Construction Today - March 2012 - (Page 84)
Forino Co. has 22 active developments and approximately 1,600 buildable lots in inventory.
Residential | FORINO CO. L.P.
TONY FORINO KNOWS HOW TO HANDLE ECONOMIC SLOWDOWNS, BUT IT LOOKS LIKE BUSINESS FINALLY IS PICKING UP. BY RUSS GAGER
Forino Co. L.P.
www.forino.com • Projected 2012 revenue: $40 million • Headquarters: Sinking Spring, Pa. • Employees: 75 • Specialty: Single-family homes
n the construction industry since 1970, Forino Co. President Tony Forino knows an operation has to stay flexible to be in the business for the long run. That flexibility has enabled his company to shift its game plan for residential homebuilding and take on additional municipal business to keep his employees busy. “We’ve changed our game plan for our industry, where we do a lot of the work ourselves,” Forino points out. “We are state-certified now. We do additions, we do some industrial work and we do a lot of municipal work. We used to do that in the mid-1970s when we first started. We used to do concrete work, excavation for other people and other businesses. That has helped us survive the downturn and keep our people employed. We will continue to do that even when the homebuilding comes back. My job is to make sure people have a job, and we’ve accomplished that pretty well during this crisis.”
Forino is operating 22 active developments in Reading, Lancaster and Berks Counties and one in eastern South Carolina. The company – which purchases and develops the land and builds on it – has approximately 1,600 buildable lots in inventory and has built nearly 1,500 homes in the last five years. The company offers an entry-level, 1,400-square-foot ranch home starting at $160,000. “Our median price used to be in the $240,000 range,” Forino remembers. “Right now, people are taking amenities out and not really buying many extras as opposed to where they were before. They’re looking for the largest square footage. People aren’t purchasing as much as they used to. Five years ago, the average extras in a home would exceed $35,000 in a $240,000 home. Now it’s closer to $5,000 – that’s how much different it is. Interest rates are much lower, but what people fear is their job security.” Forino says people continue to be cautious in
“My job is to make sure people have a job, and we’ve accomplished that pretty well during this crisis.” –Tony Forino, president
today’s economy. “They just want to move in and maybe do some changes later on,” he observes. “We’ve seen that where people do not purchase more extras, and then they say, ‘We’ll put our crown molding up later,’ as opposed to having it done upfront. The biggest drawback you have today is people really don’t understand that it’s easier to place all their extras in the home when you’re building it as opposed to trying to do it later on. It’s more cost-effective, and you can place it in your mortgage.”
Variety of Plans
Forino offers more than 40 different home plans to his customers, who range from entry-
CONSTRUCTION-TODAY.COM MARCH 2012
Table of Contents for the Digital Edition of Construction Today - March 2012
Construction Today - March 2012
JC Beal Construction – Brod - erick Tower redevelopment
Pyramid Companies – Destiny USA
EllisDon – Yorkdale Shopping Center
HBD – Dierbags
Marous Brothers Construction
Roy Anderson Corp. – Margaritaville Casino and Restaurant
Foulger-Pratt Contracting LLC – Lorton Workhouse Arts Center
Penn Builders Inc.
Turner Finch Construction – University of Kentucky Center for Applied Energy Research
Bouygues-Bird Joint Venture – Royal Canadian Mounted Police E Division Headquarters
Camden County Improvement Authority: Cooper Medical School of Rowan University
Coreslab Structures (OKLA) Inc.
Hensel Phelps Construction Co. – City of San Antonio Public Safety Headquarters
Kjellstrom + Lee Inc. – UVA Barry & Bill Battle Building
Hensel Phelps – High-altitude Army Aviation Training Site
Texas A&M University – Northside Residence Hall
Milton J. Womack Inc./JE Dunn JV – Our Lady of the Lake Heart and Vascular Tower and Trauma Center Expansion
AvalonBay Communities Inc. – Avalon Park Crest
Powell Construction Services LLC
AvalonBay Communities Inc. – AVA H Street
Fortune-Johnson General Contractors
Current Builders – The Residences at Lakehouse
Mill Creek Residential Trust LLC
Black Hills Corp. – Pueblo Airport Generation Station
URS Corp./Alberici Constructors Inc. – Olmsted Dam Project
APEX Block Corp.
BMW Constructors Inc.
Construction Today - March 2012