Building Industry July 2013 -Top 25 Contractors by Ursula Silva

PLUS: WINDOWS & SKYLIGHTS • TECHNOLOGY

HAWAII’S TOP 2 1) Hawaiian Dredging Construction Co., Inc.

$230.00

2) Swinerton Builders

$217.00

3) Grace Pacific Corp.

$194.00

4) dck pacific construction, LLC

$190.00

5) Kiewit Corp.

$180.00

6) Nan, Inc.

$179.30

7) Albert C. Kobayashi, Inc.

$148.00

8) Parsons

$118.30

9) Nordic PCL Construction, Inc.

$103.00

10) Watts Constructors, LLC

(M)

$100.17

11) Delta Construction Corp.

$86.30

12) Dorvin D. Leis Co., Inc.

$81.43

13) Coastal Construction Co., Inc.

$66.95

Rankings rely on 2012 Hawaii-based revenue as to our requests for information.

July 2013 • Building Industry

TOP 25

hat was 2012 like for Hawaii’s Top 25 Contractors and Noteworthy Contenders? “Great” for many of them, “still difficult but improving” for others and for a couple, “extremely tough.” The annual list is compiled using Hawaii-based revenue in 2012 as reported by contractors who participated in our survey. The comments this year were widely diverse, depending upon the sector of work and specialty of the company involved. For example, several industry members, such as general contractors with a special focus in the hospitality and/or commercial/retail areas, cite the past year as one of their strongest. At the same time, due to budget cutbacks at the Congressional level, some of those who perform only (or primarily) military work—especially marine construction—experienced a significantly downbeat year. However, despite the diversity and impacts, both positive and negative, of the past year, there was one area of agreement. The year was one of transition, “It was still a year of bottoming out for the industry,” as one company leader said, and, “We were finishing up a lot of jobs and spending time picking up new jobs,” as another explained. So, all that being said, how was the year overall—and specifically? Of the Top 25 Contractors, 13 reported revenue increases in 2012 over 2011, while 12 experienced decreased revenues in 2012. That compares with 14 showing increases and 11 with decreases in 2011. Pretty close. Total revenue for all of the Top 25 companies in 2012 was $2.459 billion, compared to $2.642 billion in 2011, a decrease of $183 million. The most dramatic leaps up the Top 25 ranks for 2012 were made by Swinerton Builders, which went from No. 7 in 2011 to No. 2 and by Alakai Mechanical Corp., which jumped from No. 20 in 2011 to No. 15. Both of these companies climbed five positions up the list.

5 CONTRACTORS

Also making significant strides were dck pacific construction, LLC and Allied Builders System, both of which picked up four slots, dck going from No. 8 in 2011 to No. 4 and Allied from No. 18 in 2011 to No. 14. And let’s not forget Arita Poulson General Contractors, LLC., which jumped from the Noteworthy Contenders list to No. 23. Also meriting special mention is Maryl Group, which returned to the Top 25 list after a hiatus of several years.

14) Allied Builders System

$60.60

15) Alakai Mechanical Corp.

$57.90

16) Maryl Group, Inc.

$54.50

17) Wasa Electrical Services, Inc.

$54.00

18) Isemoto Contracting Co., Ltd.

$53.40

19) Unlimited Construction Services, Inc.

$49.90

20) Pankow

$45.00

21) Honolulu Builders, LLC

$44.30

22) Group Builders, Inc.

$43.50

23) Arita Poulson General Contracting, LLC

$43.00

24) Shioi Construction, Inc.

$38.60

What do our Top 25 Companies and Noteworthy Contenders foresee during the remainder of 2013? “Steady growth” and “optimism” were mentioned frequently, with a few commenting that the first part of the current year was slow, but from summer on, “should accelerate.” Many of them already were looking ahead to 2014 and beyond, with comments such as, “2013 can still be a good year, but 2014 may be even better,” and “There are a multitude of projects that are projected to take place over the next several years.”

25) Ralph S. Inouye Co., Ltd.

$36.10

Bottom line: Barring any unforeseen events, the future is looking good.

reported by those companies that responded

It is interesting to note that 10 of the Top 25 Contractors for 2012 also appeared on the first list in 1987. Two of our Noteworthy Contenders also were on that first Top 25 list. You will notice a special “anniversary” icon in the editorial sections of several Top 25 companies that are celebrating a significant birthday this year. And speaking of significant anniversaries, here is another interesting fact: 10 of the Top 25 companies have been serving Hawaii for 50 years or more, four are more than 75 years old, and one has more than a century under its hard hat! See the entire list of Kupuna Companies in the Top 25 special section along with other interesting facts, trivia and information.

Congratulations to all of the Top 25 Companies and Noteworthy Contenders.

Compiled by David Putnam, Lee Schaller, Jessica Crawford and Aimee Harris www.buildingindustryhawaii.com | 13

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Alakai Mechanical Corp. 44 Albert C. Kobayashi, Inc. 28 Allied Builders System 42 Arita Poulson General Contracting, LLC 60 Armstrong Builders, LLC 74 Coastal Construction Co., Inc. 40 Constructors Hawaii, Inc. 78 dck pacific construction, LLC 22 Delta Construction Corp. 36 Dorvin D. Leis Co., Inc. 38 Grace Pacific Corp. 20 Group Builders, Inc. 58 Hawaiian Dredging Construction Co., Inc. 16 Healy Tibbitts Builders, Inc. 76 Hensel Phelps Construction Co. 70 Honolulu Builders, LLC 56 Isemoto Contracting Co., Ltd. 50 Kiewit Corp. 24 Maryl Group, Inc. 46 Nan, Inc. 26 Nordic PCL Construction, Inc. 32 Nova Group, Inc. 79 Pankow 54 Parsons 30 Pitzer Built Construction Co. 80 Ralph S. Inouye Co., Ltd. 64 Royal Contracting Co., Ltd. 72 Shioi Construction, Inc. 62 Swinerton Builders 18 Unlimited Construction Services, Inc. 52 Wasa Electrical Services, Inc. 48 Watts Constructors, LLC 34

EDITORIAL HIGHLIGHTS Top 25 Contractors Intro 12 Marketplace Growth Chart 34 Home Sweet Home 43 Executives 43 Past Top 25 Lists 66 Thoughts From the Top 68 Websites 68 Noteworthy Contenders Intro 69 Mahalo 81

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July 2013 • Building Industry

TOP 25

HAWAIIAN DREDGING CONSTRUCTION CO., INC.

• Parent Company: Kajima USA, Inc.; Atlanta, Ga. • Construction Specialty: General contractor • Years in Hawaii: 111 • Employees in Hawaii: 736 • Public Work Sector: 49 percent • Work Subcontracted: 62 percent

or the eighth consecutive year—and 19th in the past 26 years—Hawaiian Dredging Construction Co., Inc. (HDCC) sits atop Building Industry magazine’s annual list of Top 25 Contractors. HDCC repeats as No. 1 with 2012 Hawaii-based revenue of $230 million. “2012 was a transition year for HDCC,” says Bill Wilson, president of the 111-yearold company, regarding the drop of $125 million in revenue from 2011’s $355 million. “We were very active in completing projects started in previous years and preparing to start other projects which

Hawaiian Dredging places tunnel forms at Halekauwila Place.

have now begun in 2013.” Hawaiian Dredging took home several Build Hawaii awards from the General

Contractors Association (GCA) of Hawaii for such projects as the Papahawahawa Bridge replacement, emergency repairs

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TOP 25

to Uakea Road, renovation work at the Halekulani, replacement of the South Punaluu Stream Bridge, emergency repairs to the Pearl City force main, the Joint Traffic Management Center (JTMC) parking structure and the Center Drive Child Development Center (CDC) at Pearl Harbor. HDCC also helped achieve LEED certification for Pearl Harbor’s CDC (platinum status) and the JTMC parking structure, Schofield Barracks UEPH and BEQ 229 (gold). “We foresee increased opportunities for our local workforce in 2013 as a number of significant projects get underway across the state,” Wilson says. “Our Building and Commercial divisions will be busy at various locations on much-awaited projects, including Halekauwila Place, Waihonua at Kewalo and 820 South Street condominiums, the Mary Savio Medical Plaza (Waianae), the Center Stage renovation

Hawaiian Dredging completed the Papahawahawa Bridge replacement project in 2012.

at Ala Moana Center and a state-ofthe-art Corrugated Packaging Plant. “These and other current work in progress by HDCC’s Power and Industrial, Heavy and Waterfront and Foundation divisions will further sustain our local workforce, subcontractors and vendors,” Wilson adds. HDCC’s other projects either started or completed in 2012 include: renovating the Kaiser Moanaloa Clinic operating room, The Queen’s Medical Center’s

Queen Emma Tower 8th floor renovation, a new operations yard for HDCC, improvements to the Maalaea Small Boat Harbor, West Loch Wharves W1, W2 and W3 repairs, Hana Highway emergency repairs, Honoapiilani Highway and Ukumehame tsunami repairs, the Nawiliwili Harbor Pier 2 fendering system, Maui Business Park work, repairs to the Aiea pedestrian overpass and emergency shoreline revetment work along Kaumualii Highway.

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July 2013 • Building Industry

SWINERTON BUILDERS

• Parent Company: Swinerton, Inc.; San Francisco, Calif. • Construction Specialty: Hospitality, retail, federal, healthcare, multi-family, high-rise construction, renewable energy • Years in Hawaii: 10 • Employees in Hawaii: 221 • Public Work Sector: 30 percent • Work Subcontracted: 70 percent

aking an unprecedented ascent up the Top 25 list over the past three years, Swinerton Builders nails the No. 2 spot for 2012. The dramatic climb took Swinerton from No. 21 in 2009 to No. 14 in 2010, No. 7 in 2011 and the prestigious No. 2 slot for 2012. Hawaii-based revenue for the past year reflects the upswing, increasing from $125.5 million in 2011 to $217 million in 2012. Work in the public sector increased in 2012 to 30 percent, up

The Hilton Hawaiian Village Alii Tower lobby renovation was completed in 2012.

from 15 percent in 2011. Swinerton is a major source of work for industry members in Hawaii, with 221 local employees kept busy in 2012.

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TOP 25

Commenting on the company’s strong performance during the past year, George Ehara, RME, division manager, says, “Our clients are the

lifeblood of our business. We have been very fortunate to do a lot of work for repeat clients that have come back to us with multiple projects that have sustained us during the recession. We also were fortunate to land jobs that actually got funding and got built. While we were successful in 2012, we always are looking forward to form new relationships, land new work and ensure the success of our company.” What lies ahead? “As the economy seems to pick up steam, so will opportunities,” Ehara foresees. “Already there are a multitude of projects that are projected to take place over the next several years.” Projects completed during 2012 include the Hilton Hawaiian Village Coral Ballroom, the Alii Tower renovation, the Tapa Pool and storefront renovations.

A corner king junior suite at the renovated Hilton Hawaiian Village Alii Tower

Also finished in 2012 were Kaiser Moanaloa ancillary renovations. Projects begun during 2012 include Turtle Bay guestrooms and spa renova-

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July 2013 • Building Industry

GRACE PACIFIC CORP.

• Construction Specialty: Paving • Years in Hawaii: 82 • Employees in Hawaii: 563 • Public Work Sector: 94 percent • Work Subcontracted: 10 percent

ith reported revenue of $194 million in 2012, Grace Pacific Corp. maintains its hold on the No. 3 ranking in this year’s Top 25 Contractors list. Darrell Goo, senior vice president of construction for Grace Pacific states that although results in 2012 were slightly up from the previous year, state highway work on Oahu continued to be flat. On the Neighbor Islands—Maui, Hawaii, Kauai and Molokai—the company saw an even flow of state highway work throughout the year. “On an up note, the City and County of Honolulu did continue its upward trend of roadwork and prospects look even better with Mayor Caldwell’s plan of a $150 million over the next five years,” says Goo. Significant projects for 2012 included the Kamokila Boulevard restoration, the Akoni Pule Highway pavement preventative maintenance, the Nohili Road

City and County of Honolulu-Mililani paving

repaving and the Fort Weaver Road pavement preservation. “In 2012, we actually had several notable projects with the City and County of Honolulu,” Goo says. He lists the projects that were a part of the rehabilitation of city streets, such as

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July 2013 • Building Industry

TOP 25

Unit 51 at Moanalua Road and Kaahumanu Street; Phase 7A at Waipahu, Waikele and Makakilo; Phase 7B at Kalihi Valley, Ewa Beach and Ewa Villages; Phase 6A at Moiliili, McCully and Makiki and Phase 6B at Makiki and Upper Makiki. “In all of these areas our main work consisted of milling off the old pavement and replacing it with new hot mix asphalt pavement, with one main goal to maintain and reuse the existing concrete curb and gutters, since some of them were covered up in years past,” Goo says. With the city and state’s cooperation, recycled asphalt pavement was used in 90 percent of the work, which helped promote sustainability practices. “Predicting the year ahead,” Goo continues, “we expect that 2013 will see an improvement in more road work as the City and County of Honolulu continues its move forward to getting Oahu’s roads improved. We are also expecting more state work, especially with the resurfacing of H-1 Freeway, estimated at $30 million.”

