February | March 2018
Giving a Full Measure Wilford Clyde recognized by AGC for contributions to Utah’s construction industry over 40-plus year career
Also: 2018 Economic Outlook AGC of Utah Convention Recap USTAR Innovation Center CONSTRUCTION IS OUR BUSINESS, BUT WE MAKE IT PERSONAL
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(801) 765-7800 • 1565 West 400 North, Orem Utah 84057 • www.genevarock.com UC&D Utah Construction & Design Table of Contents
8 Publisher’s Message
12 Industry News
16 Concrete Solutions
18 Construction Law
20 Precast Concrete 22 Features
22 UMC 2017 Awards Utah Masonry Council honors David O. Anderson with ‘Lifetime Masonry Service’ award; RJ Masonry and Child Enterprises earn ‘Best of Show’ award for work on MTC South Campus Expansion.
28 Man of Many Hats CEO, Mayor, Chairman – 2018 Ryberg Award recipient Wilford Clyde has served in many prominent 28 business, civic and community roles during a distinguished 40-plus year career, with an influence that reaches beyond the construction industry.
32 Shining Star USTAR’s new Innovation Center in Clearfield is designed to aid entrepreneurial start-ups and other tech-driven firms.
36 Past It’s Peak? Local economic prognosticators believe 2018 will be a very good year for most Utah-based A/E/C firms, although some suggest growth will flatten somewhat.
46 AGC of Utah Convention Chapter honors Jon M. Huntsman Sr. with ‘Service to the Industry’ award; Doug Welling of 32 Jacobsen Construction installed as 2018 Chair.
50 AGC of America Marks Centennial
On the cover: Wilford Clyde, Chairman/CEO of Orem-based Clyde Companies, was honored with AGC of Utah’s Eric C. Ryberg Award at the association’s 96th Annual Convention in January. (photo by Dana Sohm)
Corrections: The December 2017 issue of UC&D did not give proper credit to Envision Engineering of Salt Lake City on the following projects from our Most Outstanding Projects of the Year competition: Cedar City Temple; University of Utah Crocker Science Building at the George Thomas Building; Midvale Middle School; Legacy Village at Sugar House. We regret the oversight and 46 congratulate Envision on its success on these award-winning projects.
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 7 < Publisher’s Message
Small Town Demeanor, Big City Impact UC&D Few people in Utah’s construction industry wield the power and influence ofWilford Clyde, yet you wouldn’t necessarily think Utah Construction & Design Magazine that initially upon meeting him, considering his friendly, low-key 3047 W Parkway Blvd. STE A, demeanor and approachability. Clyde is just as apt to talk to you Salt Lake City UT 84119 about BYU football or Utah Jazz basketball as he is any number of O: (801) 747-9202 complex subjects he’s been keenly involved with in just the past M: (801) 433-7541 couple of years. www.utahcdmag.com By day, Clyde is Chairman/CEO of Orem-based Clyde Companies – a group that oversees seven major subsidiary organizations that have combined revenues pushing the hallowed $1 Bradley H. Fullmer billion mark (Clyde said it hit $950 million in 2017) and has 3,000 employees at 50 locations in five Publisher/Managing Editor western states. In his ‘free time’ Clyde is the 2017-18 Chair of the Salt Lake Chamber, and is on the 16-member Utah State Board of Regents, the governing body for the Utah System of Higher [email protected] Education (he just re-upped for a second six-year term). At the end of last year Clyde also wrapped up two four-year terms as Mayor of Springville – a Ladd J. Marshall city of 33,000-plus residents just south of Provo where he has resided his entire life. He is fiercely Advertising Sales Director proud of his community and quick to point out that the Clyde’s were among the first Mormon [email protected] pioneers who settled in Springville in the 1850s. Grandfather W.W. Clyde founded the prominent heavy/civil construction company that bears his name in 1926 and many Clyde family members Jay Hartwell still call it home. W.W. Clyde’s brother, George Dewey Clyde, was Governor of Utah from 1957-65, Art Director but Clyde said that had little impact on his reasons for getting involved in various community [email protected] and work-related organizations. “I don’t consider myself a politician,” he says. “My family came to Springville in the 1850s, I’ve lived their all my life and we have a vested interest in seeing it be a good community. It was a lot of fun being involved (as Mayor).” As a side note, my mother Suzanne also hails from Springville (my family on the Harrison side was among the Mormon pioneers who settled in the area in the 1850s) and I consider it something of a ‘second hometown’ as it brings back tons of fond childhood memories). In our cover story (page 28), we look at Clyde’s career in the construction industry – he was recently awarded with the Eric C. Ryberg Award (kind of like the Oscar for lifetime achievement in the construction industry) from the Associated General Contractors of Utah – and his