ISSUE 4 SPRING 2015 A SELLEN PUBLICATION
Support Vashon Center for the Arts The new Vashon Center for the Arts will be more than just a new building. It will be the artistic center of Vashon Island — an entire community arts campus that celebrates Vashon’s rich tradition of visual and performing arts across every possible discipline, from painting, sculpture and textiles to drama, dance and opera. To learn more and donate to the project, visit VashonCenterForTheArts.org
Vashon Center for the Arts Rendering LMN Architects
COVER IMAGE: Julie Speidel’s Kinetic Repose sculptures sit outside the Tacoma Art Museum as part of its new expansion. The heaviest stainless steel sculpture weighs in at 2,400 pounds. PHOTO: BENJAMIN BENSCHNEIDER
Contents FEATURES
8 14
6 8 14
Gen 4 A new year brings changes to Sellen’s leadership team Championship Spirit Sellen’s exclusive chat with Seahawk Earl Thomas High Rise in Construction Dave Ratzke predicts how high the industry will fly
DEPARTMENTS
2 4 12 17 20
Letter from Bob McCleskey Changes open up new opportunities for Sellen Noteworthy A round-up of project and company updates Building Community Seattle pikes up for Pike Place Market’s expansion Project Pictorial Tacoma Art Museum opens to reveal the Wild West Meet the Expert Safety inspiration from Sellen’s Carolyn Perry
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Letter from
Bob McCleskey “The more things change, the more they stay the same.” I’m not sure who said this, but I don’t think it applies right now. For Sellen at least, nothing seems to be “staying the same.” And that’s OK; in fact, it’s better than just OK — it’s been a lot of fun and has only helped steer us on our way toward fulfilling our vision of being the best builder in the industry. Over the past few months, we at Sellen have taken a deeper dive into who we are as a company. We enhanced our core values of safety, people, performance, partnership and responsibility, and we asked ourselves how we can preserve the legacy of “The Sellen Way” for the future. The timing couldn’t be more apt, as we celebrated our 70-year anniversary in December and kicked off 2015 with a surge of new projects and people. As part of this process we expanded Sellen’s leadership teams, marking the beginning of a new era for Sellen — one in which we aim to elevate our quality of service by being more diverse, flexible and integrated. We’re excited about the changes and hope you will be, too; we’ve written more about them on page 6. On page 14 you’ll find our annual industry forecasts from Dave Ratzke, director of preconstruction operations. Many of you have relied on Dave’s uncanny ability (not to mention tireless research) to predict pricing and labor trends each year. And we can’t miss out on the chance to show a little Seahawks love! While we all hoped for a better outcome in that fateful Feb. 1 game, there is still much that Hawks’ fans can celebrate (two-time NFC Champions for starters!). For the past year, Sellen has had a special partnership with Seahawks’ free safety Earl Thomas. He has been a figurehead for our safety program, and his outlook on teamwork, family and partnership mirrors Sellen’s values. I had the opportunity to talk with him last October, and we’ve included that conversation on page 8. So far, 2015 has started with a bang and should be an exciting ride. We look forward to navigating the inevitable twists and turns with all of you.
Bob McCleskey Chairman and Chief Executive Officer Sellen Construction
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ISSUE 4 SPRING 2015
PUBLISHER Sellen Construction sellenmarketing@sellen.com PRODUCTION Erin Hobson Amanda Erickson Connor Davis Won Moc GRAPHIC DESIGNER Loretta Grande WITH THANKS TO Brooks Running Earl Thomas, III Pike Place Market Preservation & Development Authority Schnitzer West Seattle Preparatory School Tacoma Arts Museum Vashon Allied Arts SELLEN CONSTRUCTION 227 Westlake Avenue North Seattle, WA 98109 T: 206.682.7770 www.sellen.com -------------------------------------------------------------------------------------PAPER INFORMATION 100% Post Consumer Waste Recycled FSC Certified Green Seal Certified Green-e (Certified Renewable Energy) Acid Free Processed Chlorine Free
Celebrating 70 Years of Shaping Seattle’s Skyline On Dec. 9, 1944, John Sellen announced the formation of his new company, the John H. Sellen Construction Co., and last December marked Sellen’s official 70th anniversary. Over the decades, Sellen has had the privilege to partner with many of the Northwest’s leading companies and individuals to shape Seattle’s skyline into what it is today — and what it will be in the future. Thank you, Seattle, for a remarkable 70 years. We can’t wait to see what the next 70 will bring.
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In brief: Updates & milestones
CLOCKWISE FROM TOP: Safeco Tower in 1973; Brooks reception area backed by a curtain of shoelaces; Seattle Preparatory School’s Chapel; Centre 425 rendering 4
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Running happy in Seattle Brooks Running moved into its new headquarters in September 2014. Its new space is located in Seattle’s bustling Fremont neighborhood, conveniently along the BurkeGilman Trail, in the new highly sustainable Stone 34 building. Sellen worked closely with Brooks and Gensler Architects to embody the company’s “Run Happy” culture, including unique design elements throughout the office. The reception area features
a 9-foot-by-9-foot curtain of brightly colored shoelaces, providing an eye-catching backdrop to employees and visitors as they enter the office. A power line feature, designed to mimic electrical power lines seen on city streets, showcases Brooks’ latest shoe designs as they hang by their shoelaces. Other key features include the first floor gym, a full service cafeteria and display shelves for Brooks’ apparel.
