.” – Colin Itzko, president and CEO
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Commercial | ITZKO GLASS AND METAL
‘A Leap of Faith’
Commercial | ITZKO GLASS AND METAL
The slow economy did not hinder Itzko’s initial progress. “Starting this endeavor during the recession has been smooth for the most part,” he maintains. “We started with low overhead. Companies were dropping their prices just to get orders in the door. That helped us secure work.” IGM specializes in commercial glazing systems and performs work throughout northern California. Cultivating partnerships throughout the industry has helped the company succeed, Itzko says. “IGM works closely with general contractors and suppliers,” he says. “Most general contractors we work with are previous customers of Trabil Glass where the relationships started. We consider our general contractors as partners as we work together to facilitate the completion of common goals. “Additionally, we have long-standing relationships with our customers and see repeat business from them,” he says. “Our suppliers have helped us and continue to help us with education, seminars and competitive pricing. “Old Castle Building Envelope is one of our main suppliers for architectural flat glass and aluminum extrusion,” Itzko adds. “We rely on them heavily to make our business run.”
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has many long-standing » IGM relationships with customers that provide it with repeat business.
Market Rebound Itzko is confident that the construction market is rebounding, but that presents new challenges as well. “It is apparent that a significant amount of the market sectors we play in are coming back,” Itzko says. “We are seeing large influxes of work, and with that we
“We cross train employees to allow them growth within the company and also to ensure coverage to our clientele we are performing work for,” he explains. IGM believes it important to give back to the communities it serves, Itzko says. “We have adopted three highways in northern California for monthly clean up. We sponsor youth sports, which embodies commitment, teamwork and persistence. We sponsor an annual softball and golf tournament for the Matt Garcia Foundation based out of Fairfield, Calif., and sponsor underprivileged youth to play basketball with DeMarcus Cousins of the NBA’s Sacramento Kings.” The company also purchased a new scoreboard for a local baseball field and sponsors several baseball teams for recreational league play as well as high school sports. The company also participates in toy donations during the holiday season and food drives at Thanksgiving, Itzko says. are seeing large influxes of competition. The most challenging part of the market returning is the lack of skilled labor readily available. Our proven success for adapting to this influx is finding reliable, eager, hard-working employees who we can train within multiple roles of the company.” The dearth of skilled labor led Itzko to inIGM stands by its core values of teamwork and integrity on every project it performs.
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vest in his company’s workforce a few years ago. “We look for strong candidates who are hard working and possess math skills, leadership qualities, ethics and morals,” he says. “Upon finding those key elements, we are able to tap the potential and talents of each individual.” He also believes the construction industry is negatively affected by a generation gap. “I am 32 years old, and the void I see in this industry is the generation gap,” he says. “In construction, it is very rare to see any younger person at the helm of an estimating staff, project-management staff or even an owner of the business. “I feel that my age brings a lot to the table, as my generation is optimistic, outgoing, driven, and we bring several key elements to the construction trade as a whole, including technology.”
Core Values “IGM’s core values are teamwork and integrity,” Itzko says. ”We strive to make the most of every moment, and our employees take ownership and responsibility for their actions. We are flexible with our staff in that we are willing to try something new and change perspectives to avoid tunnel vision.
‘Watching [my employees] evolve into leaders is a high priority of mine.’ One of Itzko’s primary tasks is to focus on his employees’ future and help them grow. “I would say my vision for the future is sustainability, and being able to open doors for my employees,” he says. “Watching them evolve into leaders is a high priority of mine. Every person comes from a different walk of life, and I love being able to provide him or her with opportunity just as I was given. “I feel that I am a walking testament to anyone out there questioning if they can do something because the hardest part of getting started is starting,” he continues. “This business has taken me places I never would fathom.”
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Commercial | PHOENIX ASSOCIATES CONSTRUCTION
Extensive Experience PHOENIX ASSOCIATES POSSESSES 40 YEARS OF INDUSTRY KNOWLEDGE. BY STEPHANIE CRETS
Associates Construction » Phoenix strives to treat everyone like they are part of its family.
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hoenix Associates Construction begins every project by analyzing each responsibility, from architect to engineers to consultants and vendors. It helps that its upper management has a combined 40 years’ experience in every role of the construction process. “We strongly believe that this varied experience embodies all of the aspects required for upper management to not only lead, but also to understand, relate and anticipate the needs of the client and all of the consultants that make up a team of any project,” President Anthony Patrick Sr. says. “This allows us to have a perspective of understanding and assist in all aspects.”
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Phoenix Associates Construction Vice President Christopher Patrick agrees. “I wanted to make sure I learned every position in the company so I know what it feels like and can relate to my employees,” he says. A small, family owned business, Phoenix Associates treats everyone like they’re part of the family, especially its subcontractors. Most of them have been around since the company began in 1992 and, thanks to upper management’s experience, the company knows how to work side-by-side with them to get the jobs done. “Our subcontractors want to go the extra mile and provide us with their best-quality work because of the relationships we have formed with them,” Christopher says. “The reason you want a
www.phoenixacc.com • Headquarters: Fairfield, N.J. • Employees: 15
“The architects and engineers appreciate us taking e time in e bidding process to try and eliminate all e issues, which allo for a moo construction project, on time and usually wi in budget.”– Chris Patrick, VP strong relationship and longevity with your subcontractor is because everyone will be on the same page.” Despite having exceptional relation-
Phoenix Associates works hand-in-hand with clients to deliver successful projects.
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– to our employees is, if an issue should arise, make sure you have a solution before presenting the issue.” Phoenix Associates works hand-in-hand with its clients every step of the way. The company wears a variety of hats as the designer, builder, architect, engineer and contractor. This allows it to come up with the best design for every project and know exactly what it will take to construct it, which helps reduce overall costs.
Upcoming Projects
ships with its subcontractors, Phoenix Associates can’t fight the ever-changing market. “Clients are leaning on the architects and engineers more heavily to cut their costs, which unfortunately is causing less information to be indicated on the drawings we receive,” Anthony says. “Not only do our clients appreciate us having their best interests, but what also has been created are greater opportunities for us to perform design-build projects, either directly with the client’s architects or for the clients directly. We are always looking to eliminate conflicting issues during our bidding processes, which allows for a smooth construction project, on time and usually within budget. Providing design-build creates and allows for this benefit to our clients.”
Phoenix Associates has been busier than ever. Recently, it completed a BMW showroom renovation and a Mercedes Benz dealership on Long Island, N.Y. The company is presently renovating its 80,000-square-foot service building in addition to its CPO/Mini Cooper Dealership. It is performing a capital improvement project to a Class A office building, which includes the renovation of two cafeterias, a fitness center, training room and conference center to “wow” tenants and potential clients when they walk through the door. It will also be starting renovations to four atrium areas in the same building. Some other projects on the horizon are a new 13,000-square-foot consulate building, 40,000-square-foot design-build warehouse building and a design-build to house a Starbucks. Christopher says, “We’re excited about these new opportunities and client relationships that will help boost our expanding company.”
‘You want longevity with your subs because everyone will be on the same page.’ But Phoenix Associates is always on the ball. It takes a proactive approach rather than reactive since everything in the business can be subject to a domino effect. It seems to be working, considering 90 percent of its business is from repeat clients and referrals. “You constantly need to be thinking a minimum of two weeks ahead and trying to eliminate any issue before it even occurs,” Christopher says. “The other point I try to drill home – no pun intended
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Commercial | SG CONSTRUCTION – SHEARER’S FOODS
Adding Capacity
SG CONSTRUCTION IS HELPING SHEARER’S FOODS ADD TO ITS FACILITY IN IOWA. BY CHRIS PETERSEN
Construction is bringing its » SGdesign/build expertise to the large Shearer’s Foods project.
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hearers Foods LLC is one of the largest producers of private-label snacks in the country, making everything from potato chips and pretzels to cookies and crackers. The American appetite for those products will likely never be sated, which is good news for the company and the driving force behind its recent $33 million expansion of its main production facility in Burlington, Iowa. The 76,000-square-foot expansion of the Shearer’s Foods plant is expected to be a boon not only to the company’s ability to produce private label snacks for customers across the country, but also for the local economy. Shearer’s Foods Plant Technical Manager John Rempe says the project will bring jobs to the community and already has had a positive impact on the local construction scene.
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SG Construction – Shearer’s Foods www.shearers.com • Project cost: $33 million • Location: Burlington, Iowa • Scope: 76,000-square-foot plant expansion
“I ink it’s been a great working elationship, wi a lot of good open communication.” – John Rempe, plant technical manager Part of that positive impact was the hiring of locally based contractor SG Construction as the design/build contractor on the project. SG Construction owner Ron Massner says the contract is the result of a long-standing relationship between the contractor and
Shearer’s Foods, as well as a strong example of the company’s expertise in design/build projects of this scope. Despite the challenges that came along with building within an operating production facility, Massner says SG Construction has been able to keep the work on track and in line for a successful completion this summer. When the work is completed, Shearer’s Foods will be an ideal position to meet the growing demand for its products nationwide. The plant expansion will provide Shearer’s Foods with much more space and increased ability to serve its customers through added volume. “It adds incremental capacity for the site, as well as increased capability to produce various products at a greater efficiency,” Rempe says. The expanded facility will eventually add approximately 100 new jobs within the
‘We have a lot of our own trades in-house. We don’t have to sub a lot.’ Shearer’s Foods facility, which Rempe says will be a major boost to Burlington. “It increases the opportunity for those looking for a great place to earn a living, which is excellent for the local and surrounding communities,” he says. .
Good Relationship Massner says SG Construction and Shearer’s Foods have had a long and fruitful relationship that has lasted more than 25 years, which is a major component of why the company received the contract to build the new expansion. He says the company’s work for Shearer’s Foods has included extensive maintenance work as well as new construction. Although the overall complexion of the work being done on site was standard for SG Construction, Massner says there were some potential challenges because of the relatively tight timeline established for the project. Fortunately, the contractor’s experience with design/build helped keep the work on schedule. “Designs are in progress while we’re working,” Massner says. “There’s constant work in progress.” Rempe says the long-term connection between Shearer’s Foods and SG Construction also was a significant factor in keeping the project on schedule. The two companies’ ability and willingness to talk through issues or concerns made it easy to work through possible constraints that may not be typical of a regular construction zone. It also proved useful in helping SG Construction maintain the pace of construction while working around Shearer’s Foods’ production schedules. With 10 production lines that rarely shut down completeA strong relationship between SG Construction and Shearer’s Foods helped the project succeed.
ly, Rempe says, scheduling the work to avoid delays was crucial. The strong relationship between the two companies made that possible. “I think it’s been a great working relationship, with open communication, and effective action plans,” Rempe says. “The project has been able to obtain a fine balance between maintaining existing operations and introducing new construction.”
Strong Reputation Massner says SG Construction has built a strong reputation in the area because of the pride it takes in its work and its ability to guarantee the work it performs for its customers. “We have a lot of our own trades in-house,” he says. “We don’t have to subcontract a lot of that.” Although the company has its own carpenters, painters and other trades in-house, when SG Construction did need to subcontract portions of the work on the Shearer’s Foods facility, it hired locally based subcontractors. Massner says the company has built up a good relationship with many local subcontractors over its more than 30 years of business. “I think our company has stood the test of time,” he says.
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Commercial | THE WEITZ COMPANY LLC – ONE BELLEVIEW STATION
Right on Track THE WEITZ COMPANY IS ON SCHEDULE AND BUDGET ON ONE BELLEVIEW STATION IN DENVER. BY ALAN DORICH
The Weitz Company LLC – One Belleview Station www.weitz.com • Project budget: $56 million • Location: Denver • Employees: 150 (peak)
“We implement a team-oriented approach wi our partners, starting day one. It’s a good way to build.”
Design/build and key subcontractors are helping Weitz keep the One Belleview Station on budget.
– Joe Ostmeyer, enior project manager
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he Weitz Company believes the best approach project delivery is through collaboration, Senior Project Manager Joe Ostmeyer says. “We implement a team-oriented approach with our partners, starting day one,” he states. “It’s a good way to build.” This philosophy serves the 160-yearold general contractor very well as it builds One Belleview Station, a 16-story, 300,000-square-foot Class AA office building in Denver, Colorado. The building’s ground level will be activated by its retail function and integration into the program of neighboring retail and residential blocks. A dedicated auto dropoff zone along with a direct pedestrian path to the adjacent light-rail station provides the exterior link to a 21st century office building lobby that fosters collaborative work areas, service amenities and information media zones. Connection to the neighborhood is further emphasized by the project’s materiality. The cedar lobby ceiling serves both indoor and outdoor spaces, while full height stone walls and stone benches continue
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into the landscape and blur the distinction between indoors and out. Above the ground floor, the project utilizes a precast structural system, which will allow for an animated and lively articulation of façade panels to take full advantage of Denver’s abundant sunlight. As well, the high contrast of precast concrete color tones allows for an expressive movement of folding ribbons across the building façade, mimicking the movement and speed of the adjacent rail line and interstate. Weitz is building the project for developer Prime West, which chose a design/ build approach. “The design/build delivery process allowed the team to keep the budget within roughly 2 percent throughout the entirety of the design phases, which is very unusual in today’s market, ” Ostmeyer notes. “But we were able to cover the budget very well, [and it] got us to the starting line of construction.”
Finding the Best Recruiting subcontractors for One Belleview Station was challenging, Ostmeyer says.
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“The construction market in Denver right now is extremely volatile and hot,” he states. Many subcontractors, he explains, are overwhelmed with the many opportunities. “The ability to find some good contractors that can help us stay within our budget parameters is probably the biggest hurdle right now,” he states. Weitz has had a presence in Denver for 62 years, which allows it to develop relationships with many subtrades. “We have a deep bench of contractors from which to solicit proposals,” Weitz Project Manager Brendon Loveday says. “[And] we’re always looking to develop new relationships.” Loveday notes that the company’s key design/build subcontractors include Rocky Mountain Prestress, which provided precast concrete; MTech Mechanical, which worked on the building’s mechanical, plumbing systems and provided engineering services; Greiner Electric, which delivered electric and engineering services; Metropolitan Glass, which will provide the glazing systems; and ABC Fire Protection will provide both wet and dry systems.
Standing Apart One Belleview Station’s design, created by San Francisco-based architectural firm Gensler, draws inspiration from early 20th century futurism. “This link is promoted by its proximity to I-25 and its location in a development that exemplifies modernity and urbanism,” the firm states. “Envisioned by the client to be both different than the many ribbon-windowed building facades that proliferate the Denver Tech Center, this building stands apart in its embodiment of movement, change and bold gestures in form,” Gensler adds. “They’ve been our partners in the design/build process since the beginning,” Loveday says. “Each team member has done a tremendous job in terms of keeping the project on track and on budget.”
LEED Veterans One Belleview Station plans to earn LEED Gold certification. “It’s a very energy-efficient envelope,” states Loveday, noting that the project will achieve points through the use of high-performance glazing and spray foam insulation. The project is transit-oriented due to its proximity to the light rail. “It’s a very attractive site for the building’s future tenants,” Ostmeyer says. Weitz continues to maintain high safety expectations during the One Belleview Station project, Ostmeyer says. Recently, the company implemented criteria to analyze its subcontractors’ safety programs. This is particularly significant because the subs “are performing 85 percent or more of the work on the job,” he says. “We’re out there managing the process, but these guys are the ones doing the majority of the actual work.” Weitz’s initiatives include “All In,” a new safety program. “’All In’ is our approach to establishing a safety culture in which the well-being of all Weitz employees and
subcontractors is the priority in everything we do – 24/7, every project, every activity, and every day. This initiative empowers employees to stop work and ask questions; if something doesn’t look right, chances are, it isn’t right. Furthermore, ‘All In’ promotes team performance over individual performance, which ensures employees work together to create and foster a safe environment,” he says. “From there, we do safety audits, we require safety hazard analyses and we do daily stand-up meetings,” Ostmeyer continues. “It’s a constant effort. The goal is to make sure everyone goes home at the end of the day to their respective families.”
On Target Weitz will complete One Belleview Station in September 2016, and plans to work again with Prime West, Ostmeyer says. “We have a long-standing, successful history with this client,” he says. The company also wants to stay ahead of the construction market. “We continue building our repertoire in the Denver metro area,” he says. In addition to commercial office, Weitz focuses on senior living, healthcare and higher education projects. “Those are really our four target markets right now,” he says.
ABC Fire Protection, Inc. joined The Weitz Company and the One Belleview Station pre-construction design team during the schematic design phase of the project. Our experienced personnel developed the fire protection systems simultaneously with the architectural and other mechanical systems. Through these early collaborative efforts, ABC has accelerated the overall design while maintaining the budget set forth by the customer. Utilizing 3D modeling software for BIM coordination, we have optimized the systems to provide the owner additional space while still providing complete protection for the building. The fire protection system installation will be performed by ABC Fire Protection, Inc.’s skilled union workforce to guarantee the best finished product. Together our team will ensure the highest quality fire protection system on schedule and within budget.
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Commercial | ODDO DEVELOPMENT
In Leawood, Kan., Oddo’s Villa Milano offers generous unit sizes and direct-access garages.
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Home Sweet Apartment ODDO DEVELOPMENT BUILDS APARTMENTS THAT LOOK LIKE SINGLE-FAMILY HOMES. BY RUSS GAGER
Oddo Development www.oddodevelopment.com • Projected 2015 evenue: $40 million • Headquarters: Lenexa, Kan. • Employees: 50 to 100 • Specia y: Apartment development
“Our people and taff are e best in e industry.” – Rick Oddo, president
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hen an apartment developer not only builds its own sites but also manages them for the long-term, quality cconstruction onstruction provides real savings. In the Kansas City area, Oddo Development is well-known for its luxury apartments and their two-story design with attached garages, which makes them look like single-family homes or duplexes. One of Oddo’s newest developments, Villa Milano, takes advantage of that design by NSPJ Architects to give tenants the
feeling they are living in a home. “Villa Milano has direct-access garages,” President Rick Oddo explains. “So you pull into your garage, walk three feet to the kitchen and set your groceries down. It’s a lot nicer than a mid-rise urban development where you pull into a parking garage, walk 100 feet to the elevator and then another 100 feet into your apartment.” Many of Oddo’s developments feature generous unit sizes. The gated and fenced Villa Milano community is located on 28 acres of low-density, extensively landscaped
property with bicycle trails, three lakes and large open areas. In July 2013, installation of sewers and streets at the former farm began, and in July, the last of the development’s 34 buildings was completed. “We held the land for quite a few years,” Oddo says. Waiting for development to catch up to Oddo’s plans for an area where it has purchased land can take from three to 10 years. Approximately 80 percent of the company’s developments are apartments, and the rest are commercial or occasionally a single-family community. Square footages of Villa Milano’s 290 units range between 900 and 1,100 square feet for one-bedroom units, 1,200 to 1,500 square feet for two-bedroom units and 1,900 to 2,000 square feet for three-bedroom units. “Interior finishes are at the highest possible level,” Oddo emphasizes. “There are stainless steel appliances, granite
Oddo Development designs its apartments to have high-end finishes.
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Commercial | ODDO DEVELOPMENT
countertops, high-end wood cabinets and fireplaces. We try to give you what you would get in a $500,000 home. In Kansas City, that’s a really nice home. We feel like these are the finest apartments in all of Kansas City.”
Development ensures the » Oddo rents at its properties are a value by doing its own construction.
Luxury Amenities Amenities at Villa Milano include a clubhouse with a swimming pool, workout facilities, a home theater, a yoga room, a game room and a large kitchen along with onsite staff. “Our people and staff are the best in the industry,” Oddo maintains. “We pride ourselves on having a fantastic maintenance department and office staff. I think the most important thing you can give as an amenity is the best staff in the industry.” Luxury units such as those at Villa Milano appeal to a variety of tenants. “Our demographics are a more mature market – those who can afford a home but choose not to, for whatever reason,” Oddo says. “We have a lot of seniors or empty nesters that are downsizing. We have a lot of professionals who travel a lot who can afford a home, but because they travel, they don’t want to have the liability of a home. And we have those who want to go to a fabulous pool and workout facility just steps away from their home – that’s pretty convenient.” Oddo maintains that rents at his company’s developments are a value. “I think our rents are very fairly priced, because we can do our own construction,” he asserts. “We build for less and pass the savings on to the customer. There are a lot of other mid-rise sites that cost a lot more than ours. So you get apartments with better parking in a gated and fenced community for less money, and you don’t have to contend with the noise of the bars that many of the urban apartments have.”
Know When to Hold Them Oddo Development uses high-quality materials in its developments. “We own these developments and are intent on keeping these for a long time,” Oddo emphasizes. “We want the apartments to have a look that will be timeless. We try to use stucco and stone that cost a lot more to put in, but once we own them, they last longer and they look better 10, 15, 20 years from now.” The buildings usually have post-tension concrete slabs and footings with wooden framing and stone and stucco on the exterior. Oddo Development functions as the general contractor and hires approximately 50 subcontractors to build its projects. A project superintendent from Oddo Development and a large staff are onsite during construction. “Building Villa Milano was the first time that we had ever used Bair Excavation,” Oddo says. “They did all of the mass excavation, created the three ponds, dug the footings and foundations, backfilled and did the final grade on the property. I was most impressed with their ability to take all of the rock, which was about 30,000 yards, and turn it into usable AB3 and gravel, which was then used for material that we placed under the slabs and around utilities. That saved us thousands of dollars by reusing the material onsite instead of having
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‘We have those who want to go to a fabulous pool and workout facility steps away from their home – that’s pretty convenient.’
to haul the rock off as trash, and then bring in the needed gravel fill. I like working with owner-operated firms like Bair. They understand our needs and understand the need to work together on this job and to set
up a relationship to want to work together on future jobs.” Oddo stays up-to-date on the latest trends in apartment living. “I travel to other cities,” he says. “Dallas and Atlanta seem to be leading on garden-style apartments, so I’m looking at what they do in their designs. The biggest thing we’re doing is wiring for high-capacity Internet speeds and fiber optics to the buildings. You’ve got to be able to offer a couple different cable providers, and they all have to be super high speed.” The biggest challenge Oddo currently sees to the rental market is overbuilding in popular markets. “That’s due to cheap money right now,” he maintains. “It always happens. You have several years of nobody
building, and then everybody builds at the same time. Overbuilding can go on for three to five years. We had a pretty deep recession in 2008 – so there was no construction for about four years or very little construction – and then in 2012, everybody started building again when money started to loosen up.” What Oddo seeks in a project are “odds of success,” he says. “I want to make sure it’s got a high chance of being successful. We want to make sure we never fail. We typically buy and hold for the long-term. I look not only at success now, but in 20 years. Is this area going to be a good area? Do I still want to own it in 20 years? I love what I do. I get to build the best Lego sets and play Monopoly for a living!” Oddo Development offers many deluxe amenities, as well as a skilled maintenance staff at its properties.
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Commercial | VILA CONSTRUCTION
Century of Satisfaction VILA CONSTRUCTION CONTINUES ITS NEARLY 100-YEAR LEGACY OF DELIVERING QUALITY PROJECTS.
Construction specializes in retail, » Vila office and restoration projects.
V
ila Construction is no stranger to giving customers exactly what they want. For nearly 100 years, the Richmond, Calif.-based organization has dedicated itself to completing projects under its strict high workmanship,
Vila Construction www.vilaconstruction.com • Headquarters: Richmond, Calif. • Specia y: Retail and office
“We provide value to our customers and afety to our employees and ubcontractors.” – Vila Construction
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efficiency and budget control standards. “We achieve this by combining our long outstanding family tradition of quality and personal commitment to each project,” the company explains. “Through the team efforts of our talented and dedicated employees and the direct involvement of company owners in each and every project, we have maintained our reputation as a company clients can depend on and trust to deliver projects as promised.” During its long history, the company has completed projects in the retail, office, historical restoration, governmental and institutional sectors. Its clients have included Walgreens, Bed Bath & Beyond, OfficeMax, Mechanics Bank, Pier 1 Imports, Safeway, University of California Berkeley and Washington Hospital Healthcare System. “The business mission of Vila Construc-
tion Company is to construct and complete a quality project at a fair price in the safest and most efficient manner possible,” the company adds. “We provide value to our customers and safety to our employees and subcontractors. We strive to achieve total customer satisfaction by continuing our family tradition of personal commitment to our clients through the team efforts of our talented and dedicated employees and the direct involvement of the company owners in each and every project.”
Valuable Experience Vila Construction’s services include general construction, construction management and pre-construction. “We are comfortable in a variety of construction environments and projects in the private and public sectors,” the company says. “We use our
‘Each of the Vilas complements the other for a strong and vital enterprise.’ own staff of carpenters to control the pace, quality and contractual standards of the project. Our construction managers develop a realistic and expertly developed construction schedule that is not only easy to understand and follow but is coordinated for labor efficiency, subcontractor management and continuous flow in construction.” The company’s owners and senior management are involved in all phases of its projects on a daily basis. “Vila Construction has accumulated valuable experience and skills in all phases of the construction field,” it says. “We are using this knowledge and expertise to assist clients in the management of their projects.” Vila Construction’s pre-construction services include site evaluation, budget consultation, setting construction and design parameters and meeting code and permit requirements. “Our goal is to provide the project’s owner with up-to-date analysis from which informed critical decisions can be made in the early stages of development,” it says. The company is also experienced in working with architects during project design or reviewing existing project drawings.
The company again shifted focus during the 1960s to the commercial side of the business, setting the foundation for much of its current work. Vila Construction Co. formally incorporated under that name in 1976. Henry and George Vila’s sons Bob, Joe and Rich joined the family business in the early 1970s. “All three worked in the field and developed extensive backgrounds in tilt-up, steel, wood frame and masonry construction as well as job management and supervision,” the company says. “By the 1980s, Bob, Joe and Rich joined company management and developed skills as estimators and project managers. They became vice presidents of the company and their skill and expertise were needed as the company expanded and refocused their operations to meet the progressive climate of the industry. “During the past two decades this team has brought different but compatible strengths and determination to their business,” the company continues. “Each of the Vilas complements the other for a strong and vital enterprise.”
Management Experience Vila Construction’s project construction management experience includes overseeing new construction as well as large modernization projects. “We understand that the role of the construction manager is to represent the client’s interests as well as managing a construction project that represents smooth work flow, on-time decision making and a professional and productive working relationship between the different parties involved in the project,” the company says. The company’s construction management services include maintaining records such as daily project logs, inspector reports, change-orders, request for changes and architect’s field notes; managing communication between owners, contractors, inspectors and architects; monitoring the construction schedule and permit process; reviewing and processing payment requests and assisting owners with general construction items and issues.
A Family Legacy The company’s history of client service began in 1916, when Joe Vila, an immigrant from Spain, started the Joe Vila Construction Co. in Albany, Calif. After initially focusing on underground construction in the San Francisco Bay Area, the company soon expanded into the house-moving business. Vila’s sons Henry and George joined the business after World War II, helping to evolve it into general contracting, particularly residential and apartment construction. The company’s name changed to J. Vila and Sons Construction to reflect this shift.
