Message from Doug...

Positive Reports Signal an Improved Economy

Americans’ confidence in the economy soared in November. That is good for us in the construction industry in Atlanta, as well as the entire nation as a whole. That will show itself in strong holiday spending as well as growth next year.

The Conference Board’s monthly index of consumer confidence soared to 107.1 in November. This was the highest it has been since July 2007. Americans spend more when they are confident in the economy and its future.

The report also shows that Americans feel much better about the job market. Nearly 27% of respondents in the survey said jobs were “plentiful,” which is the most since August 2007. Historically, a high number like that has pointed to solid job growth ahead.

Trump’s Lofty GDP Goal

During President-elect Donald Trump’s campaign, he pledged to bring jobs back to America and increase overall economic growth. In a September speech, he said, “It’s time to establish a national goal of reaching 4 percent of economic growth.”

Over the last four decades, only Bill Clinton has come close to a 4% GDP rate, averaging 3.9% while he was in office. President Obama has averaged only 1.5% GDP.

While some economists believe 4% would be a tall order, many have improved their GDP forecasts based on Trump’s proposals to cut taxes and increase spending on infrastructure. They believe a GDP rate of 2.5% may be more likely in 2017 and 2018.

U.S. Presidents’ GDP Annual Average

Jimmy Carter (1977-1980), 3.3%

Ronald Reagan (1981-1988), 3.5%

George H.W. Bush (1989-1992), 2.3%

Bill Clinton (1993-2000), 3.9%

George W. Bush (2001-2008), 2.1%

Barack Obama (2009-2016), 1.5%

Source: Marietta Daily Journal

U.S. Home Prices Improve

The Standard & Poor’s CoreLogic Case-Shiller national home price index is slightly above the peak it set in July 2006. That high point comes after four years of steady gains.

David Blitzer, managing director at S&P Dow Jones Indices said, “The new peak set by the S&P Case-Shiller CoreLogic national index will be seen as marking a shift from the housing recovery to the hoped-for start of a new advance.”

The ongoing recovery in home prices will increase Americans’ household wealth and grow the equity in their homes. This should provide an incentive for homeowners to consider selling their home and moving into another one.

In spite of the recent S&P report, other sources say there are still challenges in housing markets around the county. In many cities, home prices have not fully recovered and remain below their peaks. The quick rise in home prices has created an affordability issue in many markets as prices have outpaced household incomes.

According to S&P, home prices have increased at a 5.9% annual rate, adjusted for inflation. During that same time, Americans’ after-tax incomes have increased just 1.3%.

In spite of some housing challenges around the country, many Americans are optimistic about the upcoming year. They expect to see improvements in their income and household wealth. I hope you receive both of those in the coming year.

To Your Success,

Recent Referrals - Thank You!

Christmas is almost here and the hustle and bustle of the holiday season is in full force everywhere you look. Lights, family, gift-giving and good food abound this time of year and that is what makes it truly magical. Here at Herbert Construction we are very thankful to our customers and associates who continue to refer our company to others. You guys are AWESOME!

Shane Spencer, MJC Southside, Inc. – Masonry Contractor  www.MJCSouthsideInc.com

Darrell Sheets, The Erosion Company – Erosion Specialist  www.TECompanies.com

Bob Hupp, Traton Homes – Homebuilder  www.TratonHomes.com

Herbert Const. Co. Wins National Project of the Year Award

Glenn Gilbert (right) of Outsource Const. receives a 

Project of the Year Award from Doug Herbert.

Earlier this year we completed a commercial project for Glenn Gilbert of Outsource Construction. The project consists of two buildings that will house trendy restaurants and retail stores near the popular area of Howell Mill Rd. at I-75.

The project was so unique and interesting that we entered it into the Project of the Year competition held by the Concrete Foundations Association (CFA). For this competition, the best concrete contractors throughout North America submit their most challenging projects to vie for the prestigious award.

The entries are viewed and voted on at the World of Concrete convention in Las Vegas. More than 60,000 attendees from around the world attended this year’s convention.

And the Award Goes to…

We are pleased to announce that our project won the Project of the Year Award in the Commercial/Multi-Family category. This is our sixth year in a row to win a Project of the Year Award from the CFA.

The focal point of the restaurant/shopping area is this highly technical 

architectural concrete wall, which was constructed by 

Herbert Const. Co. and winner of a national Project of the Year Award.

For Glenn Gilbert of Outsource Construction, the project spanned nearly two years from inception to its current state. Glenn is building out the interior of Building 1 for a restaurant and professional offices. He is also beginning the shell of Building 2 now that the tenant profile has been firmed up.

Glenn has enjoyed seeing this project come to life and has been very satisfied with the outcome. Recently, we were able to speak with Glenn about his progress and marvel at the finishing touches being made since we completed the concrete work.

We presented Glenn with an award plaque as a way to say thank you for including us in this complex endeavor. We also imprinted a cake with an image of the concrete wall that we constructed as a fun way to celebrate the Award.

This project was smaller in nature than almost all of our other projects that we have submitted for the Project of the Year Award. However, what it lacked in size it more than made up for in its complexity.

Architectural Concrete Walls

The first building required highly technical work to create an architectural concrete wall that would serve as the focal point for the whole project.  What made this wall so special was that a large 12’-2 1/2” radius opening was created in the 18’-6” tall concrete wall. Patrons will walk through that concrete arch to enter the restaurant on the ground floor.

