Garage door industry magazine for garage door dealers, garage door manufacturers, garage door distributors, garage door installers, loading docks, garage door operators and openers, gates, and tools for the door industry.
Issue link: https://idoi.epubxp.com/i/177021
MAnAGeMEnT (continued from page 29) equity, or "upside down," at the end of the frst quarter of 2013 fell to 19.8%, or 9.7 million according to data tracking frm CoreLogic.3 Nevada was the state with the highest percentage of mortgaged properties in negative equity at 45.4%, and Tampa-St. Petersburg-Clearwater, Fla. had the highest percentage of top-25 metropolitan areas at 41.1%. Of the 39 million residential properties with positive equity, 11.2 million have less than 20% equity, CoreLogic added. Slowing of Some Institutional & Commercial Construction Currently, many contractors are expecting a decline of about one percent from the earlier 2013 commercial and institutional forecasts. There are numerous short-term reasons for this slow-down, not the least of which is the continuing budget sequestration, but tight lending criteria are also having an impact. However, there is signifcant demand for facilities improvement, and many projects are simply delayed, waiting for funding or other procedural events. The Ever-Growing Market for Service & Replacements Studies of housing unit characteristics published by both the U.S. Census Bureau and by the Energy Information Administration division of the U.S. Department of Energy have both proven to be quite useful to ZCI in our continuing research into the Garage Door Industry. Coupled with ZCI studies of garage door confgurations, use, age and distribution, data from both of these extensive surveys has allowed us to update our understanding of the size, scope and details of the market for residential doors. The following tables display some of the summary details that we have recently updated. Total One-Unit Houses Multi-Units (units not structures) Mobile Homes, Boats, other quarters 133.0 91.0 33.0 9.1 with Garage Doors 79.2 65.1 12.6 1.5 without Garage Doors 53.8 25.9 20.4 7.5 Total One-Unit Houses Multi-Units (units not structures) Mobile Homes, Boats, other quarters 100.0% 100.0% 100.0% 100.0% Millions of Housing Units at mid-2013 Total Units % of Housing Units at mid-2013 Total Units with Garage Doors 59.6% 71.6% 38.2% 16.7% without Garage Doors 40.4% 28.4% 61.8% 83.3% volume awaiting doors dealers annually. Considering that the dollar value of the commercial aftermarket is almost 2½ times the size of residential work, is it any wonder we keep urging IDA members to emphasize the marketing of service? The housing unit total includes occupied as well as vacant units, and Thousands of In-Place GD Units % of In-Place GD Units 102,899.5 100.0% 80.3 0.1% One GD per 18-32 vehicles 150.0 0.1% One GD per 7 to 17 vehicles 378.6 0.4% Garage Door Confgurations Total Garage Door Units Buildings with Common Parking Facilities Private GD - Attached or Detached 1 one-car door 20,936.5 20.3% 1 two-car door 28,528.7 27.7% 2 one-car doors 28,763.8 28.0% 2 doors (1x2, 1x1) 1,896.4 1.8% 3 one-car doors 9,092.4 8.8% 3+ garage doors 12,334.3 12.0% 490.9 0.5% 247.6 0.2% Mixed (atttached & detached) Off-site garage(s) 1 2 2 excludes off-site parking arrangements which vary extensively for 1-unit structures only, excluding public parking Market Watch, June 12, 2013 30 1 One GD per 33 or more vehicles In contemplating the numbers realize that if only 5.0% of all existing garage doors were replaced annually, it would nearly double the prevailing quantity of retroft activity. Moreover, if only 5.0% of all residential doors are serviced annually, at an average invoice of about $125, there is almost $650 million of aftermarket 3 also includes seasonal, vacation and 2nd and 3rd homes. ZCI recognizes that not all garage doors are functional, and that replacement rates vary dramatically by region and home value. In coming GDI additions, we will be expand on the general U.S. summaries exhibited here. International Door & Operator Industry™ John E. Zoller and David H. Bowen comprise Zoller Consulting, Inc. of Wooster, Ohio. Zoller Consulting provides consultation of managerial effectiveness and financial performance of construction related businesses. They also offer customized seminars and training sessions. In addition, Zoller Consulting provides acquisition management, including fnding buyers or sellers, locating funding sources, transaction structuring, and negotiating and organizing the transition to new ownership. Contact Zoller Consulting, Inc. at 330.262.8500 or John@ zollerconsultinginc.com.