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VJA CONSTRUCTION SPECIALIZES IN BUILDING AND RENOVATING HOTELS, ALONG WITH HIGH-PROFILE PROJECTS. BY RUSS GAGER
H
O
urdles are not just used at track meets and equine competitions. They also are a prominent feature of many construction projects, although many are made of paper. “We do a lot of preconstruction,” VJA Construction President and co-owner John Purdy says. “Hotel developers come to us. We charge them a fee to go places and look at properties and the zoning.” These paperwork hurdles can include city and county approvals, design reviews, zoning approvals, conditional use permitting, a franchise’s 30 percent, 60 percent and 90 percent review and final acceptance. As part of that process, just getting financing can require substantial paperwork. “You can’t get a loan on a place until you have quite a bit of paper around it,” Purdy maintains. “There’s a set of pro forma documents that a bank will loan money on. It’s not a simple package. You have to have photos, financial foreA REG the brick exterior for a modern look, blue lights were casts, renderings, 3-D views – video walkthroughs are ID I R installed on the building’s façade, and the hotel’s getting popular – to convince a banker to loan you bathrooms replaced. The building was filled with new $10 or $20 or $30 million. We help developers put all finishes, furnishings and the parking lot renovated. that together. “It went from being a tired old building you “It’s become quite a specialty now,” Purdy continmight want to tear down to an award-winning Holiday ues. “Fifteen percent of our revenue in the last year or P T Inn Express,” Purdy says. OT two has been from development and consulting with LIGH owners to get the deals put together. Then we roll into construction. We’re willing to take on whatever comes in the The Eye Has It door, but it’s primarily hotel construction and renovation.” A sky-high project VJA Construction is working on is a bar serving VJA Construction has been building preschools and daycare liquor and smoothies at the site of the Orlando Eye, a massive Ferris centers for the Primrose Schools franchise as well as private owners, wheel similar to the London Eye that is providing jaw-dropping and it also does property improvements, converting hotels from one views of Orlando, Fla., as it rotates to heights of up to 400 feet. “It’s franchise to another or upgrading a brand’s in like a food court,” Purdy explains. “It’s not a existing facility. One of its projects, a Holiday huge project, but a high-profile one.” Inn Express and Suites in Carmel, Ind., won Once Purdy completes the preconwww.vjaconstruction.com the International Hotel Group’s Renovation struction process, he hands projects off to Jared • Projected 2015 evenue: $6 million of the Year in 2013 when it was converted Kemp, vice president of operations and co-own• Headquarters: Titusville, Fla. from another hotel chain’s brand. er. A typical hotel renovation may take seven • Employees: 6 “It was an older frame hotel,” Purdy months. VJA functions as general contractor, recalls. “It didn’t look at all like a Holiday construction manager or owner’s consultant on • Specia y: Hotel, preschools, and Inn Express. It was old and had bricks on most of its projects, which can be located nationcommercial construction the front, wooden stairs in the lobby and wide but center on the Southeast. “We try to stay old funky plastic tubs in the rooms. We as close to home as we can,” Purdy says. took the stairs out of the lobby, dolled up From 15 to 25 subcontractors may – John Purdy, president and co-owner the porte-cochère and put in new lights.” work on a typical hotel project. “It can run up Dry stack fieldstone and stucco replaced to 50 contracts if you count all the incidentals,” NA
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Commercial | VJA CONSTRUCTION
Eye for Business
L
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VJA Construction
“Every owner has a different idea of what his time is wor .”
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‘Every hotel is going to have a job in it every seven years. We just have to stay in line and get a piece of it.’
VJA helps hotel owners by performing many of the preconstruction services.
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struction, discouraging them from overspending. “We’re just real attentive to our clients,” he says. “We listen to them and give them good advice. We keep the deal practical and the finishes in line with the franchise and not overspend. So at the end of the day when they turn around and get their return on investment, they appreciate that they’re better off. That preconstruction coaching is a big piece of why we get the work.” He is confident about hotel renovation work continuing. “I don’t think the renovation business will go away,” Purdy muses. “Most franchises require their hotels to be improved every seven years. Every hotel is going to have a job in it every seven years. We just have to stay in line and get a piece of it.” Purdy’s marketing approach is simple. “We just do what we do,” he says. “People come in the door, and we build stuff.”
Purdy maintains. “Each deal is unique. Every owner has a different idea of what his time is worth. One client will want you to take care of everything, whereas another client might want to interview the tile reps and be hands on with every purchase, we work with them all.” VJA Construction takes full advantage of the benefits of the latest construction and scheduling technology. For the Atkins school in Riviera Beach, Fla., an online video camera is monitoring the job so VJA, its subcontractors and its client can view the progress of the job from their smart phones, tablet computers or laptops. The company’s site managers use a smart phone app called Daily Log Pro developed by Kemp that is for sale on the Android and Apple app stores. It is used for daily reporting to include progress photos, automatic weather data and subcontractor work details.
Originally Residential Purdy grew up in his father’s residential construction business but thought twice about it during a residential recession in the early 1980s. “We had 21 percent interest rates, spec houses up all over the place and nobody wanted them,” Purdy recalls. “I cruised down to the regional mall and saw guys out back with brand-new trucks, tools and cords putting in an Old Navy store, and I had an epiphany – I want to build commercial. The transaction deals are longer. It takes years to put a deal together to get built, and a recession only take 40 months. A lot of times, commercial guys ride through and miss a lot of it.” Purdy attributes VJA’s success to its employees’ experience, company connections and straight talk with clients during precon-
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Civil
By Lawrence Dany and Jennifer Fletcher
Preparing for
Power
Generation Projects O ver the next 20 years, demand for power in the United States is expected to increase approximately 1 percent annually, with worldwide demand climbing even higher. Even as demand increases, engineering, procurement and construction (EPC) contracts likely will continue to be the predominant form of contracting in the energy sector. EPC contracts, sometimes referred to as turnkey contracts, are single, design-build contracts for complete construction of a power plant and include provisions for design, equipment procurement, fabrication, and performance testing. The parties to an EPC contract typically are the project owner and a business entity specifically formed between contractors and design profession-
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als to support the construction project. The entities created between contractors and design professionals may take the form of joint ventures, consortiums, limited liability companies, corporations and other businesses. Because the provisions in the entity contract often depend on the terms in the EPC contract with the owner, simultaneous negotiations often occur between the individual members of the entity negotiating their own internal contract and between the entity as a whole and the project owner negotiating terms of the EPC contract.
Legal Concerns Contractual arrangements between the members of these entities present several issues about which counsel negotiating such contracts should be aware. As an initial matter, it is essential that such parties consider the risks that they may assume. Key contract terms, which are often extensively negotiated by members of joint ventures or consortiums, include: • The way in which the project will be scheduled and monitored;
IN THIS SECTION Allied Projects Ltd. • The impact of one member’s delay in performance on the other members; • Warranty obligations of different members and their impact on other members; • Claims management procedures between the entity and individual members of the entity; • Events triggering dissolution or termination of the entity and the corresponding effect on the project; • Bond and surety obligations; • Members’ entitlement to owner distributions; and • The question of whether individual members will share in the losses of other members. As demand for power increases and the attendant need for power plants grows, lawyers involved in energy-related projects will confront some of the same issues that arise in everyday construction disputes. However, with the expansion of sustainable energy and the utilization of novel technologies,contractors and design professionals will face escalating pressure to give owners performance guarantees and warranties on plants they design and construct.
Meeting Guarantees Under such guarantees and warranties, contractors are obligated to construct plants that produce a specific amount of power under certain conditions, and they bear the risk that the plant will not perform as promised. Each guarantee may carry different consequences if not fulfilled, including an accelerated schedule under which the contractor must repair defective components or pay liquidated damages. These risks are heightened by the changing nature of technologies used in power plants. Without the benefit of a performance history for these new technologies, it is difficult to predict how they will function in a certain project, which amplifies opportunities for dispute about the fulfillment of contract guarantees. In addition, power plant projects are gradually changing the contractual relationships between relevant parties, and the EPC contract is a prime example. As a party to an EPC contract, a contractor hired to construct a power plant may be subject to claims by the design professional with whom the contractor formed the joint venture or other entity, the project owner, vendors and suppliers, intervening citizens and regulatory agencies. Litigation surrounding such projects may therefore likely implicate multiple potential plaintiffs, defendants, and interested third parties, further complicating the legal environment for the construction industry within the energy sector.
p.83 Allied Projects credits its success as an electrical contractor to its staff.
Walsh Shea Corridor Constructors – Crenshaw/LAX Transit Project p.88 Public input is extremely important to contractors of a new light rail line. Company Profiles 74 83 86 88 90
CCA Civil – Gerritsen Inlet Bridge, Pulaski Skyway, Wittpenn Bridge Allied Projects Ltd. Superior Construction Co. Walsh Shea Corridor Constructors – Crenshaw/LAX Transit Project Austin Power Partners
the core of most disputes, contracts for such projects often include alternative dispute resolution clauses, requiring arbitration or mediation to resolve any conflicts. The changing legal landscape surrounding energy-related construction projects will continue to present unique challenges for major players in the construction industry and their lawyers. Being aware of these issues, particularly as new technologies are developed, is essential. Lawrence Dany is a partner in Sutherland Asbill & Brennan’s New York office and a member of the firm’s construction industry team.
Dispute Resolution
Jennifer Fletcher is leader of Sutherland Asbill & Brennan’s construction industry
Considering the amount of time and money wrapped up in energy-related construction projects and the technical issues forming
practice group and has served as co-leader of the litigation practice group and as a member of the firm’s executive committee.
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Civil | CCA CIVIL – GERRITSEN INLET BRIDGE, PULASKI SKYWAY, WITTPENN BRIDGE
Rebuilding America
CCA USES EXPERIENCE TO LEAD SOME MAJOR NORTHEAST BRIDGE PROJECTS. BY ERIC SLACK
CCA Civil – Gerritsen Inlet Bridge, Pulaski Skyway, Wi penn Bridge www.chinaconstruction.us • Project costs: $500 million-plus • Locations: New York and New Jersey
“To overcome is challenge, CCA embarked on partnering wi local businesses and uppliers.” – Vicken Bedian, project executive
A
wholly owned subsidiary of China State Construction Engineering Corporation Limited, China Construction America (CCA) is celebrating 30 years of experience in the American construction and real estate markets. With 2014 revenues of $2.0 billion and 4,200 employees, CCA’s construction services include program management, construction management, general contracting, design/build, heavy construction and real estate development. The company has worked on many commercial, industrial, institutional, governmental and infrastructure projects. Headquartered in Jersey City, N.J., CCA’s family of companies in the Americas includes CCA Civil, CCA South America, CCA Panama Corporation, Plaza Construction Company and Strategic Capital. CCA Civil is involved in a number of major projects, several of them focused on infrastructure improvements in New York and New Jersey.
Gerritsen Inlet Bridge Currently, CCA is working with the New York City Department of Transportation (NYCDOT) and URS for the construction of the Gerritsen Inlet Bridge (GIB), one of the four major bridges that span over water inlets on the Belt Parkway system in Brooklyn. Built in 1940, the existing GIB is 518 feet long and 105 feet wide. Its
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is working with the NJDOT on the » CCA reconstruction of the Pulaski Skyway Bridge, which carries about 67,000 vehicles daily.
superstructure comprises three long spans supported by steel girders over the water and six short spans supported by concrete beams over land. The substructure of the bridge consists of concrete piers in the water and a series of walls and arches over land. All substructure members were built on piles. GIB carries three lanes of traffic in each direction with narrow sidewalks on each side. It has a 35foot clearance over the navigable waterway
and is located on parklands and nearby sensitive wetlands. At a cost of $104 million, the project will be constructed in five major stages. It began in February 2013 and is expected to wrap up in September 2017. Each stage has a very elaborate maintenance and protection of traffic scheme to accommodate the daily traffic volume of more than 70,000 vehicles. The contract requires clearing more than 14 acres of wooded lands and the complete
Civil | CCA CIVIL – GERRITSEN INLET BRIDGE, PULASKI SKYWAY, WITTPENN BRIDGE
demolition of the existing superstructure and substructure down to foundation and pile levels to make way for the new bridge. The reconstruction will consist of building a new 492-footlong by 121-foot-wide three-span superstructure, along with new piers and abutments on piles, new approach roadways, drainage systems, street and navigation lighting, bicycle path and other safety improvements. CCA will self-perform most of the work, and will be assisted by more than 15 specialty subcontractors in marine, electrical, pile driving and other disciplines. The location of the bridge presents some challenges because it is located in highly environmentally sensitive areas, such as parks and wetlands. Additionally, there are two marinas and a golf course nearby that are directly impacted by the construction activities. To make room for the new bridge, the wooded land needed to be cleared and more than 500 trees were cut. To minimize impacts, CCA carefully studied the ingress and egress of the construction site to minimize cutting trees to the absolute minimum. In addition, special protection mats were utilized to protect tree roots whenever possible in lieu of total removal. Since the bridge is on a parkway, no commercial vehicles or trucks weighing more than five tons are permitted on the roadway. In addition, the bridge’s 35-foot vertical clearance over water made it difficult to bring construction materials and equipment by water. The bridge is located in mostly residential neighborhoods, far away from all major suppliers. Each major material and equipment delivery must be carefully studied and planned before they can be brought in. “To overcome this unique challenge, CCA embarked on identifying and partnering with local businesses and suppliers whenever it was practical,” Project Executive Vicken Bedian says. “This
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Civitello Project Management (CPM) provides specialized services for those who manage construction and resolve construction disputes. For constructors, CPM prepares and updates schedules, coordinates subcontractors, resolves cost and time impacts caused by changes, assists in resolving contract issues and organizes project documentation. For construction owners, CPM acts as an owner representative to review schedules and schedule updates, compare planned to actual performance, distill project data into meaningful information and enforce all time, cost and quality targets. To resolve construction disputes, CPM analyzes schedules, evaluates job cost details, formulates productivity analyses, determines entitlement and value of alleged and actual changes and delays, assesses performance, and provides expert testimony. CPM prepares compelling presentations for meetings, mediation, arbitration and litigation and provides complete litigation support.
CCA is working with NYCDOT on the Gerritsen Inlet Bridge in Brooklyn.
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arrangement required additional effort on CCA’s part to ensure these partners would be acceptable to the strict job specification. The efforts involved educating the potential vendors on the job specifications, helping them to procure the right material and upgrading their facilities to meet the contract’s needs. For all other material that was not available in the vicinity of the project, CCA worked closely with the major fabricators and vendors to ensure their delivery methods, trucking routes and permits are in place well in advance to avoid disruption to the project’s needs.” As for the bridge itself, its existing structure is in a dilapidated state. More than $1.5 million of temporary emergency repairs have been performed to keep it operational until the new bridge is completed. Furthermore, the site’s conditions were not ideal for driving sheet piling to separate the new roadway from the existing roadway with up to a 13-foot grade differential. CCA’s management was concerned about vibrations caused by driving steel sheets that are 40 to 50 feet long and literally one foot away from live traffic. CCA’s project team improvised and replaced the sheet piling with a mechanically stabilized earth system that requires no intrusive digging
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Civil | CCA CIVIL – GERRITSEN INLET BRIDGE, PULASKI SKYWAY, WITTPENN BRIDGE
presented to the stakeholders and permits secured well in advance to give each party adequate time to respond to avoid unnecessary delays. “Good communication is paramount to any successful project,” Bedian says. “In the course of the last two years, CCA interacted with more than 20 distinct entities that have jurisdiction or say on this project. CCA made extra efforts in identifying and communicating early on with all the key players so they are aware of what is coming.”
Pulaski Skyway
CCA is building a new 492-footby-121-foot superstructure at the Gerritsen Inlet Bridge.
into the ground. This proved fortuitous, as a previously unknown drainage structure was discovered that would have obstructed the sheet piles from being driven. During the marine steel pile driving operation, it became apparent that the existing soil under the seabed did not have enough resistance to achieve the pile’s required bearing capacities for the specified pile lengths. CCA and its marine subcontractor, J.T. Cleary, actively participated and collaborated with the project designer and owner to overcome this unanticipated field condition by providing technical and practical solutions. New sections of piles were ordered, spliced and driven to additional
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lengths to achieve the original design resistance. This resulted in the piles being driven down to 145 feet instead of the originally anticipated 105 feet. The project involves many stakeholders. It is administered by NYCDOT, but the bridge’s site and vicinity are owned by multiple state and federal entities with some land leased to private parties. More than 20 separate entities have full or partial jurisdictional rights or a stake in the administration of this contract. Extensive coordination and early communication with all the stakeholders are critical to keep the project from being tangled in an administrative limbo. Each major work activity is
CCA is also working with the New Jersey Department of Transportation (NJDOT) on the reconstruction of the Pulaski Skyway Bridge, which has been open since 1932. Parsons Brinckerhoff is serving as the lead design firm for the NJDOT; they are teamed with Hardesty & Hanover and AECOM as subconsultants. The Pulaski Skyway carries approximately 67,000 vehicles each day between Newark and Jersey City. The past 80 years of service have resulted in deterioration to the skyway, which triggered the NJDOT’s $1 billion rehabilitation project and which included closing the northbound lanes for two years beginning in April 2014. The project is scheduled for completion by 2020. CCA has been heavily involved with the improvement made to the Pulaski Skyway. The company has been awarded two contracts totaling $335 million to reconstruct the 3.5 miles of bridge deck and supporting steel. Two of four lanes of the bridge will be shut down for the duration of the project to facilitate the demolition and reconstruction of the bridge deck, and structural steel repairs. The scope of work includes demolition and replacement of more than 1 million square feet of bridge deck, encompassing both northbound and southbound lanes between the west abutment in Newark and the east abutment in Jersey City. Additionally, for the safety of the public and the construction workforce, CCA has installed more than 1 million square feet of protective shielding underneath the bridge deck. The demolition of the bridge deck and structural steel members require CCA to
Civil | CCA CIVIL – GERRITSEN INLET BRIDGE, PULASKI SKYWAY, WITTPENN BRIDGE
CCA is reconstructing 3.5 miles of bridge deck and supporting steel on the Pulaski Skyway.
remove and dispose of concrete, structural steel members and steel reinforcing bars. All of the materials removed from the Pulaski Skyway are delivered to recycling facilities. The reconstruction consists of the installation of structural steel stringers, fascia girders full and half cross girders, as well as precast and exodermic bridge deck panels
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that will be unified and mechanically connected to the bridge with the placement of ultra-high-performance concrete (UHPC). The bridge deck will be sealed with a oneinch overlay of polyester polymer concrete (PPC). Other aspects of the project include a new roadway lighting system and installation of an architectural aluminum railing.
CCA will self-perform the majority of the work, and will be assisted by a number of specialty subcontractors in areas such as lead abatement, electrical, drainage, asphalt paving, placement of PPC overlay and other related work. A number of existing conditions have challenged CCA’s methods of construction McLaren Engineering Group Since 1977, McLaren Engineering Group has provided multidiscipline engineering services to clients in both the public and private sector. Featuring five (5) regional offices nationwide, our dynamic and forward-thinking firm provides its services across eight (8) technical divisions: structural, site/civil, survey, bridges/highway/ rail, marine, waterborne transportation, forensics, and entertainment. We extend our gratitude to CCA Civil for the opportunity to work on both the Pulaski Skyway reconstruction project, providing cost effective demolition and erection methods AND the Wittpenn Bridge project developing the means and methods for the main-span erection. For more information, call 212-324-6300 or visit www.mgmclaren.com.
on the Pulaski Skyway. The bridge is located over commercial properties, a chlorine plant, a landfill, the NJ Turnpike, the NYNJ Port Authority, the PATH Railway and two river crossings. Another challenge to the project is NJDOT does not control the rightof-way beneath or adjacent to the bridge. “To minimize CCA’s exposure to the limited crane access from grade, we implemented the use of a gantry crane at the river crossings,” Project Executive Laszlo F. Borhi says. “We maximized the use of a crawler crane on the southbound roadway during full bridge closures on weekends to set upwards of 100-plus precast panels within a 30-hour period. On the northbound roadway, a 500-ton crane with luffing jib is set up at grade, to install precast panels at the spans adjacent to ramps.” In addition, the nine full-length cross girders could only be installed during weekend full bridge closures, which require completion of demolition, abatement, painting and installation of new full cross girders within a 45-hour window. In the end, 85 percent of the full girders were installed in under 35 hours, with the bridge reopened to traffic by noon on Sunday. Due to the narrow construction corridor, CCA optimized the full bridge closures on weeknights and weekends to perform all tasks that were directly impacted by the reduced access through the construction zone. “Since the bridge width doesn’t provide adequate clearance between the temporary construction median and the existing curb, CCA performed localized demolition at expansion joints and balustrade. Delivery and placement of oversized precast panels, drainage material, temporary lighting, mobilization of equipment and grouting operations could only be performed during night shifts or full bridge closures,” Borhi says. Site conditions were another challenge. The original contract required steel repairs on only five percent of the main floor beams located on the west end of the project. The full extent of existing steel deterioration could not be fully defined until the removal of the existing concrete deck and examination of the supporting structure was undertaken. The investigation of the structural
steel resulted in an increase of mandatory steel repairs to approximately 97 percent of the floor beams. CCA anticipates encountering similar deterioration of the bridge’s steel structure under the second contract on the southbound roadway from spans 44 to 108. Steel repairs must be completed prior to placement of the new prefabricated bridge deck panels, subsequently altering the original sequencing of construction.
Due to excessive weight of multiple layers of replacement concrete decking and the dilapidated state of the existing bridge structure, all of the activities supported by construction equipment required a detailed engineering analysis, calculations and layout drawings. Detailed inspections of the existing supporting floor beams and stringers are performed to validate that work activities can be safely conducted on
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Civil | CCA CIVIL – GERRITSEN INLET BRIDGE, PULASKI SKYWAY, WITTPENN BRIDGE
the bridge deck without overstressing the structure. The installation of the precast panels were challenged by the bridge’s limitations to support a crane and a single tractor trailer delivering one panel in the same span, height restrictions within the two river crossings, access for cranes at grade and working within the flight path of Newark Liberty Airport. CCA and the NJDOT field inspectors were jointly tasked with surveying each floor beam to confirm the repair limits and type. CCA established an onsite steel fabrication facility to address the increasing magnitude of repairs required at the floor beams. Separate ironworker crews were established and concentrated on performing all of the mandatory repairs to the satisfaction of the NJDOT. After the completion and acceptance of the repairs, CCA would commence with the installation of the precast panels. CCA’s Chief Engineer, Dr. Kaizan Huang, led all engineering challenges presented by the mandatory construction activities required from demolition through reconstruction of the bridge along with engineering consultants McLaren Engineering Group and Siefert Associates.
Wittpenn Bridge Another project with NJDOT is the Wittpenn Bridge project, with a contract value of $165 million, will provide for the new lift span over the Hackensack River. The new bridge is being built approximately 200 feet north of the existing bridge. The project designer for NJDOT is Jacobs Engineering. Expected to last 32 months, the project
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strives to provide clients »CCA with specialized professional services and solutions.
received its notice to proceed in March 2015, with October 2017 as the contractual substantial completion date. Numerous specialty subcontractors will participate on the project, with a team of more than 60 people working on the project at peak. CCA’s duties include construction of the lift span and towers on the piers previously constructed in contract No. 1 and the Kearny approach to the west. The lift span, towers, counterweights, elevator and all electrical and mechanical systems will be completed so the span will be operational at the completion of the contract. The control house and machinery house are included in the lift span construction. The work covered under the contract includes the construction of the off-line portion of the main lift span over the Hackensack River on the Kearny side as well as the construction of piers 3W, 4W and 5W and construction of the superstructure for units two and three. Among the main challenges on the project are planning and detailing the fabrication of the orthotropic deck lift span in three sections on the West Coast and transporting them via barge through the Panama Canal, up the East Coast to the project. The total weight of the three lift span sections is 1.6 million pounds. In addition, CCA will erect the lift span in thirds while ensuring access for the necessary special hoisting equipment. CCA is mobilizing a barge mounted 1000-ton capacity crane to perform the lifts. Through detailed planning, CCA has overcome the challenges of designing the temporary supports required for the erection of the lift span. Those being the assembly of the three lift span sections on the piers and erecting the lift span within the limited window of 14 days allowed by the agency over the navigable waterway. “We put together a diverse team of experts in the fields of marine transportation, rigging specialists, structural and nautical engineers and specialty equipment suppliers,” Project Manager Jimmy Maldonado explains. As CCA Civil moves forward on these complex and demanding projects, its goal is to provide clients with the specialized, professional services and solutions that each project requires. CCA says it is confident that it will succeed on these signature projects and deliver a safe, high-quality facility that will serve the public for years to come.
Civil | ALLIED PROJECTS LTD.
The Electric Company
Projects’ portfolio includes » Allied the Lions Awaken: Relighting Centre Street Bridge.
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ome managers keep their employees at arms’ length, but Allied Projects Ltd. maintains a culture of closeness and transparency, President Michael Brunner says. “We try to keep people engaged and involved in what’s going on,” he declares. “That pays off in dividends,” he continues. “I think everyone enjoys knowing what the business is about. It makes it easier to ride out the economic ups-and-downs.” Based in Calgary, Alberta, Allied provides electrical contracting services for construction projects and service work for building maintenance programs. Brunner co-founded the company with two partners in 1996. He bought out his partners four years later and converted the company to employee ownership in 2008. Today, Brunner owns more than half of Allied’s shares, and his longtime employees own the remainder. “I’ve got a good core of people that have been with me,” he says, noting the company
CREDIT: Michael Heywood Studio 1826
ALLIED’S ‘GOOD CORE’ OF EMPLOYEES KEEPS IT STRONG, ITS PRESIDENT SAYS. BY ALAN DORICH
Allied Projects Ltd. www.alliedprojects.ca • 2014 ales: Approximately $40 million • Headquarters: Calgary, Alberta • Employees: 110 • Specia y: Electrical contracting
“We try to keep people engaged and involved in what’s going on.” – Michael Brunner, owner
will celebrate its 20th anniversary next year. Allied’s portfolio includes some of Calgary and southern Alberta’s largest and most interesting construction projects, including work on a $5 million control tower at Calgary International Airport. At approximately 300 feet, “[It’s] the tallest free-standing control tower in Canada,” Brunner says. It also was the first time Allied worked on a control tower. “It was quite an interesting job, working in a vertical tower with very little space,” he says.
The company also completed $10 million worth of work on Grey Eagle Resort & Casino, located on First Nations’ land in Calgary. “They have a dining room, gaming halls, a theatre, a multistory hotel and a casino/ banquet facility,” Brunner says. Allied has worked on some award-winning projects with designers like Lighting Design Innovations. A couple of the projects include one called Trees in the City, which won the 2014 IES Illumination Award and the 2013 City of Calgary Downtown Vitality Award. Another award-winning project was the Lions Awaken: Relighting Centre Street Bridge which won the 2013 Mawson Urban Design Award.
Building Relationships Allied has a varied customer base, but largely serves general contractors. “We often work as a prime contractor for clients like the city of Calgary, Alberta Infrastructure, as well as several city hospitals and the uni-
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Civil | ALLIED PROJECTS LTD.
Being Green Allied Projects Ltd.’s portfolio includes several LEED projects, including Ralph Klein Park, a wetland and education center in Calgary. “That was built on swampland,” President Michael Brunner says. “Its purpose was to improve stormwater quality before it enters the Bow River water system. Allied did all the electrical work for the project.” Another is the Genesis Centre in Calgary, a community center with indoor and outdoor soccer fields, a library, swimming pool, meeting rooms, an event hall, a community kitchen and gymnasium. Allied utilizes green practices in its work, as well. “We recycle everything that we can, [including] scrap metals, copper wire, even plastic where possible,” Brunner states. “We re-use when appropriate. We have a written policy on recycling for both the office and the field and generally have very good buy-in from all staff.” versities,” Brunner says. “We don’t typically bid into the marketplace. We try to build relationships, so we’re the reliable subtrade of choice [that keeps projects] on schedule and on budget.” Allied maintains these relationships by staying in continuous contact with clients. “We’re making sure we’re aware of what they’re doing,” Brunner says. “[We try] to get in on the beginning of a project so we can assist with the design of the project ensuring cost and scheduling efficiencies for the client.”