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dck pacific construction, LLC

• Parent Company: dck worldwide, LLC; Pittsburgh, Pa. • Construction Specialty: Design-build, pre-construction services/design-assist, general contractor • Years in Hawaii: 74 • Employees in Hawaii: 200 • Public Work Sector: 65 percent • Work Subcontracted: 54 percent

fter dropping out of the top 5 in last year’s survey, dck pacific construction, LLC returns at No. 4 with $190 million in 2012 revenue. With an increase of $74 million in revenue, dck pacific rose four places from last year’s listing. “dck pacific’s market diversity is what made the difference for us in 2012,” says Eric Tessem, senior vice president and general manager of dck pacific. “The knowledge and skill sets of our people who manage our healthcare, military, public and commercial projects, and our experience in design-build and designassist services enabled us to be competitive and successfully get work during a period when the economy was flat.” As Tessem notes, dck pacific landed several major projects in 2012. They

Among dck pacific’s projects in 2012 was the P-822 MCAS (Marine Corps Air Station) Operations Complex at Marine Corps Base Hawaii.

include the P-822 MCAS (Marine Corps Air Station) Operations Complex at Marine Corps Base Hawaii, Kaiser Koolau Clinic expansion and renovation and the 2426 Kuhio condominium renovation. Projects that dck pacific had underway include work at Schofield Barracks, Pearl Harbor, the University of Hawaii Information Technology Center, Kapiolani Medical Center’s new Bingham Parking Structure and renovation

Work is ongoing on the honeycomb panel and sun shade exterior for the 74,000-square-foot University of Hawaii for Information Technology Center. 22

July 2013 • Building Industry

TOP 25

at Castle Medical Center. “2012 was a stabilizing year for the industry,” Tessem says. “The enormous amount of projects forecast and currently in the market will create other challenges for us in the future, such as skilled labor availability, escalation in material costs and capacity issues with much of the subtrade market.” dck pacific also expanded its team in 2012 with the addition of Chris C. Barbe as director of operations. And dck pacific is closing in on a major milestone: Its 75th anniversary in Hawaii will be in January 2014. Looking ahead, Tessem says, “The first couple of quarters of 2013 have been spent planning and putting work together, and we see construction taking off in late 2013 and for the next couple of years. “Controlling costs in these scenarios is always the concern, though I would certainly rather be handling these types of issues than battling a lack of work and trying to keep our staff and crews busy,” he adds. “I think Hawaii contractors are ready to get back to work and anxious to get busy again.”

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KIEWIT CORP.

• Parent Company: Kiewit Corp.; Omaha, Neb. • Construction Specialty: Infrastructure and building construction • Years in Hawaii: 32 • Employees in Hawaii: 128 • Public Work Sector: 65 percent • Work Subcontracted: 70 percent

he divisions of Kiewit Corp. round out the top 5 with reported Hawaiibased revenue of $180 million in 2012. However, that represents a drop from No. 2 in last year’s rankings when Kiewit posted $250 million in revenue, a difference of $70 million. Lance Wilhelm, senior vice president and Hawaii area manager for Kiewit Building Group, Inc., says 2012 saw a resurgence in project planning but that actual construction on some projects have yet to be launched.

Projects for Kiewit Corp. in 2012 included the Wheeler UEPH Barracks Phase 6B.

“2012 was a year full of transition as the economy started to support serious discussions on new developments,” he says. “However, with many of these new projects still in early developmental stages, opportunities to secure this

work were still somewhat limited. Fortunately, 2013 has seen improvement on all fronts and we are excited about the opportunities we currently have and those on the horizon.” Among Kiewit’s completed projects in

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TOP 25

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2012 were two LEED certified government jobs: the Wheeler UEPH Barracks Phase 6B (LEED Silver) and Pearl Harbor Fitness Center (LEED Platinum).

“The next significant upswing in the market is probably going to have to wait until 2014.”

Wilhelm predicts more projects down the road, but remains cautious, saying, “2013 is shaping up to be better than 2012, but not wildly better. “For the remainder of 2013, I think you’re going to see a number of devel-

opers and contractors getting themselves set up for a rapid deployment, either late in the year or, more likely, early in 2014,” he adds. “The next significant upswing in the market is probably going to have to wait until 2014.”

—Lance Wilhelm Other projects included the Moana Surfrider Tower renovation and work on Kaumualii Highway from the Lihue Mill Bridge to Rice Street on Kauai. Kiewit expanded its team in 2012 by adding Jesse Dowsett as special projects manager and Catherine Stoupas as estimating manager. And, for the fourth year in a row, Kiewit was included in Hawaii Business magazine’s “Best Places to Work.”

The Pearl Harbor Fitness Center was one of Kiewit’s completed projects in 2012.

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July 2013 • Building Industry

NAN, INC.

• Construction Specialty: General contracting • Years in Hawaii: 23 • Employees in Hawaii: 440 • Public Work Sector: 88 percent • Work Subcontracted: 46 percent

consistently strong contender in the Top 25 list—actually ranking among the Top 10 for the past several years— Nan, Inc. makes another impressive showing, coming in at No. 6 for 2012. The kamaaina company experienced a slight decline in revenue for 2012, reporting $179.3 million compared with $182 million in 2011. However, “We were successful in securing several of the contracts we were pursuing,” says Ryan Nakaima, vice president of Nan, Inc. “Also, many of our design-build projects that were acquired in 2011 moved on into construction.” Nan, Inc., which in 2012 performed 88 percent of its work in the public sector, received several prestigious awards and honors during the past year, including an Excellence Award from the GCA (General Contractors Association of Hawaii) for the Pacific Region Center Building 130 and Sea Animal Research

Nan, Inc. also completed the Production Services Support Facility, Pearl Harbor Navy Shipyard during the past year.

Center, Ford Island, plus a Merit Award for the Keaukaha Military Reservation, Joint Military Center, Phase 1, Hilo. In the corporate news area, Lane Uchimura has joined Nan, Inc. as executive vice president. Projects completed during 2012 include the Production Services Support Facility, Pearl Harbor Naval Shipyard (PHNSY) $15.8 million; the $44.2 million Bachelor Enlisted Quarters (BEQ) at Marine Corps Base Hawaii (MCBH) and the Kona Airport South Terminal baggage claim improvements. One of the

The BEQ at Marine Corps Base Hawaii (MCBH) was completed in 2012. 26

July 2013 • Building Industry

TOP 25

highest profile projects of the past year was the completion in North Kona, of Ane Keohokalole Highway, phase one, a major connecting artery on the Big Island. Projects begun in 2012 include the University of Hawaii at Manoa Gartley Hall renovation ($12.4 million), the Flood Mitigation Structures at Ft. Shafter Flats ($21.1 million), the F-22 Upgrade Munitions Complex for the Hawaii National Guard ($17.1 million) and the Aiea Public Library. Nakaima’s forecast for the remainder of 2013? “Optimistic.”

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ALBERT C. KOBAYASHI, INC.

• Construction Specialty: General contractor • Years in Hawaii: 50 • Employees in Hawaii: 140 • Public Work Sector: N/A • Work Subcontracted: 70 percent

lbert C. Kobayashi, Inc. (ACK), one of Hawaii’s industry icons, Years may have experienced somewhat of a revenue decline during the past year, going from $182 million in 2011 to $148 million in 2012, but don’t let that mislead you. “2012 was a good year for us,” says Russell Young, company president, “as we finished up our high-profile jobs such as the University of Hawaii Cancer Center, The Towers at Kuhio Park Terrace and the UH West Oahu Campus. They all finished on or under budget and on or ahead of schedule.” As for the revenue decline, “It was a transition period,” he explains, “where we were finishing a lot of our jobs and spending time picking up new jobs.” In answer to how 2013 is shaping up for the company, Young says, “2013 can be a good year, but 2014 may be even

The Towers at Kuhio Park Terrace, a $135 million renovation project, was completed in 2012.

better. We are spending a lot of time right now securing the contracts for a few new big jobs. If we are able to get these jobs started this year, 2013 will be a good year and 2014 even better.” Projects completed in 2012 include the afore-mentioned UH West Oahu Campus, Phase 1A and 1B, the UH Cancer Center and The Towers at Kuhio Park renovation plus the Marianist Center of Hawaii parking structure. Projects started

in 2012 were University of Hilo student housing, Iwilei Senior Residence and Auahi Shops at Ward Village. ACK, which was on the first Top 25 list back in 1987, is celebrating its 50th anniversary this year. And here’s an interesting twist—it took the No. 7 spot on that first list, the same spot it holds on the current list. Congratulations Albert C. Kobayashi for half a century of serving Hawaii well!

The University of Hawaii Cancer Center, completed in 2012, was a major project for ACK. 28

July 2013 • Building Industry

TOP 25

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PARSONS

• Parent Company: Parsons Corp.; Pasadena, Calif. • Construction Specialty: Water, wastewater, pump stations, pipeline, reservoir, highways, earthwork and site development • Years in Hawaii: 45 • Employees in Hawaii: 100 • Public Work Sector: 90 percent

Parsons was general contractor for work on the H-POWER facility in West Oahu, and the plant achieved “first fire” in March 2012.

• Work Subcontracted: 45 percent

arsons took over the No. 8 spot in this year’s survey with $118.3 million in Hawaii-based revenue, a respectable increase from $111.7 million the previous year that earned it the No. 9 ranking. “2012 marked a year where we finished up a number of projects, including H-POWER and military housing for the Navy,” says Ken Loui, senior project manager for Parsons. The $300 million H-POWER (Honolulu Program of Waste Energy Recovery) project was awarded to Parsons in 2009 and

the company was responsible for all civil, structural, mechanical and electrical work. “We were under very tight deadlines to turn over the project to the City and County of Honolulu. ‘First fire’ was in March 2012,” Loui says. Another project that added to the company’s coffers was the Lahaina WWPS No. 3 Force Main replacement. Parsons was responsible for the installation of all sewer force main, gravity sewer and sewer manholes, along with connection to the

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847.437.5800 847.437.5800 July 2013 • Building Industry Honolulu (808)30 839-7202 Honolulu (808) 839-7202 Kona (808) 326-1212 Kona (808) 326-1212 Hilo (808) 935-8595

existing 20-inch sewer force main. Parsons also handled asphalt paving, installing a pedestrian walkway, cast-in-place concrete valve vault and building new picnic shelters with tables and benches. The Oahu Sewer Rehab IDIQ (indefinite delivery indefinite quantity) also was on Parsons’ list of 2012 jobs. As for Hawaii’s construction industry, Loui remains optimistic. “2013 will mark the beginning of a period of sustained growth for the next 10 years,” he says.

Company Years Hawaiian Dredging Construction Co., Inc. 111 Isemoto Contracting Co., Ltd. 87 Grace Pacific Corp. 82 Nordic PCL Construction, Inc. 75 dck pacific construction, LLC 74 Wasa Electrical Services, Inc. 63 Shioi Construction, Inc. 62 Royal Contracting Co., Ltd. 52 Albert C. Kobayashi, Inc. 50 Pankow 50 Ralph S. Inouye Co., Ltd. 50 Healy Tibbitts Builders, Inc. 49 Dorvin D. Leis Co., Inc. 46 Parsons 45 Allied Builders System 43 Constructors Hawaii, Inc. 41 Coastal Construction Co., Inc. 40 Alakai Mechanical Corp. 39 Armstrong Builders, LLC 37 Delta Construction Corp. 35 Group Builders, Inc. 34 Kiewit Corp. 32 Nova Group, Inc. 32 Maryl Group, Inc. 27 Arita Poulson General Contracting, LLC 26 Nan, Inc. 23 Unlimited Construction Services, Inc. 22 This list includes only those companies who responded to our survey.

