When 20 of the nation’s top plumbing apprentices competed for the title of “The Nation’s Best” during PHCC’s annual Plumbing & HVAC Apprentice Contests, the contestants, each sponsored by an industry manufacturer, were given a once-in-a-lifetime opportunity to demonstrate their knowledge and skills. Leading water heater manufacturer A. O.Smith sponsored the first place winner, James Read more
contractors
When 20 of the nation’s top plumbing apprentices competed for the title of “The Nation’s Best” during PHCC’s annual Plumbing & HVAC Apprentice Contests, the contestants, each sponsored by an industry manufacturer, were given a once-in-a-lifetime opportunity to demonstrate their knowledge and skills. Leading water heater manufacturer A. O.Smith sponsored the first place winner, James Peterson, an apprentice with John J. Maurer, Inc.,of Cataumet, Mass.
“I’ve been in this industry for over 40 years and the level of talent that James possesses issomething you don’t come across often,” said John Maurer, owner of John J. Maurer, Inc. “This is a kid who attends night school so he can work a full-time job during the day, and still manages to finish first in his class.”
The competition featured hands-on tasks that consisted of installing both the plumbing rough and finish for a full bathroom, including setting of the water closet, lavatory and trimming out the shower.
Six industry professionals observed the competitors, judging them on accuracy of measurement,neatness, quality of workmanship, accuracy of plan interpretation, written instruction, andfinally, a pressure test.
“This is a challenging competition that serves as a great reflection of each contestant’s dedicationto knowledge and growth within the industry,” said Maurer. “You really have to be familiar withday-to-day, on-the-job training, and the benefit of participating in something like the PHCCApprentice Contest is seeing how you measure up against your peers and competitors.”
In addition to walking away with a vast amount of new tools, which were donated by theindustry’s leading manufacturers, Peterson was also awarded two trophies and $1,000 in prizemoney.
“Everyone at A. O. Smith is extremely proud of James and the hard work he put forth to preparefor this competition,” said David Chisolm, A. O. Smith’s vice president of marketing. “A. O.Smith is committed to ensuring that our contractor partners have the tools and training they need to be successful on any job.”
Magna Industries, Inc., best known for the iconic Mag-Torch brand hand torches, has kicked off the new year with the acquisition of Cleveland-based Superior Tool Co. Founded in 1947, Superior Tool is a leading manufacturer and distributor of innovative, professional-quality plumbing hand tools designed to make jobs faster and easier. “Along with Mag-Torch, Magna offers Read more
Magna Industries, Inc., best known for the iconic Mag-Torch brand hand torches, has kicked off the new year with the acquisition of Cleveland-based Superior Tool Co. Founded in 1947, Superior Tool is a leading manufacturer and distributor of innovative, professional-quality plumbing hand tools designed to make jobs faster and easier.
“Along with Mag-Torch, Magna offers a diversified product lineup for the consumer and professional markets,” according to Todd Whited, of Magna Industries. “Our products, as well as Superior Tool’s, are widely available through big-box retailers including Home Depot, Lowe’s and Menard’s, through Ace, True Value, Do-it-Best, Orgill and other fine hardware stores, as well as through industrial distributors such as Grainger and Interline Brands. Our product lines are highly complimentary and together, we expand Magna’s total offering to over 350 active SKUs.”
Magna is currently the leading torch supplier for co-op retailers, hardware distributors and automotive aftermarket retailers throughout North America. Lines include traditional and self-lighting propane torches & kits, MAP/Pro torches & kits, specialty torches, butane torches & kits, soldering irons, guns and supplies and accessories. Also at retail, the Sand & Kleen “Dustless Drywall Sanding Systems” and drywall tools.
“This exciting new relationship will allow Superior Tool access to expanded markets and provide a continuing flow of innovative new products for current and future customers,” observes Jeff White, of Superior Tool. “The combined management expertise will certainly elevate our ability to deliver a positive customer experience across all our B2B and consumer audiences.”
Superior Tool’s history of product innovation and corporate responsibility has powered the company’s growth to include an enormous range of tubing tools, wrenches & pliers, PVC tools, pipe tools and specialty tools for faucet, tub & shower, sink & drain, basin and other applications. Every Superior Tool comes with a lifetime guarantee backed by personal customer service.