In August, Sellen crews finished work at Seattle Preparatory School on Capitol Hill. The project included the renovation and expansion of Peyton Hall, a 1960s dormitory building that was converted to classrooms in the 1980s. The new Peyton Hall, designed by LMN Architects, now houses a learning resource center, classrooms, environmental science center, administrative offices, weight lifting room and multimedia room. Crews also built the campus’ new Our Lady of Montserrat Chapel, designed by Hennebery Eddy Architects, providing a centrally located spiritual space. Salvaged wood found in the school’s Adelphia Hall was used to create custom-built pieces in the chapel, including the altar, ambo, crucifix and tabernacle. Sellen’s millwork crew self-performed the carpentry work, collaborating with the clergy, staff, artists and donors to produce the finished pieces.
“Thank you for your commitment to this project … especially to the students who for decades to come will benefit by what you have done.” — Kent Hickey, President, Seattle Preparatory School
Bellevue on the rise In December 2014, Sellen began construction on Schnitzer West’s Centre 425. Located in downtown Bellevue, Centre 425 will feature 360,000 square feet of Class-A office space suitable for multiple types of tenants. Once complete, tenants of the 16-story building will have access to a flexible conference and training center, a fitness center, an executive boardroom and on-site concierge
services. The new space will provide engaging gathering spaces equipped to support both collaboration and focused work. Designed by NBBJ Architects, the project is expected to be complete by fall 2016. It is one of three current projects on which Schnitzer West and Sellen are partnering; the other two are Madison Centre and Urban Union, both in Seattle.
PHOTO: JOSH PARTEE
In 1971, Sellen began the construction of Safeco Tower in Seattle’s University District. This required a mat footing concrete pour that was considered at the time to be one of the largest in Seattle’s history. The pour measured approximately 740 cubic yards and took Sellen crews 24 hours of nonstop work to complete it. More than four decades later, on Oct. 4, 2014, Sellen crews completed the mat footing pour at Block 19. The pour called for approximately 3.4 million pounds of rebar and 12,000 cubic yards of concrete — more than 16 times the size of the Safeco Tower pour. From start to finish, it took the team approximately 17 hours to complete. The Block 19 pour is the largest in Sellen’s history. So, how far have we come in four decades of improving concrete pouring efficiencies? If the crews at Safeco Tower had poured their concrete at the same rate as the crews on the Block 19 pour, it would have cut the time required from 24 hours to about 45 minutes!
RENDERING: NBBJ ARCHITECTS
Improving the concrete pour, one decade at a time
PHOTO: LORETTA GRANDE
Old wood finds new purpose
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Gen 4 Chairman and CEO Bob McCleskey gives a firsthand look into Sellen’s recent management team changes, ushering in a fourth generation of leadership BY: BOB MCCLESKEY PHOTOGRAPHY: KEITH BROFSKY, ANDREW POGUE, WON MOC
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his is an exciting time in Sellen’s history. Like every other company in our industry, we have been hiring people at an unprecedented rate in anticipation of fulfilling our commitments on the estimated $770 million worth of work we will complete this year — much of that coming from projects that will change the skyline of Seattle for generations. Additionally, a few key people in leadership positions, myself included, are starting to look toward retirement within the next 10 years. “Succession planning” can be a scary phrase for some companies, but for Sellen planning for the future and the next generation of leadership has been a continual discussion among our company leaders since our founding in 1944. With our rapid growth, we are also very focused on ensuring we provide people with development opportunities and are instilling Sellen’s values and culture. With all that in mind, it became clear to all of us that it was time to focus on our leadership and management structure to provide an even higher level of quality of service; increase the mentoring and learning opportunities within our company; and perpetuate Sellen’s 70-year culture of people, responsibility, safety, performance and partnership for generations to come. Like I said, it’s an exciting time to be a part of Sellen. 6
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President Scott Redman, Chief Operating Officer Wilf Wainhouse and myself as CEO, have been working together to lead Sellen for the past seven years. And that’s not changing. What we have done is formed a broader, more diverse executive leadership team. This includes Risk Manager Lori Daigle; Chief Financial Officer
“Rick Redman, Bob Barrett and Bill Boyeson came to the University of Washington on a recruiting visit. After listening to them for 30 minutes, I knew that Sellen was where I wanted to be.” – Todd Lee Executive Vice President, Director of Project Mgmt. Operations
FROM LEFT TO RIGHT: President Scott Redman, Chairman and CEO Bob McCleskey, COO Wilf Wainhouse
“I love the diversity of my role. I wake up every day and look forward to what’s ahead; there are so many opportunities to help shape our company today and into the future.” – Lori Daigle Executive Vice President, Risk Manager
