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Concrete Homes Newsletter
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Concrete Homes Newsletter > 2008 > November/December
November/December 2008
Concrete Homes Industry Mirrors Overall Housing Market
As the housing industry started to realize it was headed for a downturn, it appeared no one was immune to the decline. Concrete wall systems were no exception, as 2007 market share dropped to 10.8% from 13.2% in 2006. According to Craig Schulz, PCA Director of Market Research, almost all of that decline can be attributed to the housing market in Florida. Schulz explains, “The share of concrete block systems nationwide declined from 8.3% in 2006 to 5.8% in 2007, a 2.5 percentage point drop. However, in Florida, concrete block maintains about a 70% share and Florida has been especially hard hit by the housing decline. In 2007, Florida single family detached housing starts declined 57% compared to 2006. This compares to a decline of 27% for the rest of the country.” Schulz added, “If you remove the Florida effect, block’s market share would have declined a minimal 0.2 percentage points.”
On a more positive note, insulating concrete form (ICF) systems actually increased market share from 3.2% to 3.4%. While the data show an increase in 2007, the historical data series for ICFs has been adjusted downward, based on primary research conducted by the PCA market research department. “In the past, we have had to rely on secondary sources of information regarding ICF systems,” states Schulz, “and while those sources gave good indications about trends, they were not as good in determining levels. Last year, PCA surveyed homeowners who had recently moved into new homes concerning their above-grade wall systems, and this project resulted in ICF share estimates we are much more confident in,” Schulz added.
A further magnification of the impact of the Florida housing market’s effect on the national numbers can be seen by talking to concrete homebuilders in other areas of the country. Dan Thomas, an ICF builder in North Carolina, felt 2007 was “a very good year for my business.” Approximately half of the homes he built were specs, and the other half were custom.
Brian Bock of DuKane Precast, located in northern Illinois, says that in 2007 “[we] started to pick up some significant multi-family housing projects. Precast is much more advantageous in the multi-family sector.” DuKane did build a select number of single-family homes, all custom, even though “we weren’t putting a focus on that segment of the market.”
The slowdown seen in 2007, the continued housing slump in 2008 and the anticipated low number of housing starts in 2009 offer a glimmer of hope in one regard: more time for builder education. Jim Niehoff, Director of Residential for the Portland Cement Association explains; “I think, regardless of the economic situation, the momentum behind the sustainable movement is here to stay, and whenever the housing market regains traction, homebuyers are going to want homes that are more sustainable than the typical wood-frame house. Concrete homes already provide that; it’s just a matter of educating those builders who now have the time to learn.”
Both Thomas and Bock reinforced those thoughts. When asked why homeowners chose to build concrete homes in 2007, Thomas said, “The main reason was safety from hurricanes and tornadoes.” Bock commented that for precast wall systems, “cost and speed are king, but energy-efficiency is growing in importance and will be a major driver in the next few years.”
Innovative Green Home Wins Multiple Homearama Awards
The Tidewater Builders Association drew more than 100,000 people for Homearama 2008 in Virginia Beach’s Ashville Park subdivision on October 3-19. The annual showcase featured seven homes with the latest innovations in design, products, architectural features, and landscaping.
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The home constructed by Miller Custom Homes of Virginia Beach won multiple awards in this year’s event. The home received the Excellence in Building Award, Most Environmentally Sensitive, Best Green Feature, and Best Usage of Concrete. The Earthcraft-certified green house, built of brick veneer over Polysteel insulating concrete forms, features green products such as solar panels that sell electricity back to the power company, a greywater recycling system, geothermal HVAC, a whole-house backup generator, conditioned crawl space and attic, simulated-slate 50-year recycled-rubber shingles and tankless water heaters. Builder Chuck Miller guarantees a $115-a-month utility bill for this 6,571-square-foot home with 5 bedrooms and 6 baths.
While the Homearama 2008 was smaller than in past years due to the economy, the opportunity was greater for building awareness of the benefits of concrete products. A builder attending the event stated that with the public interest in green building and energy conservation, concrete is the product to use in today’s market.
New American Home Construction Complete
Work is now complete on the 2009 New American Home (TNAH), the official Show Home of the National Association of Home Builders (NAHB). For the 6th consecutive year, concrete products played an important role in the construction of TNAH. Its exterior walls, including the walk-out basement, were built with energy-efficient insulating concrete forms, provided by ARXX Building Products. An area of the garage will feature polished concrete, while the exterior landscaping utilizes retaining walls and the Maduro stone line of concrete pavers from Bradstone, an Aggregate Industries company. The exterior finish will be a combination of stucco and manufactured stone. Blue Heron is applying for the highest-level “Emerald” status under the newly established NAHB Green Building Standard.
