News and Opinion from Sisters, Oregon

Playing the construction 'game' 

Most contractors would not consider construction a "game" even in the best of times. Certainly it is anything but that in these uncertain economic times. However, the construction climate is not as bad as some may think. Although some construction firms are hurting, others are holding their own, or even growing.

Cliff Landers of Ponderosa Heating & Cooling says his gross revenue is down just a bit, but he actually has more employees than a year ago. He attributes that to the large volume of retrofits and service work that they do besides servicing several custom home builders.

Many people are deciding to stay in their homes a while longer and want greener, high-efficiency furnaces and heat pumps. Landers said he is glad he is not in the speculative section of the market.

That sector seems to have been hit the hardest.

Hoyt's Hardware & Building Supply is down two or three employees since last year, according to Chuck Hoyt. But he sees this as a minor correction because Sisters was in extreme boom times the previous few years. He says lumber is at about a 20-year low and it is a great time to build or remodel.

Kerry Borsch of Pacific Rim Painting says his business is up 20 percent from last year. He primarily does house re-painting.

Curt Kallberg of Kallberg Construction says his business is even with a year ago. He is still finishing large projects that were already in the pipeline. He still has all the same employees he did, and hopes to keep them going right on into next summer.

He does anticipate a slight lag or "pothole" next spring or summer before getting new projects underway, but he says "I'll take my chances right here in Sisters over anywhere else in the state. People want to move to this desirable place and this market will rebound faster than anywhere."

Ponderosa Forge's gross is down 25 percent this year, but owner Jeff Wester said he anticipated a downturn earlier and laid off two employees in spring. His work is still going strong, with lots of fireplace doors and other items not necessarily associated with new construction. He has a handful of general contractors who are still bringing him work on new homes.

Fred Woodworth's Brothers Handyman & Paint business is off 50 percent in home inspections but up 50 percent in painting. Apparently it pays to diversify.

Bruce Merrell is the owner of Laredo Construction in Sisters.

 

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