Allied’s approach has worked well for the company, as it has nurtured a repeat business rate of 90 percent. However, “We’re always looking for new clients and new opportunities,” he asserts. Allied also works hard to maintain relationships with its suppliers. “We view our suppliers as partners in the project,” Brunner claims, and many of Allied’s suppliers have been with them since the beginning.
Internal Structure An internal “triangulation” system has been a big factor in its success, he states. “If we know a general contractor is starting on something, we’ll assign a project manager, an estimator and a site superintendent to that project,” Brunner says. “They’ll continue to work through the entire project to give it continuity rather than a department hand-off,” he continues. “We’ve got people with years of experience that can take conceptual drawings from architects and engineers and apply their expertise to them so we want that field expertise along with the estimating expertise working together on the project.” Allied regularly researches and implements new technology to improve its efficiency. “For example, in the last year, we’ve moved to tablets for our service technicians, which is quite an interesting thing in this business,” Brunner says. “It takes away a lot of paperwork,” he notes. “It’s good communication to have all the clients’ past maintenance and service information available electronically – saves time on site.” Allied also pays for employee training to keep them on top of industry changes and technology improvements. “There’s different ways of doing things and new technologies are being introduced all the time,” Brunner says. Additionally, “We send our sub-foremen who want to become foremen to supervisor training to give them the skills to move up in the company. Then when they want to become project managers, we send them to the electrical project manager course in Banff to learn the skills they need to manage projects,” he says, “and then we send them on training for Microsoft Project so they’re using the technological tools that can make them efficient.” Allied maintains a friendly and cooperative working environ-
Highly Rated Allied Projects Ltd. maintains a high safety rate on its projects through such initiatives as employing a full-time safety coordinator who is also a journeyman electrician. “He comes into the office in the morning, does his paperwork and spends the rest of the time visiting the job sites mentoring and monitoring to make sure we’re working safely,” Michael Brunner says. The company also has a safety committee that meets quarterly, is made up of field staff from every department, and makes recommendations on how to keep everyone working safely. This collaborative approach to safety has resulted in great buy-in by all staff proof of which is the only one lost-time accident over the past four years. “[That’s] pretty good for a company of our size,” Brunner says.
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Giving Back Allied Projects Ltd. has given back to the industry – both in time and money. Brian Reed, Allied’s business development manager is currently the president of the local Calgary Chapter of the Electrical Contractors Association of Alberta (ECAA). He is following in the footsteps of President Mike Brunner who has served as president of the Alberta Chapter of the ECAA, and served on the Board of Directors of the Merit Contractors Association, and on the Provincial Apprenticeship Committee. Allied sponsors activities for Southern Alberta Institute of Technology, the technical college where most of the apprentices train. “You can’t go in, buy a license and become an electrician,” Brunner says, noting that apprenticeships are usually a five-year process. “We put money back into the apprenticeship program.”
ment, Brunner says. “I believe in managing by walking around [the office],” he states. “[That way], you’ve got an idea of what’s going on and not just sitting and getting reports.” He praises staff including Vice President of Construction Dan Ellingson and Construction Manager Jason Lane, who have been with the company since its start. Both have the “experience, dedication and understanding” that have made them essential, Brunner says. Its workers also are willing to give the local community a hand. When the city of Calgary suffered massive flooding in 2013, “I had 30 employees that volunteered to help out with the city electric crews to go around to buildings and to make sure they were safe,” he says. “They offered to do this without no expectation of pay,” Brunner notes. “That made me very, very proud. They were out working 18 hours a day for nothing.”
Adapting to Change Allied’s market is subject to changes, Brunner says. “For the last couple of years, we’ve been paying more attention to utility-type projects,” he says. “The big things right now are wastewater and clean water management.” This is nothing new for Allied, though. Back in 2002, when the Calgary economic climate slowed down, it started up its civil department and began working with contractors putting up streetlights and traffic signals on roadways and bridges. That expertise allowed it to be the electrical contractor on all three phases of the Calgary Ring Road project. Brunner notes, “That’s another secret of success – being flexible.” Brunner sees slow, steady growth for Allied as new, young staff members rise up through the ranks. However, “It’s nothing dramatic,” he asserts. “I’m not going to say we’re going to double our sales over the next few years,” Brunner states. “That’s not my way; my way is slow and steady growth.”
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Civil | SUPERIOR CONSTRUCTION CO.
Superior Construction provides a range of services as a general contractor and joint-venture partner.
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Good Catch
INDIANA’S SUPERIOR CONSTRUCTION CO. PLACES GREAT EMPHASIS ON SAFETY. BY BOB RAKOW
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ndiana’s Superior Construction Co. places great emphasis on safety. As northwest Indiana grew, so too did Superior Construction Co. The general contractor started in the 1930s by offering its services to a variety of markets, including commercial, heavy highway, petrochemical and municipal, the company says. As the Gary, Ind., region expanded, Superior Construction built many of the city’s landmark structures, including Saint Mark’s Church, Lew Wallace High School and the Memorial Auditorium. Decades later, Superior Construction remains a major player in northwest Indiana’s construction market and places a primary focus on safety to remain a leader. For example, every subcontractor, supplier
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and service company under contract with the general contractor is required to enforce a safety program equivalent to or more stringent than Superior Construction’s. Additionally, the company strongly believes that team member responsibility for safety extends beyond the jobsite. The contractor’s “Safety Focused Lifestyle” manual outlines a variety of expectations for employees, including: • Report to work well rested and in good physical condition. • Use all safety devices and personal protective equipment, which may vary, but should always include a hard hat, safety glasses and reflective vest/clothing. • Share the responsibility for maintaining a clean, orderly and safe work area. • Immediately report unsafe conditions,
situations or acts to a supervisor or safety coordinator. • Follow all safety signs, bulletins and instructions, while complying with all federal, state, local, private and company safety rules and procedures.
Superior Construction Co. www.superior-construction.com • Headquarters: Gary, Ind. • Employees: 250 • Specia y: General contractor
• Be aware of each project’s chain of command as well as the general information for serious and minor accident procedures, hazard communications and emergency action plans. Additionally, the company implemented a Good Catch program that encourages identifying and reporting unsafe behaviors, dangerous or hazardous conditions, near-miss incidents, equipment or process hazards and other potential hazards on the jobsite. Staff members who make a “Good Catch” receive recognition at the company’s next safety meeting, the company says.
Drivers of Success Superior Construction’s success over the years has been driven by achievements in other industries. For example, when the automobile industry accelerated and sparked expansion in many other markets, Superior Construction benefited from the increased demand for energy and steel. Companies such as Standard Oil, U.S. Steel and ArcelorMittal were the lifeblood of northwest Indiana’s economy and provided steady work for Superior Construction, which continues to play an important role in the construction and maintenance of global companies’ infrastructures, the company says. As the automobile and industrial markets continued to grow, the increased demand for expanding the nation’s transportation infrastructure provided another market for Superior Construction. The company built or reconstructed many overpass bridges, mainline bridges and interchanges on the I-80/94 section, known as the Borman Expressway, between I-65 and the Illinois state line. Over the years, the company has extended into other markets, such water treatment plants, marine work and design/build contracting, the company says. Superior Construction also has worked in the bridge and heavy highway market with a track record for completing projects safely, on time and on budget. Most recently, Superior Construction completed construction of the I-80/94 and I-65 interchange as well as hundreds of major transportation projects in the region, the company says.
in working as a partner with clients continues to be one of its most valued attributes. Superior Construction’s clients and industry peers understand that the company has built more than structures. Rather, the four-generation family business has forged a reputation that stands on principles of trust, honesty and service, the company says. For example, its longest-standing client relationship dates back to the 1960s with Standard Oil. The partnership has allowed the company to maintain and improve the iconic Whiting Refinery, which ranks among the largest in the nation. The relationship reached a new level when British Petroleum (BP) purchased the Whiting Refinery and embarked on a multibillion-dollar plant expansion project, the company says. BP’s focus on safety aligned well with its organizational focus on zero accidents. As a result, Superior Construction has worked more than 20 million hours inside the Whiting Refinery without a losttime accident. This accomplishment was recognized nationally and has reinforced the company’s position as a reliable contractor for major expansions, rebuilds and complex turnarounds, the company says. Superior Construction says it has endured economic volatility since 1938 by adapting and adjusting to every scope of contracting aside from its specialties. From commercial to municipal and from concept to completion, the company delivers high-quality projects safely and on schedule.
A Range of Services Today, Superior Construction provides a range of construction services as a general contractor and joint-venture partner. Both the Indiana and Illinois departments of transportation have granted the company “unlimited pre-qualification” as an indication of their belief in the integrity of the company. The unlimited pre-qualification designation enables Superior Construction to compete for any job with no financial cap, the company says. Superior Construction has provided regular maintenance, emergency turnarounds, reconstruction and new construction to many of the Midwest leaders in the industrial market since the mid1900s. More than half-a-century later, the company understands that clients must maintain operations during most construction projects. Superior Construction’s decades of experience and success
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Civil | WALSH SHEA CORRIDOR CONSTRUCTORS – CRENSHAW/LAX TRANSIT PROJECT
Connecting L.A.
WALSH-SHEA CORRIDOR CONSTRUCTORS CONSIDERS COMMUNITY IMPACT NEAR LAX. BY TIM O’CONNOR Walsh-Shea is helping to connect infrastructure to more of Los Angeles with the Crenshaw/LAX line project.
Walsh Shea Corridor Constructors – Crenshaw/ LAX Transit Project
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www.walsh-shea-corridorconstructors.com • Construction Cost: $1.3 billion • Employees on ite at peak: 400
“We’re trying to quie y, quickly and efficien y get is done o we don’t have too much of an impact.” – Erich Engler, business manager
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hen the Crenshaw/LAX Transit Project is complete in early 2019 it will open up underserved portions of the Los Angeles region to new public transportation options and bring light rail closer to the Los Angeles international airport. “It’s very important for the residents of the Crenshaw and Inglewood areas to connect to this network,” explains Jim Gardner, senior project manager for Walsh-Shea Corridor Constructors. Walsh-Shea Corridor Constructors is a partnership between Walsh Construction Company and J.F. Shea Construction Inc., both of which have an extensive history of completing mass-transit projects. The collaboration began in 2011 when WalshShea bid on the $1.3 billion construction project for the Los Angeles County Metropolitan Transportation Authority (Metro). The total cost of creating the route is $2.058 billion, including property acquisition, and the project is one of 12 developments being paid for through a half-cent sales tax increase approved by Los Angeles County voters in 2008. Once completed, the Crenshaw/LAX line will have eight stations along 8.5 miles southwest of downtown Los Angeles. To the north, the project begins at Exposition and Crenshaw boulevards in the Crenshaw neighborhood of southwest Los Angeles.
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The route runs south along Crenshaw Boulevard before following an existing rail line alignment southwest into the suburb of Inglewood. The route proceeds pass Interstate 405, turns south at Manchester Avenue and then runs along the eastern boundary of LAX before connecting to the existing Green Line. A separate people mover project could someday bring riders the rest of the way to the airport. Construction is on schedule to be completed by the end of 2018 and service could begin soon after. Metro’s ridership projection anticipates more than 16,000 boardings each day by 2030.
Status Update Walsh-Shea is conducting grate work and utility relocations as it prepares to begin tunnel boring in the fall. The tunnels will connect the three underground stations of the project, all located below Crenshaw Boulevard in the northern section between Exposition Boulevard and Vernon Avenue. Two tunnels will connect the stations before the route heads above ground and winds its way toward the airport. Additionally, Walsh-Shea is in the beginning phases of receiving approvals from third party entities for reconstructing three bridges along the route.
Managing the approval process and working with the community has been the biggest challenge on the project, Gardner says. At every step, Walsh-Shea must coordinate with a number of government agencies, including LAX, the city of Los Angeles, city of Inglewood and various council districts, to have plans reviewed and approved. Walsh-Shea works closely with each of those governing bodies and holds weekly meetings with Los Angeles World Airports, the city of Los Angeles department that owns and operates LAX and other Los Angeles airports, to discuss lane closures and ensure construction does not impact air traffic. “When you do anything in the city, it affects a lot of people,” Gardner explains. “You pretty much have to have a team in place to take care of the third parties.”
Community Outreach Beyond local government, Walsh-Shea must cooperate with the residents whose everyday lives are inconvenienced by the 8.5 miles of construction. “[We
of the parking citizens and businesses rely on every day. Walsh-Shea has created temporary lots and leased other locations to provide parking stalls for the communities. “We’ve had to do to think outside the box to make sure there is adequate parking during construction,” Engler says. “We’re trying to quietly, quickly and efficiently get this done so we don’t have too much of an impact on the community.” Businesses are perhaps the most affected, as construction and parking struggles can deter shoppers. Walsh-Shea and Metro have worked with local businesses and raised banners in commercial areas to remind customers that stores remain open. Further, a Metro program, the Business Interruption Fund, helps companies tread water during construction by providing up to $50,000 per business to offset lost revenue and cover fixed operating expenses such as utility bills, rent and payroll. Complaints from residents are filtered from the local councils and Metro down to Walsh-Shea. The company monitors work sites for noise and dust and works
‘You pretty much have to have a team in place to take care of the third parties.’ are] getting the community engaged, as this is a brand new venture for this community,” says Erich Engler, business manager for Walsh-Shea. The joint venture has been transparent throughout the process, Engler adds, and has held numerous public meetings and outreach initiatives, but construction will always cause some issues. “It’s a pretty intense effort to keep the public informed,” Engler explains. “With any type of process there’s a little pain.” Because the project is being built through residential and commercial neighborhoods, it requires careful consideration of staging and parking on dense job sites. Despite efforts to minimize the impact, construction will displaced much
to resolve problems. “We go out of our way to mitigate,” Engler says, “whether it’s additional sound blankets or modifying the activity to lessen impacts.” But despite the interruption to life, Gardner and Engler say the community will see the value of the transportation line once it is running. “We’re trying to connect infrastructure to the entire city,” Engler says. “This is just an arm to connect to the existing Green Line, which will eventually take us to LAX.” The route will provide the first rail service to the area since the Los Angeles Rail Line’s Yellow Cars ceased operation in 1955. “It’s a big deal for the residents of Crenshaw and Inglewood to connect to this network,” Engler adds.
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Civil | AUSTIN POWER PARTNERS Power Partners is serving as construction manager » Austin on its project at Chicago O’Hare International Airport.
A Top Team
THREE CONTRACTORS UNITE TO BRING THEIR EXPERIENCE TO A PROJECT AT CHICAGO’S O’HARE AIRPORT.
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very project requires the right combination of talents to be completed successfully. Austin Power Partners (APP) has brought that mixture for its project at Chicago O’Hare International Airport. APP is a joint venture between local and out-of-state firms. This includes Austin Commercial, a Dallas-based commercial and industrial builder, and Power Construction Co. LLC, an 88-year-old firm based in Chicago that operates strictly in and around northern Illinois. The team also includes Ujamaa Construction Inc. (UJAMAA), also based in Chicago, which provides fast-track general contracting and construction management. “We have a diverse range of experience, constructing commercial, retail, higher ed-
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ucation, multifamily housing and medical facilities,” it states. Together, the firms have consolidated rental car facility experience, which is ideal for their work at O’Hare. The project, APP explains, consists of a new joint-use consol-
Austin Power Partners www.austinpowerpartners.com • Headquarters: Chicago • Project cope: Parking facility and ATS extension fixed facilities
“[APP] was elected as construction manager to ensure at Chicago’s O’Hare International Airport achieves all of its goals.” – Austin Power Partners
idated rental car/public parking facility and ATS extension fixed facilities. When finished, O’Hare will have a three-level rental car ready/return facility for 4,200 stalls and a two-level public parking structure with approximately 2,700 stalls. “The team, further enhanced through the inclusion of a local minority contractor with recent RAC experience, was selected as construction manager to ensure that Chicago’s O’Hare International Airport achieves all of its goals relative to this important project,” APP says. The O’Hare project also incorporates a new airport transit station. “[It] will provide a direct connection from [the] Level 1 Customer Service Center and the grade-level bus lobby to all four passenger terminals located in the terminal core area,” APP says.
This also includes a multi-level, quick-turnaround structure for rental cars, changes to Zemke Boulevard, and access and egress ramps that will connect to and from Mannheim Road. “An at-grade parking area is located on the west side of the site,” APP says. “The long-term plan is that this parking area may be converted into commercial development.” APP adds that the project also includes site improvements on Mannheim Road in the Lot E remote parking area for a new public roadway that connects Bessie Coleman Boulevard to the project site.
Committed to Integrity Austin Commercial says it has earned a reputation for finishing projects ahead of schedule and under budget. The company’s portfolio includes the LAX Tom Bradley International Terminal expansion in Los Angeles, and the UT Southwestern T. Boone Pickens Biomedical Building in Dallas. “Success depends on more than building outstanding structures; success is dependent on building enduring relationships,” Austin states. “We are committed to complete integrity in all interactions with our customers, design professionals, vendors, subcontractors and fellow employee-owners in order to build relationships through timely completion, superior work and exceptional customer satisfaction.” Shared values, Austin says, result in climates of strong performance. “Lower cost, faster completion, quality work, responsiveness, safe operations and uncompromising integrity – these principles are the basis on which we serve our customers,” it states.
Driving Value Power Construction operates with the mission to build what matters, it says. “We do this by investing in our relationships, our people and our community for the long term,” the company says. “Our unique business model and values-based approach means our leadership is on the ground, our employees build long-term careers and that we build trade relationships that drive customer value. “It’s what allows us to offer the feel of a small company with the resources of a large firm,” Power says. “It’s what drives our unyielding commitment to safety and an exemplary safety EMR of .57. Most importantly, it’s what allows us to fulfill our fundamental promise: to exceed expectations, every time.” INTREN is a nationwide, premier utility solution partner and leading commercial electrical construction contractor in the Chicagoland area. We work with top area companies such as Austin Power Partners to successfully complete some of the most challenging electrical and gas utility construction projects. It is with integrity and the drive to outperform that we take on our customers’ toughest challenges, and provide innovative solutions for all their electrical and gas utility construction needs. Our goal, every day, is to exceed our customer’s expectations. We efficiently provide quality work, in a safe and timely manner and have been successfully accomplishing this for over 25 years in the Chicagoland area and across the country.
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Industrial
By Josh Leavitt
Winning the 3-D Printing Race T he race is on in the construction and engineering sector to develop and commercialize the use of 3-D printing technology. Although firms are already using the technology to print models and hard-to-construct components, it is the promise of using 3-D printing technology to print actual building components layer by layer in on the job site that excites many because of the potential transformative uses of the technology. The claimed advantages of the technology include the flexibility to design hard-to-build structures, the potential for mass-production and customization, reduced waste, substantially reduced labor
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costs, safer work environments and the ability to build in hostile environments. In addition, this technology potentially allows developers to build applications ranging from mass-producing simple housing in underdeveloped countries or in the wake of natural disasters to changing the economics of complex construction in developed countries to applications in outer space. Announcements of new breakthroughs seem to come at a breakneck pace. Firms have publicized the ability to “print� hard-to-build steel structural elements for use in complex projects, multi-story concrete structures, mansions and building shells and components that can accept mechanical, reinforcement and electrical installations. Absent from the published advancements, however, are solutions that would allow the commercialization of multiple material printing methods that would meet the structural, time, material properties, surface finish, cost and other requirements for full-scale, complex
IN THIS SECTION building. Nevertheless, the idea that buildings can be “printed” with relatively minimal labor is intoxicating and has attracted the attention of academics, technology developers and investors.
Legal Considerations There are a variety of legal issues to consider before jumping into potentially capital-intensive research and development efforts. First, those looking for venture capital or other sources of financing (and there are likely to be characteristics of 3-D printing that are attractive to venture capitalists) may be quite unfamiliar with the unique legal issues and terms that are common to venture capital deals. Such individuals should engage legal counsel early to potentially influence the structure and term sheet discussions in beneficial ways and to assist with many of the unique legal terms that venture capital deals require. It is worth noting that even if a technology developer has deep experience in deals outside of venture transactions – unless he or she routinely does deals in the venture – “normal” terms and structures in venture capital financings can be significantly different than other non-venture capital funded transactions. Second, like any new technology, 3-D printing development could face intellectual property obstacles. Consideration must be given to existing patents, some of which may be expiring, and new patent applications that are being filed. Next, there are a variety of building code concerns. Long-term durability of 3-D printed concrete structures and other concerns will require additional testing and validation, which means technology developers, users and investors will have to bear the expenses of materials testing to demonstrate structural characteristics and durability. Further, although they lack the legal authority of code officials, insurance underwriters may have practical power to block or slow down developments if they are concerned that 3-D printing constitutes a material change in risk under current applications and policies. Developers, designers and builders will need to closely consult with their brokers to determine if new coverage products are needed or available. Finally, 3-D printing has the potential to alter contractual arrangements. For example, to the extent that printed building components may be considered goods rather than services, it is possible that disputes over 3-D printed structures may need to be resolved under the statute-based law of sale of goods (under Article Two of the Uniform Commercial Code) rather than under traditional judge-made construction law principles currently applied to construction and design services contracts. Such legal distinctions could have outcome-determinative implications for issues relating to the whether and how contracts are formed and terminated, the imposition and disclaimer of warranties, causation, damages calculations and statutes of limitations, to name a few.
FCL Builders – SKF Global Technical Center p.94
SKF’s new Global Technical Center will reflect its focus on innovation.
Hatch Ltd. - The Mosaic Company’s New Wales fertilizer plant p.104 Hatch Ltd.’s familiarity with its client is critical to a plant project. Company Profiles 94 99 102 104
FCL Builders –SKF Global Technical Center Neiman Enterprises Cadence McShane Construction Hatch Ltd. - The Mosaic Company’s New Wales fertilizer plant
In an industry that experienced challenges to improve efficiencies for decades following World War II, 3-D printing presents exciting and tantalizing possibilities. The extent to which the technology may be commercialized for complex construction remains to be seen, but if and when that does happen, those who enter the race would be well advised to include strategies surrounding intellectual property ownership rights, legal and insurance risks that may be present. Josh Leavitt is co-chair of the construction law practice at Chicago-based law firm Much Shelist and the organizer of a sub-group of venture capital, intellectual property and construction lawyers that deal with legal issues arising out of the development and application of 3-D printing technology to the construction and engineering sector. He can be reached at 312-521-2627 or jleavitt@muchshelist.com.
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Industrial | FCL BUILDERS – SKF GLOBAL TECHNICAL CENTER
Global Dominance
CREDIT: Nathan J. Peterson
FCL BRINGS INNOVATION TO A NEW R&D CENTER FOR MANUFACTURING LEADER SKF. BY CHRIS PETERSEN
says its new facility will » SKF help it to bring world-class knowledge closer to its clients.
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FCL Builders – SKF Global Technical Center www.fclbuilders.com • Project cost: $30 million • Location: Naperville, Ill. • Scope: 130,000-square-foot esearch and development center
“They want is to be a wonderful work environment for eir employees.” – Randy Lindenberg, principal/vice president
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wedish manufacturer SKF has been a leader in providing technology for more than a century. The company’s expertise in bearings, seals, mechatronics and lubrication systems made it a formidable presence in the global manufacturing market, from its earliest products in 1907 to the highly sophisticated solutions it provides for its global customers today. Innovation has been key to SKF’s success over the years,
and the company is furthering its commitment to developing the solutions for tomorrow’s manufacturing applications with the construction of its new Global Technical Center outside of Chicago. The 130,000-square-foot, $30 million Global Technical Center Americas has been planned with the goal of bringing SKF’s technical expertise and engineering prowess closer to its customers in North America. Located in Naperville, Ill., the Global Technical Center Americas will complement the company’s existing technical center in Michigan and will provide the company with a new state-of-the-art facility from which it can develop new solutions for its customers. “The [center] will bring world-class SKF knowledge and experience closer to customers in order to increase the speed of delivering new products and solutions to market,” SKF USA President Poul Jeppesen said in a recent statement. “Our engineers will be working more closely with our customers in order to solve tomorrow’s
engineering problems today, tackling challenges from energy efficiency to reliability and increased productivity. [It] will also strengthen our connections to the excellent university research work in North America.” Before the Global Technical Center Americas can get to work on creating solutions for SKF’s clients, of course, the challenges of building the facility have to be solved. To bring this facility from concept to reality, SKF turned to FCL Builders, an Itasca, Ill.-based design/build contractor that specializes in commercial construction across the country. FCL Builders Vice President and Principal Randy Lindenberg says the project came about as a result of the relationship FCL Builders has with the developer, Murphy Real Estate. He says the developer had been working for years with FCL Builders to find a project that would suit the parcel of land in Naperville before they were approached by brokers representing SKF. The site’s location made it the right place for the new Global Technical Center Americas, and
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Industrial | FCL BUILDERS – SKF GLOBAL TECHNICAL CENTER
FCL is a design/builder that focuses on commercial projects and customizes buildings to fit owners’ needs.
FCL Builders was awarded the contract to design and construct the facility as a build-to-suit project.
A Different Project As a design/builder, FCL has a lot of experiences customizing buildings to fit an owner’s specific needs. As a design/builder, FCL has
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a lot of experience customizing buildings to fit an owner’s needs, and that experience makes it more than qualified to tackle a project of the size and scope of the Global Technical Center Americas. “We have established a proven design/build method that ensures the customer’s needs and desires are completely understood and the customer is completely satisfied,” the company says. “FCL Builders consistently matches its internal team and external resources, including clients, architects, engineers and subcontractors, to ensure we deliver the highest-quality product every time. Not only do we hold our own employees accountable, we also regularly evaluate all subcontractors and suppliers to make sure they meet our standards for quality, reliability, ethics and professionalism. Every member of
‘We are passionate about seeing our customer’s vision become reality.’ our team, at every level, is devoted to meeting our customer’s needs. We have created a climate in which issues can be raised, openly discussed and jointly settled for successful outcomes.” In this case, the Global Technical Center Americas is intended to blend into the environment and the aesthetic elements of the site. FCL ensured the design focused on a facility that provides comfort for its engineers. “They want this to be a wonderful work environment for their employees, relaxing and innovative to allow their employees to think creatively,” Lindenberg says. A significant part of creating that environment for SKF’s engineers is providing them with an inspiring view. Lindenberg says the
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building has been oriented on the site to provide views of the natural wetland area and pond on the building’s north side. A walkout patio area also is being constructed on the north side to provide employees with a gathering space.
Overcoming Challenges The orientation of the facility on the site is important for creating the type of work environment SKF wants for the Global Technical Center Americas, but it also comes with some significant challenges for FCL Builders and the rest of the project team. “The site has significant topographical elevation changes,” Lindenberg says. “It falls from 40 to 50 feet from south to north.” Engineering the building to accommodate the severe slope of the site was “far and away” the greatest challenge for the project team, Lindenberg explains. However, FCL Builders was able to leverage its design/build experience and worked closely with the rest of the project team members to find creative solutions to
the situation. For example, the building’s northeast corner is essentially like the deck on a house, built with supports that elevate it over the site. Lindenberg says the project also has been designed to achieve LEED certifi-
cation. Among the sustainable features included in the project are natural lighting, permeable pavers in the parking lot, potential solar panels on the roof and improved stormwater collection, retaining wall and HVAC systems.
has been overcoming » FCL significant topographical challenges on the SKF project.
