Houston Area is a Builder’s Market

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Builders who get their permit information from HBWeekly know that Houston is a hot residential construction market. Home prices hit a record high in the Houston metro area this April. Homes are selling quickly. Buyers making higher-than-expected offers have led to more than a few bidding wars. Real estate agents acknowledge that strong job growth in the Houston metro area and a continuation of low mortgage rates have contributed to this situation, but the main reason for this very hot seller’s market is that the inventory of available homes is at a record low. That means that Houston is a seller’s market for builders as well. The Greater Houston Partnership estimates that 125,000 new single-family homes will be built in the next five years.

Cinco Ranch, a Newland Community property in Katy, Texas, is a 7,400-acre development featuring its own branch of the public library, an extension of the University of Houston,  a golf course, a water park, a beach club, and nature trails along with more conventional offerings such as tennis courts, basketball courts, and a fitness center.  Home prices begin at 300k, and 733 new home sites will be released for new residential construction in the next quarter.

The 3,700-acre Riverstone community in Sugar Land has planned for 6,000 homes to be built between 2012-2016, with 900 of those sites to be released for new homes over the second and third quarters of 2013. Home prices range from 300k-to-3 million. The community has amenities such as a seventeen-acre recreation center featuring a playground, fitness center, clubhouse, pool, plus tennis courts and ziplines. Riverstone ranks second only to Cinco Ranch for the number of homes sold in a master-planned community.

The Woodlands, an enormous 43.9-square-mile planned community incorporated as its own town just north of the Houston metroplex, features several neighborhood “villages.” House prices range from the 300k to multi-millions of dollars. The amenities are extensive and include everything from nature trails, country clubs, shopping, and sports to restaurants, performance venues, hospitals, and churches. The Woodlands plans to build 641 new homes in over the next quarter. 55 of those home sites have been set aside for the Woodlands Reserve, a multi-million dollar gated community featuring upscale custom homes built exclusively by Frankel Building Group.

LEED Exam Prep for Busy Building Professionals

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Over the years, LEED has become an expected credential among building professionals. Unfortunately, many busy building professionals who want LEED credentials can’t to take off of work to attend months of classes in preparation for the exams. With LEED credential exam fees ranging from $200-$550 USD, it’s important that exam prep is both efficient and effective. Fortunately, there are several online LEED exam prep options out there for busy construction professionals, and HBW has an overview of the three best programs available.

Green Building Education Services

GBES, the #1-online LEED credential training program, offers a LEED Green Associate exam prep course and LEED AP specialty courses in all five areas for $149.99 each. GBES offers two web-based formats: Live and Anytime. Live classes are available for the LEED Green Associate and LEED AP BD + C credentials. Live classes are conducted through four weeks of live webinars. Students have 60 days of access to course recordings, forums, and thousands of practice test questions. Anytime courses are available for the Green Associate and for all specialty areas. They are based on MP3’s of pre-recorded content but have the same course materials as the live version, plus students have 120 days to access the materials and complete the course. Anytime specialty courses include 8 hours of exam prep for the Green Associate at no extra charge.

Red Vector

Red Vector is a web-based construction, engineering, and architecture education company that offers over 1,500 interactive online courses in construction technology. They partnered with the University of Tennessee to develop their LEED curriculum. Red Vector offers the LEED Green Associate, O+M, ID+C, and BD+C programs in basic and dual coverage options ranging in price from $349.99-$899.99. The basic program gets you training prep for the exam, and dual coverage prepays the continuing education credits you will need to maintain your credential for the duration of your career.  These programs consist of 10-30 hours of interactive online coursework, but only a handful of live interactive webinars are currently available.

Green-Buildings.com

Green-Buildings.com offers very affordable LEED Green Associate, AP Homes, AP O+M, AP ID+C, and AP BD+C  study courses plus a lot of free exam prep material.  Courses range from $39.99 for practice tests alone to $129.99 for practice tests, study guides, and interactive online training. One thing Green-Building offers that the others doesn’t is the opportunity to remotely participate in GreenStep’s LEED Professional Project Experience Program, which will fulfill the GBCI eligibility requirement that applicants have work experience on a LEED project or in a sustainable field of work, or  have accredited education in green building principles.