Steady Growth Expected in Both Residential and Commercial Sectors Plumbing and HVAC contractors can look forward to a positive economic climate in 2016, with a continued increase in new residential and commercial construction. Strong sales of existing homes – including a growing number of purchases by move-up buyers – will support the remodeling market. However Read more
Steady Growth Expected in Both Residential and Commercial Sectors
Plumbing and HVAC contractors can look forward to a positive economic climate in 2016, with a continued increase in new residential and commercial construction. Strong sales of existing homes – including a growing number of purchases by move-up buyers – will support the remodeling market. However, an increase in interest rates, tight credit conditions may make it more difficult to finance expensive projects, and the 2016 presidential election and the threat of global terrorism remain wild cards for the U.S. economy.
“Across the country, builders can sell anything they construct,” said Lawrence Yun, chief economist, National Association of Realtors (NAR). “Demand for new homes exceeds supply, and it’s likely that many builders will be ramping up production in 2016.”
The National Association of Home Builders (NAHB) also forecasts strong growth in the New Year with 1,255,000 housing starts in 2016, up from 1,119,000 in 2015. That includes 877,000 new single-family homes and 378,000 new multifamily starts. As for home sales, the NAHB predicts 642,000 new single-family sales and 4,664,000 existing-single family sales in the next 12 months.
In a September housing report, NAHB chairman Tom Woods, said “It is encouraging to see new-home sales continue to tick upward. Builders are also increasing their inventory even as they face difficulties accessing lots and labor.”
Regionally, sales for the month rose 20.5 percent in the West and 4.5 percent in the South. Sales fell 28.6 percent in the Northeast and 8.6 percent in the Midwest. The inventory of new homes for sale was 232,000 units in November, a 5.7-month supply.
Looking at 2016 existing single-family and condominium sales, Yun says, “Move-up buying activity will be particularly strong. With rising values, owners will have more equity to purchase a more expensive home,”
However, a critical issue for many homeowners – as well as businesses – is the availability financing to pay for new projects. The Federal Reserve’s decision to raise rates in December for the first time in a decade will have a ripple effect upwards on both mortgage loans and construction lending. The NAHB projects that a typical fixed-rate 30-year residential mortgage will go up from 3.88 percent in 2015 to 4.55 percent in 2016.
“The Federal Reserve’s decision to raise short-term rates is the first of many increases over the next couple of years,” said Yun. “Although this first move will likely have minimal impact on mortgage rates, additional hikes will push borrowing costs to around 4.50 percent by the end of next year. With home prices expected to continue rising, wages and new home construction need to start increasing substantially to preserve affordability.”
On the positive side, Yun sees a continued improvement in mortgage availability. He notes that lenders are becoming more comfortable approving mortgage loans for buyers in the middle of the credit score spectrum.
“Since this is a presidential election year, there will be much discussion about tax breaks,” Yun said. While Congressional action is unlikely in 2016, it’s possible that the mortgage interest deduction for second homes or the 1031 property exchange program could be changed in 2017 or beyond.
The commercial sector
Sustained job growth throughout the country and improving credit conditions are expected to support an increase in commercial real estate activity, according to an NAR forecast.
“Temporary turbulence in the financial markets, a stronger U.S. dollar hurting exports and economic weakness overseas chipped away at third quarter growth and led to some deceleration in the pace of commercial investments,” Yun said. “The good news is that these deterrents are slowly residing, which should ultimately reawaken the growing appetite for commercial space heading into 2016.”
National office vacancy rates are forecast to decrease 0.8 percent to 14.8 percent in the coming year as continued job creation drives demand. The vacancy rate for industrial space is expected to decline 1.4 percent to 9.7 percent, and retail availability to decrease 1.3 percent to 11.3 percent, according to NAR.
With new apartment construction projects coming through the pipeline in several markets, multifamily vacancies are forecast to increase over the next year, from 6.1 percent to 7.3 percent.
Regionally, several states in the South and West have outperformed the rest of the country in job growth over the past year. Led by strong demand for apartments from faster household formation and rent growth, metro areas in those states are expected to see elevated levels of new construction, which will lead to a slight uptick in vacancy rates.
“The best days for multifamily housing could be winding down as new construction has already surpassed historical averages,” adds Yun. “This sector has been the industry’s top performer over the past several years as a result of younger households struggling to become homeowners and the demand for apartments far exceeding supply in many markets.”
Remodeling market may soften
Remodeling projects and home additions are an important part of the day-to-day business for many plumbing, heating and HVAC contractors – especially in states with stable or declining populations. In that regard, a third-quarter survey by the National Association of the Remodeling Industry (NARI) found a softening in this market sector.