Andrew Aiken; Dave Ratzke, now the director of preconstruction operations; Todd Lee as director of project management operations; and Dan Barrett, who is leading Sellen’s strategy and corporate development. Todd and Dave will remain closely involved with their current projects and clients while taking on their new roles, which will allow them a greater capacity for mentorship and knowledge sharing. And in that vein, Senior Project Manager Adam Rohde has also entered a people development role and taken over the leadership of our engineering group. We’ve also built up our ever-busy preconstruction department. Under Dave’s leadership, Chris Angus and Adam Lorenz will manage our preconstruction, estimating and virtual design services. Chris is stepping into a director of preconstruction role and Adam is filling Dave’s shoes as chief estimator. With Sellen’s number of largescale and complex projects,
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“My job is to set teams up for success, and I love that!” – Carrie Boettcher Vice President, Field Operations
coupled with our clients’ expectations for the depth of Sellen expertise committed to their projects, we have created a new role: project director. We are thrilled to announce that Dave Scalzo, Brad Hayes and Bill Badger will all have new business cards. We have also created a field management team. Senior Vice President Wes Hagen, Senior Vice President Tim McKey and Vice President Carrie Boettcher each bring different perspectives and backgrounds to the table. They have been working to develop our bench, as well as ensure Sellen projects have the right teams committed at the right time. With these changes, we will be able to do our jobs better than ever before. Our leadership team is more diversified and will better support our clients and projects as well as share years of skills and knowledge among our people and projects.
Hopefully most of these changes won’t come as a surprise to you, because we think they just make sense. We are better suited than ever to carry on the legacy and tradition of being the best builder in the industry, and — if we’re doing our jobs right — the only changes you’ll experience are for the better. Another thing I’d like to note that is perhaps more personal to all of us here at Sellen, Bob Barrett, former chief executive officer, is stepping down as Sellen’s chairman of the board. Bob wore many hats during his 36-year tenure with Sellen, which began as an engineer on Safeco Tower and finished with his retirement in 2009 as our chairman and chief executive officer. He has been Sellen’s chairman of the board for the past seven years, and now I will step into that role. Thank you, Bob, for your tireless dedication and motivating commitment. ■
“I love having the opportunity to help people recognize that they have potential beyond what they originally imagined.” – Tim McKey Sr. Vice President, Field Operations
“With each project there’s a strategy – I like to figure out how best to build it.” – Dave Ratzke Executive Vice President, Director of Preconstruction Operations
Saying Goodbye to Bob Barrett, Q&A Style Most Memorable Project… “For myself, it was the Paramount Theatre renovation in 1995. The theater was once considered for demolition but they decided to keep it, and we made it into an iconic building for both our region and company. I was principalin-charge, Ida Cole hired us and NBBJ was the designer. It was a great project with a great team. For Sellen, the U.S. Bank Centre project in 1988 represented our largest project at the time. It gave us recognition in the eyes of the construction community as a large firm capable of building any project.” Most Meaningful Memory… “I’m very proud to say that I worked for Sellen for nearly 42 years and played an active part in the company’s growth over those years.” On Succession Planning… “I’m always impressed with the thoughtfulness Sellen puts toward leadership changes far in advance of actually making them to help support a smooth transition. This intentional planning has had a major positive impact on the organization throughout the years, and we’ve had several successful transitions, which is notable for the construction industry in general. Our current team is poised to take Sellen in a great direction, and I’m excited to see how we will continue to grow within our region.”
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Championship spirit Sellen talks to Seattle Seahawk Earl Thomas about building relationships, seeking innovation and achieving inner peace EDITED BY: AMANDA ERICKSON PHOTOGRAPHY: KEITH BROFSKY
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ellen CEO Bob McCleskey and Seahawks free safety Earl Thomas first met in front of hundreds at Sellen’s 2014 annual meeting. Later, in October, they had the opportunity to meet again in a much more personal (and impressive) setting — the indoor practice field at the Seahawks’ training facility — where Bob and Earl have a heart-to-heart about life, family and, of course, football. Bob: The Seahawks have such a good thing going on and have made such an impact on this region. Sellen loves you, the city loves you — so what’s the love all about? Earl: Love is so powerful. It outweighs any negativity, and I think when you’re constantly being proactive and feeding yourself with good positive messages and visualization, it’s a mindset you have to tap into. In 2006 it was great when we went to the Super Bowl, but these last few years with Coach Carroll have been so much more than that — you can’t go anywhere in the city without seeing a 12. Does coach have a magic potion? It’s about building relationships, and that’s what we do here. You’ve got to know someone as a person, and then when you get on the football field he’s going to fight for you because you have a genuine appreciation for each other. That’s similar to “The Sellen Way” — you can’t build trust until you get to know someone. It’s all about relationships. It’s all about relationships.
