Making Sense of the Latest Cost Data

Posted on | by Savannah Sokol

 

A common sentiment we seem to keep hearing is, "We're holding on any new development until construction costs come down." And while we know it will be fantastic when that day comes, the question of when that will be hangs heavy. Recent data tells us… something, right?

Unfortunately, we’re not seeing much relief anywhere right now. Things don’t seem to be getting worse, but they’re not getting better either. It seems that we are all still waiting for that “bottom falls out” moment, which hasn’t happened yet and some construction economists are backing off on predicting when it will. Predictions have shifted a possibility of the “Soft Landing”, which doesn’t really help prices. Recently The Douglas Company attended National Construction Financial Management Association (CFMA) Conference where their spoke, with the sentiment "It's going to get worse before it gets better," and "Recessionary conditions will prevail at some point over the next...

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Conventional Hold-down Hardware vs. New Tie-down Systems

Posted on | by Savannah Sokol

When it comes to anchoring building components in wood-framed structures, there are two primary options to consider: conventional hold-down hardware and new tie-down offerings from either QuickTie or CLP. While both methods have their advantages and disadvantages, the trend in the framing world seems to be pushing more toward the new tie-down systems.

Conventional hold-down hardware typically involves using screws, bolts, straps, and lots of nails to secure the hardware to the framing components.  This can be an effective method, but it can also be labor-intensive and time-consuming, especially when dealing with larger or more complex wood-framed structures.  In addition, the use of traditional hardware can sometimes lead to damage or deformation of the material being held down, especially if excessive force or nails are applied or installation is sloppy.  Also, traditional hardware has little flexibility on tolerances and does nothing to address wood shrinkage and building settlement.

Quick tie...

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Demand for Active Adult Housing Continues to Outpace Supply

Posted on | by Savannah Sokol

Active adult or age-restricted housing continues to experience strong growth, while multifamily housing development is showing signs of slowing. The active adult market hasn’t yet been flooded by national developers, leaving opportunities for real estate investors and developers who want to enter this exciting market. Active adult housing has experienced year-over-year growth every year since 2012 without any signs of slowing down, and with Baby Boomers beginning to retire and downsize, now is the perfect time to consider active adult.

Nearly all of the approximately 75 million Baby Boomers are already over age 55. As Baby Boomers begin to retire, many are looking to downsize and start a new lifestyle. However; most are not ready for assisted living or traditional senior living communities. Today’s seniors are looking for simpler lifestyles featuring single-story floor plans with little to no maintenance.  Community amenities like walking trails, clubhouses, and activities are located close to...

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What I Enjoy About Construction

Posted on | by Savannah Sokol

This year marks 10 years in the industry for me, which on one hand feels like 20 years, and on the other, it feels like just yesterday I was graduating college. I was recently asked “What do you enjoy about construction?” so this made me take a minute to reflect on the past 10 years.

Honestly, the day-to-day in construction is grueling. As general contractors, we are focused on keeping the project moving so we are always dealing with resolving issues. Once you solve the problem you are working on, it’s on to the next one. This process repeats really until the project is complete. Sometimes it feels like an uphill battle but that is just the nature of the beast.

So to answer what I enjoy about construction, I was drawn to the process it takes and the impact it has on so many different people. The most enjoyable part of...

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The Movies and Senior Living Development

Posted on | by Savannah Sokol

Twenty years ago everyone would ask me why I didn’t do development on a personal basis. Development is different from construction. I understand the risks of construction, but I don’t understand those of development very well. So I would Forest Gump my way through it, thinking “Stupid is as stupid does,” knowing I am not an expert in development. It was meant to add humility and levity, not to intimate that those who do development are stupid. A better quote would have been from Clint Eastwood, who said “A man’s got to know his limitations.” I did, and I do.

About fifteen years ago a good client and friend asked if I wanted to invest in a project he was developing and we were building, so I did on my own, not as The Douglas Company. I have since invested personally in several projects, always as a relatively small percentage, with...

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