positive impact on the state in general. Speaking of the AGC, the national chapter is celebrating 100 years in 2018, while the local chapter held its 96th Annual Convention in January, hosting more than 2,300 people during the popular three-day event (pg. 46). In this issue of UC&D, our first of eight annually, we also summarize the opinions and thoughts of several local economists and key construction executives regarding the overall ‘Economic Outlook’ for the Beehive State in 2018 (pg. 36). I attended no less than a half dozen events where the economic forecast for Utah was the key topic, and by most accounts 2018 should be another banner year across the board for A/E/C firms. At least that’s the prevailing opinion and hope. That said, anytime a state experiences a consecutive monthly growth cycle over 8.5 years like Utah is currently in, it’s expected that a downturn naturally will happen, even Utah Construction & Design is published eight (8) times a year. Postage paid in Salt Lake City, UT. All rights reserved. Reproduction in whole or in part if slightly. Indeed, it was suggested by Natalie Gochnour, Director of the Kem C. Gardner Policy without written permission is prohibited. Subscriptions: $64.00 per year. Institute at the University of Utah, at the various events she spoke at that Utah is “past our Subscribers: If Postal Service alerts us that magazine is undeliverable to peak” in terms of economic growth, although optimism remains high for another really good, if present address, we need to receive corrected address. Postmaster: Send address changes to 3047 W Parkway Blvd. STE A, Salt Lake City UT 84119. To not great, year. subscribe or contribute editorial content, or for reprints, please call (801) We have a lot of exciting stories on our plate and a ton of world-class projects to feature, 433-7541 or email [email protected]. For Advertising rates/Media and we’re looking forward to working with many of you during the course of the year. We’re Kit, please call (801) 872-3531 or [email protected]. already 1/6 of way through it – if it keeps chugging along at this pace, we’ll all be signing ‘Auld Vol. 6 No. 1 Lang Syne’ before we know it! Just kidding – I’m in no hurry to rush through the next 9-10 months! Coming in the April issue of UC&D: LEED 20th Anniversary Regards, K-12 Market Glazing Trends
Bradley Fullmer
8 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18
> Industry News
ACI Spring 2018 Convention Coming to SLC SITECH acquires Monsen Engineering; Woodbury talks development to CSI members.
The Intermountain Chapter of the American Concrete Institute (ACI) is hosting more than 2,000 industry professionals from around the world during ACI’s Spring 2018 Convention March 25-29 at Grand America Hotel in Salt Lake City. Titled ‘Concrete Elevated’, this is the first time Salt Lake has hosted this international event since 1995, one packed with a host of educational/technical sessions, committee meetings and social events during the five-day convention. According to Tammy Meldrum, Executive Director of ACI Intermountain, attendees include engineers, architects, educators, manufacturers and material reps, plus students from 60 Monsen Engineering was recently acquired by SITECH Intermountain, a division of Wheeler Machinery. The universities competing in a fiber-reinforced purchase includes Monsen’s offices in Salt Lake City, Las Vegas and Reno, Nevada. concrete (FRC) bowling ball competition. “I think it’s a nice opportunity to Wheeler Machinery in Salt Lake City. powerful and incredibly advantageous showcase our state – we have a lot of great In addition to Monsen’s Salt Lake with huge cost savings for (clients). It’s concrete projects here,” said Meldrum. headquarters, the purchase includes something we wanted to be involved with.” “We’ve had great response so far. It’s going offices in Las Vegas and Reno, Nevada, Campbell said Monsen Engineering to be a fun event.” allowing Wheeler/SITECH to expand its will continue to operate with its same Meldrum said ‘Contractor’s Day’ on services regionally. name and same employees, something March 27 is an important day for the ACI Paul Campbell, Executive Vice that was important to retiring Monsen Intermountain Chapter and its member President of Wheeler, said the deal was in family members Richard Monsen and firms, with discussions on Seismic Design response to the rollout of the ‘One Trimble’ Paul Monsen, who have been with the and Restoration and a look at Provo concept more than a year ago. SITECH has company since its inception in 1974. Both City Center Temple, in addition to one sold Trimble’s machine control equipment have children working in key roles, with of Overcoming Challenges in Concrete since 2004, while Monsen became a Trimble Richard’s son, James (President the past Construction and a look at Cliff Lodge dealer selling surveying equipment in the two years) serving as General Manager. at Snowbird. Other tours include the mid-80s, so combining the firms’ expertise “With their