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Industrial | FCL BUILDERS – SKF GLOBAL TECHNICAL CENTER
helpful for the project. Lindenberg says teamwork has been a crucial element of the project’s success. “I think we definitely reinforced that, by working collectively with the client and our subcontractor team, we found the best solution to the challenges that were in front of us,” he says. “That is what we do best. We are passionate about seeing our customer’s vision become reality.”
The SKF Global Technical Center is on track to be completed on schedule thanks to the team’s close collaboration.
Crucial Teamwork The close collaboration between all members of the project team has been a major reason why the SKF Global Technical Center Americas project has remained on track to be completed on schedule. Lindenberg says
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FCL Builders’ work on the shell and core will be completed by mid-September, with interior improvements representing the next phase of the project. Lindenberg explains that the cooperation of the city of Naperville has been extremely
Sullivan Roofing, Inc. is Chicagoland’s Premier Commercial Roofing Contractor specializing in new construction, architectural sheet metal, green tray and garden roofs as well as roof repairs and maintenance programs. Founded in 1998, Sullivan Roofing has installed over 100 million square feet of quality roof installations. Sullivan Roofing, Inc. is proud to have been part of the new SKF Global Technical Center’s state-of-theart facility in providing the new TPO fully adhered roofing system, composite metal wall panels and equipment screen panels for this project. Congratulations to FCL Builders on the successful completion of this complex, fast tracked project.
Industrial | NEIMAN ENTERPRISES
Seeding the Future NEIMAN WANTS TO HELP PREPARE THE NEXT GENERATION OF THE TIMBER INDUSTRY. BY TIM O’CONNOR
Neiman Enterprises operates four mills in South Dakota, Wyoming and Colorado.
Neiman Enterprises www.neimanenterprises.com • HQ: Hulett, Wyo. • Employees: 500 • Specialty: Timber products
“One company cannot fix the system on its own. I think we’ve seen the education system isn’t going to do it.” – Marcus Neiman, plant manager
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ith tight environmental restrictions, growth can be a difficult prospect in the timber industry. As Neiman Enterprises approaches 500 employees, the Rocky Mountain company is thinking cautiously about whether it should pass that threshold and open itself up to enhanced forestry industry regulations.
The drought in qualified workers entering the timber industry has further complicated that decision to grow. The company’s workforce is aging and retiring faster than it can train new employees, says Marcus Neiman, plant manager for Neiman Enterprises’ Spearfish Forest Products facility. This makes it difficult to develop the next generation of talent. “We got to this level because we had the key personnel with the inherent knowledge and gut instinct to make the right decisions,” Neiman says. The timber industry has been automating out of necessity, Neiman explains, but smaller businesses like Neiman Enterprises are beginning to reach the limits of what can be handled by machines while still delivering the niche products its customers want. The industry needs young, qualified workers, who have become
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increasingly difficult to find as society and the education system focus more on computers, causing students to lose the ability to create with their hands. “Our education system struggles at promoting skilled labor,” Neiman argues. To Neiman, the solution is clear: change the education system. But to accomplish that, Neiman says competing businesses must collaborate to create a sustainable structure that feeds skilled workers into the economy. “It has to be a collective effort from the industry,” Neiman explains. “One company cannot fix the system on its own. I think we’ve seen the education system isn’t going to do it.” A possible blueprint for that change is the internship program at Vollmer, a German manufacturer of grinding and erosion machines for rotary tools and saw
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Industrial | NEIMAN ENTERPRISES
blades used in the wood and metal working market. Neiman visited Vollmer earlier this year during a woodworking convention and was impressed by how the company of 500 employees dedicated space and time to teach its trade to 60 interns. “The immediate value to the company isn’t going to be the work those students are doing,” Neiman says. “It’s the sustainable education in the community.”
Holding On To Heritage As a fourth-generation member of his family’s business, Neiman understands the importance of passing on industry knowledge to the next wave of workers. The Neiman family came from an agricultural background, growing corn in Colorado during the Great Depression before his great-grandfather A.C. Neiman moved to South Dakota’s Black Hills and opened his first mill in 1936. “Through attrition and hard work we’ve managed to build the company we have today,” Neiman says. Neiman Enterprises has four mills, two in South Dakota, one in Wyoming, and one in Colorado. Spearfish Forest Products is the largest facility and is capable of producing 100 million board feet (MMBF) of timber each year. It was designed to be a live saw dimension mill but has since converted into a board mill. Rushmore Forest Products is a small log mill that produces 60 MMBF of ponderosa pine boards and pattern annually. Like Rushmore, Devils Tower Forest Products produces 60 MMBF annually but focuses on high-quality shop grade lumber which is used in doors and windows. Montrose
Forest Products is located in Colorado, and each year outputs 60 MMBF of premium studs from beetle-killed forests. Having different operations at each mill gives Neiman Enterprises the flexibility to shift its log sort based on timber sale trends, Neiman adds. Neiman Enterprises’ primary focus is on pine boards and its products are typically used in home remodeling projects or to make tongue and groove paneling for interior walls. The company manufacturers its own wood pellets from the byproducts left over by board production or sells the material to be used for mulch or flower bed decorations.
Impact of Globalization Natural resources cannot be outsourced and the need for wood products from a national forest has long shielded Neiman Enterprises from the influences of a flat world economy. But even in the timber industry globalization has taken root during the past two decades, Neiman says. The company has seen sales in Mexico drop off as the value of the dollar has risen, prices are fluctuating as the Chilean lumber industry recovers from the earthquakes in 2010 and even timber sales as far away as China can tip the market. “You definitely have to have your finger on the pulse of the wood industry on a global scale,” Neiman says. When Neiman Enterprise started, it made one product and sold to one company. Its expansion in the ensuing decades have made it a leader in ponderosa pine, but now globalization is causing similarly sized timber businesses to shift toward the remanufacturing side of the industry – companies that can supply custom details and respond to customer orders. Neiman Enterprises remains competitive by setting annual goals for capital investments at its plants to ensure that equipment and computer systems remain up to date. But Neiman and other company leaders are still debating whether those investments should lead to growth. If Neiman Enterprises exceeds 500 employees, the Enterprises remains » Neiman focused on the global wood industry to stay competitive.
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The company is dedicated to fiber recovery and taking the most value from wood that it can.
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company will fall into a higher industry category and be subject to additional forestry regulations that limit the number of trees it can purchase from loggers. Those imposed restrictions could endanger the wood supply and health of the four mills, Neiman says, which has made the company balk at moving forward. Neiman Enterprises is part of the Sustainable Forestry Initiative, an independent organization that oversees forest management and sets standards on the supply chain. The many regulations and difficult market conditions have created a different atmosphere from 1936, when the only things A.C. Neiman needed to start his forest products business was a truck frame and a motorized saw. “The entry level is very difficult nowadays,” Neiman says, “if there were to be a young, ambitious person out there who said, ‘I want to build my own sawmill and my own dynasty.’” Since Neiman Enterprises is still mulling its future, the focus now is more on fiber recovery, taking the most value out of every stick it can. “It’s caused us to be more focused on the byproduct side to ensure we’re encompassing as much revenue from the entire spectrum of the industry as possible,” Neiman says. Although the company now must compete in the global marketplace, Neiman says its smaller size and proximity to customers helps it provide the best service. “The bigger you get the more difficult that becomes,” Neiman explains. “That’s where, in today’s capitalist market, you can find your niche.” Samuel Strapping Systems, alongside the Samuel Coding & Labeling Group, proudly supports Spearfish Forest Products, providing: Steel and Plastic Strapping, Ink Jet Equipment for Grade Marking, Tools, and complete Strapping System solutions. Samuel Strapping Systems would like to congratulate Spearfish on their successes and appreciates their continued support.
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Industrial | CADENCE MCSHANE CONSTRUCTION
Working Out West
CADENCE MCSHANE IS AT WORK ON TURNPIKE WEST, AN INDUSTRIAL BUILDING IN DALLAS.
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adence McShane Construction is not interested in staying within limits. “We’re a leading contractor headquartered in the state of Texas – but we go beyond our home base to follow our clients wherever their organizational aspirations take them throughout the country,” the company says. Addison, Texas-based Cadence McShane provides general construction, construction management and design/build construction services, and says it has become a first choice for construction purchasers nationwide. “Beyond our commitment to our clients and their stakeholders, our business relationships are built on trust, and earned over multiple projects spanning decades,” it explains. “We stand with our clients before, during and after the construction of each building, and our clients stay with us because we consistently deliver on time and within budget,” it says, noting that it builds longterm value into its relationships. Cadence McShane adds it is skilled at completing virtually all construction, such as K-12 and higher education, healthcare, multifamily, manufacturing, distribution and food processing. Its current projects include Turnpike West, an industrial building project in Dallas. According to The Dallas Morning News, the project is one of several warehouse projects developer Holt Lunsford has in the Dallas region. When finished, Turnpike West will have 259,672 square feet of warehouse space and be located on Interstate 30, north of the Pinnacle Park business park. Cadence McShane considers its construction management at-risk offering to be the backbone of its services. “We believe in the value of an integrated project team where everyone benefits,” the company states. “As an integral team member and steward of our client’s financial resources, we take our role in making each project a success very seriously,” Cadence McShane continues. “Due to our extensive experience
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McShane is skilled » Cadence at completing virtually all types of construction.
serving as construction manager at-risk and our proven track record, many clients prefer Cadence McShane taking the lead on a project.” The company says it can commit to a guaranteed price with this approach. “Cadence McShane conducts creative cost analyses and evaluations, and measures results based upon hard cost data and estimating experience, not speculation,” it says. “By providing this information during the design and pre-construction phases, we are able to assist our clients with viable options to determine how construction dollars might be best spent,” Cadence McShane says. “Our initial estimates have historically been within 1 percent [to] 2 percent of the final project cost, thus allowing clients to accurately determine their budget.” It also manages communications during a project’s design and construction, taking the burden off its customers. “We continually monitor and manage potential cost overruns, which offer potential for our clients to benefit from savings should costs come in below the guaranteed price,”
Cadence McShane Construction www.cadencemcshane.com • Headquarters: Addison, Texas • Specialties: General construction, construction management and design/ build construction
“We go beyond our home base to follow our clients wherever their organizational aspirations take them.” – Cadence McShane
Cadence McShane says. “Our open-book approach provides clients with both formal and informal cost information and the ability to participate in the subcontractor buy-out process to their desired extent.”
Providing Security Cadence McShane also utilizes the design/ build project delivery method, which provides “the security of a single source of responsibility for both the design and construction of their project,” it says. “On a design/build project, we are engaged by the client prior to the start of design, and we
assume the responsibility and risk for the services provided by the design professionals and consultants. “Design/build offers many of the same benefits as integrated project delivery, except that the responsibility for the work of the design professionals remains with us,” the company says.
An Early Adopter
The company uses sustainable techniques in its projects. “Particularly during the pre-construction phase, we work to help clients identify long-term savings and upfront benefits through a menu of green construction options,” it says. The firm is committed to conservation. “We recycle 50 percent of the waste stream from our jobsites, use certified wood and find locally available materials,” it says. “On
large, multifamily projects, we employ simple techniques like low-E glass, Energy Star appliances and high SEER cooling equipment to significantly reduce energy costs. “On many of our commercial projects, we’re skilled at installing geothermal systems that allow our clients to take advantage of natural heating and cooling throughout the life of their building,” Cadence McShane states.
The use of building information modeling (BIM) is increasing in the construction industry, and Cadence McShane has not let itself get left behind. Instead, the company “prides itself on early adoption of the latest developments in BIM, which allow us to provide more efficient service, to more thoroughly coordinate systems and to communicate effectively among all the parties involved in a project,” it says. “This leadership in BIM implementation is particularly helpful for our education and healthcare clients, many of whom need to be able to document facilities for ongoing facility management needs,” Cadence McShane says. “Our BIM expertise helps us deliver medical, educational and commercial facilities in a flexible and transparent manner.”
Environmentally Friendly Cadence McShane follows sustainable design and construction principles. “We use environmentally friendly materials to create green buildings and deliver double value to our clients: reduced operational and maintenance costs and [an] enhanced reputation,” it states. SentriForce and Cadence McShane have consistently worked together over the past three years and have established a trusted partnership. SentriForce is one of the first and only live monitored video surveillance companies in the United States to work exclusively with commercial contractors. Our ability to work nationwide gives you the opportunity to partner with a trusted security provider on all of your projects. Your site is monitored by our U.S. based, in-house staff, and we provide a customized plan for each site – to fit every budget. Our security units provide a cost effective option and 24/7 objective coverage. For more information or a free quote, visit our website at www.sentriforce.com.
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Expansion Plans HATCH AND THE MOSAIC COMPANY ARE IN THE MIDST OF AN EXPANSION PROJECT. BY ERIC SLACK
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here are some construction projects where familiarity among the partners is a critical element for success. Perhaps that is why Hatch Ltd. and The Mosaic Company are so thrilled to be working together on Mosaic’s New Wales fertilizer plant in Mulberry, Fla. “We were chosen because of our expertise and experience with Mosaic on this and similar processes,” Senior Project Manager Dan Pelham says. “They can have trust in our ability to upgrade their existing plant.”
Hatch Ltd. - The Mosaic Company’s New Wales fertilizer plant www.hatch.ca • Project location: Mulberry, Fla. • Scope: Fertilizer plant expansion • Peak construction workers on ite: 400
“Mosaic wanted us on is project because of our expertise in is field.”
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and construction management, consulting, information technology, engineering and process development. The company has project experience in more than 150 countries, more than 10,000 people in more
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Hatch Ltd. is an employee-owned, multidisciplinary professional services firm that provides technical and strategic services to the mining, metallurgical, energy and infrastructure sectors. Its services include project
engineering, process development and project and construction management
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Teaming Up
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– Dan Pelham, enior project manager
than 65 offices and more than $35 billion in projects currently under management. Hatch has become well known for its abilities to develop business strategies, manage and optimize production and execute projects that involve the scaleup of process technologies, as well as its ability to manage startups, commissioning and ramp-ups. Its goal is to be the leading supplier of technical and strategic services including consultA REG ing, information ID I R technology,
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Industrial | HATCH LTD. – THE MOSAIC COMPANY’S NEW WALES FERTILIZER PLANT
Hatch’s goal is to be the leading supplier of technical and strategic services in several industries.
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Industrial | HATCH LTD. – THE MOSAIC COMPANY’S NEW WALES FERTILIZER PLANT
to the mining, metallurgical, energy and infrastructure industries. The Mosaic Company serves the global agriculture sector. The company mines phosphate rock from nearly 200,000 acres of Mosaic-owned land in central Florida, and it mines potash from four mines in North America, primarily in Saskatchewan. Mosaic’s products are processed into crop nutrients and then shipped via rail, barge and ocean-going vessel to customers in the major agricultural centers of the world. Mosaic is a leader in the potash industry with annual capacity of 10.3 million tonnes. Its potash expansion projects are expected to increase the company’s annual capacity by almost five million tonnes. As for phosphate, Mosaic’s annual capacity is greater than the next two largest producers combined. It is the world’s largest producer of finished phosphate products, with approximately one-third of its phosphate product shipped within North America while the remainder is exported globally. The company employs 8,900 people, delivers nearly 19 million tonnes of product to approximately 40 countries each year and participates in every aspect of crop nutrition development. “Hatch is a global mining and minerals
company, and we entered the phosphate sector in 2010,” Pelham says. “Our Tampa office is our phosphate center for excellence. We work with all of the major phosphate companies in North America, and Mosaic is one of our key clients.” Hatch and Mosaic have worked together on a number of projects, and the $225 million expansion at Mosaic’s New Wales fertilizer plant is one of the most recent. Mosaic’s goal is to enhance the facility so it can produce and handle the company’s MicroEssentials product. Mosaic is the only company producing MicroEssentials, which fuses nitrogen, phosphorus, sulfur and zinc into granules that are used to fertilize crops. The New Wales project has been seen as a necessity for Mosaic because demand for its MicroEssentials product has grown. Construction began on the project in June 2014. The goal for final construction and commissioning is June 2016. Among the key elements of the project are the construction of two new storage warehouses measuring 150,000 and 16,000 square feet. In addition, the project will modify existing buildings to allow for the addition of new equipment. Once the upgrade is finished, the upgrade should expand Mosaic’s pro-
CCC Group has partnered and shared project successes with Hatch Engineering and Mosaic for many years and in multiple locations. A testament of CCC’s commitment to clients is the Florida regional office, formed as direct result of the relationship with Mosaic’s predecessors by building and then servicing the phosphate mines’ mining equipment. This commitment and partnering approach continues today, in executing the new Micros Essentials Capital project. CCC’s relationship with Hatch is equally as strong with work spanning several regional offices from working in Idaho’s phosphate mines, to working together in the aluminum industry, to the ever-expanding Mosaic footprint in Florida. CCC values the relationship with Hatch and understands that some of the best work is done with partners!
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duction capacity to 3.5 million metric tons by 2017. “The plant was originally capable of just making diammonium phosphate, but when the project is finished it will be able to produce diammonium phosphate, monoammonium phosphate and MicroEssentials,” Pelham says.
Challenging Aspects Located on a site that is around 30 acres in size and located in two counties, aspects of the project include construction of a micronutrients raw materials warehouse as well as installation of the conveyance systems needed to transfer materials to the production facility. The current production plant is being converted through a meticulously planned process that will demolish parts of the plant while still allowing it to operate. “Currently, the facility is set up so there are two production plants in one large facility,” Pelham says. “Mosaic doesn’t want to lose productivity, so we are first shutting down, demolishing and converting the east plant. It will come back on line in December. We will then go through the same process with the west plant, which will come online next June.” Before any of that could happen, the project had to get through a complex per-
Mosaic wants to enhance its New Wales facility so it can produce the MicroEssentials product.
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mitting process that involved two counties, as well as state and environmental permitting. After that, an entirely new electrical infrastructure needed to be installed at the site to handle new equipment and power requirements. “Due to common power and control equipment in the old plant design, when we shut down the east plant for its demolition and conversion process, we had to start-up the west plant on the new electrical infrastructure,” Pelham says. Staging was also a challenge on the project because there were no facilities for contractor trailers or laydown of equipment and steel. In addition, the nature of the Floridian landscape and climate means earth movement, filling and drainage have all been factored into the project. Beyond that, coordination and scheduling have been a challenge, as there are 12 contracts being performed on the project with seven major contractors all involved. What’s more, engaging in demolition of one plant while the other is still running presents logistical and safety issues. So far, Hatch has been able to handle all of those issues in its role as construction manager. “We have to hit our deadlines because Mosaic has to be able to get its products to its customers,” Pelham says. “Mosaic wanted us on this project because of our expertise in this field and they felt we could handle a project of this size in a small window of time.” Ultimately, Hatch is looking forward to completing this project on time and on budget. Doing so will allow Mosaic to continue to build on its position in the phosphate industry, and it will allow Hatch to elevate its expertise and reputation. “This project will help to build the Hatch name on a global scale, and it will help Mosaic by increasing their ability and capacity to efficiently make a premium product,” Pelham says.
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Institutional
By Ralph Vasami
Green
Building Products 101
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y now, most of us involved in the building construction and design industry are familiar with Leadership in Energy and Environmental Design (LEED) certification — the U.S. Green Building Council’s set of rating systems for the design, construction, operation and maintenance of green buildings, homes and neighborhoods — and other sustainable building programs. As the demand for “greener” buildings continues to grow, it’s important that our industry communicate the impact the products we manufacture have on the environment. In many cases, those seeking LEED certification consider building products based on their environmental product declaration (EPD). An EPD is an independently verified and registered document that quantifies
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the environmental impact of a product through its entire life cycle. By having an EPD, manufacturers make it easier for contractors, specifiers, architects and designers to compare products that fulfill the same function, helping them maximize the benefits of these products when it comes to their projects. Key attributes for consideration are: • The impact of raw material acquisition; • Energy use and efficiency; • Content of materials and chemical substances; • Emissions to air, soil and water; and • Waste generation. EPDs are voluntary, but the absence of an EPD may result in products being disqualified from certain bids by individuals or businesses seeking to maximize the environmental benefits of their building. Manufacturers understand that, in many European countries, EPDs are required, and that not having an EPD for your product means that your product cannot be used. So, how are EPDs developed? And, how can we be sure there is a fair method of comparison for similar products?
IN THIS SECTION Knowing the Rules This is where product category rules – or PCRs – come in. A PCR is a set of specific rules, requirements and guidelines for a specific type of product such as builders’ hardware. PCRs are necessary because they determine what data should be gathered and how it should be evaluated in a product’s lifecycle assessment (LCA), which is the next step in developing an EPD. An LCA is the process used to assess the environmental impact associated with all the stages of a product’s life. The use of PCRs helps manufacturers to simplify and streamline the evaluation of large amounts of data about their products, and eliminates some of the redundancy in the procedures. An EPD may be analogous to a “Nutrition Facts” label on your favorite snack. The label is effective because the data is analyzed and communicated to the public in a similar fashion for every food product on the shelf. PCRs provide similar guidance by offering rules for the manufacturers of similar products when it comes to commencing a life cycle analysis and producing an EPD. Recognizing the growing importance of EPDs in the marketplace, the Builders Hardware Manufacturers Association (BHMA) took the initiative to develop the very first PCR for builders’ hardware. On behalf of BHMA’s members, the North American Product Category Rules program for builders’ hardware was published in 2014. The program establishes rules for most of the builders’ hardware products covered by the ANSI/BHMA 156 standards. This multi-year project, conducted in cooperation with BHMA members, drew upon the expertise of Underwriters Laboratories Environment (ULE) in the field of environmental impacts. Builders Hardware/UL 9004 “Product Category Rule for Preparing an Environmental Product Declaration for Product Group” is available to all manufacturers for download under the new sustainability section of the BHMA website, as well as on the UL website. This document serves as a primer on the PCR rules as well as the EPD process.
What’s Next? The BHMA-sponsored PCR facilitates the analyses of environmental impact for 26 product subcategories of builders’ hardware, including locks, latches, exit devices, door closers, hinges and other associated products. A PCR for power doors will likely be grouped together and issued as a separate document. This set of products is different from the first group in that they include the use of power systems (i.e., electric motors) for their operation. Once the PCR for power doors is complete, the program will then cover all builders’ hardware products, with the possible exception of integrated door opening assemblies. The Steel Door Institute (SDI) has developed the PCR for steel doors, which should make it possible for manufacturers to combine the rules for builders’ hardware with the rules for steel doors.
Rycon Construction Inc. – The 90 Project
p.120 Rycon’s long relationship with Aramark continues with the 90 Project.
J.D. Beam Inc.
p.128 J.D. Beam’s work on a college building is receiving positive attention. Company Profiles 110 Hensel Phelps –Mule Creek State Infill Complex 113 California High-Speed Rail Authority 116 Big-D Construction – Beverley Taylor Sorenson Center for the Arts 118 Kinetic Construction – Camosun College Trades Education and Innovation Complex 120 Rycon Construction Inc. – The 90 Project 123 Turner Construction – Cleveland Clinic Cancer Center 128 J.D. Beam Inc. The PCR for builders’ hardware facilitates individual manufacturing companies in the development of highly-demanded EPDs that the construction community is seeking. The PCR is the first North American industry-wide resource for hardware manufacturers, demonstrating our industry’s commitment to constructing more environmentally-conscious buildings. With a broad background in engineering, business management, operations, finance and law, Ralph Vasami currently serves as the executive director of the Builders Hardware Manufacturers Association (BHMA), where he oversees all aspects of the association. Formerly a chairman for the Vinyl Window & Door Institute, Vasami is also a pioneer in the window and doors industry, and was instrumental in setting up testing and standards for products, as well as the current industry certification program.
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Institutional | HENSEL PHELPS – MULE CREEK STATE INFILL COMPLEX
Hensel Phelps is using the design/build process on the Mule Creek Infill Complex.
Jail Relief
HENSEL PHELPS IS PROVIDING EXPERTISE TO HELP CALIFORNIA SOLVE ITS PRISON OVERCROWDING.
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alifornia has long history of prison overcrowding, but the issue came to a head in 2011 when the U.S. Supreme Court affirmed a lower court order for the state to reduce its then 156,000-person prison population – twice the designed capacity – to 137.5 percent of capacity. To accommodate that order, the California Department of Corrections and Rehabilitation (CDCR) was forced to release thousands of inmates, but also began considering new facilities to relieve overcrowding. In 2012, the California legislature
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authorized CDCR to construct three new housing unit facilities at existing prison sites, including the Mule Creek State Prison, a complex that sits on 866 acres of mostly undeveloped land in the city of Ione, about 33 miles south of downtown Sacramento. The following year, the CDCR issued a site-specific evaluation report that recommended the construction of a new 1,584bed jail on the Mule Creek property. Work on the Mule Creek Infill Complex began in spring 2014 and is utilizing the design/build process. Construction company Hensel Phelps was awarded a $330 million
Hensel Phelps – Mule Creek State Infill Complex www.henselphelps.com • Project cost: $330 million • Location: Ione, Calif. • Scope of work: Prison construction
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contact to build the facility in March 2014; however, the total cost of the project is expected to approach $488 million, according to the California State Public Works Board. The new prison is being funded through a bond issuance. Occupancy is expected to begin in March 2016 with the total project being completed by May 2016. Hensel Phelps specializes in seeing projects through from design to construction and facility management. The company has extensive experience in a variety of fields, including aviation, commercial, education, renewable energy facilities and education buildings. No matter what the type of job, Hensel Phelps says it views each project as a landmark in the making. Construction is occurring alongside the active Mule Creek State Prison, which houses Level I, III and IV inmate classifications. The new facility will contain Level II inmates. The original prison opened in June 1987 and provides vocational, academic and industrial programs for inmates on site. Like other California jails, Mule Creek State Prison experienced severe overcrowding for many years. The problem peaked in 2006 when the prison held 3,965 inmates despite a design capacity of 1,700. That number has gradually decreased to 2,865 inmates in fiscal year 2012-13, according to the prison. CDCR’s long-term plan for the original prison calls for further decreasing the inmate population to 2,400 people, according to the 2013 site evaluation report.
Hensel Phelps sees projects from design to construction and facility management. Building a Modern Prison Although the new Mule Creek Infill Complex will have some autonomy in terms of inmate housing, programing and healthcare services, it will operate under the authority of the existing prison and will depend on the original facility for several support functions. The infill project area comprises 24 buildings on 76 acres, according to the California State Public Works Board. Most of the site is previously undeveloped land that was used as spray fields for disinfected wastewater generated at Mule Creek State Prison and treated onsite before being pumped into the nearby Mule Creek Reservoir. To prepare the land, Hensel Phelps’ crews had to cut about 40 feet into a mountain and excavate about 1 million cubic yards of dirt. The site requires the installation of all-new utilities, a vehicle patrol road and more than one mile of lethal electrified fencing. There will be six single-story housing units, each about 40,000 square feet in size with a mezzanine and space for 264 inmates. The new jail will have 90,000 square feet of space for programming, recreation and support services.
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Institutional | HENSEL PHELPS – MULE CREEK STATE INFILL COMPLEX
The construction of the Mule Creek Infill Complex reflects the need for thick, guardable buildings.
To deliver the project, Hensel Phelps is working with electrical contractor Bergelectric. The companies have collaborated on past jail projects such as the Coalinga State Hospital Secure Treatment Facility, a maximum-security psychiatric hospital in California that was completed in 2008.