Coach Carroll has transformed this organization. He’s energized and gets out there. How important is that to creating a great team and getting the win? He’s a great teacher, a great coach. He doesn’t get the credit he deserves in my eyes. He’s inspired me to want to be better. If I can do that to somebody — what he did to me — wow, I’m really doing something. How much has he changed you? A lot. I was a young guy from the country. … When I got here, I started opening up, becoming a man, seeing things in a different way. I’m in a good place. There’s nothing like inner peace.
You talk about remembering where your base is. What’s your base? My family. My mom kept me in church and instilled good habits. My dad was a hard worker. So I had both sides: I had the toughness and the compassion. Tell me a little bit about “ETIII” on your jersey and what that means to you, because you didn’t have the “III” there a couple years ago. That’s a part of my growth and understanding of where I come from. My grandfather is the first Earl, my dad is the second, now it’s me — and those are powerful
“Everything is a teachable moment, and I’m always looking for the lesson. … When things don’t go the way you want you reevaluate your plans and modify.” — Earl Thomas, Free Safety, Seattle Seahawks
You’ve been quoted as saying, “This league can kind of make you soft. You forget your base, what got you here.” What is that for you? What got me here is being myself, not doing what everyone else was doing, and taking the hard road. … Hard work is what I pride myself on. When you get to the league, everything is given to you and people worship you — that’s why it’s so hard for famous people to make it into heaven now [laughs]. I’m very aware of my ego. … I always want to make sure my head and my heart are aligned, and always want to be pure and authentic in my true self.
figures in our family. My grandfather used to tell me all the time, “You need to change your ways or change your name,” and I’m definitely not changing my name so I’m changing my ways. I’m just doing better. Tell me a little bit about your daughter, Kaleigh Rose. How did she change your life? Having a daughter just made me realize what life’s all about. It’s bigger than football. … I learn more and more about myself through the special moments. It fills me with gratitude. craft magazine 9
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The people in Orange, Texas are very proud of you. You bought a dream house there. Are you pretty true to your roots — is that your home? Definitely, that’s my home. So many people helped me back there; I don’t feel indebted to anybody but them. There’s just something special about that place. I have a lot of influence there so I want to use that to make an impact in positive ways. Let’s talk about innovation and thinking differently. How do you see innovation in how the team works? Everybody brings something different to the table. We don’t have meetings; we have discussions. That’s why I love this team. Everybody is bouncing ideas off each other … you never know what you’ll get. Something so small can turn into something so big. In an article in The Seattle Times, Coach Carroll said about you, “He is never not on.” What does he mean? To me, it’s the way I carry myself, the vision I have in my head of my fully best expression of myself. …
I believe I can change the game and I can catch four or five picks in one game. I have that comic book faith. That same article told the story of the night you got your Super Bowl ring. The team had a private concert with Usher but instead of staying you came to the VMAC [Virginia Mason Athletic Center]. Yeah, I’m a weirdo. The VMAC is a sacred place. I didn’t want to be at a concert … I needed to be here. I just needed to sit here, look at all the names, the empty lockers, and just embrace everything. I think that you play an innovative game and that you’re redefining the position of free safety in a lot of ways. How have you done it? It’s the inner game. It’s not the physical — it’s the mindset. You’ve got to pay attention to your trigger points; you’ve got to pay attention to everything. That’s how I’m able to last — I’m a warrior. I can just go; I don’t stop. I’m still hurting a little from that Atlanta loss in 2013. Yeah, you never forget.
Did that provide any motivation? It gave me a sense of what I call a championship spirit. You forget what it feels like to lose and think you’re on the right track, but it’s like somebody punching you in the mouth, and you feel it. How do you move forward after a disappointing loss? Everything is a teachable moment, and I’m always looking for the lesson. … When things don’t go your way you reevaluate and modify. I’ve been tracking everything in my journal, I can see where I got off track; this is how I keep myself in control.
CLOCKWISE FROM LEFT: Bob McCleskey talks to Earl Thomas about the importance of teamwork; Bob and Earl at the indoor practice field of the Seahawks training facility; Earl on the training field 10 craft magazine
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I saw a recent interview you had with Chris Berman and he said, “You’re too small to play safety.” You’ve heard that all your life, right? Yeah, but there’s no point of me trying to mess up my championship mindset over the image that people say you’ve got to be. That’s not what I want to be putting my energy toward. Well I don’t think anyone’s saying that anymore. Right, and that’s what you live for — moments to prove people wrong. You need that motivation; that’s what keeps it interesting. I love it, it’s my passion — and you always go for it when you love something. So, Sellen wanted to talk to you because you’re the best free safety in football and you’re the best defense in the league. Free safety is the last line of defense and it’s the same for Sellen: For us safety is our line of defense. Is there any advice you can offer to folks in construction in terms of being the best or keeping themselves and their teammates safe? In a team the biggest thing is everybody has to be on their job. You’re talking about somebody’s
Overtime with Earl Thomas How do you prepare for a game? On game day I usually read to relax. I’ll read something motivational; I’ll read the Bible; I’ll journal. I just try to find ways to motivate myself for every game. Where do you keep your Super Bowl ring? I gave it to my dad. He has all my rings since college. He wears it, and I know he tells his coworkers the same story of it, over and over. If you weren’t a football player, what would you be doing? I’d probably be a marching band director. I was in the band — I played baritone sax, tenor sax, the alto. At church I played drums and piano. I love music. Who was your favorite football player growing up? Emmitt Smith
How do you feel about your 2013 rating in Madden? [95] I love Madden. I’m the best on the team at Madden. I always play myself. I don’t really care about the rating because I’m controlling myself, so I’m going to make the plays. What was your favorite TV show as a kid? Anything Disney. I’m still that way now — I don’t like negative things, I just want to be happy. I’m in touch with my inner kid. What do you want your legacy to be when you leave the Seattle Seahawks? I want people to think of me as that guy who always had a positive vibe. He could brighten a room when he walked in. He was determined, he knew who he was as a person, and he was a good guy.