backing, you’ll see LDS Conference Center and Salt Lake together seemed a natural fit. incredible growth out of us in the next Tabernacle on March 26, and the Utah State “It was a little over a year ago that couple of years,” said James. Capitol Base Isolation Tour and Bishops’ Trimble rolled out the ‘One Trimble’ Richard Monsen said a year ago he Central Storehouse on March 27. concept,” said Campbell. “It’s a connected was initially approached by another CAT process that is established and built upon dealer about selling, and then in July was SITECH Intermountain a technological platform – it’s the digital approached by yet another dealer, before Acquires Monsen Engineering connectivity of everybody who is involved Wheeler/SITECH came calling. Ultimately, Longtime Salt Lake-based construction in the project, all the way down to the Richard, Paul, James and the others figured and engineering supply company Monsen equipment. When that was laid out, a light that joining with such a strong company as Engineering was acquired January 31, 2018 went on for us, that this platform by which Wheeler made sense. by SITECH Intermountain, a division of customers do their work is incredibly “A year ago (selling) was the furthest
12 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 > Industry News thing from our mind,” said Richard. staff that includes attorneys, architects, “By mid-year the conversations were designers, development and sales experts, starting to resonate. Our companies have and support staff. such similar values…that’s why I feel so “We develop projects throughout comfortable about leaving my kids, our the Western United States, primarily employees, in their hands.” commercial office, assisted living, “We’re excited about the opportunity some apartments and other mixed-use and how Monsen and SITECH can work developments,” said Woodbury. “We run together,” said Jonathan. “We view it as a the scale of a lot of different types of symbiotic relationship.” projects. We currently have about $300 million worth of projects in the process, so Woodbury Talks we have a lot of balls in the air.” Development at CSI Meeting The firm also manages a private Lynn Woodbury was the guest speaker equity fund, which provides equity for at the January 25 meeting of the Salt other developers who are doing projects Lake City chapter of the Construction where Woodbury is not the lead firm, yet Specification Institute (CSI) at the SLCC still maintains anywhere from 60% to 90% Lynn Woodbury Larry H. Miller Campus in Sandy. ownership of the project. Woodbury serves as Sr. Vice President of He said Woodbury operates mainly as don’t all have the same standards that we Architecture at Salt Lake-based Woodbury an ‘owner-developer’ vs. being a ‘merchant have for our own developments, so we are Corporation, a prominent development/ developer’ and that approach can be vastly working on training them,” he said. property management firm that has all the different in how a project is designed and built. One partner on a past project, he said, resources it needs in-house to build, manage “It’s interesting working with some acted as a developer/contractor and when and operate a variety of projects, with a of these other developers because they Woodbury executives asked for plans >>
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 13 > Industry News and project specifications, the person architects to understand the development AGC Urges Action “drew a blank and said, ‘we depend on process and the role construction Against Steel Tariffs our subcontractors on those things. specifications play in that process. The Feb. 28 announcement by The psyche of those kinds of developers At CSI’s February 22 meeting, President Donald Trump that will impose is quite different. It’s the merchant Millcreek City Mayor Jeff Silvestrini spoke tariffs on 25% of all imported steel and developers that sometimes give all on the forces of politics in relation to 10% of all imported aluminum is drawing developers a bad rap…but they’re not all establishing a new city, and challenges he a sharp response from the construction bad.” faces as a new mayor in relation to future industry, specifically the Associated He added that it’s important for development and construction projects. General Contractors (AGC) of America, who urged members to contact local U.S. members of Congress in opposition. In an email to its members, the AGC stated that the price of imported and domestic metals is likely to rise immediately, which can reduce/eliminate profit for contractors who have already signed fixed-price contracts but have not bought metal products for a project. The email also stated that it will cause public owners, which generally have fixed budgets, to reduce or modify project scopes and budgets on publically-funded projects like schools, highways, and other CONNECTING infrastructure. It could also adversely impact the private market. BUSINESSES Ken Simonson, AGC’s Chief Economist, sent out an email that