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Once completed, the Mule Creek Infill Complex will have flexible housing for inmates with disabilities and intermediate medical or mental health treatment needs while complying with the court order to provide adequate inmate healthcare and reduce overcrowding. Operating the complex will require 377 new employees, more than half of whom would be correctional officers and the remainder medical and mental health personnel, vocational and educational staff, facility maintenance personnel and administrative support staff, according to the CDCR site evaluation report. Although much of the work is focusing on the Mule Creek Infill Complex, the original Mule Creek State Prison will also see some renovations because the existing prison will provide many of the new facility’s support functions, according to the California State Public Works Board. The Mule Creek State Prison’s central kitchen will be renovated, the warehouse will be overhauled and expanded, a new radio tower and communications equipment vault will be built and parking improvements will be made.
Construction Goals Like every state, inmate behavior in California is held to a high standard, but the CDCR does not operate on the honor system. The jail must be built strong and safe to ensure prisoners remain inside to complete their sentence. The construction of the Mule Creek Infill Complex reflects the need for thick, guardable buildings. The foundations for each of the new buildings are slab-on-grade construction with concrete or concrete masonry exterior walls, according to the California State Public Works Board. The interior construction calls for painted concrete and masonry walls or gypsum board sheathing over light gauge steel stud framing. The buildings themselves are designed to be environmentally sustainable, with the goal of achieving a LEED Silver rating from the U.S. Green Building Council once the project is completed.
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Institutional | CALIFORNIA HIGH-SPEED RAIL AUTHORITY The Old Hollywood Inn in Fresno, Calif., was the first structure demolished to make way for the high-speed rail project.
Rapid Rail SAN FRANCISCO TO LOS ANGELES IN LESS THAN THREE HOURS IS THE GOAL FOR A NEW RAIL SYSTEM. BY RUSS GAGER
California High-Speed Rail Au ority
www.hsr.ca.gov • Projected budget: $68 billion • Headquarters: Sacramento, Calif. • Specia y: High-speed ail
“If you get e esources, you can do ings pre y quickly.”
-Hugo Mejia, head engineer and design and construction manager for CP-1
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ou wouldn’t think getting a person from San Francisco to Los Angeles via high-speed rail would be as difficult as putting putting a man on the moon, but sometimes it seems like it. “Being in the trenches, maybe I’ve gotten numb to it,” concedes Hugo Mejia, head engineer and design and construction manager for Construction Package 1 of the California High-Speed Rail Authority. “To me, it’s another civil project. I come from the California Department of
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Transportation, and for me, it’s no different than building a roadway with bridges. Instead of asphalt or concrete lanes, you’re going to put down rails. So right now to me, it’s just a civil project with the train contract coming thereafter.” It is going to be a long $68 billion project, stretching approximately 520 miles between San Francisco and Los Angeles, and ultimately extending 800 miles to Sacramento and San Diego with up to 24 stations throughout. Portions of the system are expected to run at a maximum operating speed of 220 miles per hour on new tracks and guideways specially designed for the requirements of high-speed rail transportation. However, some areas of the system in major cities will integrate with existing, modified tracks. For now, earth is being built up to form the guideways. “When the rail contract comes out and the actual rail is going to
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Institutional | CALIFORNIA HIGH-SPEED RAIL AUTHORITY
Design Construction
Geotechnical boring is required to analyze soil conditions for structures by the San Joaquin River.
be put down, then the final design will be selected,” Mejia says. “You can either use a ballasted or non-ballasted system. The ballast is what you see right now on a typical Union Pacific rail line, where you see the gravel on top with ties and rails. A non-ballasted system is pretty much a strip of concrete –to put it in layman’s terms – with no gravel.” The first section that is scheduled to become operational in 2022 will include travel from Merced to Burbank/Anaheim, but by 2028, a full non-stop, one-seat ride from San Francisco and Los Angeles will be a reality.
Preconstruction Proceeding Preconstruction on the first section involves acquiring right-of-way, environmental permits, drilling for geotechnical core samples and locating and relocating utilities. “We’re doing some very deep boring to analyze the soil and simulate what
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will happen in the event of an earthquake in this area,” Mejia says. “Right now, the biggest challenges here project-wise are acquiring right-of-way and environmental clearances,” Mejia says. “It’s taken some adjustments to get everyone on board with this design/build project where schedules are accelerated and design is occurring right in front of construction.” Additionally, a variety of third-party agencies must be worked with during the aggressively scheduled project. “I’m talking about Pacific Gas and Electric, AT&T and countless cities or counties that have infrastructure and utilities within our alignment that we will have to enter into agreements with on how we are going to work with those agencies and third parties – how we are going to do the work we need to do. 2028 is not that far away. However, I do not have any doubts that we will complete the project. If you get the resources, you can do things pretty quickly.”
The first section of the project – 29 miles from Avenue 17 in Madera County to East American Avenue in Fresno County – is budgeted at $1 billion and is being designed and built by a joint venture of Tutor Perini Corp., Zachry Construction and Parsons Corp. It includes 25 grade separations, three viaducts, one tunnel and a major river crossing over the San Joaquin River. Bids for the combined second and third, $1.2 billion construction package – 65 miles from South Fresno to north of the Kern County line – are still being evaluated. The designs of the systems, rails and train itself have not been finalized. “Right now, we are designing and building the guideway and the structures that will either support or go over or under our high-speed rail system,” Mejia says. “The guideway is what is going to support our train and make sure everything runs correctly and in accordance with our design criteria, which require that the train be designed for 250 miles per hour with an operating speed of 220 miles per hour. “In our design criteria, it is a requirement to get from Los Angeles to San Francisco in two hours and 40 minutes,” he continues. “That’s doable with the alignment that we have chosen and with the speeds that the train will be operating at. The train system that we are requiring will have an electrical overhead catenary system. The electrical power will come from overhead to the train, which is similar to a lot of the lower-speed rail systems you see throughout the country.” The train’s electrical power will originate from renewable sources, and the rails will be welded to reduce noise and smooth the ride. “We’re very environmentally conscious with this project,” Mejia stresses. “The construction equipment is required to be Tier 4 or better, meaning the cleanest-emitting construction equipment you can buy.”
Construction Begins After the design/build contract was signed in August 2013, pre-construction activities got underway, including staffing, relocating offices to the Central Valley and other activities. Construction on the first section continued through March 2 moving utili-
ties, relocating storm drains in downtown Fresno and demolishing structures. Almost one-third of the necessary land parcels have been delivered to the joint venture, and approximately 25 buildings have been demolished. As of February 2015, demolition in general has resulted in the recycling of 8,000 tons of asphalt and concrete. The demolition of an abandoned Del Monte factory building in Fresno has resulted in approximately 3,600 tons of material. Recycled construction materials must be cleared of any hazardous ones. “We are in an older section of Fresno, so there’s lead on the walls, there’s asbestos in the tiles and some underground storage tanks with petroleum-based products, which is typical of this type of project,” Mejia says. Noise and vibration from construction of the pilings that some of the new high-speed rail structures such as bridges will require will be reduced by having them poured in place rather than driven. “You drill a hole in the ground, set a form for your concrete, put in your rebar and pour concrete in there,” Mejia explains. Construction of the high-speed rail system was started in the Central Valley, “ because it was a less populated area and more of a straighter, flatter segment, as opposed to the more congested Northern or Southern California, where you’re going in congested cities with a lot of utility work, as well,” Mejia says. The first section of construction is being supervised by Mejia and his full-time staff. “Because the authority can only have so many employees consistent with legislative requirements, we have program
management consultants currently working with the authority, and then we have project construction management working here on the project,” Mejia says.
Minority Participation The high-speed rail project has Buy America requirements. “All the materials, all the components come from the United States,” Mejia says. The project also has a goal of 30 percent participation for the utilization of small businesses on the project. “I come from the Department of Transportation, and I have never seen such a high goal,” Mejia remarks. That goal also includes 10 percent of materials and services being purchased from disadvantaged businesses and 3 percent from disabled veteran businesses. The project is operating under a community benefits agreement. “There’s national targeted hiring requirements that we have to abide by and a national targeted worker’s goal,” he continues. “Where you can, you try to hire through the unions. You hire as many people who are out of work and who are getting back on their feet. There are a lot of requirements for how to get credit for that in our contract, and work on our project has already helped some people get their lives together who are out of jail now and off of support.” Outback Materials Outback Materials is proud to work with California High Speed Rail Authority. Thank you for the successful business partnership. Best wishes for continued success.
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BIG-D CONSTRUCTION IS MANAGING AN ARTS CENTER AT SOUTHERN UTAH UNIVERSITY. BY BOB RAKOW
CREDIT: Karl Hugh
Institutional | BIG-D CONSTRUCTION – BEVERLEY TAYLOR SORENSON CENTER FOR THE ARTS
Back on Campus
Construction is succeeding on this » Big-D project thanks to collaboration with the university and a local theater festival.
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ig-D Construction has performed work at all the major universities in Utah, but perhaps no project is as distinctive as the Beverley Taylor Sorenson Center for the Arts on the campus of Southern Utah University. “This is a really cool and exciting project,” explains Jim Allison, vice president and project director. “It’s very unique. The museum has a very interesting and unique design, and the Utah Shakespeare Festival outdoor theater has a long, successful and inspiring history. We are delighted to be involved with such an important project for SUU and the people of Cedar City and the surrounding area.” Allison adds that the project is benefitting from the collaboration between officials from his company, the university and the theater festival.
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“Everyone is working together very well on the project,” Allison says. “Marvin Dodge, SUU vice president for finance and administration, and Tiger Funk, director of facilities, have been very involved in moving this project forward and have been
Big-D Construction – Beverley Taylor Sorenson Center for e Arts www.big-d.com • Project value: $28 million • Location: Cedar City, Utah • Employees on ite: 160
“This is a eally cool and exciting project. It’s very unique.” – Jim Allison, project director
great to work with. It’s also fun to see the enthusiasm of the Utah Shakespeare Festival founder Fred Adams and Executive Director R. Scott Phillips. It makes me feel like we are making a difference in the world for the better. Something worthwhile that will touch many lives for years into the future.” The Beverley Taylor Sorenson Center for the Arts will incorporate visual arts, live theater and arts education on the SUU campus and is designed to enrich the cultural life of Cedar City and the surrounding region. The center will include a new outdoor Shakespearean theater designed to preserve the intimate actor/audience relationship experienced at the current open-air Adams Theatre, Allison says. The theater will feature updated amenities and modern accessibilities, including an elevator and increased ADA seating.
Worthy Causes Beverley Taylor Sorenson and her husband, James Levoy Sorenson, supported myriad worthy causes in Utah since the 1940s. Following her husband’s death in 2008, Beverley continued his philanthropic work and became renowned for contributions to building a strong cultural foundation for children through such programs. She died in 2013.
The arts center also will feature an artistic and production facility that will house rehearsal space, a costume shop and administrative offices. A studio theater with a flexible, black-box space that can seat approximately 200 people is another component of the center. The project’s other major component is the Southern Utah Museum of Art (SUMA). The state-of-the-art museum will have approximately 5,000 square feet of exhibition space composed of four galleries, Allison says. The museum will exhibit both international and regional art, as well as the work of the university’s art and design students and faculty.
‘He taught us that you could make a good living by being a good businessman.’
a variety of markets, including light commercial, office/retail, industrial/mining and manufacturing/warehouse/distribution. Livingood stood 6 feet, 4 inches tall and weighed 240 pounds, which earned the nickname Big Dee as a young man. “He was bigger than life,” Allison recalls. Livingood preached honesty, a solid work ethic, quality workmanship and leadership to his employees, principles that remain in place today. “He taught us that you could make a good living by being a good businessman,” Allison says. Big-D Construction got its start doing concrete work. “A lot of the initial projects were in the dairy industry,” Allison says. The company ultimately expanded and took on projects in the office, food distribution, manufacturing and healthcare markets. Much of the work was performed in the Wasatch Front, a metropolitan region in the north-central part of Utah. “The bulk of the people in Utah live in that area,” Allison says. “As you grow, you follow your customers where they go.” Big-D Construction takes on projects throughout the country but mostly in the Western United States. The company has offices in Utah, Arizona, California, Wyoming and it expanded east to Minnesota one year ago to meet the needs of the growing food industry. “We want to compete for that work,” Allison says. The growth Big-D has seen from coast to coast, California to Philadelphia to Virginia, is an indicator that the construction market is improving. “I think the construction market looks really good,” Allison says. “The subcontractors are very busy.”
Approximately 4,000 square feet of the museum will be dedicated to collection storage, care and research. The building design will allow visitors to witness the behind-the-scenes operations. The Beverley Taylor Sorenson Education Suite will provide classroom space for hands-on educational activities for school groups and workspace for SUU graduate and undergraduate students, who will operate the museum. The center will include public gathering spaces intended for receptions and special events. SUMA will also have a sizable covered patio in front of its entrance. Landscaping for the center will include a sculpture garden, treelined walkway, and a green show stage, a small outdoor area where a prelude to the evening’s main performance is held. The complex is scheduled for completion by summer 2016. The festival will open its 2016 season in the new outdoor Shakespeare Theater.
No Stranger to Campus Big-D Construction is no stranger to college campus projects, having built nearly 80 education-related structures at the University of Utah, Utah State University, Webber State University, Brigham Young University, Utah Valley University and Westminster College. But the company founded in 1967 by Dee Livingood is by no means limited to educational work. Rather, Big-D has experience in
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Institutional | KINETIC CONSTRUCTION – CAMOSUN COLLEGE TRADES EDUCATION AND INNOVATION COMPLEX
Building for Future Jobs CAMOSUN COLLEGES WANTS TO PREPARE ITS STUDENTS FOR SKILLED EMPLOYMENT.
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$35 million trades center will help train the next generation of skilled workers in British Columbia, Canada. The education building is expected to fuel the province’s job sector while meeting the region’s growing demand for skilled labor. Having opened in 1971, Camosun College is located in Victoria, where it serves approximately 18,000 students each year in more than 160 certificate, diploma, bachelor’s degree and continuing education programs. Within the school, 2,200 students participate in 20 different trade and apprenticeship programs; however, the existing trade shop buildings are all more than 40 years old and in need of major upgrades to meet students’ needs, according to the college. The new Trades Education & Innovation Complex, set to open this summer, will address Camosun College’s need for a state-of-the-art facility and will tie into the college’s goal of growing its trade programs to 2,700 students each year. To reach that number, Camosun College is conducting the TRADEmark of Excellence Campaign, an effort to raise $5 million in financial support for the program and create partnerships with the community, labor sector, businesses and regional industries to enhance the trade program and make the latest classroom materials and teaching technology available to students.
Kinetic Construction – Camosun College Trades Education and Innovation Complex www.kineticconstruction.com • Project cost: $35 million • Location: Victoria, British Columbia • Scope of work: Trade center building
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College’s Trades » Camosun Education & Innovation Complex will train skilled workers.
The facility is in the final stages of construction at Camosun’s Interurban campus and the college says it represents the largest capital trades education project underway in British Columbia. To support the endeavor, the province has contributed $30 million toward the construction of the facility. “It’s been exciting to watch Camosun College grow over the years and become one of the leading post-secondary institutions in B.C.,” Ida Chong, minister of community,
sport and cultural development, said in a statement. “Our government continues to support Camosun by helping to ensure its students have the facilities they need in order to succeed now and in the future.” Work began in March 2014, shortly after the college named Kinetic as the project’s general contractor. Kinetic is a Victoria company that operates as construction managers, project managers, design/build constructors and general contractors. The
Camosun College trade buildings will be renovated and repurposed to fit the new facility. The Jack White Trades Buildings will become a sustainable construction and renewable energy trades center with programs for electrical, plumbing and piping trades, as well as future programs teaching renewable energy. Likewise, the John Drysdale Trades Building will become a technology and innovation center, focusing on carpentry and joinery programs with space for general-purpose classrooms and trades equipment storage.
‘Bold Vision’
Automotive service is just one of the many career programs at the new center.
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company says it is currently overseeing 15 projects valued at a combined $85 million. Construction of the new, 78,600-square-foot main center is expected to be completed this summer before the fall semester commences. Renovations and upgrades to the existing trade buildings are scheduled for completion by spring 2016.
Beyond the trade centers, the project will feature a new central student commons facility that will serve the combined department. There will also be expanded and reconfigured trades yard space, outdoor storage and construction project areas with improved accessibility. The plan further calls for critical upgrades to electrical service for the repurposed trade buildings. Kinetic is constructing the center to meet Camosun College’s goal of achieving LEED Gold environmental standards. “Camosun has a bold vision to become a B.C. Centre of Excellence in Trades Training, with state-of-the-art learning and an innovative blending of trades education and applied research that will truly meet and exceed the expectations of employers and industry,” former college President Kathryn Laurin, who led Camosun when the project began, said in a statement.
Addressing Skills Shortage “With a looming skills shortage across the province and an urgent need for developing a diverse and highly trained workforce, this new facility and related upgrades to our 40-year-old buildings will enable Camosun to better meet the existing demand for skilled trades workers, especially in those emerging trades central to our local economy, such as shipbuilding and marine trades, resource infrastructure, sustainable construction and manufacturing technology,” Camosun Interim President Peter Lockie said in a statement. Toronto’s B+H Architects designed the building, which will feature an east-to-west orientation along an internal campus road. The main entry will be centrally located at the south-facing plaza while the view of workshops and yards will be screened from the street by a block of labs on the south side and a forest to the west of the center. Labs are designed to be easily accessible from the workshops, according to Camosun College’s schematics, and the labs and offices will feature mountain views. New parking areas will be built on flat lands to the east of the building and connect to the center through a pedestrian walkway, designs show. The Trades Education & Innovation Complex will feature a number of specialized programs designed to best prepare students for their future careers. The finished facility will house two new centers: the marine and metal trades center and the mechanical trades center. The departments will include programs to teach students welding, sheet metal, metal fabrication, nautical and shipbuilding, repair, heavy mechanical and automotive service. Two of the existing
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Institutional | RYCON CONSTRUCTION INC. – THE 90 PROJECT
Cool Under Pressure RYCON CONSTRUCTION IS MEETING THE TIGHT SCHEDULE OF THE 90 PROJECT. BY ALAN DORICH
is the construction manager » Rycon on The 90, which will stand two
Rycon Construction Inc. – The 90 Project
stories and cover 82,000 square feet.
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s Rycon Construction Inc. manages The 90 project, it makes sure to stay close to its client, foodservice company Aramark. Thanks to this rapport, “We’re able to work issues out [easily],” Rycon Project Manager Chris Davis says. General Superintendent John Fisher, who has years of experience in working on projects for Aramark, agrees. “We have a very good relationship [with them],” he says. “They’re very in touch with the project on a daily basis.” Rycon Construction is the construction manager for the project at the University of Kentucky in Lexington, Ky., that will consist of a new student dining commons along with additional classrooms and an emergency response center. Although the campus previously managed its food dining
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programs itself, it hired Aramark to improve its venues. The University of Kentucky and Aramark have established a 15-year, $250 million partnership, which includes the addition of The 90, which gets its name from “the students and the university,” Davis says. “It’s on the corner of a 90-degree turn [on campus] where the students use to meet up.”
A Great Space Rycon has a $32 million budget for The 90, which will cover 82,000 square feet and stand two stories. The downstairs area will feature Taco Bell, Wildcat Pantry, OBIB’s and La Madeleine locations, Davis says. Thirty thousand square feet will be dedicated to “Fresh Food Dining,” where students “can go expand their tastes in food,” he says. This includes international,
www.ryconinc.com • Project budget: $32 million • Location: Lexington, Ky. • Employees: 250 (peak) • Scope: 82,000-square-foot facility wi food venues
“We’re up to about $250 million a year [in projects].” – Chris Davis, project manager
baked goods, produce and grill stations, as well as a gelato station for desserts. The bottom floor also features a private dining area for special events. “It’s adjacent to the Fresh Food area, with a private patio,” he adds. The 90’s second story will feature classrooms, office space and the university’s emergency crisis management area. The finished facility will be “a structural steel
Institutional | RYCON CONSTRUCTION INC. – THE 90 PROJECT
The design/build method is helping Rycon complete The 90 on a tight, 11-month schedule.
building with a limestone façade and glass all the way around,” Davis adds. “There’s also some decorative metal panels,” he continues. “The finishes in the inside are pretty unique, too. They include such finishes as terrazzo flooring, reclaimed wood, ceramic tile, stainless steel, wood barn doors and urethane flooring.”
Setting Records Rycon started work for The 90 on Sept. 8, 2014 and plans to finish this August. So far, Davis is pleased with the project team’s pace in such a tight time frame. The project team works two shifts, seven days a week. “Every day equals three days of work,” he says, noting that one shift of employees work from 6 a.m. to 6 p.m., and a second shift works from noon to 10 p.m. “The first shift is 12 hours and the second shift is 10 hours, and then on the weekend, it’s one 10-hour shift each day.”
The project has coped with difficult weather in Lexington, Fisher adds. “We lost a month to the severe winter,” he says. “In February and March, we had two record-setting snowfalls in the state of Kentucky, followed by subzero degree weather.” Rycon also has to make time for inspections and adjust to changes. “The design team has had to work hard to [give us] up-to-date information [as we work at] a record-setting pace,” he says. “A project of this size takes up to 12 months to design and 24 months to build, while everything on this project was done in 11 months.” These challenges have made every day on the project a learning experience. “I try to stress to everyone to work like it’s the last day on the job,” Fisher says.
CONSTRUCTION-TODAY.COM JULY/AUGUST 2015
hand selected every contractor working on site,” he recalls, noting that the company has nurtured a “team” atmosphere in its relations with the owners, architects, engineers and contractors. Fisher agrees. “We have really good personnel,” he says. “For the most part, everyone’s worked together well.” Davis highlights architects Tipton Associates and RTA. “Tipton has an extensive design background and does a lot of work for Aramark,” he says. “They combined to make it an elaborate venue. “RTA designed the shell and the infrastructure,” Davis continues, noting that the company is a prominent local architect. “They perform a lot of work at the university.”
Accentuating The Positive Good People Davis is proud of the entire project team. Before work started, “We interviewed and
Finney Company, Inc. began working with Rycon Construction in 2014 on projects at the University of Kentucky in Lexington, Ky. Projects included the K-Lair Grill at Haggin Hall, Rising Roll Gourmet Café at Ralph G. Anderson Building and Bowman’s Den. In 2015, the two companies partnered on the University of Kentucky “The 90” project. Rycon Construction needed a mechanical contractor to work closely with them to bring the project in on time and under budget. The success of the previous projects with Rycon helped ensure a successful outcome of “The 90” project. Finney Company, Inc. has found the management team of Rycon Construction to be professional, experienced and willing to work with its subcontractors to ensure the projects run as smoothly as possible.
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Davis sees a busy future for Rycon. “We’re up to about $250 million a year [in projects],” he says. “We try to stay local, but we travel for certain customers and clients. Rycon is able to maintain the workload, so [we have] a positive outlook.” Fisher also believes Rycon will stay strong. “They’re a very knowledgeable company,” he says. “I see nothing but positives. [They’ll continue] to grow very much as a team-oriented company that has a family feel to it.”
EXTENSIVE PRECONSTRUCTION HELPED TURNER OVERCOME A HARSH WINTER. BY TIM O’CONNOR
Cleveland Clinic wanted the design of the building to contribute to quality patient care.
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he new Cancer Center at Cleveland Clinic aims to go beyond improving treatments, but to also provide holistic care for its patients. At $276 million - $190 million for construction – the project is a major addition to Cleveland Clinic’s campus and will help keep the nonprofit academic medical center ahead of its peers. Once it opens in 2017, the facility will become the central building for cancer care on the main campus and replace Cleveland Clinic’s Taussig Cancer Institute, which is already the largest cancer program in Ohio. The Taussig Institute has more than 250 doctors, nurses and other healthcare professionals that provide advanced care to more than 14,000 cancer patients each year. The new cancer center, which has not yet been named, will allow Cleveland Clinic to
expand its reach and cancer services even further. The building will enable Cleveland Clinic to organize multidisciplinary groups by disease and each team will have its own dedicated clinical practice area. Using this layout, the care team will be centered
Turner Construction – Cleveland Clinic Cancer Building www.turnerconstruction.com • Construction cost: $190 million • Location: Cleveland • Employees on-site at peak: 235 • Scope of work: Cancer center construction
“The design of is building will make for a much be er patient experience.”
– David Doren, owner’s epresentative for Cleveland Clinic
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around the patient throughout their course of treatment. The team behind the building of the new cancer center has an equally impressive history that spans the globe. Turner Construction has earned a reputation for successfully undertaking large, complex projects in a variety of fields, from data centers and healthcare buildings to the Indianapolis Zoo’s Simon Skjodt International Orangutan Center and Levi’s Stadium in Santa Clara, Calif., home of the San Francisco 49ers. Turner Construction has about 5,200 employees and oversees 1,500 projects each year. Turner Construction broke ground on Cleveland Clinic’s cancer building project on Sept. 11, 2014. Of the facility’s $276 million estimated cost, $190 million is for the construction part of the project and the remainder is for the soft costs, such as furni-
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Institutional | TURNER CONSTRUCTION – CLEVELAND CLINIC CANCER BUILDING
Fighting Back Cancer
Institutional | TURNER CONSTRUCTION – CLEVELAND CLINIC CANCER BUILDING
The Cancer Building is being constructed to allow for amenities that improve the treatment process.
ture, fixtures, and medical equipment. The building will be seven stories tall with a full basement, encompassing a building area of 377,000 square feet. During the planning process, Cleveland Clinic considered several new sites or expanding other buildings – including the existing Taussig Institute – before deciding to locate the new cancer center on the east side of the main campus due to the adjacency to the outpatient Crile Building and clinic surgeons, according to Owner’s Representative David Doren. After the new cancer facility opens, the Taussig Institute will be repurposed and backfilled with other services, Doren adds.
Consolidating Treatment How doctors and medical professionals care for patients is driving many of the choices made in the new cancer center’s construction and layout. “The design of this building will make for a much better patient experience,” Doren says. At present, many of the radiation services – including gamma knife and linear accelerator (LINAC) – are housed in separate buildings, meaning that patients frequently move between facilities. The new cancer center will change that by consolidating all the services in one structure. Further, the new facility will have six LINAC machines
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and expand the number of chemotherapy infusion rooms from 81 to 98. The number of exams rooms will also grow from 107 to 126. Having all the cancer services under the same roof will improve the overall experience for patients while also making the treatment process easier on their families. Having all services under one roof brings all the physicians and services to the patients, allowing for multidisciplinary care and enhanced communication with caregivers. “[Patients] could spend many days at the campus getting the treatment they need,” Doren says. “It’s a more accommodating environment for patients and family to be served in one location.” A number of other amenities in the building are designed to improve the treatment process and boost the confidence of all cancer patients by assisting in maintaining
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a positive self-image throughout their treatment. The healing gardens on the north side of the building honors the campus’ master plan. They connect to the East Crile Mall and will serve as a calming element for building users. “Patients and families can step outside to a space for inner reflection when they need,” explains Jennifer Storey, project manager with Stantec Architecture, one of the two architectural design firms on the project, along with William Rawn Associates of Boston. The gardens will also be viewable from the chemotherapy infusion rooms, where patients spend hours at a time. “To have this green space to look out on will provide patients a distraction we hope will ease their stress while they are receiving treatment,” Storey adds. The building features a glass design that allows the maximum amount of natural
Sippel Steel Fab For the past 22 years, Sippel Steel Fab has had the privilege of completing numerous projects with Turner Construction. The two companies have partnered on a number of diverse projects ranging from healthcare to secondary education buildings and office complexes. Sippel has built and sustained this relationship by providing competent project management and excellent customer service to Turner throughout the years. With a team approach to these projects, Sippel and Turner have been able to overcome both major and minor obstacles to bring the projects in on-time and at or under budget. Sippel has always found Turner to be very professional, knowledgeable and willing to work with its subcontractors as equals, making the projects run as smoothly as possible. Turner, along with Sippel’s other clients, can be confident that Sippel will deliver all projects cost-effectively and on-time while maintaining quality workmanship. Sippel prides itself on providing quality detailing, engineering, fabrication, and painting services for residential, commercial, healthcare, office complex, and industrial projects throughout the country with a primary focus in the Northeastern U.S.
