US Market Update

Posted by Dave Farley
April 25th, 2013

A few comments, suggestions, and ideas that may be of interest…

Last week, I had the pleasure of driving across the great State of Texas, meeting with builders and distributors in Austin, Houston, and San Antonio. The southeast corner of the State, along with Dallas, continues to be the economic engine of the region leading the US in construction activity. This is readily apparent as you drive into the city of Houston. The suburbs surrounding Houston are abuzz with construction activity with new subdivisions and multi-family housing developments sprouting up throughout the region. Housing starts in the greater Houston region are up 27% over 2011 with 23,480 homes either being built or are under construction for the 2012 year. When you add in multi-family building and a strong light commercial construction sector, you can really appreciate how busy the region is.

What’s the best way to take advantage of this activity? As always, getting your product in front of buyers and end users is the first step. Two key building product distributors in the State are McCoy’s Building Yard and Tomball Forest Products.

McCoy’s is a family owned building yard and supplier to the residential and light commercial construction industry. They have 80+ stores spread throughout the States of Texas and Arkansas and as such, are significant players in the building industry throughout the region.

Like McCoys, Tomball Forest Products is a family owned timber and building product supplier active throughout the southeast region of Texas. Tomball is a two step wholesaler, selling softwood and dimension lumber materials to building across Texas. Tomball specializes in Western Red Cedar and currently works with a number of BC mills and remanufacturers.

In conversations with buyers from both companies, a common theme was heard. They are both extremely busy and have had strong sales activity. In fact, both firms mentioned that the last quarter represented the best sales over the last five years. They are cautiously optimistic that construction activity in the Texas market will continue to develop.

Finally, the good news is that BC Wood members will have the opportunity to meet with these two key players in the Texas market as both are expected to send buyers to the GBM this September. If the Texas market is of interest, or if you want more information on this or other markets in the US, please contact me at dfarley@bcwood.com

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