The most recent NARI Remodeling Business Pulse (RBP) data of current and future remodeling business conditions stood at 6.03 (above 5 indicates growth), a decline from the 6.48 recorded in June. While still positive, this rating points to slower growth in the months ahead. The NARI study showed:
- Number of inquiries was down 4.6 percent
- Requests for bids was down 4.0 percent
- Conversion of bids to jobs was unchanged
- Value of jobs was down 4.6 percent
“Remodelers are becoming more realistic and accepting of the slow growth other economic indicators are confirming,” said David Merrick, chairman of the NARI Strategic Planning & Research Committee. “We are adjusting to slow sustainable growth and are less optimistic. Our customers are being careful about budgeting and taking on bigger projects, so leads may be down a little, but the leads we are getting are more focused and on target and budget oriented.”
However, about 53 percent of remodelers in the survey expected business growth in the coming months, compared with only 15 percent seeing any level of decline.
A new generation of owners
One of the key trends of 2016 and the years ahead is the arrival of the Millennial generation. Now in their 20s and 30s, these young adults will be buying homes, launching entrepreneurial businesses and playing an increasingly greater role in the U.S. economy.
“Young adults, who make up the majority of all renter households, are typically more optimistic about their future,” said Yun. “As more of them settle down and begin plans to start a family, the allure of owning their own home as well as the long-term financial stability homeownership provides will drive their emergence into the housing market. However, the extent to how fast this occurs will greatly depend on more entry-level housing supply coming onto the market and needed improvements in affordability conditions.”
Unico’s popular new heat pump, the iSeries outdoor unit with inverter technology, has become even more popular this fall and winter as contractors are taking advantage of a $500 rebate from the manufacturer. Unico has been sending U.S and Canadian contractors a $500 check for every unit they’ve sold this year between August 1 and Read more
Unico’s popular new heat pump, the iSeries outdoor unit with inverter technology, has become even more popular this fall and winter as contractors are taking advantage of a $500 rebate from the manufacturer. Unico has been sending U.S and Canadian contractors a $500 check for every unit they’ve sold this year between August 1 and December 31, according to Scott Intagliata, marketing director for Unico. The offer is available for both residential and commercial applications.
Intagliata says HVAC contractors like the outdoor heat pump’s high-efficiency ratings, as well as having the ability to match it to Unico’s high-wall splits or ducted units, or a combination of both, operating at the same time from one outdoor unit.
“The iSeries is the first and only multi-split product that combines the best of ducted and ductless technology,” Intagliata said. “This means you can give customers the advantages of the Unico System – even temperatures, no drafts, and small ducts for better aesthetics – along with high wall units to help solve design or construction challenges.”
The iSeries line has been well-received since its introduction a year ago. The outdoor unit achieves high SEER ratings when paired with Unico high-wall units or a combination of high-wall units and ducted units. The heat pump operates efficiently in a wide outdoor temperature range, from -25 degrees F to 122 degrees F. It features antifreeze protection and an intelligent defrost system, and is compatible with UniZone, Unico’s damper system for up to three zones.
The iSeries heat pump operates continually at various speeds, but never completely shuts down. The unit makes small, incremental changes to most efficiently meet the load request. In a traditional system, however, every time the system cycles on it must ramp up to full operating power, requiring a tremendous amount of energy.
“Standard HVAC systems are constantly cycling on and off, consuming a great deal of power. Inverter technology is so much more efficient and will really help customers reduce energy consumption and utility costs,” Intagliata said.
Unico introduced the iSeries in the U.S. in 2014 after it entered a partnership with Argoclima, an Italian manufacturer that has produced the high-efficiency HVAC line for several years. The iSeries combines the Italian-made outdoor unit with Unico’s American-made air handler and has found a strong niche in custom homes as well as retrofits in older homes.
The iSeries is available in four sizes from 1.5 to 3-ton capacities. The air handlers include the ability to heat with boiler heat as secondary heating source. No other inverter drive unit has this capability.
Perfect for plumbers, DIYers or other tradesmen, Olympia’s WD180 is a mini lantern with many versatile features and can be taken almost anywhere. In addition to sitting upright, you can kick out its feet to angle the light or use the built-in D-ring to hang it. The magnetic base makes it convenient for mounting on Read more
Perfect for plumbers, DIYers or other tradesmen, Olympia’s WD180 is a mini lantern with many versatile features and can be taken almost anywhere. In addition to sitting upright, you can kick out its feet to angle the light or use the built-in D-ring to hang it. The magnetic base makes it convenient for mounting on any metal surface.
With 180 lumens, this mini lantern can light up sink cabinets or other work areas. It is rechargeable with a built-in micro-USB charging port and has multiple brightness settings. It is available for purchase at www.olympiaproducts.com for $29.99.