“It’s about building relationships, and that’s what we do here. You’ve got to know someone as a person, and then when you get on the football field he’s going to fight for you because you have a genuine appreciation for each other.” — Earl Thomas, Free Safety, Seattle Seahawks
A week before the 2013 Super Bowl you were asked, “What’s the team that can defeat the Seattle Seahawks?” And you said, without missing a beat, “Nobody if we’re on it.” What did you mean by “on it”? When we’re letting ourselves be ourselves. The battle is always within you. … You’ve got to control what you can control and what you can control is yourself, so you can’t get in your own way. … We’re so good! If we all work together — that’s the power of unity.
life and family. We’re all working toward the same goal, so everybody should be in sync. … You’ve got to be committed. Now that we’ve got this good relationship going, don’t you think that Sellen should be the official builder for the Legion of Boom? You know what? There’s always room. We love everybody. How about I run a post pattern and you try to stay with me? Let’s go! ■ craft magazine 11
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Pike Up! Seattle’s campaign for Pike Place Market’s expansion kicks off after 40 years of planning BY: CONNOR DAVIS PHOTOS: LORETTA GRANDE RENDERING: MILLER HULL PARTNERSHIP
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n a rain-soaked October day, hundreds gathered around Rachel at Pike Place Market. After standing at her usual spot underneath the “Public Market Center” sign every day for nearly three decades, she’s grown accustomed to her celebrity status, serving as the mascot and fundraising champion for the Market. Of course, Rachel has the advantage of being a 550-pound, bronze cast piggy bank sitting on the doorstep of one of Seattle’s oldest landmarks, so she’s difficult to miss. Surrounded by artists, buskers, farmers and merchants, Rachel looked on as the “Pike Up!” campaign to support the first expansion of the Market in four decades began in earnest.
MarketFront
The Pike Place Market Preservation and Development Authority (PDA) is a not-for-profit, public corporation chartered by the city to preserve and rehabilitate the Market. The PDA will lead the expansion, dubbed MarketFront, and the group is also leading the Pike Up! capital campaign with a goal of raising the final $9 million needed for the project. According to Ben FranzKnight, the PDA’s executive director, MarketFront is an idea that has been percolating for more than 40 years and in solid development for the past four. 12 craft magazine
After multiple attempts to get the project off the ground over the years, the planned removal of the Alaskan Way viaduct and the critically important funding that came with it proved to be the catalyst for the new MarketFront. “This is an opportunity to connect two anchor destinations — the aquarium and Pike Place Market. We believe there will be a tremendous reciprocal relationship from that connection,” Ben FranzKnight said. “When the viaduct comes down, there will be a clarity between how you travel from the downtown core to the waterfront.” As part of the redeveloped Seattle waterfront, the new MarketFront will completely transform the surface parking lot on the Market’s west side, connecting Pike Place to Puget Sound and adding retail space, a public plaza, a viewing deck, additional space for farm or craft stalls, and a parking garage. The design firm, the Miller Hull Partnership, conducted extensive research into the history of the Market before putting pen to paper. Brian Court, co-designer and project architect, said they wanted to ensure that the new addition felt like a natural extension of the market, closely studying the layout, structure and building materials used. “We’ve figured out the DNA behind the Market,” Court said. “We hope that with time, the new addition will become part of the Market’s fabric.”
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To minimize the impact on the existing Market and its services, construction will take place in phases. The first phase, including the garage structure, is being led by Sellen and will begin in May 2015. Work is expected to be complete in the fall of 2016.
Pike Up!
“We’ve figured out the DNA behind the Market. We hope that with time, the new addition will become part of the Market’s fabric.” – Brian Court, Co-Designer and Project Architect, Miller Hull Partnership
More than a Pretty Face
In addition to the waterfront connection, the new project will also increase the Market’s community support facilities, adding 40 lowincome housing units for seniors and a new Neighborhood Center with additional social services. “Part of our mission is to provide social services and housing for low-income populations, and we’re certainly accomplishing that,” Franz-Knight said. Seniors who live in these new units will have panoramic, west-facing views of the waterfront. “The view of the Puget Sound with the Olympic Mountains will be a quintessential Pacific Northwest view,” Court said. “It’s a million dollar view.”