TOP 25

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NORDIC PCL CONSTRUCTION, INC.

• Parent Company: PCL Construction Enterprises, Inc.; Denver, Colo. • Construction Specialty: General Contracting • Years in Hawaii: 75 • Employees in Hawaii: 150 • Public Work Sector: 9 percent • Work Subcontracted: 80 percent

ordic PCL secures the No. 9 spot on the Top 25 list, just Years three steps down from its 2011 ranking. That slight change and the decline in revenue from $160 million in 2011 to $103 million in 2012 do not reflect the whole picture, however. “Our revenues were down in 2012 from 2011,” affirms Glen Kaneshige, Nordic PCL president. “I think 2012 was still a bottoming out year in the economy, so any upside or holding the status quo of 2011 would have been a challenge.” How did 2012 compare with 2011? “I think 2012 was similar to 2011 in terms of the amount of new work that came out to market,” Kaneshige points out. “Although there was renewed optimism because developers began soliciting contractors for preconstruction services, the larger building projects were not breaking ground, as evidenced by the few tower cranes that were up in

Holomua, a 23-story residential high-rise, was completed within 18 months.

2012. Competition was still fierce in 2012 but the pendulum began swinging the other way with the resurgence in highrise developments planned to start in 2013 and 2014. I also believe that the recovery in tourism that began in 2011 has been a catalyst for increasing confidence in the local market so that some of the larger projects will move ahead the latter part of this year and further into 2014.” Nordic PCL projects started in 2012 include the Iolani School Sullivan Center, Warriors in Transition Barracks and Complex, Hawaiian Airlines (HAL) Crew Center, HAL Koapaka Corporate

Offices, Hyatt Residence Club (Maui) and Aulani phase 4 enhancements. Projects completed include Walmart Kapolei, Marriott’s Ko Olina Beach Club phase 5, HAL Crew Center and the Kamehameha Schools Kaiwakiloumoku Hawaiian Cultural Center at the Kapalama Campus. Nordic PCL, which was on the very first Top 25 list in 1987 (in the No. 11 spot) celebrates its 75th anniversary this year. Congratulations Nordic PCL on this achievement and on recently being named “Contractor of the Year” at NAIOP’s 2013 Kukulu Hale Awards!

The Kamehameha Schools Kaiwakiloumoku Hawaiian Cultural Center was completed in 2012. 32

July 2013 • Building Industry

TOP 25

Teamwork makes the pieces fit.

1099 Alakea Street, Suite 1560 Honolulu, Hawaii 96813 Phone (808) 541-9101 Fax (808) 541-9108 LIC# ABC 17 www.nordicpcl.com

10 WATTS CONSTRUCTORS, LLC • Parent Company: Contrack International, Inc.; McLean, Va. • Construction Specialty: Design-build, building structures, historic renovations, seismic upgrades and marine/waterfront • Years in Hawaii: 9 • Employees in Hawaii: 111 • Public Work Sector: 95 percent • Work Subcontracted: 30 percent

Watts Constructors’ projects in 2012 included the F-22 Squadron Operations/Aircraft Maintenance Unit hangar.

possibly be awarded soon depending on the project’s priority level, but until a federal budget solution is reached, the sequester spending cuts will diminish appropriated funding,” McClain says. “We understand this would translate to an approximate 10 percent reduction that may affect the timeliness of future

planned projects or the source selection method—low price vs. best value. “Despite that, we remain optimistic to go after opportunities and win work.” Watts’ projects last year included the Honolulu Zoo’s Asian Tropical elephant exhibit and the reconstruction of Honolulu Harbor’s Pier 29 Container Yard.

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July 2013 • Building Industry

646.00

TOP 25

230.00 36.10

28.43

29.51

37.77

56.40

51.21

31.01

41.11

200 7 200 8 200 9 201 0

19.22

17.68

200 3 200 4 200 5 200 6

16.00

250.40

345.00

432.00

497.00

556.00

459.00 353.00

421.00

375.00 280.00

266.00 18.00

20.62

258.00 14.80

280.00 16.00

225.00 17.60

17.89

16.30

20.40

24.00

21.10

23.90

2 199 3 199 4 199 5 199 6 199 7 199 8 199 9 200 0 200 1 200 2

10.60 198

198

10.41

100

199

200

285.00

300

364.30

400

307.00

22.50 199

337.00

435.00 18.60

492.00

420.00 16.00

500

8 198 9 199 0

435.00

600

265.00

700

325.00

800

530.00

To make it into the 1987’s Top 25, the first year of the listings, a firm’s revenue had to be $10.41 million or more, with the highest revenue reported that year reaching $285 million. Here are the highs and lows over the years: See how these high and low numbers have fluctuated over the years.

HIGH LOW

201 1 201 2 201 3

oving up one notch this year and completing the top 10 is Watts Constructors, LLC, with more than $100 million in 2012 revenue. Two military projects for Watts in 2012 included the $42 million F-22 Squadron Operations/Aircraft Maintenance Unit hangar at Joint Base Pearl Harbor-Hickam, and the $12.9 million Waterfront Operations Center at Marine Corps Base Hawaii. However, Kevin McClain, president of Watts, expresses concern for the future volume of military-related work. “We expect some holdover bids to

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11 DELTA CONSTRUCTION CORP. • Construction Specialty: Heavy civil, construction site work • Years in Hawaii: 35 • Employees in Hawaii: 227 • Public Work Sector: 10 percent • Work Subcontracted: 20 percent

espite dropping from a reported $94 million in 2011 to $86.3 million in 2012, Delta Construction Corp. climbs one spot to No. 11. “2012 was very similar to 2011 in terms of available work and the type of work that we were able to successfully acquire,” explains Martin Miller, executive vice president of operations. “We did not see any growth, it remained flat in 2012.” However, the company anticipates an improvement in 2014. Notable projects that kept Delta busy throughout 2012 included University of

Work began on the 20-acre lot for Walmart in Kapolei, which opened March 2012.

Hawaii West Oahu and Walmart Kapolei. The company also completed the East-West Road for the Department of Hawaiian Home Lands. Miller says that one of Delta’s significant and ongoing projects is the Ulupau

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July 2013 • Building Industry

TOP 25

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between Delta and Sam O. Hiroto, LLC., with Ron Ho & Associates as the electrical engineer. For 2013, the company expects continued slow growth and anticipates improvement in 2014. “Overall, we’re seeing a little bit more growth in the private sector, in both residential and commercial developments, which in turn gives us some more opportunities,” says Miller. He explains that private sector work will offset the decline he sees in the public sector. “We’re seeing a decline in projects for the military, for their housing. Most of the projects right now for both the Navy and Marines, and for the Army and Air Force, were programs that have been completed. There are still some projects remaining, but not many,” he says. As for upcoming projects of interest, Miller says, “There are continued opportunities for us in MILCON (military

Mass grading work of the Combat Aviation Brigade (phase I)

some movement in the Kapolei industrial market. As for notable milestones, next year Delta will celebrate its 35th year in business.

construction) work, typically with Army Corps of Engineers projects where we would be involved either as general contractor or subcontractor.” He also states that Delta is seeing

TOP 25

July 2013 • Building Industry

12 DORVIN D. LEIS CO., INC. • Parent Company: Aikane Pacific Corp.; Maui • Construction Specialty: Full-service mechanical, plumbing, fire protection, sheet metal • Years in Hawaii: 46 • Employees in Hawaii: 280 • Public Work Sector: 64 percent • Work Subcontracted: 5 percent

orvin D. Leis Co., Inc. climbs two places to No. 12 in this year’s ranking after posting a 10.4 percent increase in revenue in 2012. Dorvin D. Leis reported more than $81.4 million in 2012, an increase of more than $8.4 million from 2011. The upswing is a good indicator for the full-service mechanical contractor whose 2011 revenue had a $17 million drop from 2010.

Dorvin D. Leis Co., Inc. completed work on The King’s Land Resort on the Big Island in 2012.

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July 2013 • Building Industry

TOP 25

Stephen T. Leis, president of the Kahului, Maui-based company, is optimistic that 2013 will prove to be an even better year. “2013 revenues will be slightly up from 2012 with increased opportunity in late 2013 and 2014,” Leis says. “Construction will continue to be on the rise in 2014, especially on Oahu. The industry looks positioned for recovery in the private sector market. Margins are lean but could improve if the market continues to strengthen over the long term.” One of the projects Dorvin D. Leis worked on in 2012 was the high-profile University of Hawaii Cancer Research Center, one of only 67 research organizations in the country designated by the National Cancer Institute. The con-

Dorvin D. Leis Co., Inc. completed work on the University of Hawaii Maui College science building in 2012.

struction of the building was completed in September 2012, months ahead of its original estimate of January 2013. Other projects the firm helped wrap up in 2012 were the Koloa Landing Resort on Kauai, Kings’ Land Resort on the Big Island, the UH West Oahu campus and

the UH Maui College science building. Jobs for the company that got underway last year include the UH Information Technology Center, the Hyatt Regency Maui Timeshare and the Kihei police station on Maui.

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July 2013 • Building Industry

13 COASTAL CONSTRUCTION CO., INC. • Construction Specialty: New residential construction • Years in Hawaii: 40 • Employees in Hawaii: 244 • Public Work Sector: 60 percent • Work Subcontracted: 30 percent

oastal Construction Co., Inc., which celebrates turning 40 this year, comes in at No. 13 with revenue of $66.9 million, compared with 2011’s $105.9 million—a 36.8 percent decline. The company, which specializes in new residential construction, reported its second year in a row of declining revenue since placing No. 7 in the Top 25 in 2010, when it had revenue of $117 million. Coastal also reduced its workforce, from 443 in 2011 to 244 last year. “The biggest factor for our decline in volume has been our economy,” says Les Masutani, vice president of Coastal.

In 2012 Coastal Construction helped build new homes in Ka Makana at Hoakalei in Ewa Beach.

“Developers have been reluctant to invest in large-scale projects, settling for much smaller and slower sales driven releases.” Among projects completed or started in 2012 for Coastal are the Mololani and Ulupau neighborhoods by Forest City, the Saint Francis Intergenerational Center

in Ewa Beach, the Ka Makana at Hoakalei residential area, student housing at the University of Hawaii at Hilo and at BYU-Hawaii and the Waikoloa Kingsland timeshare buildings. “Although we have no large-scale projects breaking this year, we are optimistic for 2014,” Masutani says.

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14 ALLIED BUILDERS SYSTEM • Construction Specialty: Commercial general contractor • Years in Hawaii: 43 • Employees in Hawaii: 55 • Public Work Sector: 15 percent • Work Subcontracted: 85 percent

oving up three spots from last year’s survey is Allied Builders System, reporting revenue of $60.6 million in 2012, a $13 million increase from 2011’s $47.6 million. Gary Oda, president of Allied, says that 2012 was a very successful year for the company. A significant project for 2012 was Six Eighty Ala Moana. Formerly an office building, it was transformed into a mixedused residential and commercial property. Allied also worked on CVS Longs Drugs in Kehalani Village Center on Maui. Completed in October 2012, it was the

Phase IV of the Waialae Country Club renovation is underway and scheduled to be completed in January 2014.

chain’s 51st store in Hawaii. The company renovated Aqua Hotels and Resorts’ Park Shore Waikiki Hotel with a $10.7 million enhancement that began in August 2012 and wrapped up in January 2013. An ongoing project for the company is the Waialae Country Club. Selected in 2008 as the design-assist contractor, Phase

IV of the renovation is underway and is expected to wrap up in January 2014. Optimistic about the direction Allied and the industry is going, Oda says, “We have some tremendous employment opportunities available for uniquely qualified individuals that may change their stake in life.”