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Institutional | TURNER CONSTRUCTION – CLEVELAND CLINIC CANCER BUILDING
‘Patients and families can step outside to a space for inner reflection.’
The new cancer center will consolidate all of Cleveland Clinic’s radiation services in one structure.
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light in most every area. Although daylight has a calming effect, Turner Construction and the building’s designers are including shades and dimmers in rooms to control brightness for patients who are sensitive to light. Automatic solar sensors on the of the building will also be able to activate building shades.
Concrete pours on the metal deck will begin in late July and continue through fall as the building frame continues to take form. Around the perimeter of the building, underground utilities will be installed upon completion of the structural steel. Kazmierczak says the project will be substantially complete by December 2016.
Taking Shape
February Delays
Construction of the building began last fall with the installation of the soil retention system and mass excavation of the basement, which included the removal of 75,000 cubic yards of soil and shale to make way for the start of the foundation concrete in December 2014. The structural steel erection commenced on April 15, 2015 as planned despite pouring large quantities of concrete foundation through an unusually challenging winter. The structural steel is approximately 60 percent complete as of early July, according to Cliff Kazmierczak, vice president and project executive of Turner Construction, and is expected to be topped out by Aug. 10.
An unusually cold and harsh winter caused a number of early challenges in the cancer building’s construction. Crews were unable to pour concrete when temperatures were in the single digits. In order to maintain the construction schedule, Turner Construction had to carefully pick days when the temperatures were at a minimum of 25 F to make significant concrete pours, Kazmierczak said. Although February is the shortest month, it was the most difficult month for construction and nearly 17 days were lost due to the weather. Once March arrived, Turner was able to pick up the pace and provide additional crews to make up the time lost in February.
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These setbacks during the winter prompted Turner Construction to rework portions of the project schedule to ensure it could begin erecting the structural steel of the building on April 15 as originally planned. To meet this goal, Turner Construction resequenced some of the work and increased manpower to improve productivity. At the onset of the project, the high water table complicated the mass excavation work. The water table at the site is 18 feet below grade but the basement level is 35 feet below grade, which required pre-planning to prevent water from flowing into the excavated area. Turner Construction had to dewater the area to keep the water table below the basement level to allow for both the pouring of the hydraulic slab and the foundation walls. Even at this point in the project, water is still being pumped out to prevent it from infiltrating the basement during construction. Once the perimeter waterproofing, the building structure, steel frame and slab-on-metal deck are in place, the water table will gradually be allowed to return to its normal level. The site now has about 85 people working on the building, but Kazmierczak expects that will grow to as many as 235 when interior work begins in early 2016. Kazmierczak explains that a good preconstruction effort helped Turner Construction account for several of the challenges it has encountered during the construction process. The company brought in 10 design/assist contractors at the beginning of the process to help in the planning and development details of the project, identify areas where Turner Construction could improve productivity and bring valuable ideas to the project. “Through this collaborative process with the entire team, we overcame a lot of issues that could have adversely affected the project,” Kazmierczak says.
Institutional | J.D. BEAM INC.
Meet at the Cube
J.D. BEAM COMPLETES AN OFFICE BUILDING THAT IS DRAWING A LOT OF ATTENTION. BY JANICE HOPPE
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.D. Beam Inc. put the finishing touches this spring on Alliance Center One, a five-story office building with adjacent car parking deck on North Carolina State University’s (NCSU) Centennial Campus. Although the office building is equipped with many state-of-the-art features, it is the lobby that is getting all the attention on campus, earning the nickname “The Cube.” “The Cube is the name attached to the two-story lobby in the front of the building that is structurally glazed, all glass and no metal is exposed on the outside,” President Glenn Kistler explains. “It’s a 40 by 40 by 40 space that’s all glass; the interior is wood flooring with an acoustical fabric ceiling. That’s why they call it the cube. ‘I’ll meet you at the cube,’ they say.” The lobby or “cube” is the gathering place for tenants to come and network with colleagues and graduate students, which Kistler says is the whole point. The university was one of the first to allow private developers to enter into a land lease on campus for an extended period of time. “The developer builds and owns the building that they lease to tenants, which must have a relationship with the university,” he says. “The cube is a place for graduate students and the private industry to meet in a social setting. It promotes continued interaction that can lead to a further understanding of what each is doing and building relationships.”
Alliance Center One J.D. Beam was contracted in the 1990s to build the university’s first public-private development: the Venture Center. “Alliance Center One is also a unique project in that it’s a privately owned building on publicly owned land,” Kistler adds. “NCSU was one of the first university campuses to do this. The tenants in the buildings often employ students, interact with them, share research with professors or have earned the right in some way to be on Centennial Campus.”
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Cube” got its name by » “The being a 40-by-40-by-40-foot space that is all glass.
Alliance Center One is a five-story office building consisting of about 150,000 square feet of class A office space. Adjacent to the office building is a three-story, 525-space parking deck. The project began in October 2013 and the shell of the building was completed in March 2015. “We just finished moving in the last of the graduate programs into 25,000 square feet of the building,” Kistler says. “Because of the economic times, we worked on this project for three years in terms of budgeting, planning and design before we broke ground. It took a long time to get construction financing, but once the developer was able to do that, it turned loose in a big way.” The Alliance Center One building is “breathtaking,” Kistler says. Each floor is 30,000 square feet with state-of-the-art features. ABB, a Swiss-based company that develops power and automation technologies for utility and industrial customers, is the lead tenant in the building. The company relocated its employees from other locations
J.D. Beam Inc. www.jdbeam.com • Project cost: $26.6 million • Location: Raleigh, N.C. • Scope of project: Office building and parking deck
“We are a very consistent company in an industry that is transient by nature.” – Glenn Kistler, president
“We had the last inspection in late June and they are as happy as they can be,” Kistler says. “The building is 86 percent occupied and everything was completed on schedule.”
Good Relationships Kistler has learned in business that who he and the business are associated with is very important. The subcontractors that will help you succeed in a project are vital and, collectively, a lot of positive things can result. “This was a good project for our company, our subs, our client and the university be-
intendents who run good jobs, treat people fairly and the subcontractors know that,” he adds. “We have a good reputation and get a fair shake at contracts in town.”
Historically Consistent
J.D. Beam prides itself on long-term relationships with clients, subs and suppliers.
cause we all worked together and it resulted in the Alliance Center One,” he explains. Too many different goals or concepts can drive wedges into a construction project, Kistler says, but J.D. Beam was lucky it did not run into that on this project. “We had good support from the bank, the owner’s representatives out of Chicago, the local developer and the university,” he adds. “Having good people on this project made a big difference because construction began at a time when
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many office buildings were not being built on the East Coast and some projects weren’t even getting out of the starting gate.” J.D. Beam prides itself on long-term relationships not only with its clients, but also with its subcontractors and suppliers. One of its strong suits is the ability to contract for projects that have design/build components. This separates us and the subcontractors working with us from our competition, Kistler says. “We have really strong super-
J.D. Beam was founded in 1979 with the goal of being a company that provided the highest level of service to its customers. In the beginning, the company constructed interior fit-up projects and smaller publicly bid projects, as well as private retail construction projects. Today, the Raleigh-based company celebrates 36 years as a mid-size general contractor that specializes in the design/ build of commercial projects. Although it still builds interior fit-up projects, J.D. Beam builds larger projects, including mid-rise office buildings, hotels and industrial parks. “A unique part about our company is our continuity,” Kistler says. “Our senior management has an average length of service of 29 years. We are a very consistent company in an industry that is transient by nature.”
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Residential
By Kevin L. Ramsier
The Homebuilding Consolidation
Wave
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here is no question that the United States’ home building industry is being driven by a wave of consolidation, causing merger and acquisition activity to heat up. As the landscape transforms, competitors and collaborators are rapidly buying, selling and merging into each other. Over the next decade, we expect to see 50 percent or more of privately held businesses in the construction industry to transition ownership. As consolidation builds, it is important to understand factors driving the force. There are four areas fueling this trend: strong housing market fundamentals, need for scale, diversity, and improved operating efficiencies.
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The U.S. is in its fourth year of a slow recovery, as mortgage qualifications remain strict and young buyers are strangled with more student loan debt. Job growth and wage growth are also factors weighing in. More of the younger demographic is renting, instead of buying, than ever before, and the market is only at 70 percent of its 15-year average annual output. Economists would like to see new home sales break 700,000 – and we are far from that mark. In fact, we are on pace to do just over 500,000, although it is continuing to look better as the weeks go on. Job gains over the last year have buyers feeling better, and the sales of new homes in the United States are now more than 20 percent higher than they were just a year ago. In addition to that, median sales prices for a new home are 8 percent higher than they were last year. This spark has homeowners feeling more confident about pursuing a more aggressive mergers and acquisitions strategy.
IN THIS SECTION Hunter Interests – Serene Hills p.142 A Historical Perspective Many smaller homes across the country were wiped out during the financial crisis in 2008. Currently, there are a lot of publicly traded homebuilders. Many of these are smaller players that will likely end up as buy-out targets. This business is about access to capital. In today’s market, the larger you are, the more capital sources you attract. After World War II, the savings and loan industry was the main source of capital for U.S. homebuilders. Today, it is driven more and more by institutional investors. Institutions demand liquidity in their investments, meaning you have to be large in order to attract that kind of capital. The fastest way to become larger overnight is through mergers and acquisitions. It’s really Economics 101: larger companies enjoy greater economies of scale, enjoy greater purchasing power, and attract the most money from the world’s largest investors. These companies understand the importance of having breadth and depth in your product offerings within your geographical footprint. This was a big factor in the recent merger between Standard Pacific and Ryland Group, as Standard Pacific built more upscale homes and Ryland built lower-end homes in different regions of the country. This diversity not only impresses investors, it creates more operational efficiencies, more model choices, and better experiences for customers.
Serene Hills will be a career-capping achievement for its developer. Company Profiles 132 John Moriarty and Associates – Hyde Beach Resort and Residences 137 Arco Construction 140 A-Investments Development Corp. 142 Hunter Interests – Serene Hills 144 Rycon Construction – The Yards at 3 Crossings 146 The Hanover Company 151 Rybak Development & Construction 154 Alliance Residential Builders 156 Power Design Inc. 160 Venture General Contracting – Bel-Red 162 Wallside Windows 164 Webcor – Residences at Columbia Square 166 Live Oak Contracting
In today’s market, the larger you are, the more capital sources you attract. Had the merger been pushed until a later date, it could have jeopardized Standard Pacific’s chances of choosing a company that they believe is a good combination for their stockholders. The merger was a $5.2 billion deal that created the fourth largest U.S. homebuilder. This gives the company more clout with institutional investors, land sellers, and lenders. Institutional investors tend to focus only on the top five largest builders so the merger will likely lead to more consolidation within the industry. Outside of the economies of scale, when companies join forces they can also experience significant cost savings. Standard Pacific and Ryland expect to save between $50 million to $70 million from their merger. The smaller builders also often lack all of the resources needed to work out some of the land deals, which have become more complex and costly over the years. Understanding what drives value, what buyers like to see and the
steps to increase business valuations should be important to every single business owner in the construction industry. With the wave of consolidation crashing in the homebuilding industry, it is never too early to begin managing your business with valuation in mind.
Kevin L. Ramsier is managing partner and CEO of Vesticor Advisors, a national mergers and acquisition advisory firm that helps business owners prepare their businesses for maximum value. He has built and exited four successful businesses, and has appeared on INC Magazine’s list of fastest growing private companies two years in a row. To contact him, please call 407-432-8116 or email Kramsier@vesticor.com.
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Residential | JOHN MORIARTY & ASSOCIATES INC. – HYDE RESORT & RESIDENCES
Luxury Living
JMA IS HARD AT WORK ON SOUTH FLORIDA’S LATEST LUXURY CONDO PROJECT. BY CHRIS PETERSEN
Hyde Resort and Residences » The will offer clear views of the Atlantic Ocean and many amenities.
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uxury will have a new address in south Florida once the Hyde Resort & Residences opens in Hollywood, Fla. The 40-story luxury condominium tower brings the Hyde brand – known for its exclusive nightlife destinations in Los Angeles, Las Vegas and Miami – to the Florida coastline. Developer The Related Group selected John Moriarty & Associates (JMA) Inc. to bring this impressive project to life, and Senior Project Manager Jazer Challenger says it’s the type of project JMA was born to build.
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“Over the last 28 years, JMA has been building this exact type of project,” Challenger says. As one of the most respected and successful builders in south Florida since 1990, JMA has extensive expertise on how to bring a project of the size and scope of Hyde Resort & Residences to completion smoothly. That expertise has come into play numerous times on the project, Challenger says, thanks to the challenging nature of the site and the aggressive schedule put in place by the developers. “It’s perfect for us,” Challenger says.
John Moriarty & Associates Inc. – Hyde Resort & Residences www.jmaf.net • Project cost: $120 million • Location: Hollywood, Fla. • Employees on ite: 150
“Over e last 28 years, JMA has been building is exact type of project.” – Jazer Challenger, enior project manager
‘We’re on an extremely tight site where we only have 10 feet to the property line on one side.’ The Florida Feel The $120 million project is located along Hollywood Beach, offering spectacular views of the Atlantic as well as easy access to virtually every aspect of the south Florida lifestyle. The building’s amenities are unified by a unique design that feels natural to its environment. “Brazilian architect Debora Aguiar brings sensuality and sophistication throughout Hyde Resort & Residences’ dramatic indoor and outdoor amenity spaces,” the developer says. “Inspired by its spectacular location on the pristine Atlantic Ocean beach, the design for Hyde Resort & Residences incorporates organic materials, natural wood and stone, and atmospheric lighting. It is the perfect fusion of sleek design and casual comfort.”
The building’s residential portion consists of more than 400 condominium units, ranging from one- to three-bedroom floor plans. These units include features such as floor-to-ceiling sliding glass doors and windows, private terraces with glass railings, imported stone countertops in the kitchen and bathrooms, and full luxury furnishings. Outside of the units’ features, Hyde Resort & Residences says it offers residents amenities that are far and above what other residential towers in the area have to offer. These include a state-of-the-art fitness center overlooking the Atlantic Ocean and featuring dedicated yoga and Pilates studios, as well as an infinity pool and sundeck. The building will also feature personal concierge services 24 hours
a day, 365 days a year, along with housekeeping and laundry services.
Keeping Up The type of luxury finishes that will be found inside Hyde Resort & Residences is GMP is a consulting and glazing contracting company located in Miami, Fla. Our company has over 15 years of experience in the design and installation of various building enclosure systems, such as curtain, window walls and spider walls. We specialize in innovative architecture and challenging building projects throughout the United States. We work with architects, general contractors and developers to design and install industry leading glass enclosures. For more information, call 305638-5151, email gmp@gmpglazing.com or visit www.gmp@gmpglazing.com.
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Residential | JOHN MORIARTY & ASSOCIATES INC. – HYDE RESORT & RESIDENCES
JMA has a small site on which to perform construction, so it is relying on a precise schedule.
not unusual for JMA, and Challenger says the actual construction of the building is fairly typical for what the company specializes in in south Florida. However, there are a few key differences in the nature of the project that set it apart from a typical job, and it is in these differences that JMA’s
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expertise becomes most valuable. For example, to help JMA and its project partners keep up with the project’s challenging timeframe, Challenger says the company has foregone its typical method of building with a slab-mounted table system and selected a column-hung table system.
“It allows us to progress with the interior build-out a lot sooner than otherwise,” Challenger says.
Tight Fit As would be expected along one of the world’s most beautiful beaches, space is at
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JMA takes pride in the variety of its work and its nearly 30 years of expertise.
a premium on the job site for the project. Challenger says the Hyde Resort & Residences is being built next to an occupied building to the north, a fire station to the south, the A1A highway to the west and the beach on the east side. “We’re on an
extremely tight site where we only have 10 feet to the property line on one side, and we’re right up against the property line on the other side,” Challenger says. Building within these constraints can be extremely challenging, and Challenger
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says JMA has had to schedule the work precisely to ensure there are no delays. He says just-in-time delivery of materials to the site has been instrumental in keeping the project on track. Most of the time, materials are delivered to the site within a few hours
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Residential | JOHN MORIARTY & ASSOCIATES INC. – HYDE RESORT & RESIDENCES
of being needed for construction, but sometimes concrete arrives on site as slabs are being poured, Challenger says. The close collaboration of all subcontractors working on the project has been another significant factor in the success of the Hyde Resort & Residences project so far. With the help of trade partners such as GMP Consulting & Glazing Contractors, JMA has been able to keep the work at a steady and successful pace.
specializes in quality » JMA projects in south Florida that feature luxury finishes.
Up to the Challenge Topping out the structure is the next major milestone for JMA and the project team, according to Challenger. That is expected to be completed by February 2016. Once that is completed, work on the interior finishes will begin, with the first 20 floors scheduled for completion by October 2016 and the upper 20 stories finished about a month later. JMA says delivering projects like Hyde Resort & Residences has been its daily routine for nearly 30 years. “The variety of our work and the specific needs of our clients demand the ability to adapt to individual project conditions with innovative solutions,” the company says. “The challenges of scheduling and coordinating projects with increasingly sophisticated technologies are met with timely and effective management. On all projects that we undertake, we remain committed to providing the highest level of service in the construction industry.”
JMA was founded in 1985 in Winchester, Mass., where the company’s headquarters is located to this day. The company established its Florida branch 1990 and since that time has become known as one of the pre-eminent builders in the southern region of the state. “With over two decades of construction experience, JMA offers value and service to the owners of projects of all sizes,” the company says. “We currently employ over 150 staff professionals projecting $700 million of volume annually. The firm offers preconstruction consulting, construction management, and general construction for new buildings, building additions, renovation projects, and the fit-out of interior spaces. Our experience spans a wide range of project types; it includes university work, office and commercial space, laboratories, institutional, healthcare, hospitality, residential buildings, and oneof-a-kind construction projects. “Whether the project is a university building, an office fit-up, a residential building or a first-class office building, JMA has continued to deliver a predictable outcome that meets or exceeds the cost, quality and schedule expectations of our client.”
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Residential | ARCO CONSTRUCTION – ONYX FLORIDA STATE UNIVERSITY APARTMENTS
is working on a compressed » Arco schedule to complete Onyx Apartments near Florida State University.
Connected Living ARCO CONSTRUCTION GIVES FSU STUDENTS A MODERN HOUSING OPTION. BY TIM O’CONNOR
Arco Construction – Onyx Florida State University Apartments www.arcoconstruction.com • Location: Tallahassee, Fla. • Employees on ite at peak: 300
“We get more upport from e local community if we are commi ed to giving [local subcontractors] opportunities.” – Michael King, project director
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he newest off-campus residence coming to Florida Statue University is so wired that even the shower heads have built in Bluetooth speakers. speakers. The project, called Onyx, will be truly modern living for the connected college student. The development broke ground in April 2014 with a target of being substantially completed by Aug. 1 of this year. Move-ins are schedule to begin in the middle of August, shortly before classes resume. In the final weeks before the deadline, contractor
Arco Construction was working to complete the exterior streetscape and plaza deck amenities, according to Project Director Michael King. “It’s coming down to getting this thing finished when we said we would have it finished,” King says. This is the second residential project geared toward students Arco has undertaken for the developer, which is going by the name Campus Investors FSU 444 College Ave. LLC for the Onyx building. Arco previously worked with the group to build Chauncey Square apartments at Purdue University.
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Residential | ARCO CONSTRUCTION – ONYX FLORIDA STATE UNIVERSITY APARTMENTS
Despite its recent success in student housing, Arco has a two-decade history of completing a variety of construction projects. The company started out as a design/build contractor for distribution centers but has branched out into other markets, including campus buildings, office complex, manufacturing facilities, warehouses and cold storage centers.
has used local contractors » Arco on the Onyx project to ensure all of the work is completed on time.
Creating a Community Once it opens, Onyx will have 554 bedrooms spread out among 222 units and a mix of floor plans from studio apartments up to four bedroom and four baths. The building’s five floors of residences will total 280,000 square feet on top of two floors of parking and ground floor retail. But what will truly set the complex apart from other student housing projects are its amenities, King says. Onyx is all about high-end living, with a pool and plaza deck, courtyards, a large outdoor LCD screen by the pool, fitness center, tanning beds, massage room, sauna, theater, study rooms and a conference center. Even the sight lines will emanate class, as the plaza deck view looks out to the west and creates a striking visual link to the FSU campus. Students living at Onyx will enjoy a safe environment thanks to the building’s top-of-the-line security system. The parking areas and the building itself are accessible only by key fob entry, restricting unknown persons from entering the residential areas. Tenants also
have their bedroom key, in addition to the apartment key, so they can maintain their own private space even from roommates. Onyx represents the most up-to-date version of a wired building that fits the lifestyle of today’s connected college students. King says Arco has been involved with more of these upscale student projects during the past five years. “It’s kind of more of a new age fit out of the building,” King explains. “The building is more customized with how kids operate on a daily basis.” The amenities and building technology create a community within Onyx by emulating the melting pot socialization of on-campus dorm rooms, but with the comfort of a luxurious residence. Taken together, those selling points paint a far different image of student life than the featureless brick structures and decaying studio
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‘We get more support from the community if we give those guys opportunities.’ apartments that once were the norm in university towns. “It’s certainly a different way of campus life than what I grew up in,” King says.
Tough Timeline Although the finished product is sure to wow students, King says construction posed several challenges for Arco’s team. “Schedule has been, by far, the biggest hurdle,” he explains. The April 2014 start date was two months later than Arco typically aims for due to complications on the front end, but the start of school this fall meant Arco could not simply adjust the timeline and delay the completion date. But the schedule was not the only compressed aspect of construction. The site itself sits between two existing properties and is
bordered by streets, leaving little room for staging and creating logistical problems. To account for those challenges, Arco relied on strong planning and cooperation between Onyx’s owner and the city of Tallahassee, Fla., to quickly receive permits, conduct inspections and resolve site issues. “They’ve been willing to work with us to get this project done on a fast-paced schedule,” King says of the owners and city staff. From the start of construction, Arco engaged local subcontractors to ensure it had the right community resources to complete the building by deadline. Arco used its contacts in the city of Tallahassee’s economic and community development department to identify subcontractors that fit the project and provide those companies with opportunities to win work. King says
as much as 40 percent of the subcontractor work on Onyx is being done by nearby businesses, which, in return, have helped Arco navigate the city’s political and building department procedures. “We get more support from the local community if we are committed to giving those guys opportunities,” King states. “It’s been challenging,” King says of Onyx’s construction. “When you have a complicated job in a compressed schedule without any room to spread out, it’s a stressed project.” Despite those hurdles, Arco has been able to put its expertise to work, stay on schedule and create a modern addition to FSU campus life. “We have been implementing the plans to account for those [challenges] since we started,” King adds.
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A-INVESTMENTS PAYS TRIBUTE TO CUBAN ANCESTORS WITH NEW RESTORATIONS. BY STEPHANIE CRETS
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bor City has a rich history. Just northeast of Tampa, Fla., it was founded in the late 1800s by Vicente Martinez Ybor, a Spanish cigar manufacturer. Thousands of immigrants of Cuban, Jewish and Italian decent descended upon Ybor City to live and work, most in the cigar business. The city thrived until the Great Depression, followed by World War II, and it began to deteriorate with many cigar factories shutting down. But in the late 1970s and ‘80s, the city climbed out of disrepair and began its renewal. Storefronts returned to breathe new life into Ybor City, but it was missing its people. A-Investments Development Corp. is determined to restore Ybor City so people of all ages and cultures can again reside in an urban area where they can live, work and play. Its investors have purchased an array of properties there, all within a five-mile radius. Ariel Quintela, president of A-Investments Development, believes that the availability of residential properties has been the missing link. “We believe building residential properties in that area and commanding a major presence is just a natural progression for that area,” he says. Quintela has a lot of history in building out communities. When his company launched in 1989, he started purchasing lots and finishing subdivisions that other build-
A-Investments Development Corp. www.cubaflats.co • Headquarters: Odessa, Fla. • Employees: 10
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His enthusiasm for Ybor City is grounded in the city’s history and his own Cuban heritage. Each project is named after the freedom fighters that helped Cuba gain independence from Spain. This cause is close to Quin-
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Bringing History to Life
tela’s heart. “I am from Cuba, so I thought it would be wonderful to name every project after those that helped fight for the REG A cause of independence.” ID I R Quintela raves especially about José Martí, a political activist and Cuban hero. He united people of all backgrounds and was the P T catalyst for bringing Cuba its OT LIGH independence.
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– Ariel Quintela, president and CEO
ers had fled during a recession. After five years, he began developing his own projects.
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“The history at ties Cuba and Ybor toge er gives me a passion to be able to estore ese buildings and honor ose Cuban heroes of e past.”
» Every Ybor City project A-Investments is doing is named after people who helped Cuba gain independence.
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Residential | A-INVESTMENTS DEVELOPMENT CORP.
New Life in Ybor City
A-Investments is focusing on only a few projects at a time to ensure they stand the test of time.
A park called the José Martí Park is located in Ybor City, so Quintela believes Cuba and Ybor are tied at the hip by historic significance. “The history that ties Cuba and Ybor together gives me a passion to be able to restore these buildings and honor those Cuban heroes of the past,” he says. Four key projects will be starting later this summer. What used to be a 30,000-square-foot cigar factory will be repurposed into a loft building named The Angel Oliva Sr., Cigar Factory. In addition, what used to be a 20,000-square-foot market on 7th Ave. will be repurposed into an apartment loft building. Two floors will be added on top and a new four-story apartment building will be built in place of the existing parking lot. In conjunction with this project, a new 150,000-square-foot office and residential complex will be added next door. The trolley stop between these two buildings will be renamed the José Martí Trolley Stop. “The whole area will be built in the name of José Martí,” Quintela explains. The projects will take about 10 to 15 years from inception to completion because Quintela wants to focus on only a few at a time.
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“I’m so happy with what’s happening with both of our countries and happy we can be united once again. I’m glad to be able to honor the Cubans that helped with that struggle,” Quintela says. “It’s not construction for me, it’s personal. I get goose-pimples thinking about it because it’s something I can contribute in my lifetime.”
‘I get goose-pimples because it’s something I can contribute in my lifetime.’ “If you oversaturate too quickly, you might hurt yourself versus helping the area,” he says. His goal is to restore these buildings with high-quality materials to stand the test of time. And he welcomes other builders who want to do the right thing in restoring these significant, historic buildings.
