2017 has been a year of growth for the building products industry. In addition to exciting innovations within the industry, the more traditional sectors have also exhibited a tremendous amount of stability. Having previously reported on a number of partnerships, mergers and acquisitions, it is not surprising to see that growth in the industry continues with expanding lumber markets. We’ve collected information on some of the biggest expansions in the lumber industry, which could signal dynamic growth across a number of building product sectors.
Building supply company 84 Lumber continues to spread across the southeast with the opening of a new location in Ruskin, Florida. Having already opened another location in Riverhead, New York, in February of this year, 84’s expansion continues to reflect the incredible growth and success of the company, which ranks at number 6 on ProSales list of the nation’s 100-biggest building material distributors focusing on the professional building market. This only cements 84 Lumber’s position as a leading supplier of building products and serves as a promising signal to the expanding lumber markets in the United States.
The Oregon-based lumber and building supplies dealer, the 18th largest residential building supplies dealer in the United States, looks expand its success with the purchase of a 7.5 acre property about 15 miles west of Portland on which they plan to open a second facility dedicated to the manufacturing and assembly of roof trusses. This plant is expected to introduce 30 full-time jobs as well as increase Parr’s competitiveness in the building market. This is an exciting prospect, not only for the expanding lumber markets, but for a company that, with over $400 million in sales last year, came in at number 17 on ProSales 100 for 2017.
A 19-year-old company that already generates more than $500 million in annual revenue, U.S. Lumber is positioning themselves for even more aggressive growth by way of a “strategic growth investment” from Madison Dearborn Partners, a private equity firm based out of Chicago. Serving over 4,000 pro and retail dealers in 23 states, such an investment greatly expand supplier relationships and customer offerings of the company. Having already acquired Boston Cedar in April of 2016, U.S. Lumber is preparing themselves to be leaders in the expanding lumber markets by way of this aggressive investment.
U.S. Lumber, Parr Lumber and 84 Lumber are only a few of several companies in the building products industry that is experiencing growth and preparing themselves for an expanding building sector. There is also the acquisition of four locations by Hardwood Distribution’s Rugby Unit, as well as two acquisitions by Foundation Building Materials. The bottom line is that these expanding lumber markets not only signal fiscal growth but a growing need for qualified talent. This is where professional recruiters like those at Davalyn Corporation can contribute nearly three decades of experience with locating and recruiting the best talent in the building products industry. As your companies prepare for the direct or indirect benefits of these expanding lumber markets, make sure you have the dynamic talent needed to handle such growth.