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July 2013 • Building Industry

TOP 25

6/7/13 4:28 PM

TOP 25 EXECUTIVES ALAKAI MECHANICAL CORP. Ralph Inouye, president; Clark B. Morgan, chairman ALBERT C. KOBAYASHI, INC. Russell Young, president ALLIED BUILDERS SYSTEM Gary Oda, president ARITA POULSON GENERAL CONTRACTING, LLC Daryl Arita and Robert Poulson, manager/owners COASTAL CONSTRUCTION CO., INC. Kenneth M. Sakurai DCK PACIFIC CONSTRUCTION, LLC Eric G. Tessem, senior vice president and general manager DELTA CONSTRUCTION CORP. Kenneth J. Kobatake, president DORVIN D. LEIS CO., INC. Stephen T. Leis, president

PANKOW Mike Betz, Hawaii vice president and regional manager

GRACE PACIFIC CORP. David C. Hulihee, CEO GROUP BUILDERS, INC. Lito Alcantra, president and owner

PARSONS Andrew Albrecht, president

HAWAIIAN DREDGING CONSTRUCTION CO., INC. William J. Wilson, president

RALPH S. INOUYE CO., LTD. Lance M. Inouye, president and CEO

HONOLULU BUILDERS, LLC Dan Jordan & Tom Ryan, principals

SHIOI CONSTRUCTION, INC. Conrad Murashige, president

ISEMOTO CONTRACTING CO., LTD. Leslie Isemoto, president

SWINERTON BUILDERS George Ehara, vice president and division manager

KIEWIT CORP. Bruce Grewcock, CEO

UNLIMITED CONSTRUCTION SERVICES, INC. Jay Manzano, president

MARYL GROUP, INC. Mark Richards, president and CEO NAN, INC. Fooney Freestone, president

WASA ELECTRICAL SERVICES, INC. Ronald Yee, CEO

NORDIC PCL CONSTRUCTION, INC. Glen Kaneshige, president

WATTS CONSTRUCTORS, LLC Kevin McClain, president, federal group

HOME SWEET HOME Corporate offices and parent company locations of the Top 25 and Noteworthy Contenders OAHU Alakai Mechanical Corp. Albert C. Kobayashi, Inc. Allied Builders System Armstrong Builders, LLC Coastal Construction Co., Inc. Constructors Hawaii, Inc. Delta Construction Corp. Grace Pacific Corp. Group Builders Inc. Honolulu Builders, LLC Maryl Group, Inc. Nan, Inc. Ralph S. Inouye Co., Ltd. Royal Contracting Co., Ltd. Shioi Construction, Inc. Unlimited Construction Services, Inc.

NEIGHBOR ISLANDS

OUTSIDE HAWAII

Arita Poulson General Contracting, LLC (Puunene, Maui) Dorvin D. Leis Co., Inc. (Kahului, Maui) Isemoto Contracting Co., Ltd. (Hilo, Hawaii) Pitzer Built Construction, Inc. (Lahaina, Maui)

TOP 25

July 2013 â&#x20AC;˘ Building Industry

dck pacific construction, LLC (Pittsburgh, Pa.) Hawaiian Dredging Construction Co. (Atlanta, Ga.) Healy Tibbitts Builders, Inc. (Cranford, N.J.) Hensel Phelps Construction Co. (Greeley, Colo.) Kiewit Corp. (Omaha, Neb.) Nordic PCL Construction, Inc. (Denver, Colo.) Nova Group, Inc. (Napa, Calif.) Pankow (Pasadena, Calif.) Parsons (Pasadena, Calif.) Swinerton Builders (San Francisco, Calif.) Wasa Electrical Services, Inc. (Osaka, Japan) Watts Constructors, LLC (McLean, Va.)

15 ALAKAI MECHANICAL CORP. • Parent Company: Taiseioncho Hawaii, Inc.; Hawaii • Construction Specialty: Mechanical (AC, DL, SM) • Years in Hawaii: 39 • Employees in Hawaii: 257 • Public Sector Work: 35 percent • Work Subcontracted: 13.7 percent

ur No. 15 contractor is Alakai Mechanical Corp. With an increase in revenue from $45.6 million in 2011 to $57.9 million, Alakai moves up four places to come in at its current spot. “2012 was a very tough year for Alakai Mechanical, but we were able to meet our projections,” says Vice President Tony Hirata. The firm completed many high profile and federal-related projects such as the Kaiser Moanalua Medical Center

o Scott and Maluyo of Hardware present atest ncrete repair by Euclid Chemical pany, STEGOr Barrier, KOSTERture mitigation m, ADEKArstop, and KIMral Waterproofing ryton.

Hyatt’s Andaz Maui at Wailea is scheduled to open late summer/early fall 2013. The 15-acre luxury resort is built at the site of the former Renaissance Wailea Beach Resort, which closed in 2007.

Masonry & Concrete Suppliers • Adeka-Water Sealants • Easy Spred • Euclid Chemicals • Forta Fibers-Ferro • Stego-Vapor Barrier • Stopaq Water Sealants • Wespro • Masonry Tools • Fiberglass Rebar • Kryton Integral Waterproofing • Protec-Kote • AquaFin • Increte Decorative Concrete

Concrete & Waterproofing Specialists Kimo Scott, President with Ed Maluyo, Vice President

OK Hardware & Construction Supply, Inc. Ph: (808) 671-2886 • Fax: 671-6230 okhardwr@hawaiiantel.net

OK HARDWARE44

& CONSTRUCTION

July 2013 • Building Industry

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POW/MIA Accounting Command Cenancillary remodel. Started in May 2010, ter (JPAC) at Hickam Air Force Base. the $168.8 million, two-phase project The JPAC conducts global search, readded a $141.17 million new wing to the covery and identification of unaccounthospital in Phase I, with Phase II renoed-for Americans vating 95,000 from all past wars square feet of “We feel 2013 will be a lean and conflicts. The existing space. new facilities will This is the year with 2014 picking up include a three-stofirst major more construction activity.” ry building housing renovation a laboratory, office since the — Tony Hirata space, training medical center facilities and a opened in 1985. warehouse. The project is scheduled for In the past year, the company worked completion in December 2013. on the Prince Jonah Kuhio Kalanianaole Other significant projects for 2012 Federal Building, which is the official included the Andaz Maui at Wailea and seat of the United States Federal Govthe Victoria Ward Village Shops. ernment in the state of Hawaii. The company also recently completed Alakai also worked on the Joint

a factory/office building in Guam in anticipation for military buildup in the region. Offering his industry forecast for the rest of 2013 and for 2014, Hirata says, “We feel 2013 will be a lean year with 2014 picking up more construction activity.” He also notes that the company is excited about the large condo projects that are coming on the market. Alakai Mechanical was the winner of the Better Business Bureau (BBB) Torch Award in the large business category in 2012. The company looks forward to celebrating its 40th anniversary in 2014.

Always Ready Our team of experts stands ready to serve our customers’ needs – big or small, day or night. We’re committed to providing the best quality, best performance and best service in any emergency or maintenance situation. We’re proud to once again be named among Building Industry Magazine’s Top 25 Contractors.

Call us for a checkup today! O‘ahu (808) 834-1085 Maui (800) 600-1085 Hilo (800) 600-1085 Kona (800) 600-1085 Alaka’i Mechanical Corp 2655 Waiwai Loop Honolulu, Hawaii 96819 Alaka’i Pacific Inc 190 Chalan Okso Harmon Industrial Park Guam 96913

www.alakaimechanical.com

HVAC • Commercial Kitchens • Plumbing • Sheet Metal Fabrication TOP 25

July 2013 • Building Industry

CONTRACTOR’S LICENSE #ABC-7338

16 MARYL GROUP, INC. • Construction Specialty: Design-build, master-planned communities, commercial centers, custom residential homes, island architecture and “impeccable” construction

“The construction industry is definitely looking robust with so many high-rises, retail, commercial and renovation projects under way—and more to come statewide.”

• Years in Hawaii: 27 • Employees in Hawaii: 65

— Mark Richards

• Public Work Sector: 2 percent • Work Subcontracted: 90 percent

e are delighted this year to welcome Maryl Group back to the Top 25 list. Founded in Kona 27 years ago, Maryl is recognized for its diverse scope of industry work, with a special focus in design-build, master-planned communities, custom residential homes, island architecture and quality construction. The past year was a strong one for Maryl, with Hawaii-based revenue increasing from $39.8 million in 2011 to $54.5 million in 2012. “The construction industry is definitely looking robust,” says Mark Richards, president and CEO of Maryl Group, “with so many high-rises, retail, commercial

and renovation projects under way—and more to come statewide.” New projects started in 2012 and currently in progress include Maryl Construction, Inc.’s Maui Lani Shopping Center in Wailuku. The Hilton Waikoloa Lagoon Tower renovation, which Maryl Pacific Construction, Inc. began in 2012, was completed that same year. In corporate news, Lily Narusawa has joined Maryl as director of customer relations. What lies ahead? Richards foresees steady growth for the remainder of 2013.

Work on the Maui Lani Shopping Center in Wailuku is progressing.

July 2013 • Building Industry

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Hawaii’s Design / BuilD leaDer

The Maryl Group is a company of statewide dimension that has earned an enviable reputation over two decades for master planned communities, commercial centers, custom residential homes, island architecture and impeccable construction. With offices in Honolulu and in Kailua-Kona on the Big Island of Hawaii, Maryl is uniquely positioned to provide a full range of development and construction services throughout the State. Our portfolio of integrated companies – Development, Architecture & Planning, Construction, as well as Residential & Commercial Realty – offers a unique single source capability that enables comprehensive concept, development, marketing and real estate management.

888.627.9544 www.maryl.com

17 WASA ELECTRICAL SERVICES, INC. • Parent Company: Kinden Corporation; Osaka, Japan • Construction Specialty: Electrical work, all types of electrical construction • Years in Hawaii: 64 • Employees in Hawaii: 310 • Public Work Sector: 22 percent • Work Subcontracted: 8 percent

aintaining its hold on the No. 17 spot is Wasa Electrical Services, Inc. According to Ronald Yee, CEO of Wasa Electrical Services, the company experienced a sub-par year, with a reported $54 million in 2012, compared to $58.1 million in 2011. In 2012, the company started about 40 projects including the University of Hawaii’s Information Technology Center, Grow the Army (GTA) South Range, Brigham Young University Hawaii student housing, the UH Clarence Ching Complex and the Maui Lani Shopping Center. Most of the projects are ongoing for 2013. Yee says the most significant project for Wasa was the NOAA (National Oceanic and Atmospheric Administration) Pacific Regional Center (PRC) at Ford Island on Oahu. Through the American Recovery and Reinvestment Act of 2009, NAVFAC (Naval Facilities Engineering Com-

Two historic WWII aircraft hangars were repurposed to form the new 310,000-square-foot Pacific Regional Center for the National Oceanic and Atmospheric Administration (NOAA) at Ford Island, Pearl Harbor.

mand) Pacific awarded the NOAA project to Chicago-based Walsh Construction at the firm-fixed price contract of $131.1 million. The project repurposed two historic WWII-era aircraft hangars and constructed a third structure to create the Main Facility of 310,000 square feet. The PRC Main Facility now consolidates various NOAA programs and operations such as the National Ocean Service, the National Weather Service, the National Marine Fisheries Services, Oceanic and Atmospheric Research Center and houses more than 700 employees and contractors in a single facility. Wasa also worked on the Hyatt Re-

The Pacific Regional Center 48

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gency Maui timeshares and the Andaz Wailea Resort, which Yee says were the first most significant projects on Maui that the company worked on following a slow period of two to three years. Optimistic about 2013, the company estimates it will have a 15 percent increase in revenue. Yee hopes 2014 will be even better. “The estimating department is extremely busy with upcoming work in Ala Moana, Kakaako and Waikiki,” he says. An impressive achievement, the company recently celebrated its 64th year of business in Hawaii. Yee also says the company has more than 300 employees and is still growing.