The MarketFront project is more than just the latest effort to build upon Seattle’s famous landmark: it’s an opportunity to be involved in the last major development of Seattle’s historic fabric. “The goal of the campaign is to make sure that everyone who has a passion for the Market has an opportunity to take part in the final piece of fundraising to make the project happen,” Franz-Knight said. Donating to the Pike Up! campaign also gives supporters of the Market a unique opportunity to leave behind their footprint — literally. Donors will have the option of purchasing personalized, engraved bronze hoofprints and steel charms, both of which will be displayed prominently throughout the Market. “We want people to stand up, speak up and Pike Up!,” Franz-Knight said. “We really want people to be a part of this and help celebrate the Market and this final piece.” ■
What’s in store for the Market:
35,000 SF of new market space
17,850 market charms available
1,200 hoofprints available
55 more stalls for farmers and artists
40 housing units for seniors
CLOCKWISE FROM BOTTOM LEFT: The Pike Up! campaign kicks off with a fundraising event on Oct. 31; rendering of the new MarketFront; personalized market charms will be hung from the waterfront fencing; donors sign Rachel, the Market’s iconic pig
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High rise in construction Director of Preconstruction Operations Dave Ratzke gives his annual material and labor pricing insights for 2015 BY: DAVE RATZKE PHOTOGRAPHY: LORETTA GRANDE, ANDREW POGUE
THIS PAGE: Cranes fill the Seattle skyline as seen from Capitol Hill looking toward South Lake Union
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n 2012 and 2013 we were planning, planning, planning. Last year, that planning came to fruition as multiple owners dug shovels into the ground and tradespeople went back to work. By mid-2014 the Seattle skyline was reminiscent of the 2008 economy, and it will remain that way for the next few years — just try and take a picture of Seattle without a tower crane in it (we couldn’t). But this upswing is not without its challenges. In 2015, the industry will face shortages of materials and skilled labor, putting further pressure on the cost of both. Fortunately, a little industriousness and proactive planning can go a long way in reducing the risks.
2014 Retrospective
Last year, the Northwest watched as a tremendous number of projects began, primarily commercial office buildings and residential apartments. The project opportunities kept coming and architecture, engineering and construction (AEC) firms continued to add projects to their backlog, securing work starting in 2015, 2016 and sometimes as far as 2017. The American Institute of Architects’ Architecture Billings Index reflects the approximate nine- to 12-month lead time between architecture billings and construction spending. A score above 50 indicates an increase in design activity and billings, thus serving as a leading economic indicator for non-residential construction. The Architecture Billings
Index maintained a strong score throughout 2014, closing in October at 53.7 and in November at 50.9. AEC firms weren’t the only ones staying busy in 2014, as a number of subcontractors filled their backlogs. Awarding subcontracts required an extra level of due diligence to check subcontractor financial capacity. Additionally, the abundance of work allowed subcontractors to be selective in which projects they pursued — a luxury they haven’t had since 2008. Similarly, the industry saw the first hints of skilled labor shortages. In 2014 escalation returned. Although labor pricing remained relatively flat, materials and subcontractor pricing increased throughout the year.
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2015 Construction Material Costs
Looking Forward
Material prices are expected to increase over the course of 2015 as demand increases; however, due to the lack of global demand, the hyper escalation that plagued the industry in 2006 and 2007 is not anticipated.
CONCRETE
ALUMINIUM
GLASS
TOWER CRANES
INSULATION
LUMBER
GWB & METAL STUDS
ROOFING PRODUCTS
STRUCTURAL STEEL
3%
8%
4-6%
REBAR
6%
4-6%
15%
5-7%
DIESEL FUEL
5%
10%
6%
6%
COPPER
3%
In 2015, the real estate and construction market will continue to improve and jobs will continue to grow. The extensive growth, however, brings many challenges. Cost escalation will increase. Locally sourced materials will rise in price due to supply and demand. Tower cranes are in short supply and will see a jump in pricing up to 15 percent during 2015. Subcontractors are becoming more selective and are increasing their margins back to sustainable levels. Unique to 2015, the City of Seattle has made changes to the street and sidewalk usage rules. This will impact multiple projects within city limits that are using streets and sidewalks for laydown space, and it will require extra coordination with the Seattle Department of Transportation and other agencies. Sustainability continues to be a goal of nearly every major project. AEC firms are faced with new requirements as the City of Seattle rolled out a new energy code and the United States Green Building Council introduced LEED version 4. Staying abreast of current local and global market pricing will be essential to providing accurate estimates. Tight job controls and early procurement, specifically for tower cranes, are necessary. Early subcontractor commitments are essential to ensure subcontractor capacity, as are enhanced subcontractor risk mitigation strategies to assure performance. Staying proactive on all fronts will be crucial to eliminating surprises.