LEED Standards Rise in Buckhead

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Commercial construction LEED certification has become a considerable business asset for many American companies. Developers in the Buckhead area of Atlanta are especially keen to earn LEED certification for new commercial construction, and subcontractors are more and more often finding themselves working on LEED remodels and retrofits.

Five buildings of Buckhead’s Piedmont Center North complex have recently won LEED certification under the U.S. Green Building Council’s Existing Buildings: Operation and Maintenance Standard designation. Buildings 1-4 received LEED standard certification and building 15 received the coveted LEED Silver designation. Complex owner Northwestern Mutual Life Insurance Company partnered with engineering consultant Servidyne and property manager Cushman and Wakefield to make their LEED goals a reality.

Improvements in buildings 1-4 focused primarily on modifications to the plumbing, building exhaust system, and eco-friendly landscaping. The plumbing fixtures have been replaced with water-efficient .5- and 1.25-gallon faucets and toilets, and low-flow water restrictors were installed on all faucets in the building. A non-sewer water meter was installed for irrigation, which cut irrigation and sewage costs by over two-thirds. Redesigned landscaping incorporates an eco-friendly pest management system.

Building 15 also saw the installation of an irrigation meter, low-flow faucets, and redesigned landscaping. What pushed the building into silver-ratings territory, however, had to do with lighting and air quality. The lighting for all elevator cabs was replaced with LED fixtures, and the designated smoking area was relocated to an area that was more suitable for smokers and non-smokers alike.

The Piedmont Center North effort is the latest in a push to embrace LEED standards in the Buckhead district. Buckhead tower, a Parameter Partners Realty property, was awarded LEED Gold status earlier this year. The lighting and HVAC systems were optimized to reduce the building’s carbon footprint while maintaining a high comfort level. In mid-2013, the Atlanta Financial Center earned LEED Gold certification for its ongoing electronics recycling program, energy-efficient, mercury-reduced lighting, eco-aware cleaning products and techniques, low-flow water fixtures, partnership with Sustainable Buckhead and Buckhead Area transportation Management Association, and alternative transportation options for commuters.

To learn more about commercial construction projects and LEED trends in the Atlanta area, check out HBW’s building permit reports.

Best Mobile Apps for Construction Professionals

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Smartphones have revolutionized every sector of modern industry, and the building trades are no exception. With the myriad of apps that are out there, it is difficult to know which ones are worth the time and expense. Here five of the most popular and highly rated apps for the construction business that are actually being used by industry professionals.

1. Construction MasterPro App

Calculated Industries’ Construction MasterPro is hands-down the best construction math calculator on the market, but at a price point of $69.95, it can put a bit of a dent in the wallet. Fortunately, the folks at Calculated have developed an app that will turn your smartphone or iOS device into a virtual Construction MasterPro calculator that is every bit as powerful as the original, but only costs $19.95. Available at the Google Play and iTunes stores.

2. Aconex Mobile

Aconex now has a powerful mobile version that brings the power of your Aconex system to your smartphone. It allows the entire project team to access crucial information on-site or on the road, work off-line and sync-up via Wi-Fi later, capture photos, video, and audio of critical project information on-site and share them instantly, and forward marked-up folders to team members for immediate action. Available from Google Play and iTunes, but you must already own the Aconex platform in order to use the mobile version.

3. PlanGrid

An ultra-fast blueprint viewer for Android and iOS, PlanGrid allows builders to mark-up and store project designs and forward them directly to their work crew members’ phones. PlanGrid can be used off-line, progress photos can be pinned to the blueprints, detail callouts are automatically hyperlinked, all markups and notes instantly sync across all platforms, and there is a searchable, automatic rolling issues log. It can also be used to create, maintain, and share punchlists. Available in a variety of price plans including a free version, PlanGrid can be downloaded and installed from the Google Play and iTunes stores.

4. BIMx

BIMx (Building Information Modeling eXpress) by Graphisoft is a rugged, excellent, interactive app that allows all members of the project team to explore a detailed 3-D model of the project. BIMx’s intuitive, game-like functionality means that even those with few BIM skills can easily navigate the model and interpret model data. BIMx allows designers and contractors to easily collaborate on the design concept, and helps stakeholders more easily envision the completed project. Available for free in the Google Play and iTunes stores.