Serving Hawaii for 63 Years

• ELECTRICAL • STREET & HIgHwAy LIgHTINg • TRAFFIC SIgNAL • UNDERgROUND UTILITy CIVIL wORK • FIRE PROTECTION • SECURITy, CCTV, CARD ACCESS

• PHOTO-VOLTAIC • HIgH-VOLTAgE • TELECOMMUNICATIONS • SOUND, AUDIO-VISUAL SySTEMS • POLE & LINE • DESIgN BUILD & DESIgN ASSIST

License No. C-10008 Specialty License C-13, C-15, C-62, C-63

Main Office - Honolulu 2908 Kaihikapu Street ph. 839-2741

Civil Office - Honolulu 766 Mapunapuna Street ph. 839-2248

Kona, Hawaii ph. 329-8414

Lihue, Kauai ph. 245-2941

wailuku, Maui ph. 242-9764

18 ISEMOTO CONTRACTING CO., LTD. • Construction Specialty: Heavy sitework, commercial buildings, golf courses, subdivisions, infrastructure and utilities • Years in Hawaii: 87 • Employees in Hawaii: 180 • Public Work Sector: 79 percent • Work Subcontracted: 45 percent

fter two years at No. 15, Isemoto Contracting Co., Ltd. slipped three spots to No. 18 with an almost $20 million decline in revenue. The 87-year-old company based in Hilo had receipts of $53.4 million last year, compared to $72.8 million in 2011. Over the decades, Isemoto’s construction jobs have reached into every corner of the Big Island. Leslie Isemoto, who succeeded his father as president in 1998 and became the third generation of his family to lead the company, says he expects to see a “slight increase at the end of the third quarter” of 2013. “2012 was disappointing from a project startup standpoint,” he says. “A few major projects that we projected to start in 2012 will not start until the end of the second half of 2013. This has caused a few layoffs for our field personnel and reduced income for our company.” In 2012 the company completed several projects that involved sitework and infrastructure work, including a $6.3 mil-

Isemoto Contracting completed improvements to the Edith Kanakaole Stadium in time for the 50th anniversary of the Merrie Monarch Festival.

lion job at Piihouna Reservoir No. 2, and $4 million in earthquake-related repairs to Mamalahoa Highway. Another key project was the $3.3 million in improvements at Edith Kanakaole Stadium in Hilo. Isemoto completed the work in three months—just ahead of the Merrie Monarch Festival’s 50th anniversary celebration that began on March 31. Anchored by a new 4,200-squarefoot building with an expanded lobby, six dressing/meeting rooms and tiled restrooms, the building also got native landscaping, new fencing and covered side entrances.

Isemoto’s work last year also included installing the $7.5 million Kalanianaole Sewer Interceptor. The firm expanded its workforce in 2012, employing 180 compared to 170 in 2011. The firm also added to its management team as Jerry Egami was named executive vice president and Loren Tsugawa vice president of finance. Looking ahead, says Isemoto, “Residential construction appears to be on a steady growth and there are several road projects that are scheduled to be bid in 2013. If the world economy stabilizes, then there should be steady growth in the Hawaii construction market to early 2015.”

Hisato Isemoto, who founded Isemoto Contracting Co., Ltd. in 1926, was born on Jan. 8, 1897 in Hiroshima and came to Hilo on July 4, 1942, at the age of 45. According to the Hawaii Japanese Center, in 1945 he was interned in Santa Fe during WWII.

Isemoto Contracting in 2012 began the $7.5 million Kalanianaole Sewer Interceptor project. 50

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86 YEARS OF

QUALITY &

EXCELLENCE

SITE PREP & BUILDING

HILO: PH (808) 935-7194 FAX (808) 961-6417 KONA: PH (808) 329-8051 FAX (808) 329-3261 E-MAIL: isemoto@ilhawaii.net

Lic ABC1036

19 UNLIMITED CONSTRUCTION SERVICES, INC. • Construction Specialty: General construction, concrete, finish carpentry • Years in Hawaii: 22 • Employees in Hawaii: 67 • Public Work Sector: 18 percent • Work Subcontracted: 70 percent

oming in at the No. 19 spot is Unlimited Construction Services, Inc. The company slid three places from last year’s Top 25 Contractors list, reporting revenue of $49.9 million for 2012. “Unlimited actually did well last year The new restaurant, 53 By The Sea, was built at the former considering that our industry was still comsite of the iconic John Dominis restaurant. ing out of a brutal recession,” explains Jay Manzano, Unlimited’s president. Completed projects for the company include the Villages of Moae Ku Affordable Apartments A significant project for Unlimited in 2012 was 53 By The (Phase I), Kauai Oncology and the Kukuiula Cottages Sea, which was completed in 8 months. The new waterfront res(Lots 1-8). Unlimited also wrapped up the Department of taurant was built on the former site of the iconic John Dominis Water’s Piwai water storage tank project. The 500,000-gallon restaurant, which closed its doors in 2010 after 31 years of busitank now serves Kauai residents in Lawai and Omao. ness. The original structure was torn down and new building permits required the new structure to be set back from the waterline. With floor-to-ceiling windows, 53 By The Sea maintains the site’s views of the ocean, Waikiki and Diamond Head. Projects that Unlimited began in 2012 include the Waipa Foundation community center for Kamehameha Schools, Kukuiula Cottage Lot 16 and Hale Uluwehi. At the 2012 General Contractors Association’s Build Hawaii Awards, Unlimited won two Awards of Excellence—one for Safeway Beretania, which was completed in 10 months, six weeks earlier than its planned completion date and the second for the Wailua Cane Haul Bridge project, which widened one of the busiest thoroughfares on Kauai. Unlimited also received two 2012 NAIOP Kukulu Hale Awards. The Shops at Kukuiula won a New Project Award for Commercial Over 40,000 square feet. The Ronald T.Y. Moon Judiciary Complex in Kapolei earned the New Project Award for Public/Government. Unlimited’s upcoming projects include the Villages of Moae Ku Affordable Apartments (Phase II) in Ewa Beach and several developments in the pre-construction phase, including a large resort that is estimated at approximately $100 million. Manzano says 2013 started out slow for Unlimited but the company has just begun one of its larger projects. He predicts this year will remain flat for Unlimited. “There are more projects to bid on now and we are involved in a lot of pre-construction services that look promising for the end of 2013 and into 2014,” Manzano says. 53 By The Sea’s Makai Chapel 52

July 2013 • Building Industry

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Villages of Moa’e Ku Affordable Apartments Phase I

Ronald T.Y. Moon Judiciary Complex

Hard Rock Café at Beachwalk

Building Lasting Relationshipswith Innovation And Integrity DESIGN-BUILD • COMPREHENSIVE CONSTRUCTION SOLUTIONS • DESIGN-ASSIST

Kaua’i Oncology

QUALIT Y

Kukui‘ula Cottages

Fifty Three By The Sea

•

SERVICE

•

PROGRESSIVE

Safeway Beretania

Waipouli Beach Resort

MAIN OFFICE - OAHU

707 Richards Street, Ste. 711 Honolulu, Hawai'i 96813

Ph: 808.521.4141 Fx: 808.521-4199

KAUA'I OFFICE

License ABC #16638

www.unlimitedhawaii.com - unlimited@unlimitedhawaii.com

Locally-owned and operated for over 22 years!

1696 Haleukana Street Lihue, Hawai'i 96766

Ph: 808.241.1400 Fx: 808.246.6666

20 PANKOW • Parent Company: Charles Pankow Builders, Ltd.; Pasadena, Calif. • Construction Specialty: General contracting and tenant improvement; design-build, design-assist and preconstruction services • Years in Hawaii: 50 • Employees in Hawaii: 35 • Public Work Sector: 5 percent • Work Subcontracted: 75 percent

aking the No. 20 slot this time around, is Pankow, up one position Years from 2011. Pankow is Aerial view of the FBI headquarters another of the “founding Photo courtesy of © 2012 Ed Gross The Image Group members” of the Top 25 list, appearing on the very first one back in 1987, in the 2012, including the new FBI headquarters in Kapolei. The No. 10 position. $65 million project, a four-story complex encompassing Pankow reports total revenue of $45 million for Hawaii-based 200,000 square feet, was completed in late 2012. work in 2012, unchanged from the revenue of 2011. Among other significant projects of the past year was the Several major projects were begun and/or completed in Laulani Village Shopping Center, owned and developed by Property Development Centers (PDC), a whollyowned subsidiary of Safeway, Inc. The main portion of the center, including a Safeway store, opened in late 2012, with more retail space and tenants subsequently added. The renovation of the Kapalama Shopping Center in Kalihi for Kamehameha Schools is an ongoing Mike Betz, regional vice commercial/retail project for Pankow. president, Hawaii division “Commercial/retail is a large part of our 2013 plan,” says Mike Betz, regional vice president, Hawaii division for Pankow, “so we are excited about the current direction.” In addition to present work in this sector, Betz says, “We are doing some preconstruction work on a couple of Waikiki projects and have or are preparing to propose on several more projects.” In corporate news, Lee Hopkinson joined Pankow in mid2012 as director of business development, serving as team leader for development and marketing strategies. We congratulate Pankow on the celebration of its 50th anniversary in 2013!

The new FBI headquarters in Kapolei was completed in 2012. 54

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S P O T L I G H T O N C O N S TPAIDRADVERTISEMENT UCT ION & DEV E LOPM E NT

Pankow Celebrates 50th Anniversary

haping the skylines in California and Hawaii for half a century is an accomplishment worth celebrating, especially for a company that values volunteerism. “Throughout the 2013 calendar year, we’re ‘Celebrating 50 years and Beyond’—where we’ve been and where we’re going,” said Pankow CEO and President Kim Lum. “Pankow was built on a tradition of giving back to the communities in which we work and live. This year, we’re building a series of legacy projects near our Pankow office locations in California and Hawaii.” The projects include a renovation and seismic upgrade for the San Francisco Child Abuse Prevention Center; the installation of a shade structure, benches and new trees in Pasadena’s Central Park; and the procurement and installation of a community exercise station in Ala Moana Beach Park, Honolulu. A project to construct an open air structure with tables at the Rotary Peace Pavilion in the city center of Corcoran, California, was completed in November 2012. MAJOR MILESTONES Industry Leadership Contributing to a Better Way to Build Pankow achievements have helped define the construction industry, its practices and professional organizations. Charles Pankow was one of the founding members of the Design Build Institute of

CHARLES PANKOW

Pankow 50th Anniversary: Celebrate the Past, Launch the Future, Shape Our Communities America (DBIA) and Pankow Builders has infused it with continual leadership for the past 20 years. Pankow has offered 40 years of support and leadership in the American Concrete Institute, which have led to numerous advances in the structural concrete design and construction field. Pankow staff are national leaders within the Lean Construction Institute, an international effort to maximize value and minimize waste throughout the construction process. The Charles Pankow Foundation (www.

pankowfoundation.org), under the stewardship of Richard M. Kunnath, Pankow Executive Chairman of the Board, was established in 2002, two years before the death of Charles Pankow. It is the nation’s only privately funded nonprofit dedicated to building innovation. LANDMARK STRUCTURES On May 17, 1963, design/build innovator Charles Pankow launched his new company in a garage, with the determination to excel in concrete construction,

while he developed and refined the design/build method. Fifty years later, Pankow Builders has constructed hundreds of structures across the country and is nationally recognized for its ability to introduce and advance better ways to build. Pankow has built a number of notable structures over the last 50 years, and continues to shape city skylines. In Los Angeles, Pankow provided construction services for the 12-acre Grand Park (2012), an expansion and renovation of the historic Civil Mall and pedestrian connection from the renowned Music Center to the Los Angeles City Hall. The special events and sports arena at the University of Hawaii at Manoa (1994), later renamed the Stan Sheriff Center, was the state’s first design/build contract and paved the way for further design/build public projects in Hawaii. FUTURE DIRECTION Pankow is referring to its anniversary year as “Celebrating 50 years and Beyond,” because the company is well positioned for continued growth and innovation. “Pankow will remain nimble and ready to embrace change over the next 50 years,” said Lum. “We are committed to investing in technology, tools and education to remain at the forefront of building innovation. We’re also dedicated to helping our employees grow and to investing in their health and wellness.”

Pankow in Hawaii “The future of Pankow in Hawaii is filled with exciting opportunities. We have built an excellent reputation of performance by upholding our core values of innovative thinking, a passion for building, safety, integrity, and client service. Our 50 years in Hawaii have given us the chance to work with the best people in the industry. For the next 50, we will continue to find building solutions that support client success.” -Mike Betz Pankow has constructed more than 12 million square feet of commercial space throughout Hawaii. We provide Preconstruction, Construction and Tenant Improvement services to clients in commercial, healthcare, residential, hospitality and institutional markets. Find out more, www.pankow.com

Embassy Suites Towers Renovation Allure Waikiki

Laulani Village Shopping Center, 2013 Build Hawaii Award Winner

Waikiki Landmark

Four Seasons Lana’i at Manele Bay

808.521.8971 pankow.com License No BC-13942

21 HONOLULU BUILDERS, LLC • Construction Specialty: Commercial, design/build, hospitality, restoration • Years in Hawaii: 11 • Employees in Hawaii: 75 • Public Work Sector: 60 percent • Work Subcontracted: 70 percent

ontinuing its climb up the Top 25 ranks, Honolulu Builders, LLC moves into the No. 21 position, two steps higher than its No. 23 place in 2011. The Hawaii-based company’s revenue also increased in 2012 over 2011, as did the number of company employees. All in all, a pretty upbeat year. Specializing in design/build, commercial, hospitality and restoration, Honolulu Builders completed several major projects during 2012, including The Whaler at Kaanapali Beach, encompassing the hotel-condominium’s two towers with 359 residences, plus a lobby building, porte cochère and a tennis court building. Projects begun in 2012 include the new Safeway at Ewa Beach (in Laulani Village Shopping Center), a 60,000-square-foot “lifestyle” format store that was completed in November. Other significant projects started in 2012 include the Kapolei Social Security Administration Building for Avalon Develop-

Design Partners’ rendering of the Social Security Building in Kapolei

ment Company, LLC; Arancino restaurant at the Kahala Hotel and Resort and the Kona DAGS (Department of Accounting and General Services) Baseyard. Work is ongoing at the University of Hawaii at Manoa’s upgraded Campus Center, currently nearing completion. The extensive renovation/expansion includes a new two-story recreation center as well as renovations to existing buildings. Addressing the increase in revenue and overall positive year, Dan Jordan, principal of Honolulu Builders, says, “We attribute 2012’s revenue increase

The recently completed Safeway store in Ewa Beach 56

July 2013 • Building Industry

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to our success in the private sector, both bid and negotiated. Record low interest rates and the continued strength of the Hawaii retail sector led to many project opportunities. We also saw more opportunities in the hospitality sector, with many owners investing in full and partial room renovations.” As for the current year, Jordan says, “2013 is on track to be on a par with 2012 for us. Although there are many large projects occurring within the state, we remain focused on the $20 millionand-under market as our niche.”