In 2015, the industry will face shortages of materials and labor, putting further pressure on the cost of both. Fortunately, a little industriousness and proactive planning can go a long way in reducing the risks. craft magazine 15
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2015 Subcontractor Trends Subcontractor capacity and financial capability is a major concern. The industry can expect to see a 4 to 6 percent cost increase in subcontracted work each year over the next two years.
FINISH TRADES
4-6%
STEEL ERECTION
3-5%
2015 Labor Trends Companies should expect labor shortages and reduced productivity. During the recession, many tradespeople either retired or left the building industry entirely. Specifically, labor availability will be tight for carpenters, laborers, cement masons, sheet metal workers and electricians. Also, 2015 is a major year of negotiations for many labor unions. Between May and July, 16 labor contracts throughout western Washington are up for renewal. In the 2012 labor negotiations, the trades averaged less than 2 percent per year over their threeyear contracts. The trades that will be up for labor negotiations this year include: • Bricklayers • Carpenters • Carpet layers • Cement masons • Electricians • Insulation and asbestos workers • Laborers • Operators • Operating engineers • Painters • Plumbers and pipefitters • Sheet metal • Teamsters joint council 16
craft magazine
MEP TRADES
3-5%
METAL SIDING
3-4%
Escalation
In 2014, escalation made a major jump from 2 to 4 percent. Companies can expect escalation to peak in 2015 at a high of 5 to 6 percent before beginning to recede in 2016 and 2017. ■
EARTHWORK
15-18%
Dave Ratzke bases his predictions on his 30 years of experience, the current market and leading indicators such as construction spending, the ABI and vacancy rates.
CONCRETE FORMWORK
15-20%
ELEVATORS
4-6%
WINDOWS + CURTAINWALL
10-15%
project pictorial //////////////////
Tacoma Art Museum Haub Gallery Expansion Location: Tacoma, WA Square Footage: 16,000 Designer: Olson Kundig Architects
Opened for Business: November 2014 Type of Project: Arts/Non-Profit Artistic Breadth: 140 different artists
Located on Tacoma’s vibrant Pacific Avenue, this 16,000-squarefoot expansion to the Tacoma Art Museum (TAM) doubles the museum’s gallery space for the new Haub Family Collection of Western American Art. The new wing features four galleries and a
sculpture hallway, housing some of the 295 pieces donated by the Haub family. Featuring notable artists such as Georgia O’Keeffe, Thomas Moran and Frederic Remington, the new galleries instantly establish TAM as one of the top Western American art museums in the country.
THIS PAGE: Tacoma Art Museum’s new entryway facing Pacific Avenue PHOTOGRAPHY: BENJAMIN BENSCHNEIDER
FROM LEFT, CLOCKWISE: TAM’s main lobby that connects the new expansion with the existing building; the new entry canopy provides TAM with a more prominent presence on Pacific Avenue; new gallery space PHOTOGRAPHY: BENJAMIN BENSCHNEIDER
“In 2011 we began the journey that led to this unprecedented gift from the Haub family. Tacoma Art Museum has been a cultural anchor in the city since 1935, and this is one of the most outstanding moments in those 79 years.” – Stephanie Stebich, Director, Tacoma Art Museum 18 craft magazine
project pictorial //////////////////
295
WORKS OF ART across four gallery spaces
Listen
AUDIO TOUR is narrated by Clint Eastwood
c. 1797
OLDEST ARTWORK Portrait of George Washington
craft magazine 19
///////////////////// meet the expert
Carolyn speaks up for safety Carolyn Perry’s unwavering passion for safety and unbridled enthusiasm for life bring a fresh perspective to Sellen’s safety program BY: AMANDA ERICKSON PHOTOGRAPHY: ANDREW POGUE
M
y life’s an open book,” proclaims Carolyn Perry with a sincerity and fervor that one quickly learns accompanies all her thoughts and actions. “I’m the type of person that believes when life gives you lemons, you make lemonade — and it tastes good!” Carolyn is a site safety coordinator on Sellen’s Block 14 project, the first of Amazon’s new high-rise buildings in the Denny Triangle area. At 36
a stay-at-home mom, in 1991 she decided to try her hand at a new trade and joined an ironworkers union, working for various contractors. She recalls working on high steel beams without harnesses and being faced with other daily unsafe situations, so after four years Carolyn switched trades. She became an operating engineer, because she said it seemed “more sensible with less risk.” However,
“I’ve been referred to as the cheerleader of the job site, but I’ll be their cheerleader. If me cheering and encouraging people keeps them safe and upbeat, I’ll gladly do it.” – Carolyn Perry, Site Safety Coordinator
stories tall and encompassing a full city block, Carolyn and several other safety coordinators manage the safety program that ensures approximately 300 to 500 workers get home safely to their families each night. It’s a massive responsibility, and it’s clear that she’s found her calling. “It’s the best job in the world,” Carolyn said. “Being able to encourage someone to go home safe every day and be that tool and resource to help them do that is the greatest, most humbling experience.” An Arkansas native, Carolyn and her husband moved to the Northwest nearly 30 years ago in search of a fresh start. After spending years as 20
craft magazine
as an operator she continued to be faced with a host of daily safety issues that went unchecked. One day, Carolyn said she became “bold enough” to refuse to work until some faulty equipment was fixed. Her refusal caught the attention of a superintendent who called a mechanic and honored her request. “I realized then that all it takes is a voice,” Carolyn said. “It got something stirring in me, and safety became a driving passion.” Carolyn said she “indulged herself” in learning about safety. She asked to accompany the safety team on walks and meetings and took every safety class offered by her union.
