Client Spotlight: The Dernehl Company



By: Christine Barrett

In 1972, a young man from the suburbs of Milwaukee had a dream. That dream was to be a professional golfer. So when a neighbor who worked for Standard Oil knew of a Construction Superintendent position available in Atlanta, a young Bob Dernehl jumped at the chance to move south to warmer weather and work on his golf game.

The commercial construction job didn’t really suit Bob’s personality, and before long he found himself doing carpentry work for another contractor. Bob then went out on his own to found the Dernehl Company in 1974. Later, with the dream of a professional golf career still in his head, he moved to Hawaii. After a year in Hawaii he returned to Atlanta. 

Then, in March of 1985 after being back in town just two days, Mother Nature had a hand in determining the direction of Bob’s career.  A  tornado went through a 3-4 mile stretch of Buckhead, demolishing businesses and homes.  The Dernehl Company took off, remodeling damaged homes as well as building new homes in the Buckhead area.  This continued well into 2001, until Bob and his family decided to seek a quieter lifestyle, and move to the North Georgia mountains.

Bob Dernehl and Brody Dernehl enjoy
riding their dual sport bikes in North GA.

The Dernehl Company began developing and selling land, as well as building homes and several beautiful barns in the Hiawassee area.  Life was good, Bob had more time to play golf, and his family was enjoying various outdoor activities.

 
The Great Recession changed the course, though, and in 2008 Bob and his business partner Bob Hearn found themselves back in Atlanta.  The Dernehl Company completed the restoration of the former Roxy Theatre in Buckhead. Today the Buckhead Theatre hosts many different performances and events, including concerts, comedy, lectures, and Broadway plays.

At the same time, Bob’s other partner, his son Brody, expanded the company into the Los Angeles market.  There he began doing commercial construction and renovating homes. While growing up in a construction family, Brody learned first-hand all of the phases of construction and today is very instrumental in managing many of the company’s large projects.

Another interesting project in The Dernehl Company’s portfolio is the construction of Dantes Down the Hatch in 1979. The Dernehl Company also renovated Dante’s Down the Hatch restaurant after it caught fire in February of 2001. Sadly, the 43 year old fondue restaurant with its 18th century sailing ship theme – complete with crocodiles – closed earlier this year. The Dernehl Company was called upon once again, this time in helping to disassemble unique items within the restaurant to later be sold at auction.

We recently sat down with Bob and Brody to get their take on construction in the Atlanta market. “It seems like the construction market is starting to move again.  We’ve got 18 months to 2 years worth of work ahead of us,” Bob said.  “There is strong demand for homes in the $500-600,000 range,” said Bob, whose company constructs homes in the $600,000 to over $2+ million dollar category.  While not as busy as 2006, when they had as many as 10-11 jobs going at any given time, Bob and Brody say they can now manage 5 large projects at once without having to hire any additional labor.

This Custom home by The Dernehl Company features 
hand-cut stones from granite blocks.

Today, The Dernehl Company gets much of their work through several architectural firms that they’ve developed close ties with, including
Harrison Design Associates. Those relationships, combined with their extensive customer base from remodeling and building additions over the years has ensured that work will remain steady for quite some time.  “Your best advertisement is a happy customer,” said Bob.

Bob and Brody’s business philosophy is simple and straightforward. “Really good communication with the customer is important in any construction job.  Handling any and every concern right when it happens is the key to a successful job and a happy customer,” Bob explained.  “You can never justify poor workmanship, but you can usually explain the costs.” Dernehl feels very strongly that although a customer may be unhappy with an occasional cost over run, they will never forgive a quality issue.

“If you’re going to do something, do it right or find something else to do,” said Bob.  “Do the best job that you can, and be honest.  When you can trust someone, and they prove to be trustworthy, that is something that I value more than anything.  If someone trusts me, I have to do everything in my power to meet that expectation.  I want to be able to look in the mirror and know that I did the best job that I can.”

“You can’t please everyone, but you can get close,” said Bob.  “It is better to lose a little money and make things right with your customer, than to have a bad reputation.  One bad job and you’re finished.” 

The Dernehls’ commitment to quality and superior customer satisfaction is what has kept them successful and in business for over 40 years. “As a custom home builder, it is important not to get over extended.” he added.

We asked Brody what he considered to be the best advice he ever received from his father.  “Be honest, work hard, and don’t live beyond your means,” he answered.  “I’ve been very fortunate to have grown up around ethical, professional people.”

Among the many projects in 
The Dernehl Company’s Portfolio is this beauty.

Herbert Construction Company recently completed a foundation for a 14,000+ square foot custom home in Buckhead for The Dernehl Company.  “It is amazing when you think about how many pieces or parts go into building a house,” said Bob.  “There is a lot of coordination that goes into working with all the different trades.  We can’t afford to use someone just because they have the lowest price.”

“Now you guys (referring to Herbert Construction Company), you guys get the job done right!” he said smiling, while snapping his fingers three times for effect. “If we don’t get a good foundation, we’re fighting it throughout the entire house construction.” 

The Dernehl Company benefits from the pinpoint accuracy of Herbert Construction’s robotic total station layout instrument, which ensures a correct, square foundation.

“The best thing about Herbert Construction Company is how you layout and check the walls multiple times to make sure my foundation is exact,” said Brody.  “David Summey (General Superintendent for Herbert Construction), is always very good about communicating with me.  When you guys commit to something, I know it will happen. You make our job easier.”  Brody continued, “We would not hesitate to refer Herbert Construction Company to others.”

 The team at The Dernehl Company is anticipating a strong 2014, just as we are here at Herbert Construction Company.  We are also looking forward to working with Bob and Brody on their future projects.