BUILDING ON EXPERIENCE TO PRODUCE QUALITY RESULTS

Restaurant Retail Hospitality Schools Offices

Warehouses Apartments Custom Residential Historic Renovations Civic Buildings

800 Bethel Street, Suite 401 Honolulu, Hawaii 96813 Phone (808) 521-1855 | Fax (808) 521-1513 www.honolulubuilders.com

22 GROUP BUILDERS, INC. • Construction Specialty: Acoustics/ insulation, drywall, millwork/cabinetry, lath and plaster, fireproofing, EIFS • Years in Hawaii: 34 • Employees in Hawaii: 205 • Public Work Sector: Did not disclose • Work Subcontracted: 5 percent

liding three spots from No. 19 in last year’s Top 25 to the current No. 22 position is Group Builders, Inc., which reports 2012 revenues of $43.5 million compared to 2011’s $46.3 million. Amado Sanchez, a spokesperson for Group, explained that even though 2012 was relatively slow for Group Builders, it had a number of smaller, low-profile jobs in the works to keep its employees busy. “Group Builders is a very familyoriented business,” says Lito Alcantra, president and owner of Group Builders. With the downturn of the economy, he says Group worked hard and was able to retain most of its employees. One of the company’s highlights for the year is the Hyatt’s Andaz Maui at Wailea. Construction began on the 15acre luxury resort in 2011. Being built at the site of the former Renaissance Wailea Beach Resort, which closed in 2007, the new beachfront Andaz

The Andaz Maui at Wailea’s Kihei and Makai towers, scheduled to open late summer/fall 2013

resort will feature nearly 300 guest rooms and suites. The opening of the resort is scheduled for late summer/ early fall 2013. Other projects started or completed in 2012 included the Holomua Condo project, Brigham Young University student housing, the Laulani Village Shopping Center, the University of Hawaii Cancer Research Center, the University of Hawaii at Manoa’s Edmondson Hall and the U.S. Army Corps of Engineer’s “Grow the Army” South Range. Current projects include the Microsoft Store at Ala Moana Center and the UH Cancer Research Center (Phase II). Group Builders is also working on two renova-

The main lobby of the Andaz Maui at Wailea resort during construction 58

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tion projects, one at the Hokulani Waikiki and another at UH’s Sakamaki Hall. Upcoming projects the company looks forward to include 801 South Street, a 400-foot condo tower; ONE Ala Moana, a luxury living high-rise at Ala Moana Center; Waihonua at Kewalo, a 43-story, 341-unit residential high-rise near Ala Moana Center; and The Plaza at Pearl City, which is an assisted-living rental complex. Offering his forecast for the industry, Sanchez says, “I am very hopeful and optimistic. I believe 2013 and 2014 will bring lots of promise.”

General & Specialty Contractor Main Office: 511 Mokauea Street, Honolulu, Hawaii 96819 Tel. No. (808) 832-0888 Estimating & Project Engineering: 1823 Colburn Street, Honolulu, Hawaii 96819 Tel. No. (808) 832-0898 Email: info@groupbuilders.net WEBSITE: www.groupbuilders.net

Laulani Village project completed 2013

University of Hawaii Cancer Research Center project completed 2012

23 ARITA POULSON GENERAL CONTRACTING, LLC • Construction Specialty: New commercial • Years in Hawaii: 26 • Employees in Hawaii: 24 • Public Work Sector: 10 percent • Work Subcontracted: 61 percent

e welcome back an old friend to the Top 25 list. In 2004, Arita Poulson, took the No. 24 spot and after eight years, makes its return—moving up a slot. In the years between, Arita Poulson maintained a strong presence in the Top 25 issue as a Noteworthy Contender, while keeping busy and picking up several prestigious awards along the way. The Maui-based company doubled its revenue during the past year, going from $21 million in 2011 to $43 million in 2012. Projects completed in 2012 include the Seabury Hall Creative Arts Center,

The Polynesian Cultural Center’s Hawaiian Journey theater

which received the Grand Award in ABC (Associated Builders and Contactors, Inc.) Hawaii’s Excellence In Construction awards for 2012 in the “Institutional over

$5 million” category. Work was ongoing during 2012 on the recently opened Polynesian Cultural Center’s Hawaiian Journey theater, an immersive cinematic

The award-winning Seabury Hall Creative Arts Center project

experience in a setting modeled after a dormant volcano. Also recently completed was the Liberty Dialysis Center in Hilo, which began in 2012. “It was a pretty robust year,” says Daryl Arita, company manager-owner, along with partner Robert Poulson. “In private work, the profitability was far up but the public sector was not as robust.” As to 2013, Arita says, “It was slow in the beginning, but now projects are beginning to drop in and from summer on, it should accelerate.” 60

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Aon Construction Services Group

ongratulates

The Top 25 Contractors State of Hawaii 2013

For more information, contact Aon Construction Services Group 808.540.4335 or aon.com

24 SHIOI CONSTRUCTION, INC. • Construction Specialty: Multi-family, design/build, light gauge metal framing • Years in Hawaii: 65 • Employees in Hawaii: 291 • Public Work Sector: 35 percent • Work Subcontracted: 53 percent

ith a reported revenue of $38.6 million in 2012, Shioi Construction, Inc. drops two spots to the No. 24 position. James Abeshima, Shioi’s executive vice president talks about the past year and how it affected the company, “2012 was a carryover of 2011 as Shioi continued to take on a multitude of smaller projects primarily in the public sector to maintain its revenue. Indications of a recovery in the industry started to come into view later in the year, as requests for

Phase II of the Paanau Village project was completed in June 2012 by Shioi Construction.

pre-construction services and budgeting increased near the end of 2012.” In 2012, Shioi started several larger projects on Kauai including the Pacific Missile Range Facility (PMRF) at Bark-

Building Hawai‘i since 1948

• Commercial Buildings • Resorts and Hotels • Healthcare • Multi-Family and Residential Condominiums • Schools • Tenant Improvements, Renovations and Restoration • Design-Build

Lic# ABC-12379

July 2013 • Building Industry

TOP 25

ing Sands on the Mana plain, Sheraton’s Poipu Resort and the Princeville at Hanalei Resort. On Oahu, Shioi broke ground on Hale Makana O Nanakuli, a fourbuilding, 48-unit multi-family affordable housing project. In June 2012, the company successfully completed the Paanau Village Phase II. Located on a 4-acre parcel of land in Koloa on Kauai, the project brought 50 units of multi-family affordable housing to the island. With a mix of one, two and three-bedroom apartments, some units were specially designed for residents with disabilities. The units were also built with a number of “green” elements such as solar hot water heating, solar parking lot lighting, Energy Star appliances and lighting fixtures and water conserving plumbing. For 2013, Shioi will be completing two design-build projects, the Lanai School Expansion on Lanai and the BASF Seed Facility on Kauai. Offering his forecast for this year and next, Abeshima says, “We continue to see opportunities in public sector work and have begun to see an increase in design activity from the private sector. As we go from 2013 into 2014, the combined activity in both public and private sectors is a promising sign for the construction industry.” Established in 1948, this year Shioi Construction Inc. is celebrating its 65th year of building in Hawaii.

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25 RALPH S. INOUYE CO., LTD. • Construction Specialty: Design-assist, design-build, schools, hospitals, telecom, airport • Years in Hawaii: 51 • Employees in Hawaii: 50 • Public Work Sector: 70 percent • Work Subcontracted: 75 percent

oming in at the No. 25 spot is Ralph S. Inouye Co., Ltd. Although showing an increase in revenue from $29.4 million in 2011 to $36.1 million in 2012, President and CEO Lance Inouye said that 2012 was not the company’s best year and they were fortunate to have a backlog of work to keep busy. A significant ongoing project that is near completion is the Honolulu International Airport Third Level Sterile Corridor. At approximately 2,000 linear feet with three moving walkways, the fully

Rebuilt after a devastating fire in 2008, the Central Union Preschool reopened in 2012.

air-conditioned corridor greets foreign arrival passengers as they make their way from arrival gates to customs. Projects that the company completed in 2012 included the Saint Francis School gymnasium, Kapolei Village Center and Foodland, and the Central Union Preschool. “I am hoping for the best but planning for the worst,” said Inouye when asked to forecast 2013 and 2014. “I am not

optimistic. Because of the stock market, there has been a very fragile and gradual economic recovery.” Upcoming or current projects Inouye looks forward to include the Hawaii Baptist Academy and Honolulu Airport’s Interim Rental Car Facility. Last year, the company celebrated its 50th anniversary. At 98 years old, founder Ralph S. Inouye still makes his way into the office.

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July 2013 • Building Industry

TOP 25

Lic. No. ABC-13362

GOODFELLOWS BROS., INC.

HEALY TIBBITTS BUILDERS, INC.

Hawaii Operating Engineers Industry Stabilization Fund

We are a labor management fund representing about 4000 unionized members and 500 general contractors. Our Purpose is to fully represent the interests of the Operating Engineers Local Union No.3 and Hawaii’s Leading Contractors. Our mission is to foster smart and responsible growth in the construction industry, thereby contributing to a healthy economy for everyone in the Islands. A LEADING ADVOCATE FOR THE PREVAILING WAGE LAWS THAT GOVERN HAWAII’S CONSTRUCTION INDUSTRY

CREATING OPPORTUNITIES WITHIN HAWAII TO ENHANCE THE COMMUNITY

CONSISTENTLY MONITORING AND SUPPORTING PRUDENT PUBLIC POLICY AT THE FEDERAL, STATE AND COUNTY LEVELS

Seeking to level the playing field when it comes to Hawaii’s public works projects is our main concern. By bringing public awareness to key issues facing Hawaii’s leading Contractors, compliance with fair contracting guidelines are ensured.

Fostering relationships with developers from all over the Nation, we strive to stimulate the local economy by promoting and assisting them in seeing their projects through fruition.

Deeply committed to the community, we maintain an active role in public policy throughout the Islands, as to improve the quality of life for all. Construction is one of Hawaii’s largest industries, and the strength of this sector is critical to Hawaii’s economy.

HOEISF LH _Oahu:Artates, Perry

10/7/09

HOEISF LH _Oahu:Artates, Perry

11:14 AM

10/7/09

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HAWAII OPERATING ENGINEERS INDUSTRY STABILIZATION FUND

HOEISF LH _Oahu:Artates, Perry

HAWAIIAN DREDGING CONSTRUCTION COMPANY, INC.

11:14 AM

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JAYAR CONSTRUCTION, INC.