The architect and owner were very specific regarding the look they wanted to achieve for the architectural concrete wall. So, we decided that a different forming technique with specialized materials would achieve the aesthetic look.

We used a special forming system to attain the 

architectural concrete finish on the wall.

We chose an MDO plywood forming system to construct the wall. The large form for each section was built on the ground and tilted up into place using our boom truck. The form tie hole pattern was selected to provide a clean and uniform appearance. Also, to achieve the smooth finish requested by the architect and builder, a 4500 psi small aggregate concrete mix was used.

Our wall crews are accustomed to using our aluminum wall forms on a daily basis, so the plywood forming segment of this project required the assistance of Barry Herbert, CEO, who has extensive experience using this particular forming system. In addition, Mike Herbert, our Vice President of Construction, was called upon to supervise this unique project.

Tight Site Conditions

The second building that we constructed involved concrete footings and walls that would create a terrace level foundation. This building was squeezed into a very tight location, which required shoring of the existing soil to allow for a safe working area for our guys. 

The main level floor is concrete on metal decking, supported by steel I-beams. To accomplish this, 168’ of continuous angle iron was cast in place in the top of the 12’-0” tall wall. Eighteen beam plates were embedded in the face of the wall, and 80 anchor bolts were placed in the top of the wall for steel columns.

In addition to the structural steel considerations, a metal door frame and three window openings were placed in the wall.

The concrete walls had rebar reinforcing horizontally and vertically, on both faces. Vertical contraction joints in the wall with water stop added to the complexity of the project.

A Special Concrete Contractor

To celebrate the award, we gave Glenn Gilbert a cake that 

had an edible image of the project applied to the top of it.

When we spoke with Glenn Gilbert regarding the completion of this project he explained that he has never had to work with a poured wall contractor before. He stated, “I needed a special company, someone who had the knowledge to complete this type of concrete work to the specifications that were set. I was referred to you guys and I was impressed with your ability to accommodate our plans.”

There are very few concrete contractors in Metro Atlanta that can construct architectural concrete walls that match the design qualities that architects require.

“I consulted with Herbert Construction through several variations of this project. Once the development was released for construction, I knew that they were the ideal concrete contractor for this project,” Glenn said.

During our recent walk-through of the buildings, it was really nice to see how the architect, Andrew Robertson of ASD/SKY, designed them to fit in so well with the community in which they were built. Unique features include open Amphitheatre seating, stacked rock benches and exposed brick work inside the restaurant. We are proud to be a part of this project.

Thank you, Glenn, for involving us in this project. We hope to work with you on many more projects.

2016 36th Annual Obie Award Winners

Congratulations to our clients that were recent winners of the OBIE awards presented by the Greater Atlanta Home Builders Association and the Atlanta SMC.

Vincent Longo Custom Builders/Longo Homes Inc.

- Residential Remodeling (Silver Award) – Best Kitchen over $50,000

- Residential Remodeling (Silver Award) – Whole-House Renovation over $500,000

Windsong Properties

- Single Family – Zero Lot Line $300,000 to $399,999

- Single Family – Zero Lot Line $400,000 to $499,999

Traton Homes

- Single Family – Detached $600,000 to $699,999

- Best Interior Merchandising – Detached $700,000 to $799,999

- Best Social Media Campaign – Builder/Developer

- Best Interior Merchandising (Silver Award) – Attached $500,000 to $599,999

Principle Builders Group

 - Single Family – Detached $1 Million to $1.2 Million

FrontDoor Communities

- Single Family – Detached $400,000 to $499,999

- Single Family – Detached $900,000 to $999,999

- Best Social Media Application – Builder/Developer

- Best Interior Merchandising (Silver Award) – Attached $800,000 and above

Top Toys

Each year there seems to always be that one toy that has people lining up for miles in order to purchase. Here is a list of the most popular toys through the decades.

1920’s – Yo-Yo - An ancient invention, but made popular by Pedro Florez, who began manufacturing it in the U.S. He then sold his toy company to Don Duncan who launched the toy’s popularity into the stratosphere with his Yo-Yo Trick Contests.

1940’s – The Slinky- Created by a mechanical engineer who accidentally knocked over some ship springs and they walked instead of falling. After Christmas demonstrations at Gimbel’s Department store in Philadelphia, the first 400 slinkys sold within minutes.

1970’s – Star Wars Action Figures- Released in 1978, Star Wars action figures sold like hotcakes until 1985. They were relaunched in the mid 90’s before the release of three more installments of the space saga. Original 1978 action figures are now collector’s items worth up to $200,000.

2000’s – Wii- Holiday shoppers waited for hours for the Wii, which was cheaper than its competition (Sony Playstation 3 and Microsoft X-Box 360), and by Christmas Nintendo had sold some 3 million units.

Turkey Giveaway

For the last 5 years Herbert Construction has sponsored a Turkey Giveaway in November. The first four people who called Doug received a large Holiday Turkey personally delivered with a handshake. This has become one of our favorite traditions because it allows us to show our appreciation to our readers. Thank you all and Best Wishes for the New Year!

Scott Roark (left) of Harrison Development and 

Construction receives his holiday turkey.

Doug Herbert (left) gives a turkey to 

Jeff Neal of Neal Builders, Inc.

  

Venture Homes’ James Tillman (right) 

reserved a turkey for Must Ministries.

  

Ashley Hollifield gives a turkey to 

Rick Jackson of Jackson Contracting, Inc.