In 2010, Carolyn started working with Sellen as an operating engineer. Her passion for safety was voiced and recognized, and in 2014 she transitioned into her current job as a site safety coordinator — and unofficial role of job site cheerleader. “I’ve been referred to as the cheerleader of the job site, but I’ll be their cheerleader,” Carolyn said. “If me cheering and encouraging people keeps them safe and upbeat, I’ll gladly do it.” Despite her move into more of a safety leadership role, Carolyn stays true to her roots and original mission by being a spokesperson for those in the field. She is on Sellen’s Safety
Field Operations Team and has led the development of safety incentive and recognition programs. On the job site, Carolyn said she is focused on “breaking down barriers.” Nearly everyone on the site knows her name, and — even more impressively — she knows theirs (and those of their spouses, children, pets, etc.). “It’s about building relationships with subcontractors and our workers,” she said. “It’s the little things that speak volumes to them — that handshake, that good job. That’s what I want to continue to be for everyone — that smile in the morning.” ■
THANK Y U
Thank you, 2014 donors, for supporting the American Heart Association 415 Bellevue, LLC 501 Fairview, LLC Active Construction, Inc. Addison Construction Supply, Inc. Advanced Geosolutions, Inc. Air Placed Concrete Specialists, Inc. All New Glass AMEC American Mechanical Corporation Anning-Johnson Company-400 Ascendent, LLC Astor Electric, LLC ATS Automation B & B Fabricators Benson Industries, Inc. Blackpoint IT Services Builders Exchange of WA, Inc. Cascade Door and Hardware Central Steel, Inc. Cochran, Inc. Cosco Fire Protection, Inc. Custom Interiors DBM Contractors, Inc. Deeny Construction Co., Inc. DGM Controls Division Seven Waterproofing, Inc. Enclos Corp Engineered Products Evergreen Construction Specialties, Inc.
Expert Drywall, Inc. Fairweather Masonry Co., Inc. Firstline Systems, Inc. Flow Control Industries Fought & Company, Inc. Gary Merlino Construction Co., Inc. General Terrazzo & Tile Gordon Brown Associates, Inc. Grund & Comapny, Inc. H & M Electric, Inc. Harris Rebar Seattle, Inc. Henderson Masonry, Inc. Herzog Glass, LLC Hilti Hos Bros. Construction, Inc. Interior Woodworking Specialists, Inc. Inventrix Engineering, Inc. Iris Window Coverings ISEC J & S Masonry, Inc. J.S. Perrott & Co. Jager Law Office John J. and Katherine O. Hennessy Koch Holdings, Inc. Lakeside Industries Team Long Painting Company MacDonald-Miller Magnusson Klemencic Associates Malcolm Drilling Co., Inc.
Mayes Testing Engineers, Inc. McClone Construction Company McKinstry Company Metals Fabrication Company, Inc. Morrow Equipment Company, LLC Moss Adams, LLP National Concrete Cutting, Inc. Norkote Northwest Construction, Inc. Northwest Tower Crane Service Oles Morrison Rinker & Baker, LLP Pacer Steel, Inc. Pacific Cabinets, Inc. Pacific Earth Works, Inc. Pape Material Handling Parker, Smith & Feek, Inc. Patriot Fire Protection PCS Structural Solutions Pederson Bros., Inc. Perkins+Will Petri Pine Street Group, LLC Precision Iron Works, Inc. PSF Mechanical Puget Sound Steel Co., Inc. Ralph’s Concrete Pumping Ramsett Mechanical Rhine Demolition, LLC RPM Steel
S/I Seattle Investments IV, LLC Sequoyah Electric Sessler, Inc. Site Workshop, LLC Snap-Tex Northwest Snyder Roofing of Oregon, LLC Sparling Spectrum Specialty Builders SS Landscaping Services, Inc. Star Rentals Steel Encounters, Inc. Stoneway Concrete Technical Waterproofing, Inc. Teknon Teufel Holly Farms The Erection Company, Inc. The Prime Foundation The Seneca Real Estate Group, Inc. United Rentals, Inc. University Mechanical Contractors, Inc. US Bank Valley Electric Walters & Wolf Curtain Wall Washington Commercial Painters Washington Glass and Glazing Western Tile & Marble Contractors, Inc. Willis North America, Inc. Zeiglers Welding, Inc. Zimmer Gunsul Frasca Architects, LLP
Celebrating 11 years of participation in the Heart & Stroke Walk
“Safety is about doing the right thing, even if no one is looking.� John Prata Assistant Superintendent, Block 19