5. SmartBidNet Mobile

The SmartBidNet portal helps contractors manage their subcontractor communications, vendors, bid project data, and vital project documents in one place—and now they’ve released a mobile app to make things that much easier. Plan room data can be stored locally for offline access, and the mobile app includes all of the functionality of the internet portal. SmartBidNet Mobile is available for free from the Google Play and iTunes stores, but only to users with a SmartBidNet account.

 

 

 

 

 

 

Make Florida Homes Hurricane-Tough

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Hurricane season is upon us. Each year, Floridians eye June first with wariness and not a little bit of apprehension, because they know that hurricane season can bring some truly awful property losses. The first step to protecting a home from hurricane damage is an inspection to make sure that it’s fit to weather the storm. If it isn’t, then some residential hurricane retrofitting is in order. Here are four key questions to ask in assessing how hurricane-tough a home really is:

1. Where are the leaks?

In terms of financial expense, water damage can far outstrip wind damage in the final totals. Make sure there is adequate caulking and weather stripping around windows and doors.  Double-check the openings for external gas lines, outlets, faucets, vents, and light fixtures, and apply silicone sealant to any gaps you find. Block, brick, and stucco-façade homes should have thick layers of latex paint or weather-proof coating to keep water from seeping through.

2. How secure is the roof?

The roof is the first line of defense during a hurricane. Sadly, people very often lose their roof in whole or in part during a storm.  Securing the shingles to the deck with at least 6 roofing nails will keep them attached far more securely than staples will. Tiles should be fully set into the mortar or adhesive and screwed down to prevent them from being blown off. To keep the entire roof attached to the house, hurricane-strips and ½-inch bolts should be used to attach each roof rafter to each exterior wall.

3. Are your windows stormproof?

Windows are the most vulnerable part of a house. If you are remodeling your home, install storm-rated windows with the highest DP rating you can afford. If you are content with your current windows, there is a variety of impact-resistant shutter options to choose from to keep your windows safe.  Look for the IHPA (International Hurricane Protection Association) logo that indicates if the product is compliant with the Florida Building Codes. Plywood is a hassle to install and remove for each storm, but it’s better than tape, which is useless for keeping windows intact during a hurricane.

4. If the house structure strong?

The lower story of a house should be bolted to the foundation. If it isn’t, bolts and connectors need to be added to keep the house from blowing off or over. Multi-story homes should have metal floor-to-floor connector straps. Homes with a gable end wall are very vulnerable to hurricane winds because gable walls tend not to be terribly strong. Fortunately, it is relatively easy to fortify the gable end wall to withstand hurricanes, and this retrofit will significantly strengthen the structure of the entire house.

For more information on residential hurricane retrofits, consult retrofit guide at floridadisaster.org. Many insurance companies offer rebates and incentives for homeowners to retrofit their properties. If money is a factor, there are many state and national grant programs to help homeowners hire professionals to retrofit their homes.

Home Builders Make Alabama Proud

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One of the very best things about being a building trades professional is that when you donate your skills, time, and expertise to a worthy cause, you will actually see your contribution make the world a better place. During May and June, crews of professional, retired, and volunteer builders have made Alabama feel more like home for many needy families.

Each year, Habitat for Humanity Alabama participates in the Home Builders Blitz, a weeklong construction project dedicated to building as many safe and affordable homes as possible within the space of one week.  This year, a lot of work centered on Clay, Alabama, a small town in Jefferson County that is only a short commute to Birmingham.  The homes were dedicated on May 8, 2014 at a ceremony attended by the families who received the keys to their homes, bright green t-shirts emblazoned with the phrase “I’m a Proud Homeowner,” a large picture frame of photos from the construction, and a Bible. Per Habitat regulations, each family has contributed at least one hundred sweat-equity hours to the construction of their home.

For the twenty-second time, the Alabama Power Service Organization, Magic City Chapter has spearheaded a construction effort to build a new home in the Grayson Valley community of East Birmingham. Construction is expected to last only five days, with the dedication ceremony set for June 6. This project is unique because volunteers are building a green EarthCents home that has eco-friendly and energy-efficient features. HFH likes to install energy star appliances and lighting whenever possible, but the addition of low-flow plumbing fixtures and use of recycled construction materials make this home even more environmentally sound.