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Residential | HUNTER INTERESTS – SERENE HILLS
A Home in the Hills THE 456-ACRE SERENE HILLS COMMUNITY IN LAKEWAY, TEXAS, WILL CAP THE CAREER OF DEVELOPER DOUGLAS HUNTER. BY JIM HARRIS
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unter Interests Principal Douglas Hunter admits the timing of his investment in a former farm near Lakeway, Texas, in 2007 could have been better, considering the collapse of the residential housing market just after the A number of builders will bring the Serene Hills community to life. purchase. “We bought the property at exactly the wrong time,” the 40-plus-year veteran real estate developer says. “Fortunately, we were a capable enough group to hold on to the property just long enough to wait out the downturn in the economy until we could start developing, and the market has held up so far.” Hunter initially held a small investment in the property, but over time became its operating partner and main developer. His company began work developing the 456-acre farm site in 2011, when it constructed roads, utility and sewer lines to serve the site, now known as Serene Hills. Civil contractors retained by the company also began creating a number of lots, many of which it successfully sold to homebuilders. More than four years later, the site – now formally annexed into the city of Lakeway – includes three main subdivisions under construction and development: La Campana, which includes lots of minimum 80 front feet and 10,000 square feet in size, as well as larger, 100-front-foot lots; Los Senderos, which includes 80-frontfoot lots as well as 105-front-foot lots; and Los Colinas Estates, which developer, is now under construction on a 34-acre, 350-unit upscale offers larger estate lots ranging in size from 0.4 to two acres. apartment complex called the Mansions at Lakeway on the site. A number of builders are involved in Serene Hills including Sitterle Homes and Brohn Homes, both of whom are building on La Campagna lots; Village Builders, who along with Sitterle Homes, Ash Conscious Development Creek Homes and Partners In Building is building on Los Senderos Serene Hills will include a total of 300 home lots. Development of lots; and custom homebuilders Seven Custom Homes, Texas Custom the property is limited to 114 of its total 456 acres, leaving ample Construction, Matt Sitra Custom Homes, natural forest and hills surrounding the Master Touch Custom Homes and Russell Ephomes. A 5.5-mile hiking trail under developpright Custom Homes, which are building ment will take residents through a portion of www.hunterint.com Los Colinas Estates lots. the forest and natural habitats, as well as link it • Location: Lakeway, Texas In addition to single-family homes, to forest preserves, golf courses, shopping and the development will include 40 acres other area amenities. The trail will also include • Scope of work: Residential lot designated for commercial use, 20 acres of workout and picnic areas. development which were sold to HEB Grocery for future The walking trail will wind around a store development. Commercial develnumber of old and endangered species trees as oper Durhman-Bassett of Austin, Texas, is well as a preserved windmill and cistern. “We’re – Douglas Hunter, principal planning to develop 10 acres for medical very conscious of the environment,” Hunter says. office and retail use near the front entry Hunter Interests’ environmental HEB tract. Western Rim, a multifamily consciousness when it comes to the develop-
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Hunter Interests – Serene Hills
“We’re very conscious of e environment.”
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On Parade Five of the homes in Serene Hills’ Los Colinas Estates lots were selected for the Home Builders Association of Greater Austin’s Spring 2015 Parade of Homes. The event, which ran from May 22 to June 7, brought more than 7,000 visitors to the development to tour the homes.
he joined Allen Properties Development Co., where he worked for eight years as a lead developer and partner on several industrial warehouse projects. Since 1989, he has represented a private equity fund involved in acquiring and developing office buildings, multifamily projects, retail facilities and single-family lots. Hunter has been involved in numerous developments including Escondido, a
golf resort and residential development in Horseshoe Bay, Texas; a 202-unit senior housing development in McKinney, Texas; and apartment complexes in west Texas. “Our objective is to find and secure highyield real estate opportunities on a risk-adjusted basis by identifying assets that show upside potential in locations and markets that offer an advantage in the marketplace,” Hunter Interests says.
ment extends to its use of solar panels on mail kiosks and monuments, as well as its use of LED lighting on streetlights and monuments throughout Serene Hills. Drip irrigation is also being utilized throughout the project instead of spray irrigation. “We’ve focused on the end-user rather than ourselves, in that we concentrated on what homeowners association fees might be for similar properties in the region,” Douglas Hunter says. “Most other developments in the area have dues well over $200; ours are $60 a month. We are saving on electricity and water costs, so we kept our dues low.” Hunter anticipates construction of Serene Hills’ subdivisions and other developments to last at least another three years. The development, which is one of the largest Hunter has been involved with during his career, will also likely be his last as a direct participant, as he plans to retire following its completion. Hunter, 69, entered the commercial real estate business in 1974 with international developer Gerald D. Hines Interests. In 1980, Langaro & Clarke The Serene Hills single-family subdivision is located in Lakeway, Texas. Topography is often one of the main challenges in designing a residential development. For Serene Hills, Longaro & Clarke’s goal was to design a roadway and lot system that conforms to the natural terrain. Design speeds were reduced to allow for the roadways to “hug” the landscape closer to give the project more of a “Hill Country” feel. Longaro & Clarke has thoroughly enjoyed working with Hunter Interests and the Savides family on a number of sections located in this fast-growing area of Central Texas. Longaro & Clarke also appreciates the cooperation of the City of Lakeway, Travis County WCID #17 and Lake Travis Fire and Rescue throughout the permitting and construction of the project.
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Residential | RYCON CONSTRUCTION – THE YARDS AT 3 CROSSINGS
Crossing the Line
OWNED BY OXFORD DEVELOPMENT, THE YARDS AT 3 CROSSINGS IS SLATED TO OPEN IN SPRING 2016 WITH RYCON DEVELOPMENT LEADING THE WAY AS CONSTRUCTION MANAGER.
Rycon Construction The Yards at 3 Crossings www. reecrossingspgh.com • Project cost: $60 million • Project location: Pi sburgh • Project cope: 300-unit apartment complex
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n the site of a former truck yard, a new waterfront residential community is taking shape in Pittsburgh. Known as The Yards at 3 Crossings, it will feature 300 units and will be situated alongside an acre of green space adjacent to the riverfront, which will connect its residents to the Allegheny River and riverfront trails. The construction manager on The Yards at 3 Crossings is Rycon Construction. The 343,000-square-foot project is owned by Oxford Development and was designed by WTW Architects.
Managing the Process Rycon Construction is a preconstruction, general contracting and construction management firm. The company has expertise in new construction, renovations and design/build projects for owners of commercial, industrial, institutional and governmental buildings. Founded in 1989, Rycon began its days as a general contractor specializing in interior contracting projects. Over time, the company’s reputation and project sizes grew to eventually include building additions and stand-alone projects. The company has built a proven track record for completing successful projects on
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Yards at 3 Crossings is part » The of a development project in Pittsburgh’s Strip District.
time and on budget while putting customer satisfaction first. To date, the company has executed more than $2 billion worth of work, and it averages in excess of $170 million annually. Rycon is divided into three groups. The company’s structure includes a building group, a special projects group and a casework and millwork division. The building group handles large, multimillion-dollar projects. As for the special projects group, it pursues, prices and completes short duration, fast-track projects that tend to be interior retrofits priced at under $5 million. The casework and millwork division is a 7,000-square-foot cabinet and casework shop that works together with the other groups. Rycon’s building group is handling The Yards at 3 Crossings.
Piece of the Puzzle The Yards at 3 Crossings it will be a 300-unit, $60 million apartment complex developed on four acres. The Yards at 3 Crossings will feature close to an acre of open space along the riverbanks. The Yards at 3 Crossings is located on what was once a rail and truck yard. The development will provide ample green space that will act as a backyard along the riverfront for residents of the complex. Among the project’s amenities will be a mudroom with pet wash stations and a courtyard with a pool. It will also feature a game area, fire pit and riverfront trail access. A fitness center, meeting and gathering places, and a private lounge and bar area are planned. The project will be designed to meet LEED Silver standards. It is slated to be available for occupancy in spring 2016.
connect downtown, the Strip District and East End neighborhoods. It will provide space for cars, bicycles and kayaks, and it will include street-level retail space. The idea behind the entire development is to integrate the history of the neighborhood with the lifestyle needs of modern employees, residents and visitors. When 3 Crossings is completed, there will be up to 375,000 square feet of office space and 300 residential units. It will also include 1,200 parking spaces, a multimodal transportation facility and riverfront trail. It will have easy access to downtown, Lawrenceville, Oakland and the East End.
Pittsburgh will soon be home to The Yards at 3 Crossings, a 300unit residential community.
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The Yards at 3 Crossings is part of the overall 3 Crossings development. Altogether, it is an 11-acre mixed-use development located along Smallman and Railroad streets and bordered by 25th and 28th streets. The project is located in Pittsburgh’s Strip District neighborhood. The 3 Crossings project will be part of what is being touted as a vibrant and revitalized neighborhood within the city. In December 2014, all of the parties involved in the project held a groundbreaking ceremony to mark the beginning of the entire 11acre 3 Crossings mixed-use revitalization project. A $130 million development, the 3 Crossings project includes the development of Rycon Construction’s future headquarters. This will be a 70,000-square-foot building that is scheduled for significant completion later in 2015. The Offices at 3 Crossings aspect of the overall development is designed to be an urban flex office product that will include four different buildings. It should appeal to companies in need of efficient, exposed and flexible office space that will be able to suit the next generation of workers. The Strip District has become known as a home for research, development and technology companies. In fact, the 16:62 Design Zone runs right through the development, and there are a number of technology and design firms that are already located in the area. Among the amenities of The Offices at 3 Crossings will be garages, on-site parking, access to riverfront trails, bike lanes, water taxi and 10 bus routes. The development is located within walking distance of more than 100 restaurants, open-air cafés and specialty markets. The first of its urban flex office buildings will be 25th and Smallman. Rycon Construction’s headquarters will be the anchor for the building, which has 27,000 square feet of space available for lease. Another building will be 26th and Smallman, a 75,000-squarefoot urban flex office building with 25,000 square feet available. There will be surface and garage parking on-site for both office buildings. Rycon Construction is aiming to move into 25th and Smallman in the fall, while 26th and Smallman should open during the summer of 2016. Another part of the development is The Hub at 3 Crossings. This will be a 575-space multi-modal transportation facility that will
The Yards at 3 Crossings is located on what was once a rail and truck yard. Once completed, The Yards at 3 Crossings will become Pittsburgh’s newest riverfront address. As part of the entire 3 Crossings development, it is a key element of the continued evolution of the city’s Strip District.
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Residential | THE HANOVER COMPANY
Total Control
THE HANOVER COMPANY DEVELOPS ITS PROPERTIES TO ENSURE URBAN SUCCESS. BY TIM O’CONNOR
The Hanover Company www.hanoverco.com • Revenue: $970 million in capitalization • Headquarters: Houston • Employees: 350 • Specia y: Apartment developments
“We want to be current, but we don’t want to do ome ing so current at it’s going to be passé.” – Brandt Bowden, CIO
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hen The Hanover Company designs a new project, it aims for “timeless” not “timestamp.” A building must be more than a product of its time, but a permanent fixture in its community. “We want to be current, but we don’t want to do something so current that it’s going to be passé,” CIO Brandt Bowden says. As a developer, construction contractor and property management company, Hanover shares in each community’s longterm relationship with its rental projects. Since the company is involved from conception to daily operation, Hanover asserts control over virtually ever aspect of its residential complexes, a necessity to ensure quality and success, Bowden says. “You’re living with these buildings for a very long time just to get it to a stabilized asset,” he adds. Hanover is a multifamily development company based in Houston that was founded in 1982. The company previously had a partnership with MetLife but sold that portion of its portfolio to United Dominion Realty Trust (UDR) in 2010, giving Hanover a clean slate to rebuild its assets. Since then, Hanover has had 43 rental projects either completed or in some phase of construction, in all worth a combined $4.2 billion. “We’re adding properties that are currently in construction onto the management
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2010, Hanover has had » Since 43 rental projects completed or in some phase of construction.
platform,” Bowden says. The company has grown from inside as well, and is expected to reach 400 employees by the first quarter of 2016. By next year, Hanover hopes to reach $1 billion in annual capitalization.
Development Triple Threat The primary driver of Hanover’s growth is the company’s ability to complete each phase of the project in-house. Bowden describes Hanover as a vertically integrated
company with a development group to conduct site acquisition and development work, a wholly owned construction company and an in-house management division that oversees all of Hanover’s completed projects. The total package approach has created a number of advantages for Hanover in the rental market. The company is a more centralized organization than many of its competitors that build on a similar national scale. Because its three disciplines are all
Urban Trends As millennials earn their first jobs and baby boomers send their children to college and are left with empty nests, both groups are entering the rental market. For the most part, those housing seekers want to live in cities with robust transportation networks and a plethora of cultural offerings. Bowden says this shift toward urbanization is a powerful trend for the industry and has influenced where Hanover builds its projects. “We tend to focus on major cities simply
Hanover remains responsible for every aspect of its projects, giving it greater control.
in-house and centrally located in Houston, Hanover benefits from the cross pollinization of knowledge on every aspect of its projects and can oversee design work on a tighter level. Even the final landscaping is done by Hanover employees. This detailed involvement is inherent in Hanover’s phi-
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losophy as a company. Being responsible for every piece of a project gives Hanover better predictability on the end-result, Bowden explains. “There is a level of control we will exert over the design process and construction process that is probably rare in the industry,” Bowden says.
Keystone Structural Concrete, LLC provides turnkey concrete services specializing in formed elevated structures including flat slabs, pan slabs, and slab and beam structures for multi-story buildings as well as other large formed concrete structures. Their focus is to provide clients with a service that is based upon safety, quality, and timeliness in the performance of their work. The Hanover Company is an ideal client for Keystone, as they have similar values for their clients. Keystone looks forward to constructing many more projects with The Hanover Company in the future.
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Residential | THE HANOVER COMPANY
says it works well in “tough » Hanover environments” such as large cities that demand high-quality developments.
because that’s where there is more renter demand,” he explains. But large cities often pose stiff zoning challenges and municipalities work to balance the needs of its current residents with the needs of its future citizens. Urban markets demand high-quality developments, the kind of attractive and feature-rich buildings that are Hanover’s specialty. “We find we tend to work well in tough environments,” Bowden adds. The urban market has become increasingly competitive as more developers are undertaking high-quality developments. Hanover strives to lead the rental market,
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but Bowden says consumers ultimately benefit from having more choices and improved products. “Our cities are getting better,” he says. “There is a lot of investment going into our cities and that’s a good thing.” To keep up with the high level of investment, Hanover must cast a wide net in the urban market. The company constructs and manages luxury towers where the average resident earns six times the monthly rent, but also more modest apartment buildings aimed at a different clientele. The local market, construction type and the cost of land drive the deci-
‘There is a lot of investment going into our cities and that’s a good thing.’
The company strives to create properties that result in attractive residences that fit with current trends.
sion on what type of developments to move forward with, Bowden explains. “We think it’s important that our portfolio cater to a wide income bracket.” No matter who the target resident, Hanover wants to execute the project on a high level and deliver the
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leading-edge to that income grouping, Bowden says. The company’s key projects now under construction include the Post Oak in Houston, a 30-story mixed-use development with 15,000 square feet of luxurious
resident amenities, a 24-hour concierge, fitness center, pool and gourmet kitchens. South Park in Los Angeles features a resort-style pool, 1,200-square-foot sunset deck, high ceilings, expansive windows and retail space on the ground floor. Cambridge Park in Cambridge, Mass., will offer two private courtyards, a pet-washing station, resort-style pool, 2,000 square feet of bike storage, open-concept kitchens, and a private clubroom with an entertainment theater.
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Innovative Designs
Residential | THE HANOVER COMPANY
In the housing market, there is no silver bullet in terms of amenities that will appeal to all demographics. Instead, Bowden describes it as a series of trade-offs that result in an attractive residence that fits with current trends, such as sustainable designs. “As an industry in general, buildings are becoming more efficient, buildings are becoming tighter and using substantially less energy than even seven years ago,” Bowden says. Because Hanover controls each aspect of a project, the company has been able to develop a thick book of details or amenities it can field test in one location and then roll out across all its properties. Some of those innovations are immediately noticeable to customers, such as what kinds of faucets are used and how to make a compressed room feel spacious. Others are unseen but still vital, such as how Hanover subdues sound transmission between units and floors. The company has even innovated in how it buys materials. A decade ago, nearly everything that went into a building was purchased domestically. But today, Hanover buys on a global scale, allowing it to deliver high-quality materials such as granite at a lower cost. Maintaining an innovative approach has helped Hanover rebuild the company after selling off its previous portfolio in 2010. Bowden wants to follow up that success by aiming for 10 developments per year at $100 million each. The ultimate goal is to reach a steady growth rate. “We are hitting a point where we are at a healthy run rate for the organization,” Bowden adds. innovative approach to » Andevelopment, design and construction helps Hanover grow.
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Residential | RYBAK DEVELOPMENT & CONSTRUCTION
Beyond Standard
RYBAK DELIVERS JOBS WITH STRONG ARCHITECTURAL FEATURES AT A LOWER COST. BY ALAN DORICH
Rybak Development provides concrete superstructures primarily for residential projects in Brooklyn.
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ome developers need an extensive staff on each of their jobs, but not Rybak Development & Construction. “We run an incredibly lean operation in terms of how we set up these projects,” President Sergey Rybak asserts. And instead of hiring a subcontractor to complete foundation, superstructure, waterproofing or roofing, Rybak Development performs these tasks on its own. “[That] makes us incredibly competitive, in terms of our ability to deliver a building for much less than the industry standard,” he says. Based in Brooklyn, N.Y., Rybak Development provides concrete superstructures for mid-rise residential and mixed-use projects, and often develops them on its own. Rybak founded the company in 2007 and started by taking on renovation and foundation repair projects.
“We discovered that concrete work seemed to be a specialty with a relatively decent margin,” he recalls, noting that the company today primarily focuses on residential work in Brooklyn. “We do between 50 to 100 condominium units per year.”
Rybak Development & Construction www.rybakdev.com • 2014 ales: Approx. $40 million • Headquarters: Brooklyn, N.Y. • Employees: 40+ • Specia y: Concrete uperstructures
“We un an incredibly lean operation in terms of how we execute projects.” – Sergey Rybak, president
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Rybak Development also saves the end-user’s money by using products “that are 20 to 30 percent on the cost side, below what the industry is used to,” he adds. “That allows us incredible flexibility in terms of what we are able to charge a client for a residential unit.”
Making His Mark A longtime veteran of the industry, Rybak is a graduate of New York University with a degree in Economics. “I have also taken every imaginable course at the NYU School of Professional Studies that offers non-credit courses with all facets of the construction and real estate industry,” he says. “Instead of getting a job on Wall Street like some of my peers, I decided the construction industry is where I wanted to set my mark.”
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Residential | RYBAK DEVELOPMENT & CONSTRUCTION
Strong Synergy Ryback Development & Construction does many tasks on its own, but it also utilizes a base of loyal subcontractors on its projects, President Sergey Rybak says. The companies have benefited mutually from these relationships, he asserts. “Once you find a good match, everyone grows at the same time,” he says. “We haven’t experienced any delays or setbacks due to subcontractors being busy or not being able to perform the right type of service.” When developing his own projects, Rybak considers multiple important factors. “You have to make sure you’re buying the land for an amount that makes financial sense,” he says. “You can’t get into a project and know that it is financially unfeasible.” The company also looks for projects where it can incorporate a mixed-use component and architecturally pleasing features. “We really always try to look for a project that ... could influence the aesthetic of the area,” he states.
In the Heart Rybak Development’s current projects include the development of a $25 million residential condominium property in Brooklyn. The
location was once the site of the The El Greco Diner located in the heart of Sheepshead Bay, Rybak says. “Last year, my partner and I were able to make a deal with the owner of the property and convinced him to sell it to us,” he recalls. The site, he adds, faces a canal that makes it a very popular destination in the spring and summer. “The whole street is [often] lined with fishing boats,” Rybak says, noting that there are also many restaurants in the region. “It’s an incredibly popular street.” The finished structure will set itself apart with its design, which includes leaning, exposed concrete walls and a rooftop pool. “It’s an incredible departure from the red brick architecture that has plagued South Brooklyn,” he states. “It’s a more edgy, modern design that will change this area for years to come.”
All Sold Out Rybak Development also is nearing completion on 3041 Ocean Avenue, another condo development in Brooklyn. “It’s a nine-story building with 40 residential units,” Rybak says, noting that residents will be greeted by a doorman. “It’s a building that’s very luxurious for the middle-class customers,” he continues. “The cost will be somewhere around $550,000 per unit.” So far, 3041 Ocean is 90 percent complete. Additionally, “The entire building is sold out and spoken for,” Rybak says. “This is due to the fact that we have a very good marketing team that allows us to attract clients prior to the completion of the building.”
‘We have to find continuous ways of innovating without increasing the cost to the end-user.’ This approach is a good fit for the company’s development strategy. “When you have a large building, you don’t want to expose all the units at the end,” he says. “You want to keep your inventory exhausted as possible prior to the completion of the building.”
Catching the Wave Rybak also is proud of its 104 Wave Condo project in South Brooklyn. The building is a seven-story mixed-use project with 48 residential units. “The building has an exterior facade assembly that resembles an ocean wave,” he describes. “We’re about 70 percent complete.” Sales began a month ago, but it is already 75 percent sold, Rybak adds. “The building is generating tremendous interest,” he states. “There’s nothing else like that in the area. “When you go across the street, you see the same old, tiring archi-
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tecture,” Rybak continues, noting that the company strives to develop projects for the middle class that would normally be built in affluent areas. “If we’re able to bring a similar product, it’s a recipe for success.” Rybak Development recently broke out of the residential market with Match Point NYC, a sports and fitness club. “It is a very unique project,” Rybak says, noting that the company was contracted as a construction manager to build the second-biggest sports facility in Brooklyn. Today, the location features a 30,000-square-foot gym, nine full-size tennis courts, an Olympic-sized pool, an observation deck area and a rhythmic gymnastics academy. “We were able to complete it in 18 months time,” he recalls. “Now, it’s an incredibly successful, multisports complex that serves the South Brooklyn community.”
of the greener projects in Brooklyn. “We’re always on the cutting-edge of our local area,” he says. “Every product has to deliver a uniqueness factor.”
Planning for Expansion Rybak predicts further growth for his company. “We see ourselves expanding in terms of developing a bigger pipeline of work,” he says, noting that the company plans to
build a high-rise. “What we’re developing will be a 20-story building.” The company also plans to stay focused on projects in Brooklyn. “We have a great handle on what this area’s expectations are and this is the area that we want to continue doing business in,” Rybak explains. “[We’ll] continue being more innovative and do more groundbreaking products.”
Continuing to Innovate Rybak Development is finding the real estate market to be more competitive, Rybak says. “The end-user is also now expecting and demanding more of a high-caliber product,” he says. This makes things challenging for the company, he admits, as it strives to provide the right product for the customer, but at the same cost that it charged last year. “We have to find continuous ways of innovating without increasing the cost to the end-user,” he says. “It’s been a challenge, since in the last 10 years products have changed drastically.” The lack of appreciation in Rybak Development’s market also does not help because the company strives to maintain a competitive edge as well as provide a very appealing product. “My challenge is to continuously innovate and do the same thing over and over,” he states. Rybak Development’s attempts to innovate include working with a LEED consultant on the El Greco project to make it one Midwood Doors & Millwork Inc. congratulates Rybak Development on great success, continual growth and forward thinking leadership. We are proud to be a trusted partner.
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Residential | ALLIANCE RESIDENTIAL BUILDERS
Broadstone Living AMENITIES ABOUND AT ALLIANCE RESIDENTIAL’S UPSCALE RENTAL COMMUNITIES. BY BOB RAKOW
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lliance Residential Builders is one of the largest private multifamily companies in the country with 34 offices located throughout much of the nation. The company has invested in more than $3 billion worth of real estate and manages a $9 billion portfolio with a focus on local leadership and a comprehensive national support infrastructure. The Phoenix-based company places a particular emphasis on major markets such as Seattle, San Francisco, Los Angeles, San Diego, Denver, Phoenix, Albuquerque, Las Vegas, Dallas, Austin, Houston, San Antonio, Miami, Tampa, Jacksonville, Fort Lauderdale, Palm Beach, Atlanta, Washington, D.C., and New York.
Broadstone Communities Alliance Residential Builders is particularly well known for its Broadstone communities, which are inspired by “those who desire to be surrounded by everything they need in daily life,” the company says. Alliance Residential Builders is especially proud of the details and lifestyle conveniences featured in its rental communities, which can be found in its communities. For example, the communities offer an unparalleled blend of service and amenities, the company says. There are communities designed for individuals seeking an upscale sanctuary with access to explore the outdoors as well as urban residences with access to culture, nightlife, entertainment and dining.
Austin Project One of the company’s newest projects is 422 at the Lake, a condo and apartment complex featuring one- and two-bedroom units in downtown Austin, Texas. The units have unobstructed www.allresco.com city and lake views • Headquarters: Phoenix and a variety of • Specia y: Construction of mu ifamily refined finishes and communities amenities. Additionally, the complex is located near a bike trail network that provides quick access to kayaking, paddle boarding and sunset
Alliance Residential Builders
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Residential Builders takes pride » Alliance in the details and lifestyle conveniences offered in its communities.
cruises as well as pet-friendly parkland. The building also is within walking distance of restaurants, entertainment and shopping venues in downtown Austin, the company says. The Austin project, as well as other complexes built by Alliance Residential Builders, features numerous amenities, including: • Designer carpeting in the bedroom suites • Custom hardwood floors • Granite countertops • Full-size washers and dryers • Spacious master bath design • Walk-in closets • Walk-in showers Clubhouses on the properties feature: • Catering kitchens • 24/7 athletic centers • Professional spinning facilities • Business lounges with Wi-Fi access • Outdoor lounges
• Outdoor summer kitchens with grilling areas • Resort style swimming pools Additionally, Alliance Residential Builders recently diversified by entering the senior housing marketplace, a natural move for the company. As the No. 1 apartment developer and the seventh-largest apartment manager in the nation, Alliance Residential Builders is well positioned to explore sites and consider new acquisitions.
Acquisition Strategy Alliance Residential Builders’ acquisition strategy relies on a combination of local and national relationships, coupled with the company’s ability to capitalize on expertise across multiple disciplines to evaluate the opportunities and risks associated with an investment, the company says. Acquisition targets include distressed assets, including loan purchases, short sales and bankruptcy and foreclosures, according to the company. The company also seeks value-add assets that require significant physical renovation in submarkets where new entitlements for development are difficult or infeasible. It also looks for those requiring operational repositioning in core locations where rent levels are at a significantly lower price point than new assets.
Targets for Development Alliance Residential Builders’ communities are financially successful because they are the outcome of thoughtful market and product
analysis, the company says. They offer quality construction and sustainable design that enhances surrounding neighborhoods, according to the company. The company targets various properties for development, including: • Previously-entitled land position or partially-constructed projects; • Properties rezoned from commercial for-sale uses to lower-density multifamily rental; and • Build-to-core projects in locations where long-term and solid fundamentals create higher-yielding investment returns compared to core purchases. Alliance Residential Builders is a best-in-class operator that approaches every asset as though it owns it, the company says. The company says it positions properties for maximum value through aggressive marketing, leasing and superior operational processes in alignment with its clients’ investment strategy. Its internal structure facilitates efficient decision-making through open communication between executive-level leadership and regional and on-site management staff. Alliance Residential Builders has a staff with extensive expertise, which includes pre-leasing, lease-up, renovation and repositioning properties of diverse product type and quality, the company says. Rams Painting is proud to have worked with Alliance for the last three years. Thank you for the successful business partnership.
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Residential | POWER DESIGN INC.