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The home was constructed by prestigious Las Vegas-based builder and developer Blue Heron, Inc., with architectural design by Danielan Associates and interior design by Robb & Stucky. The four-level house is located near McCarran International Airport in Las Vegas, about 15 minutes from the Convention Center. TNAH will initially be open during the 2009 International Builders Show, January 20-23, and is expected to remain open for some time as a model residence for Blue Heron’s 14-lot development. For more information on the home, visit www.tnah.com.
ICFA Forms its Future in Portland
The Insulating Concrete Form Association (ICFA), held its annual Expo and Meeting in Portland, Ore., last week. More than 350 attendees had an opportunity to visit with ICF manufacturers and product vendors and attend educational sessions.
The organization also presented its 2008 ICFA Excellence Awards, Contractor of the Year Award, and the “Richie Scott” Award for contributions to the ICF industry.
In addition to participating in Board and Committee meetings, PCA residential staff contributed with presentations to the group. Donn Thompson provided an update on PCA’s new ANSI wall standard, and was a co-presenter for a session on rightsizing HVAC systems. Jim Niehoff gave a summary of the results of the 2007 PCA Home Builder Survey, and Mike Collignon presented an overview of PCA’s Concrete Homes, DIY Ad Zone and Concrete Thinker Web sites to assist ICF professionals.
For more information on the ICFA, visit www.forms.org.
Thanks to the Insulating Concrete Form Association for this article.
ICFA Design Winners Announced
The Insulating Concrete Forms Association (ICFA) announced the winners of the 2008 ICFA Excellence Awards at its annual Conference and Expo in Portland, Ore.
The Richie Scott Award, recognizing leadership in the industry, was awarded to Patrick Murphy of American Polysteel. The Contractor of the Year Award went to Harry Pilkington and Greg Fasano of Icons Structures of Fort Myers, Fla.
Even though the guidelines for the 2008 awards were revised to include more ICF-industry-specific information and criteria, a record number of applications were submitted through the new on-line process. The winners set new benchmarks for the industry in design and sustainability.
The Gold winners were:
- Large Commercial—The Brownstones at Maywood Park, Oklahoma City.
- Small Commercial—SouthFace Energy Institute, Atlanta
- Large Residential—Onekama Residence, Onekama, Mich.
- Small Residential—Vitale Extreme Home Makeover, Athens, Vt.
- International—Valencia Heights, Georgetown, Grand Cayman
- Sustainability Award-- Onekama Residence
For more information, visit www.forms.org.
Thanks to the Insulating Concrete Form Association for this article.
CCI Conference Brings Together Hundreds of Top Concrete Industry Players
The Concrete Countertop Industry Conference (CCIC), held August 21-23, 2008, at the Sacramento Convention Center in California, brought hundreds of people together for the industry’s networking and educational event of the year. At CCIC, sponsors, innovators, industry leaders, and numerous exhibitors converged to share invaluable information, technical guidance, product demos and support with anyone who is, or wants to be, a concrete countertop professional.
The fourth annual Concrete Countertop Industry Conference is planned for February 19-21, 2009 in conjunction with the Surface Fabrication and Design Expo at the Orange County Convention Center in Orlando, Fla. For more information about the 2009 CCIC, as well as photos of the 2008 event, visit www.ConcreteCountertopConference.com or call 866-844-0999.
Thanks to the CCI for this article.
Upcoming Events
PCA 100-2007, Prescriptive Design of Exterior Concrete Walls for One- and Two-Family Dwellings
New! Click here for a free article by PCA's Jim Messersmith, summarizing the history of the Prescriptive Method and outlining the changes offered by the new PCA 100.
New edition of prescriptive design standards for exterior concrete walls for one and two-family dwellings. This new consensus standard applies to the design and construction of concrete footings, foundation walls, and above-grade concrete walls built with insulating concrete forms or removable formwork. Ideal for residential architects, designers, and contractors interested in building homes combining cast-in-place wall systems with light-frame interior construction. Features diagrams and expanded design tables to simplify the engineering requirements for homes up to two stories plus a basement.
Click here for the book.
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