Hawaii Operating EngineersH Industry Fund E • NGINEERS 1075 Opakapaka St., Kapolei, Hawaii 96707 AWAIIStabilization OPERATING AWAII OPERATING ENGINEERS Alvin Kobayashi, Chairman; H Russ E. Burns, Co-Chairman; John Monis, Executive Director INDUSTRY STABILIZATION FUND Phone: 808-845-6221 Fax: 808-682-5787 INDUSTRY STABILIZATION FUND Affiliated AFL-CIO

OPEIU - 3 - AFL-CIO (3)

Affiliated AFL-CIO Affiliated AFL-CIO OPEIU - 3 -- AFL-CIO (3)(3) OPEIU 3 - AFL-CIO

Uniting our strengths and working together for a better tomorrow. Uniting our strengths and working together Uniting our strengths and working together

PAST TOP 25 CONTRACTORS LISTS 25th Annual — 2011 (Figures published in 2012 based on 2011 Hawaii-based revenues) (million) 1) Hawaiian Dredging Construction Co., Inc. $355.00 2) Kiewit Corp. 250.40 3) Grace Pacific Corp. 192.00 4t) Albert C. Kobayashi, Inc. 182.00 4t) Nan, Inc. 182.00

6) Nordic PCL Construction, Inc. 160.00 7) Swinerton Builders 125.50 8) dck pacific construction, LLC 116.00 9) Parsons 111.70 10) Coastal Construction Co., Inc. 106.00 11) Watts Constructors, LLC 96.20 12) Delta Construction Corp. 94.00 13) Ledcor Construction Hawaii LLC 82.00

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14) Dorvin D. Leis Co., Inc. 72.95 15) I semoto Contracting Co., Ltd. 72.90 16) U nlimited Construction Services, Inc. 61.15 17) Wasa Electrical Services, Inc. 58.10 18) Allied Builders System 47.60 19) Group Builders, Inc. 46.30 20) Alakai Mechanical Corp. 45.60 21) Pankow Builders, Ltd. 43.41 22) Shioi Construction, Inc. 43.30 23) Honolulu Builders, LLC 40.30 24) Ralph S. Inouye Co., Ltd. 29.40 25) Royal Contracting Co., Ltd. 28.43

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July 2013 • Building Industry

TOP 25

(million) 1) Hawaiian Dredging Construction Co., Inc. $285.00 2) Pacific Construction Co., Ltd. 126.00 3) E.E. Black, Ltd. 60.00 4) Pan Pacific Construction, Inc. 39.60 5) Hawaiian Bitmuls & Paving Co. 35.00 6) Royal Contracting Co., Ltd. 35.00 7) Albert C. Kobayashi, Inc. 35.00 8) Grace Pacific Corp. 33.00 9) Santa Fe Engineers 31.50 10) Charles Pankow Builders, Ltd. 27.00 11) Nordic Construction, Ltd. 27.00 12) G.W. Murphy Construction Co., Ltd. 27.00 13) Constructors Hawaii, Inc. 17.03 14) S&M Sakamoto, Inc. 16.89 15) Oahu Construction Co., Ltd. 16.82 16) Robert M. Kaya Builders, Inc. 16.11 17) The Jackson Companies 15.58 18) K oga Engineering & Construction, Inc. 15.84 19) Kiewit Pacific Co. 15.10 20) Honolulu Roofing Co., Ltd. 15.00 21) Okada Trucking Co., Ltd. 14.67 22) Ralph S. Inouye Co., Ltd. 14.00 23) H ighway Construction Co., Ltd. 13.20 24) K. Shioi Construction, Inc. 11.20 25) Coastal Construction Co., Inc. 10.41

VDRYWALL &C V&C Drywall Contractors, Inc.

SALUTES THE TOP 25

CONTRACTORS SPECIALIZING IN: • Metal Framing • Drywall • Taping & Texture • E.I.F.S. • Lath & Stucco • Plastering • Acoustical Insulation • Acoustical Ceilings • Fireproofing • Firestopping • USG Levelrock Floor Underlayment

V&C Drywall Inc. Inc. V&C DrywallContractors, Contractors, 91-430 Komohana Street, Kapolei, Hawai‘i 96707 Tel: 808.682.2068 Fax: 808.682-4351

CONTRACTOR CONNECTIONS THOUGHTS FROM THE TOP “We see work and backlog increasing in late 2013 with work emerging in the commercial sector. Labor issues and cost of goods will escalate with the demand moving forward. Diversification will be a key factor for contractors to maintain a healthy backlog of work.” —Eric Tessem, dck pacific construction, LLC

“We have been fortunate to do a lot of work for repeat clients who have come back to us with multiple projects that have sustained us through the recession.” —George Ehara, Swinerton Builders

“We remain optimistic to go after opportunities and win work.” —Kevin McClain, Watts Constructors, LLC

WEBSITES Alakai Mechanical Corp. Albert C. Kobayashi, Inc. Allied Builders System Arita Poulson General Contracting, LLC Armstrong Builders, LLC Pankow Coastal Construction Co., Inc. dck pacific construction, LLC Delta Construction Corp. Dorvin D. Leis Co., Inc. Grace Pacific Corp. Group Builders, Inc. Hawaiian Dredging Construction Co., Inc. Honolulu Builders, LLC Healy Tibbitts Builders, Inc. Hensel Phelps Construction Co. Kiewit Corporation Maryl Group, Inc. Nan, Inc. Nordic PCL Construction, Inc. Nova Group, Inc. Parsons Pitzer Built Construction, LLC Ralph S. Inouye Co., Ltd. Royal Contracting Co., Ltd. Shioi Construction, Inc. Swinerton Builders Unlimited Construction Services, Inc. Wasa Electrical Services, Inc. Watts Constructors, LLC

www.alakaimechanical.com www.ack-inc.com www.abshawaii.com www.aritapoulson.com www.armstrongbuilders.com www.pankow.com www.coasthi.com www.dckww.com www.deltaconstructionhawaii.com www.leisinc.com www.gracepacificcorp.com www.groupbuilders.net www.hdcc.com www.honolulubuilders.com www.healytibbitts.com www.henselphelps.com www.kiewit.com www.maryl.com www.nanhawaii.com www.nordicpcl.com www.novagrp.com www.parsons.com www.pitzerbuilt.com www.rsinouye.com www.royalcontracting.com www.shioihawaii.com www.swinerton.com www.unlimitedhawaii.com www.wasahawaii.com www.wattsconstructors.com

July 2013 • Building Industry

TOP 25

“We attribute 2012’s revenue increase to our success in the private sector, both bid and negotiated. Record low interest rates and the continued strength of the Hawaii retail sector led to many project opportunities.” —Dan Jordan, Honolulu Builders, LLC

“We foresee increased opportunities for our local workforce in 2013 as a number of significant projects get underway across the state.” —Bill Wilson, Hawaiian Dredging Construction Co., Inc.

“For the remainder of 2013, I think you’re going to see a number of developers and contractors getting themselves set up for a rapid deployment, either late in the year or, more likely, early in 2014.” —Lance Wilhelm, Kiewit Building Group, Inc.

“Competition was still fierce in 2012 but the pendulum began swinging the other way with the resurgence in high-rise developments planned to start in 2013 and 2014.” —Glen Kaneshige, Nordic PCL Construction, Inc.

“By committing to green building early, and adopting it as a standard, we have gained a competitive edge.” —James Keller, Armstrong Builders, LLC

NOTEWORTHY CONTENDERS

The Noteworthy Contenders are recognized for their outstanding efforts during another challenging year. The companies include iconic Hawaii companies with a long history in the Islands as well as newcomers from the Mainland who have only recently set up shop in the Islands. Royal Contracting Co., Ltd., for example, has been a major part of the local construction industry for 52 years and last year was listed at No. 25 in the annual survey. Royal actually had an “up” year in 2012, posting higher revenue than it did the previous year yet it wasn’t enough to remain among the Top 25. Only $7.1 million in revenue separated Royal from the Top 25. Joining Royal as a Noteworthy Contender is Armstrong Builders, LLC, a 37-year kamaaina firm; Healy Tibbitts Builders, Inc. (49 years); Constructors Hawaii, Inc. (41 years); Nova Group, Inc. (32 years); and new to the list, Pitzer Built Construction, LLC of Maui. Adding a new twist to the listings of Noteworthy Contenders, a newcomer from Colorado, Hensel Phelps Construction Co., opened an office in Honolulu in June 2012 and posted 2012 Hawaii-based revenue of more than $42 million. Had the company been in the Islands for a full year it easily would have qualified to take a place among the Top 25. Overall, it was a close race in another difficult year.

E C A R E S CLO Year h g u o T a n …i

Noteworthy Contenders (million) Hensel Phelps Construction Co. $42.18 Royal Contracting Co., Ltd. 28.99 Armstrong Builders, LLC 22.34 Healy Tibbitts Builders, Inc. 15.28 Constructors Hawaii, Inc. 14.55 Nova Group, Inc. 12.88 Pitzer Built Construction, LLC 4.25 TOP 25

July 2013 • Building Industry

HENSEL PHELPS CONSTRUCTION CO. • Construction Specialty: General contractor • Years in Hawaii: 1 • Employees in Hawaii: 62 • Public Work Sector: 98 percent • Work Subcontracted: 70 percent

ensel Phelps Construction Co., opened an office in Honolulu in June 2012, but in only a few months quickly proved to be a construction company to watch. The firm’s Pacific District posted Hawaii-based revenue of more than $42 million during the last half of 2012. The Greeley, Colo.-based company, founded in 1937, is handling the Aegis Ashore Missile Defense Test Complex on Kauai, which is part of a multibilliondollar effort by the military to take Aegis missile systems off ships and make them land-based. Hensel Phelps recently got the nod to construct an Aegis Complex in Romania. “Hensel Phelps has experienced tremendous growth within the past year in the Hawaii market in both securing new and exciting projects and develop-

Construction of the Aegis Ashore Missile Defense Test Complex is one of Hensel Phelps Construction’s ongoing projects in Hawaii.

ing long-lasting relationships with clients and professionals,” says Kyle Spraberry, project development manager. Other ongoing projects for Hensel Phelps include the Red Hill Fuel Tunnel at Pearl Harbor and the Hilton Grand Vacations Club Hokulani in Waikiki. These projects do not represent the company’s first foray into the construction industry in

Hilton Grand Vacations Club Hokulani is an ongoing project for Hensel Phelps Construction. 70

July 2013 • Building Industry

TOP 25

the Islands—its first project in Hawaii was the JC Penny store in 1993. Still, in short time Hensel Phelps has become a major player in the building market in Hawaii. The company’s website says its projects range from “new construction and renovation of commercial office, airport, distribution and industrial,” to “hospitality, mass transportation, entertainment, microelectronics, research and development and laboratory facilities.” The firm’s website also notes that it is consistently ranked by Engineering News Record—No. 1 in government ($1.4 billion), No. 1 in top green government offices ($1 billion) and third in aerospace work ($45 million). Along with its Honolulu office, Hensel Phelps has an office in Tamuning, Guam. Its Pacific District staff also serves the Marshall Islands and Asia. As for Hensel Phelps’ future in the Islands, Spraberry says, “We are excited about all the upcoming opportunities and new projects in 2013, both in the public and private sectors throughout Hawaii.”

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ROYAL CONTRA • Construction Specialty: Heavy equipment, sitework and landscaping • Years in Hawaii: 52 • Employees in Hawaii: 71 • Public Work Sector: 33 percent • Work Subcontracted: 25 percent

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fter landing in the Top 25 last year, Royal Contracting Co., Ltd. is ranked among the Noteworthy Contenders this year despite posting slightly higher revenue in 2012. Royal reported $28.9 million in 2012, up from the $28.4 million the previous year. Over the years, and through the economic crises that hit in 2009, the kaimaaina company’s numbers have held fairly steady—dating back to the first Top 25 in 1987 when Royal placed No. 6 with $35 million. “2012 proved to be a repeat of the past three years for Royal, as well as the construction industry as a whole,” says Leonard Leong, vice president of the 52-year-old company. Royal’s completed or started jobs in 2012 include the Kapolei Parkway Phase 5 project, emergency repairs on the Waialae Nui drainage channel east wall and construction at Sea Country Area 7 Phase 2.

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Oahu Sales (808) 832-9245 • Maui Sales (808) 877-5068 Ameron Hawaii • 2344 Pahounui Drive • Honolulu, HI 96819 Waialae Nui drainage channel during repairs 72

July 2013 • Building Industry

TOP 25

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Royal Contracting completed emergency repairs to the Waialae Nui drainage channel east wall.

Royal was honored by the General Contractors Association (GCA) of Hawaii with a Merit Award in the category of “Specialty Contracts Under $1 Million” for its work on the Waialae Nui drainage channel. Leong foresees little change in some areas of the industry, particularly “no increase in site work and heavy equipment construction.”