Building Relationships POWER DESIGN’S CAPABILITY AND EXPERTISE KEEP RELATIONSHIPS ALIVE. BY JANICE HOPPE
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ower Design Inc. is only as good as its last project and the trust it has established or reinforced with its customer. The company has completed 900 projects with another 150 in progress and cumulative revenues exceeding $2 billion. But even more impressive are the relationships it has maintained since it began 25 years ago. “A lot of our work continues to be with our clients from day one,” Executive Vice President Frank Musolino says. “We are in the relationship business and want to keep
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those forever. Building relationships with the company is important, but it is also important to do so with the people in those companies who can take us with them as they move to new companies throughout their careers.” The St. Petersburg, Fla.-based company was founded in 1989 by Mitch and Dana Permuy as an electrical contracting firm. Power Design began as a two-person business and today has grown into one of the top electrical contractors in the country with more than 750 employees. “Our ability
to operate on a national scale with one unified methodology, supporting our customers from coast to coast, is a big part of what separates us in the industry.” Power Design’s services include design/ build, design/assist, preconstruction, construction, engineering, low-voltage systems and lighting. A turnkey operation, Power Design is a one-stop shop for all of its customers’ electrical needs, including design, electrical, fire alarm, access control, CCTV, audio/visual and lighting. “We have partnered with top developers and general
Based in St. Petersburg, Fla., Power Design has become one of the top electrical contractors in the country.
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makes them experts at successfully managing this process. Perhaps the most important step is creating a good initial scope and program to be sure the needs and expectations of the owner are being met. Design/ build is not about value-engineering, but value adding. “We are not cutting corners,” Musolino adds, “But we won’t draw lines on paper that don’t affect usability or performance. We critically review the plans and remove cost-drivers that don’t positively affect our customer’s bottom line, either through increased rent or decreased operational costs.” Being involved in the design/build process early allows Power Design to think outside the box and implement solutions that will work. The more the project progresses, however, the more set in stone the design becomes. “Building programming is essential and established in the early stages,” Musolino explains. “If it is not programmed with the end in mind, the design develops around a poorly programmed building and there is less opportunity to fix it later. Without an advocate in the room early, the design can progress to the point where it is either too late or too costly to change things.” Power Design is well positioned in the industry to handle the growing demand for design/build capabilities. “We have the
Power Design Inc. www.powerdesigninc.us • Headquarters: St. Petersburg, Fla. • Employees: 750 • Specia y: Electrical contractor
“Our ability to operate on a national cale wi one unified me odology, upporting our customers from coast to coast, is a big part of what eparates us.” – Frank Musolino, executive vice president track record to handle that capability and the internal resources, with engineers who have completed more than 120 design/ build projects,” Musolino says. “There is an evolution in the industry and we have a solid foundation to deliver a superior product in a market that is demanding more design/build capability.”
Design/Build in Action Utilizing the design/build approach, Power Design is able to lower costs, decrease schedule time and improve the product for its customers. Its extensive expertise and capabilities were vital to the completion of The Ascent, a 404-unit multifamily development. “It was a project that was well into design development before we got
contractors, continually exceeding expectations and delivering high-quality products on time and in budget,” the company says.
Win-Win In the past 10 years, design/build has become the delivery method of choice for several owners and developers due to compressed budgets and schedules. Power Design has adapted to this shift, with its design/build capabilities being one of its most valuable services, performed by an internal engineering department. “We have strong resources behind us, making us the most trusted electrical contractor for high-risk projects with fast-track schedules, tight budgets and complicated designs,” the company says. Power Design’s extensive experience
Design was a key part of 2400 » Power Nueces, a design/build, LEED-certified project in Austin, Texas.
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Residential | POWER DESIGN INC.
tate business. The team has partnered again on several other multifamily developments, where now Power Design has been involved with designs from the beginning.
A Look Inside
Power Design improved its ability to collaborate when all superintendents, foremen and project managers began using iPads.
involved and was trending over budget,” Musolino says. “With the trust of our clients, we were able to take over the design and generate considerable savings, both in cost and schedule.” The challenge with the 25-story apartment building located in Tysons Corner, Va., was an inefficient distribution system that required Power Design to reprogram the building for proper distribution throughout the high-rise. “Distributing power is critical from a value and construction standpoint in terms of savings and sequencing,” Musolino explains. In addition to cost savings in the design, Power Design completed a building turnover audit that uncovered several schedul-
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ing challenges. “They can’t lease 400 units in one day, so apartment buildings don’t turn over all at once like a new baseball stadium will,” Musolino notes. “The building is released in phases, so it’s essential that the electrical distribution is designed with phased occupancy in mind.” With the general contractor, John Moriarty and Associates of Virginia, the project was delivered in June 2014 – more than three months faster than proposed by any other construction team. As a result of the successful completion of The Ascent, Power Design strengthened its trusting relationships with both John Moriarty and Associates of Virginia and with Greystar, a Charleston, S.C.-based multifamily real es-
“The Ascent is more than just the tallest high-rise apartment in Tysons,” Greystar says. “It’s a frame of mind that focuses on the elegant and luxurious, the perfect balance between the features you deserve and the high-end amenities that fit your modern lifestyle.” The LEED Gold-certified development offers new apartments with unmatched luxury and sophistication, the company adds. The Ascent offers 15 unique floor plans, many with breathtaking views of the surrounding area. The studio, one- and two-bedroom apartments include contemporary living spaces that are designed to enhance residents’ day-to-day lives. The Ascent offers an abundance of amenities for residents, including a pet grooming salon, bicycle repair station, 24-hour concierge, grand lobby with Wi-Fi lounge, storage units and grocery package acceptance. The rooftop features a 24-hour “Performance Sports Club,” the “Summit Lounge” with bar and billiards and a pool with a social deck and fire pit. The Catwalk is a landscaped terrace with outdoor cooking and seating areas.
Relationships Are Everything In addition to cost savings and schedule compression, design/build also allows an owner to eliminate risk of price escalation and lock-in the right partner with the right team. “We have seen a huge shift in relationship-driven team selection over the traditional plans and specs, hard-bid mentality,” Musolino says. Power Design has retained clients for more than 25 years by understanding their needs, learning lessons along the way and implementing those on future projects. “A design/build approach does involve a high level of trust,” Musolino says. “Aside from validating that we are a valued and trusted partner, the first project with any developer allows us to learn the nuances of what is important to them and what their stan-
‘Building programming is essential and established in the early stages.’
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Power Design celebrated its 25th anniversary in September 2014.
dards are. We can then take those lessons and apply them on future projects without the same learning curve.” Power Design is a “quick study,” Musolino adds. By adapting quickly to its customer’s needs, Power Design can keep up with demands. “After only a project or two, we start to understand each other, which enhances our ability to provide value-added services such as leveraging our other turnkey services in lighting or low-voltage, exploring innovations in design, or simply getting to shovel faster,” he says. “As a relationship develops we have fun using that trust and experience to move faster and get better.”
Increased Efficiency Power Design is delivering projects all over the United States. To improve office and field communication and increase efficiency, it made a huge investment and is now reaping the benefits. Power Design first piloted a mobile initiative a year-and-a-half ago and it was so successful that the company completed the
rollout of iPads for all of its superintendents, foremen and project managers in first-quarter 2015. The tablet is used to access plans in the field, as well as contract documents and coordinated installation drawings. Because of its national presence, Power Design says the iPads have become a critical part of collaboration. “Everyone is up-to-date with the latest changes and the iPads have truly enhanced our ability to communicate much faster,” Musolino explains. “We are paperless throughout our operation, from estimating to as-builts.” Coordination documents are generated internally and a mobile conference platform on the iPad allows the corporate office to connect with its team in real time in the field. “We can identify coordination conflicts and communicate them quicker, making sure they are resolved before the budget or schedule suffers,” Musolino explains. “We pride ourselves on being the go-to electrical contractor for developers and general contractors,” the company says. “To be the most trusted name in the industry, we
the Ascent in Tysons Corner, Va., » AtPower Design found ways to save costs and improve power distribution.
will deliver quality service, build lasting relationships and hold ourselves accountable. We aspire to create a future that reflects a passion for what we do.”
Executive Vice President Frank Musolino is proud of the relationships Power Design has maintained for 25 years.
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Residential | BRADBURY STAMM CONSTRUCTION – THE NEIGHBORHOOD IN RIO RANCHO
Modern Retirement BRADBURY STAMM HEADS UP A PROJECT FOR AN ACTIVE SENIOR LIVING COMMUNITY OUTSIDE ALBUQUERQUE. BY TIM O’CONNOR
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he city of Rio Rancho, N.M., is one of the hottest development areas in the country, having nearly doubled its population to 92,000 since 2000. This growth has prompted a flurry of building projects over the past decade-anda-half, filling the Albuquerque suburb with modern structures bounded by mountains and Native American reservations. To serve those new residents, Albuquerque-based La Vida Llena and parent company Haverland Carter Lifestyle Group is putting nearly $50 million into developing a 12-acre retirement community befitting this modern city. The project, called the Neighborhood in Rio Rancho, was in the planning stages for about three years before New Mexico construction company Bradbury Stamm broke ground on the site in October 2014. Work is expected to take 18 months and finish in spring 2016, according to Project Manager Easton Hamblin. This is the fifth La Vida Llena project Bradbury Stamm has built in the past five years and the eighth overall, a relationship that extends back to the construction of the organization’s first facility in 1983. “We’ve become specialists in this type of construction,” Hamblin says. La Vida Llena’s history dates back a few years further. The senior living business was founded in 1979 after four area churches banded together to create a retirement
Bradbury Stamm expects as many as 200 employees will be onsite at the project’s peak.
community that supported an active and independent lifestyle for residents, even taking its name from the Spanish phrase for “the full life.”
Providing ‘The Full Life’
Bradbury Stamm Construction – The Neighborhood in Rio Rancho • Location: Rio Rancho, N.M. • Employees on ite at peak: 200
“New generations of people are coming into e market. What you bui ree to five years ago isn’t necessarily what ey are looking for now.” – Easton Hamblin, project manager
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That mission continues in the Neighborhood in Rio Rancho. The project is aimed at providing accommodations for seniors in any stage of retirement. Ninety of the nearly 200 units and one of the three buildings will be for independent living, but the Neighborhood in Rio Rancho will also have another building for assisted living and memory care and a third for residents needing skilled or intermediate nursing care. Seniors wishing to become residents pay a one-time entrance fee based on the style of apartment they select along with
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a monthly fee covering housekeeping, meals, maintenance, telephone, basic cable, and transportation to shopping or medical appointments. The buy-in ensures seniors have access to long-term care without needing to move to another community. The trio of buildings will total about 250,000 square feet, with Bradbury Stamm’s construction contract alone costing $38.5 million. Once it is completed, the Neighborhood in Rio Rancho will boast a number of amenities to ensure its residents will enjoy the finest retirement lifestyle. There will be a pool, bistro, fitness center, chapel, full dining and kitchen, a small movie theater, salon and a general store. A future phase of the project is planned that would add another 90 independent living apartments, though the majority of amenities will be
built to accommodate the expansion and additional residents. It all comes together to provide a total package for retirees. “Pretty much anything and everything you could want, we’ve got,” Hamblin says. The upscale and social offerings match the kind of communities seniors now expect. “New generations of retired people are coming into the market,” Hamblin says. “What you built three to five years ago isn’t necessarily what they are looking for now.”
Smooth Construction To ease the construction process, Bradbury Stamm modeled the whole project, from structures to MEP systems, in 3-D before going vertical. Work is now underway on the superstructure of each of the three buildings, with as many as 200 employees on-site during peak activity. The numbers of workers is expected to rise even more as the project progresses. “Everything has been going pretty smoothly,” Hamblin says. The independent and assisted-living buildings have primarily wood construction, but the third building, which houses the memory care and skilled nursing programs, is being made of steel to meet state licensing and structure requirements for those types of facilities. Hamblin says Bradbury Stamm is sticking to tried and true materials and construction techniques to ensure the building will have an extensive useful life for its residents. “These are people that plan on operating this facility for a long time,” he says. Working closely with the project’s subcontractors has been one of the keys to a smooth construction process. Bradbury Stamm involved subcontractors early in the bidding process and worked with those companies to resolve hurdles in their individual scopes before building began. A 50-inch touchscreen computer set up on site has further bettered communication among each entity involved in the project. Subcontractors may now check for updated drawings or correspondence at the site and print materials immediately instead of waiting for information to be relayed through an office. This is the first time Bradbury Stamm has set up such a system on-site. “It really helps out with production,” Hamblin says. “There’s no second guessing.” Bradbury Stamm is employing other technologies in new ways to keep all involved up to date on the Neighborhood in Rio Rancho’s progress. Many companies keep a running blog for major projects, but Bradbury Stamm takes the extra step by using aerial drones to shoot video of the construction and then uploading the footage to the senior living community’s website. Even though the opening is still a year away, the excitement over the Neighborhood in Rio Rancho has already resulted in strong sales for the community. Hamblin says 70 percent of the independent living apartments had been pre-sold as of April, far more than the 25 percent Bradbury Stamm typically sees at this stage of construction on similar projects. Hamblin credits La Vida Llena’s reputation, business model and marketing efforts in driving so many early sales, along with the desirable location in Albuquerque’s suburbs.
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Residential | WALLSIDE WINDOWS
Wallside Windows strives to provide a peace of mind with quality products for homeowners.
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Up to Standards WALLSIDE WINDOWS ENSURES ITS PRODUCTS MEET CUSTOMERS’ EXPECTATIONS. BY ALAN DORICH
Wallside Windo www.wallsidewindo .com • Headquarters: Taylor, Mich. • Employees: 120 • Specia y: Replacement windo
“If you ask people in e Michigan area about windo , in most cases, ey’ll know Wallside.” – Adam Blanck, chief of taff
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t Wallside Windows, keeping direct contact with end-users is essential. “[By doing] that, we’re able to keep making sure the customer is satisfied, no matter what,” Chief of Staff Adam Blanck says.
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This approach has paid off for the family managed company. “[Judging] from our tracking, our business is based on referrals and people that have been satisfied,” he says, noting that the majority of its business is repeat or referred by a satisfied customer. Taylor, Mich.-based Wallside Windows specializes in custom-manufacturing replacement windows. Blanck’s grandfather, Martin Blanck, started a home improvement business in 1944, but later moved into vinyl replacement windows in the 1970s. At the time, the U.S. government offered tax incentives for conservation. When Blanck read an article in The New York Times about vinyl replacement windows, he felt these windows fit homeowners’ needs because vinyl is more energy efficient and durable than wood.
“He always wanted to make something [there was a need for], and here we are today,” comments Stanford Blanck, the late Blanck’s son and vice president of the company. “We make and install everything to a home customer’s satisfaction.” Wallside Windows is a leader and renowned brand in the Michigan and northwest Ohio markets, Adam Blanck says. “If you ask people in the Michigan area about windows, in most cases, they’ll know Wallside,” he declares.
Jumping Through Hoops Wallside Windows copes with an increasingly regulated industry, Blanck says. The company has closely watched National Fenestration Rating Council and ENERGY STAR regulations, he notes.
“Making sure we’re keeping up to date is definitely a big challenge,” he admits. The company recently switched to Cardinal Glass Industries Inc. as its glass supplier to ensure its products meet ENERGY STAR 6.0 specifications. Wallside Windows also has been impacted by EPA’s lead-safe work practices rules, Operations Manager Dave Ball says. “All companies – whether they’re painting or renovating a home – have to comply,” he says. “We are up to date on all those.” “Those types of regulations have had a huge impact on the home improvement industry,” Blanck adds. “[They] provided many more hoops we’ve had to jump through to do our [work].”
Standing Firm Nearly all of Wallside Windows’ work is for homeowners, for whom it strives to provide “a piece of mind with a quality product,” Blanck says. “We’re definitely committed to standing behind our product, even decades after we make it.” The company has stood behind its product with a 35-year transferable warranty that it has offered since 1990. “There’s a lot of products out in the field that we warranty no matter who owns that home,” Ball says. “That warranty is based on the address, not on the homeowner.” The warranties can impact decisions Wallside Windows makes, including whether or not to switch suppliers, Blanck notes. “We still have to consider previous customers and how we can maintain and manage any issues that may arrive, based on previously manufactured goods,” he explains.
Product Partners Wallside Windows maintains strong relationships with its suppliers, including several it has used for decades. One is vinyl manufacturer VEKA Inc., a Wallside Windows vendor since 1999. A key to a continued partnership with Wallside Windows is a consistent, quality product. “We have standards we have to maintain for our customers,” Blanck says. “Therefore, our suppliers have to maintain the same standards.” But the company is equally responsible for treating its suppliers with integrity, which upholds the values set by Martin Blanck. For example, “We pay on time and make sure that the relationship is beneficial for both parties,” Adam Blanck says.
A Family Place Wallside Windows plans to continue making energy-efficient windows, Blanck says. “We feel consumers more interested in sustainable products for homes,” he says. “[We’ll continue to] provide a quality product with outstanding customer service.” This challenge will be made easier thanks to the company’s experienced workers who care about the product they manufacture. “It truly is a family,” he says. “It’s a family place and a family business as well.” Wallside Windows also might grow to reach more customers, Ball predicts. “We might start looking at hubs to get to [so we can] expand our areas,” he says.
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Residential | WEBCOR BUILDERS – RESIDENCES AT COLUMBIA SQUARE
Hollywood Living
WEBCOR BUILDERS IS AT WORK ON A PROJECT IN THE HEART OF TINSELTOWN. BY ALAN DORICH
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or more than 40 years, Webcor Builders has embodied its role as a general contractor. “We roll up our sleeves with a focus on problem-solving and bringing the best value to the owner in a collaborative way,” Senior Project Manager Cicely Rice says. “It’s certainly a team effort.” Webcor has brought that approach to the Residences at Columbia Square project in the heart of Hollywood, Calif., for developer Kilroy Realty Corp. The general contractor is building a 21-story residential tower, which will feature 200 luxury apartments, a cast-in-place concrete structure and a glass curtain wall system that will act as the building’s skin. Its amenities, Rice adds, include a rooftop pool and restaurant, a fitness center on its second floor and another eatery on its ground floor. The for-lease residences are geared towards those with careers in the entertainment and high-tech industries, she says, adding that the tower also will offer furnished units marketed for extended stays. The tower will offer the luxury of a high-end hotel, but with the comforts of home away from home, Rice says. Webcor started on the Residences in October 2014. “Our completion date is March of 2016,” Rice says, noting that the company has completed the concrete work. “We’re just about to top out the structure.” Webcor self-performs this part of the project. “We’re proud to carry on the Webcor tradition of self-performing the concrete. We definitely can set the pace, schedule-wise.”
self-performed the concrete work on » Webcor the Residences at Columbia Square project.
it’s a tight site. “We also have residences nearby, and restricted work hours,” Rice says, noting that the company tries not to disturb local residents with noise. “It’s hard to build quietly,” she admits. “So we try to keep the neighbors informed of what’s happening on the site, and have a hotline set up to field any complaints from the neighbors.” Construction of the rooftop amenities has been uniquely challenging. “Placing a pool, kitchen, restaurant and lounge at the roof level of the structure, over residential units presents several Adapting and Adjusting challenges. This has been a major coordination effort between archiThe Residences represents one of Webcor’s first high-rise projects tect and builder to bring the various since the economic downturn. elements together.” “There have been some recent changes in the There is an intermediate deck between [building] codes, so we’ve learned from those the roof structure and the pool deck, things,” Rice says. www.webcor.com as well as vibration isolation of the This includes changes in the types of embed• Project budget: $78.8 million roof-mounted mechanical equipment. ment required for curtain walls. “We have tradi• Location: Hollywood, Calif. This reduces sound and vibration transtionally used an anchor channel-type embed,” fer to the residential units below. she says. “These are now rejected by the city of Los • Employees: 200 (peak) Angeles in favor of steel plate embeds.” • Scope: A 21-story esidential tower Working in the heart of Hollywood has been Safe and Sound challenging for Webcor. It’s always challenging to Webcor has maintained a strong safety work in an urban environment where access for rating throughout its work on the vehicles and pedestrians must be maintained. The Residences project. “We have not had – Cicely Rice, enior project manager project was granted only partial lane closures, so a lost-time accident to date. This is
Webcor Builders – Residences at Columbia Square
“We oll up our leeves and focus on problem-solving and bringing e best value to e owner.”
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Cornerstones of Success Webcor Builders says it looks at its projects as being more than mere jobs, but instead a craft. “We are continuously refining and improving our process,” it states. “Every project yields lessons learned, resulting in smarter decisions and building efficiency into the frame work of who we are. “We innovate,” it continues. “We are known for leading industry breakthroughs and bringing those advantages to the job site first, time and time again.” The company also strives to use its employees, clients, partners and neighbors as its team. “By aligning our common goals, we build community wherever we go,” Webcor states. “Our approach always comes back to trust. “Our team relies on us because of our leadership, our willingness to adapt, and our desire to forge lasting relationships. Our depth of experience builds true confidence and makes us bold in the face of challenges. Delivering superior service, exceptional results and unmatched employee and client satisfaction is the cornerstone of our success.”
a testament to our crews, who worked a lot of long days to get the structure built,” Rice says. Its safety measures include a full height net at each floor, in addition to the traditional 42-inch railing. There is also a net that extends around the structure to catch any falling debris. ”The workers have commented that these features give them an extra sense of security when working near the perimeter,” Rice says. “Webcor is really trying to shift our culture on safety from being less of the safety police to a collaborator and coach on safety,” Rice adds. “We’ve had the top executives out to our site doing job talks, which the workers really appreciate.”
focus to further push the boundaries toward the health and well-being of building occupants. “[It] is really an outgrowth of LEED and improving the working and living conditions for the occupants of the building with access to daylight, fresh air, clean water, and a better work and living environment,” she says.
Remarkable Work Based in San Francisco, Webcor says it has been building structures for more than four decades. “Having a deep understanding of the materials we use, the tools we handle and the needs of the people we build for results in remarkable, distinguished buildings,” it says. Rice is an 18-year veteran of Webcor and credits the company’s success to its founders and the principles on which they based the company. “[Those included] being passionate builders, being innovative and putting an importance on clients,” she says. “[We see] the owner as a client and partner, so we’ve certainly gotten a lot of repeat business over the years.” She predicts a strong future for Webcor. “I see us continuing to diversify ourselves, which is something we haven’t necessarily done in the past,” she says. “But we’re doing an interesting variety of projects, including education and entertainment,” Rice says. “There’s a huge demand right now for residential and hospitality, so we’re trying to also make sure we’re staying active in [those] markets.”
At the Forefront Although the Residences project is not aiming for LEED certification, “We’re using sustainable practices as required by California Green code,” Rice says, noting that the company is using low VOC materials and woodwork that does not have any formaldehyde products. All of the plumbing fixtures are highly efficient, with low water usage. She adds that Webcor has been at the forefront of the sustainability trend, which continues. As LEED has become the norm, there is a
Standing Out Webcor Builders says it is also distinguished by its culture. “Our people make us stand out from the competition, and as a company, we pride ourselves on working together,” it states. “Individuality is encouraged, creativity is rewarded, and passion is met with more.” This includes an open-door culture. “We value the free communication of ideas and insights,” Webcor says. “We don’t hide behind protocol or reporting structures. No one at Webcor will disrespect a question or ignore a thoughtful comment.”
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Residential | LIVE OAK CONTRACTING
Value Proposition
LIVE OAK IS EXPERIENCING IMMEDIATE SUCCESS IN THE MULTIFAMILY MARKETPLACE. BY BOB RAKOW
P
aul Bertozzi always had an entrepreneurial spirit, but he never anticipated the scenario that led him to open Live Oak Contracting in early 2014. A construction industry veteran, Bertozzi expected to follow the traditional route: pitching a business plan to investors. Instead, the investors came to him. When Adam Monroe and Ryan Knapp, owners of Middle Street Partners, approached Bertozzi about starting his own company, he was beginning construction on one of their multifamily projects. “I had a great working relationship with Middle Street,” Bertozzi says. Knowing that multifamily construction is accompanied by unique challenges, Bertozzi told the developers: “Let’s see if you’re still interested at the end of the project.” Unlike residential work, if a mistake is not caught early on in a multifamily project, the potential exists to repeat the error in multiple units before it is identified. “Everybody has to be clear on how we’re going to perform,” Bertozzi says. “We have to keep everybody in the loop.” With that approach in mind, he spent the next 12 months constructing the Cooper River Apartments for Middle Street Partners. Bertozzi delivered the project successfully. Monroe and Knapp, needing no further endorsement, became equity partners in what ultimately became Live Oak Contracting.
Live Oak Contracting liveoakcontracting.com • Revenue: $70 million • Location: Jacksonville, Fla. • Employees: 10
“I couldn’t have asked for a be er ituation.” – Paul Bertozzi, managing partner
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» Live Oak Contracting has focused on Florida, Georgia, South Carolina and Virginia, but plans to expand.
“I couldn’t have asked for a better situation,” Bertozzi says. “They saw the value. There was no need to sell.”
Experience Pays Off Bertozzi certainly brings a wealth of construction experience to his new venture. He started his career as the co-owner and operator of a successful multifamily turnkey renovation company based in Jacksonville, Fla. He moved to Summit Contracting Group, also based in Jacksonville, in 2005 as an assistant superintendent and eventually became a project manager. While at
Summit, Bertozzi collaborated with its founders to establish two partnerships, Summit Contracting Services and Southeast Coastal Drywall. He also worked as an estimator, business development manager and division manager. Establishing a solid reputation in the construction community has helped Bertozzi and Live Oak Contracting break into the marketplace. “We’ve been very fortunate,” Bertozzi says. “We are working hard to get our name out there, but we’ve also heard from past clients who are coming to us with their new projects.”
Currently, Live Oak Contracting is working on several multifamily projects, including: • The Rivers Walk Apartments Phase II in Mount Pleasant, S.C., which is owned by Middle Street Partners. The $7.5 million project features the construction of three-story garden apartments. • Rivers Avenue, also owned by Middle Street Partners and located in North Charleston, S.C. It is a $22 million project. • The Arbors at Brighton Park, owned by the Rhodie Group. Located in Bloomfield, Conn., The $18 million project features three-story garden apartments.
Long-term Relationships Bertozzi’s long-term relationships with subcontractors have helped catapult the new business. “Subcontractors typically work for a handful of contractors,” he says. “A huge amount of that is relationship driven. They respond to us. They want to see us be successful. As we succeed, they succeed.” Live Oak Contracting has been involved exclusively in the construction of multifamily complexes in Florida, Georgia, South Carolina and Virginia. Bertozzi plans to expand by securing contractors licenses in Alabama, North Carolina and Tennessee. “Our niche market is the Southeast,” he says. It’s an interesting time to be in the multifamily market for a variety of reasons, Bertozzi says. First, many baby boomers are leaving their single-family homes and looking for housing that is smaller
and does not require upkeep. Additionally, younger people who aren’t interested in living in the suburbs are seeking units in quality apartment complexes. These two trends are the driving force behind the strengthening market, he says. Live Oak Contracting’s primary focus is three- to five- story buildings in communities that feature 200 to 300 units. A 200unit community requires about 15 to 16 months to complete. New communities typically feature a variety of amenities to attract potential renters, including swimming pools, fitness facilities, cyber cafes and dog parks. Amenities are becoming increasingly popular. Both baby boomers and younger individuals are seeking both convenience and a neighborhood feel. “People want a place to call home, but they also want a place where they live their lives, meet their friends for coffee and do their shopping,” Bertozzi says. “The landscape of multifamily construction is changing and we’re excited to see what the future brings.” Little Ventures, Inc. In the Multifamily Apartment Industry, where fluctuating trends and market variables are a constant, Paul Bertozzi & Live Oak Contracting have quickly established themselves as fundamental in an apartment project’s successful development & completion. LVI’s turnkey cabinetry/countertop provisions thrive with the focused outlook Live Oak Contracting has established for them, their partners and their clients. LVI greatly appreciates the continued opportunities Live Oak Contracting affords us.
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LAST LOOK
Hatch Ltd.: The Mosaic Co.’s New Wales plant expansion p. 104
The Mosaic Co. is expanding its New Wales plant in Mulberry, Fla., to meet a growing need for its fertilizer products.
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