In Flomaton, another energy-saving home is being built by HFH volunteers. This is the eighteenth such home built by the Escambia County chapter of Habitat for Humanity. The 1,200-square-foot home was designed by students at Auburn University to be hyper-energy efficient. It’s taking somewhat longer to complete because it will be seventy percent more efficient than the building code requires. This home is being built in part through funds provided from a demonstration grant furnished through the Auburn University School of Architecture, and high energy-efficiency is a key requirement of the grant.

When asked how he became involved in this year’s Blitz, Kyle Murphy of Murphy Home Builders said that “I had such a great time at last year’s Blitz that I volunteered to serve as this year’s event chair,” adding that the Blitz “is a great way for builders to get involved with Habitat and help families who would not be able to purchase a home through conventional means achieve their dreams.”

Masterful Swimming Pool Design for 2014

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In-ground swimming pools add value to your home and enjoyment to your life. But the amount of value and enjoyment homeowners can get increases dramatically when their swimming pool design is innovative and visually interesting. Once upon a time, the people were satisfied to have a simple circle or rectangle with a white concrete bottom and cement decking. Nowadays, homeowners’ expectations of what an in-ground swimming pool should be have changed. Here are some of the top swimming pool design trends for 2014, courtesy of the Master Pools Guild:

1. Alternative Finishes- The popularity of alternative finishes has been growing for the last few years, but 2014 is the year that they’re top of the list. Aggregate pebble finishes like Pebble Tec, slate, travertine, and limestone are the most sought-after pool finishes this year, especially for the decking and pool surround. Glass tiles have become more popular as well because they are stronger and more resilient than ceramic tiles and have a broader palette of color, texture, and finish options. Glass tile is usually used to accent the water’s edge, highlight the hot tub area, and add decorative flourish inside the pool.

2. Ledges- Instead of a settling for a uni-level pool, or a pool floor that gently slopes in one direction from shallow to deep water, many pool designers are including ledgesin the pool design. Sometimes called Baja steps, thermal ledges, or lounging ledges, these areas are ideal for inexperienced swimmers and toddlers, but they make great launch spaces for water floats and toy. Ledges are also great for adults who just want to lounge in the water and not splash around too much.

3. LED lights- LED lighting has been around for years, but the past decade has seen the popularity of LEDs soar. Their size, ease of maintenance, longevity, and shockingly low power drain has led to LEDs being used for swimming pool lighting. Instead of simple lighting for night swimming, LED’s are used to create a stunning atmosphere through outdoor lighting displays that often include Laminar jets. Homeowners who entertain often are especially keen to have breathtaking lighting design in their pool area.

If these trends show us anything, it’s that more and more homeowners believe a swimming pool should be the centerpiece of a total backyard environment. Swimming pool designers who meet these expectations will outsell and outperform those who don’t.

Pricing a Home Remodel for Business Success

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Knowing how to price remodeling jobs can be tricky, even in the best of times. Prior to the 2008 meltdown, the residential remodeling business was going great guns. Back then, the budgetary bottom line and quick job completion were the biggest factors to a builder’s remodeling success. Today’s successful builders need to be people-smart as well as money-savvy.

In the leaner, meaner years since then, effective budgeting and planning is the bare minimum a builder needs if they are to succeed. Fortunately, there is a growing inventory of cost-estimator software available that accurately generates detailed bids more quickly than working by hand with educated guesswork. Scopewell, a contractor consulting company in Pennsylvania, has developed a revolutionary platform that connects homeowners with contractors and manages the pricing process from estimation and bidding all the way through to contracting and escrow.  The cost estimation of remodeling work has gotten a lot faster, which leaves time for builders to master the skills that really matter: people-skills.

Building relationships with clients is just as important as building value into their homes. It’s important to understand that people’s emotional investment in their homes is just as deep as their financial one, so responding to the homeowner’s emotional needs is key. If the remodel your clients want is far out of their budget, be ready to suggest cheaper alternatives that include the client’s input. Explain how the remodel has both short-term and a long-term value, and emphasize that the work is an investment in their future. Make sure to prioritize projects which need to take place immediately over ones that can be pushed further down the line.

Builders also need to re-think how they approach the planning process. Most homeowners no longer have large masses of disposable cash to invest in a huge remodel. But they can certainly afford a series of smaller home improvements that add up to a nice big remodel. Instead of scheduling one large project that takes place over several months, break the remodel down into smaller projects that can be completed within a few weeks’ time apiece, scheduled over a course of years, and can be paid for independently of each other. This allows a builder to have frequent income from the smaller jobs and greater job security, and to become the go-to professional for the client’s future needs.