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TOP 25

July 2013 • Building Industry

ARMSTRONG abc-7046

• Parent Company: Armstrong Companies, LLC • Construction Specialty: General contracting • Years in Hawaii: 37 • Employees in Hawaii: 48 • Public Sector Work: 25 percent • Work Subcontracted: 60 percent

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ith revenue of $22.3 million, it was a good year for Armstrong Builders, LLC. According to James Keller, the company’s president, “We experienced a positive upward trend as demonstrated by more inquiries, proposal requests, negotiated projects and executed contracts.” Sustainable building is an important element of Armstrong’s overall business development strategy. “It is clear to us that green building is where our industry is heading and project partners, homeowners and others now expect builders to include these practices.” Keller explains, “By committing to green building early, and adopting it as a standard, we have gained a competitive edge.” With five LEED-accredited professionals on staff, two environmentally green residential communities completed and 10 Gold and one Silver LEED certifications under its belt, Armstrong can say it has developed an expertise in the green building market.

InstallatIon, MaIntenance & eMergency servIce of: InstallatIon, MaIntenance & eMergency servIce of: UndergroUnd & abovegroUnd fUel storage tanks • tank closUres UndergroUnd & abovegroUnd storage&tanks • tank closUres fUel dispensing systems • tank fUel monitoring leak detection systems fUel dispensing systems • tank monitoring & leak systems Upgrades for epa compliance • hydraUlic vehicle liftsdetection • air compressors Upgrades for epa compliance • hydraUlic vehiclegrading lifts • &airtrenching compressors precision tank & pipe testing • excavation, precision tank & pipe testing • excavation, grading & trenching

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A significant project completed by Armstrong Builders in 2012 was the Hyatt Regency Maui lobby renovation.

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In 2012, the company completed several projects including the first phase of Gateway at Mililani Mauka, a 32,000-square-foot retail center for Alexander & Baldwin, Inc. It also began work on three new Maui projects in partnership with the Department of Hawaiian Home Lands (DHHL). Located on Kula, Hikini and Waiehu Kou homestead lands, the turnkey homes are intended for multi-generational living. “We designed the sustainable subdivisions to combine modern technology with the Valley Isle’s natural renewable resources to make the homes energy efficient and comfortable,” explains Keller. Anticipating 5 to 15 percent growth for 2013, Armstrong is looking forward to many upcoming projects, including a large custom home in Kukuiula on Kauai, a golf clubhouse renovation in Kailua and a community center on DHHL land in Kula, Maui. The company also will continue with phase II of Gateway Mililani Mauka.

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July 2013 • Building Industry

Structural Steel Erection Fabrication - Steel Sales

HEALY TIBBITTS • Parent Company: Weeks Marine, Inc.; Crawford, N.J. • Construction Specialty: Marine construction, dredging, deep foundations including pile driving and drilled shafts • Years in Hawaii: 49 • Employees in Hawaii: 100 • Public Work Sector: 88 percent • Work Subcontracted: 25 percent

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isplaying determination in a difficult year for contractors in the marine construction sector, Healy Tibbitts Builders secures its spot as a Noteworthy Contender for 2012. Continuing its history of recognition for work accomplished, the company once again took the Grand Award at GCA Hawaii’s Build Hawaii awards for projects completed in 2012, this time for the critical repair of Kalaupapa Dock Structures on Molokai. Last year, Watts-Healy Tibbitts, a Joint Venture, won the Grand Award for the Pacific Fleet Submarine Drive-In Magnetic Silencing Facility at Beckoning Point, Pearl Harbor.

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July 2013 • Building Industry

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(PIC OF KALUPAPA WORK) The critical dock repairs at Kalaupapa, recently won the Grand Award in the GCA Build Hawaii awards for projects completed in 2012.

The critical dock repairs at Kalaupapa, recently won the Grand Award in the GCA Build Hawaii awards for projects completed in 2012.

BUILDERS, INC.

WHICH Although its 2012 revenue of $15.3 million was down from the $17.1 2011 total, a number of major jobs were completed in 2012, including the Waikiki Beach maintenance (beach replenishment), the afore-mentioned critical dock repairs at Kalaupapa (as a subcontractor to AMEC) and the emergency removal of a 12-inch pipeline for NELHA (Natural Energy Laboratory of Hawaii Authority) at Keahole Point. In other company news, Emilio Placencia, responsible for the Deep Foundations Group, was promoted to vice president. In a recent interview with Rick Heltzel, president of Healy Tibbitts, concerning the importance of military work to Hawaii, he said, “It’s no secret that this extremely important funding is under pressure following recent budget cuts. It is essential that the construction industry continues its strong support of the DOD (Department of Defense) contracting community.” In looking forward to what the remainder of 2013 will be like for the industry, Heltzel says, “Steady.”

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TOP 25

July 2013 • Building Industry

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CONSTRUCTORS HAWAII, INC. • Construction Specialty: General construction • Years in Hawaii: 41 • Employees in Hawaii: 29 • Public Work Sector: 10 percent • Work Subcontracted: 65 percent

n 2012 Constructors Hawaii, Inc. was involved in projects that ranged from schools to banks to drug stores. And, with $14.5 million in revenue, the 41-year-old company earns a spot among this year’s Noteworthy Contenders. “2012 was relatively slow, just like the last few years before that,” says Colin Yoshiyama, the company’s president. “We were fortunate that we did have jobs to keep our key personnel busy.” A key project in 2012 for Constructors Hawaii, Yoshiyama says, was the KCCA Mother Rice Preschool on South King

Constructors Hawaii built the new Longs Drugs in Waimea.

Street, a two-story center designed to serve pre-kindergarten children. The 6,000-square-foot facility houses a central meeting room with audiovi-

Hitachi Excavators can help you Find your Pot of Gold.

ZX470LC-5 • Fuel-efficient IT4 emissioncertified diesel engine delivers power without compromise.

sual equipment, two offices, a library and a kitchen. The classrooms are on the first floor. Other significant projects for the company were the Queen Liliuokalani Children’s Center Waianae Coast Unit, First Hawaiian Bank Makiki Branch renovation, the construction of Longs Drugs in Waimea and Central Pacific Bank’s new branch in Ewa Beach. “We have seen improvement this year, especially in the private sector,” Yoshiyama says. “And, in general, we’re getting more busy. We’re very optimistic about this year with more work in the private sector.”

ZX870LC-5 • Hydraulic fan runs only when needed, reducing noise, fuel consumption and operating costs.

www.AmericAnmAchineryhAwAii.com Kona Kauai Oahu 808.329.5574 808.246.0097 91-1831 Franklin D. Roosevelt Ave. Kapolei, HI 96707 Hilo Maui 808.682.8282 808.961.6673 808.242.4664 78

July 2013 • Building Industry

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Constructors Hawaii built a new two-story building for KCCA Mother Rice Preschools.

NOVA GROUP, INC. • Parent Company: Nova Group, Inc.; Napa, Calif. • Construction Specialty: DoD, marine waterfront and hydrant fueling stations • Years in Hawaii: 32 • Employees in Hawaii: 5 • Public Work Sector: 100 percent • Work Subcontracted: 13 percent

longtime, major player in Hawaii’s military arena, Nova Group, Inc. continues the distinction of being recognized as a Noteworthy Contender in an increasingly competitive marketplace. This is especially true for industry members such as Nova Group, whose sole or primary source of revenue is military sector projects. Consequently, it is not surprising that Hawaii-based revenue decreased in 2012 compared with 2011 for Nova, which was founded in 1976 and has been working in Hawaii continuously since 1981. Projects begun in 2012 include: N62478-09-D-4017 1. DO 0006 - WR 151862 UT inspection and caisson repair at Drydock No. 4 PHNSY (Pearl Harbor Naval Shipyard) Hawaii 2. DO 0007 - WR 151741 replace/overhaul pump motor No.1 Drydock No. 1 PHNSY

Pile casting operations for Nova’s Bravo 1 Pier repair project

Also begun in 2012: N62478-11-D-4045 (Nova subcontractor to PSI, prime contractor) 3. DO 0007 - WR 151701 Drydock No. 3 inner caisson sill repair, PHNSY Total current value of projects started in 2012: $2,894,954. Projects completed in 2012 include: N62478-09-D-4017 1. DO KB01 - fender system repairs at GD-2 Pier, PHNSY In a forecast for the rest of 2013, Carole Bionda, Nova Group vice president, says, “Because of the sequestration and Congress impasse, it is difficult to say. However, the non-residential private sector is looking better.”

• Lift Anywhere you need! • work indoors/outdoors, 110 volt operation, no emissions. • fits through standard single doorway. • up to 10,000# capacity & 80’ tip height.

2656 B Waiwai Loop • (808) 843-2400 TOP 25

July 2013 • Building Industry

PITZER BUILT CONSTRUCTION, LLC

Eko Painting Inc. Serving Hawaii Since 1993 SBA 8(a) & DOT DBE Certified Bonded/Insured License No. 25219

COMMERCIAL, RESIDENTIAL & INDUSTRIAL

•C onstruction Specialty: Custom estates and homes •Y ears in Hawaii: 13 •E mployees in Hawaii: 15 •P ublic Work Sector: 5 percent •W ork Subcontracted: 55 percent

Our well-trained and knowledgeable staff provides excellent workmanship with a particular focus on safety and customer satisfaction

• • • •

We specialize in Painting Concrete Spall Repair Wall Coverings Various Special Coating Systems

Phone: 808-591-9882 Fax: 808-591-9872 info@ekopainting.com

lthough Pitzer Built Construction, LLC is a new name on the list of Noteworthy Contenders, the Lahaina, Maui-based company has been doing custom home construction for 13 years and its president, Doug Pitzer, has been in the home-building industry for a quarter-century. Last year Pitzer Built Construction posted Hawaii-based revenue of $4.26 million, a 7 percent increase over $3.97 million in 2011. “Business has picked up,” says Pitzer, “with strong potential for a prosperous year.” One of its recent projects was a custom estate of 11,000 square feet under roof on Honolua Ridge in Kapalua. Other recent jobs include two condo-

A kitchen in a home in Pineapple Hill, Kapalua, was included in a complete interior renovation done by Pitzer Built.

minums in Kaanapali, a home remodeling in Lahaina and new home construction in Mahinahaina. According to the firm’s website, Pitzer has built more than a dozen multimillion-dollar homes on Maui over the past few years. Founded in 2000, Pitzer Built was honored by Pacific Business News as “2012 Top General Contractor – Outer Island.”

Pitzer Built’s new residential construction in 2012 included this 6,500-square-foot Crestview Drive home in Pineapple Hill, Kapalua.

FREE ESTIMATE 80

July 2013 • Building Industry

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MAHALO

Regular, scheduled service from Seattle delivering construction equipment and building materials for all of Hawaii.

ast year, you helped us celebrate our 25th anniversary of compiling the list of Top 25 Contractors and Noteworthy Contenders.

For Sailing Schedule, Rates, or Bookings Call Toll Free: (800) 327-7739. Or Visit Our Website www.acthi.com

Over the years you have taken the time and made the effort to share your history, activity, financial information and other statistics with us. We, in turn, use that information, supplemented by our own research, to create the now iconic Top 25 Contractors list, as well as the list of our highly respected Noteworthy Contenders.

Honolulu: A Division of Northland Services, Inc.

Pier 29 Honolulu, HI 96817 (808) 536-7033 Fax (808) 531-3004

Seattle:

6700 W. Marginal Way, SW Seattle, WA 98106 (206) 762-5955 Fax (206) 264-4930

Some of you have been with us from the start, some left for a while and then came back strong, and some are new to the list. We have been together through bright days and boom times, celebrating and planning for the future. We also have been together in darker days and tough times. Through it all, you have been resilient, resourceful, determined to survive, succeed, grow—and give back. We are proud to know each and every one of you.

Metal Roofing • Specify Kloeckner Products • ULTRA-Cool® heat reflective coating creates an Energy Efficient “Cool” Roof that’s durable and adds value to any project • ENERGY STAR® listed & LEED compliant

We look forward to many more years of Hawaii’s Top 25 Contractors list and recognition of our Noteworthy Contenders.

Steel Service Center • Hawaii’s largest steel inventory • Our dedicated team delivers great service • 60 locations serving North America

Hot-Dip Galvanizing • Superior long-term corrosion protection • Protecting steel for generations

Formerly

Serving all Islands since 1959

Oahu (808) 682-3000 • Neighbor Islands (800) 352-3920 Fax (808) 682-3636 • HIsales@kloecknermetals.com • www.kloecknermetals.com TOP 25

July 2013 • Building Industry