Florida’s Multifamily Housing Boom

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Florida is returning to pre-recession levels of employment, immigration, and construction. As HBW subscribers already know, many of the state’s major housing markets have a strong base of younger people earning mid-level salaries, who are more interested in the simplicity of renting than in the complexity of home ownership. Just because they prefer to rent doesn’t mean that this market will be satisfied with basic, no-frills apartments. They demand quality and comfort in a space that feels like home. Florida’s residential home building firms catering to the multi-family sector can expect to add value through innovative design, nicer fixtures, pre-installed T-1 broadband, and higher-quality appliances in order to capture this market.

Miami’s latest offering in quality multifamily rentals is the Melo Group’s Melody Tower, a 36-story high-rise ideally situated in the downtown arts and entertainment district. Miami has seen a bumper crop of high-rise new luxury condominiums spring up in the heart of downtown over last few years, but they are overpriced for the young professional looking to rent a home near pedestrian-friendly downtown Miami. Adjacent to the Adrienne Arsht Center for the Performing Arts, Melody Tower will feature retail space and dining on the ground floor, making it a hub for the local community as well as a premiere residential space.

Metro-area Orlando’s multifamily development market is really heating up. The sale of multifamily buildings is down 14% and the supply of multifamily residences is rapidly shrinking. Two developers have eagerly responded to the increased demand. One exciting new development catering to rental-savvy young professionals is the Crescent Gateway apartment community being built in Altamonte Springs by the Crescent Communities Company.  Pollack Shores Real Estate Group is currently building The Princeton at College Park, a 3.3-acre apartment complex catering to single and newlywed professionals as well as empty-nester retirees who seek high quality at a more reasonable price point than is currently available in the area.

The multifamily boom in Miami and Orlando reflects nationwide trends for multifamily housing. Multifamily construction is the hottest sector in US construction right now, having increased 39.6% over the last year, and much of the construction is for apartment complexes rather than condominiums. To learn more about the how the multifamily building boom in Florida can help your business, contact HBW today!

 

First Quarter Roundup: Texas and Georgia Edition.

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Hello, all, I’m Dave Taylor of HBWeekly. From time to time I like to check in with our clients and their customers by contributing to the HBWeekly blog. Today I want to share the results of our Building Trend Activity Report for Residential Construction for two of our biggest markets: Georgia and Texas.

In the state of Georgia, construction is up 24% over the first quarter of 2013. The greatest growth has occurred in four counties that are part of the Atlanta metro area. Paulding county has had a staggering 257% increase in residential construction over the first quarter of 2013, as it is now the leading choice for your professional commuters and their families. The next highest increase of 127% has happened in Barrow County. Henry county, famous to NASCAR enthusiast for its Atlanta Motor Speedway, has seen a 111% increase in residential homebuilding. Clayton County has experienced a 104% increase in residential homebuilding over 2013, and with a projected job growth rate of 29% over the next ten years, it’s not hard to see why.

Texas has experienced a 21% increase in the number of new homes built over the first quarter of 2013. The metropolitan area of Dallas has experienced a 24% increase, with the biggest gains coming from Tarrant and Ellis counties. Tarrant has had a 56% increase over last year, and Ellis has experienced a 48% increase in that time. The Houston area has experienced moderate growth in comparison to Dallas, with a 16% increase for Q1 of 2014. Harris County has had an 18% growth in residential home building, and Fort Bend has had a 23% increase. The metro area with the highest rate of growth is Austin, which has seen a 27% increase in residential construction over 2013. The 38% increase found in Hays County is typical for the area. One exception is Williamson County, an area known for its progressive attitudes and embracing of transparency in local government, which has experienced a whopping 123% increase in residential homebuilding.

HBW serves builders in Alabama and Florida, and we’ve recently expanded our data reporting operation into Oklahoma as well. In addition to our Building Trend Activity for Residential Construction Reports, HBW can create a number of custom reports for any need you might have. We also offer exclusive White Paper Reports to help you market your business. White papers start by giving an overview of the trends in your area and then advice on how to turn your weekly building permit information subscription into successful business leads. To show you how we can help your business succeed, HBW is glad to provide you with complementary building data report or one of our specialized White Paper Reports. Contact us today and start making your business more profitable!