includes an analysis WITH INNOVATIVE released March 6 by Trade Partnership Worldwide, an international trade and TECHNOLOGY economic consulting firm that predicts “tariffs would increase U.S. iron and steel SOLUTIONS employment and non-ferrous metals (primarily aluminum) employment by 33,464 jobs, but cost 179,334 jobs • Structured Cabling throughout the rest of the economy, for a • Audio Video, Shades & net loss of nearly 146,000 jobs" including more than 28,000 construction jobs. Lighting Control "While employment increases in sectors • Security, Access Control, making steel and aluminum, it declines in every other sector of the U.S. economy. Video & More Employment effects do not take into account any potential retaliation against • Wireless Access Points U.S. exports; only of the tariffs themselves." • Distributed Antenna Systems AGC is awaiting the details of the tariff rates, duration, and geographical and product extent. However, any tariffs on aluminum and, especially, steel are likely to be damaging to construction in multiple ways. Contractors preparing bids may want to review documents on price adjustment clauses and related materials prepared by owner and contractor associations through ConsensusDocs. n
14 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18
> Concrete Solutions
Patience Pays Off in Creation of ‘MagicSlab’ Crews poured nearly 100,000 SF of test slabs before coming up with a Patent Pending process that eliminated more than 95% of typical cracks and saw cut joints in concrete floors.
By Dan Pratt
Concrete cracks. But does it have to? to overcome the weakness in tension. Here at North Salt Lake-based Hughes When we tested this solution on a polished General Contractors, we believed there floor, it led to some unanticipated flaws. was a way to create concrete that did not The rebar prevents natural shrinkage of crack. Typical concrete floors have joints the concrete, but when penetrating stain where problems like widening cracks and and polish were applied, it accentuated slab curling can lead to a continuous need numerous previously invisible hairline for cleaning, grinding and caulking – not to cracks every few inches. mention the wear and tear on equipment Hughes employees conducted and potential for premature slab failure. extensive research on existing solutions Dan Pratt So we set out to find a solution. to prevent or control cracking, with nearly Concrete has high compressive strength 100,000 SF of test slabs poured. Each but is weak in tension and shrinks as it test revealed small things we needed to cracks and saw cut joints and most of the cures. The traditional design solution has change in order to improve the outcome. cold joints. This Patent Pending process been to regulate or control the inherent Finally, a patented process was developed is called MagicSlab (the name has been cracking by pairing rebar with the concrete that eliminated more than 95% of typical trademarked) and it produces slabs that are seamless, crack-free, durable and easy- to-maintain. During the construction of the new Hillcrest Jr. High School in Murray in 2016, we saw a good opportunity to use MagicSlab on an 11,000 SF commons and cafeteria area. Our crews produced a flawless slab that is approximately 125 feet by 90 feet in one continuous pour – without a single saw cut, joint or crack. Additionally, the exposed concrete is polished and colored to display blue, charcoal and natural gray rectangular patterns. Instead of using decorative saw cuts to separate the three colors, we developed a process of tensioned masking that created perfectly straight quarter- inch lines where the saw cuts would have been. The final appearance of these slabs is similar to an expensive terrazzo finish but at a cost that is more comparable to carpet This 11,000 SF (125 ft. x 90 ft.) concrete floor in the commons/cafeteria at Hillcrest Jr. High was the first MagicSlab attempt in 2016. or luxury vinyl tile.
16 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 This joint-free, crack-resistant, saw- cut-reduced, polished concrete floor is as suitable for upscale office buildings as it is practical for industrial shop and warehouse spaces. MagicSlab was used for the office and shop at Mountain West Truck Center in West Valley City. With one pour of 32,000 SF and another pour of 18,000 SF, this cutting edge approach eliminated approximately 6,500 LF of saw cuts while increasing durability of the concrete floor.
Maintenance costs of MagicSlab are expected to be a small fraction of the cost of maintaining traditional floor coverings. The joint- free technology creates a stunning visual impact through the continuous, smooth appearance of unbroken concrete.
Kent’s Market in Plain City has a single 34,000 SF MagicSlab in its new store, marking the first use of the product in a retail setting. In a slab with irregular dimensions of approximately 220 feet by 180 feet, more than 9,000 feet of joints were eliminated. With no joints or cracks, shopping carts silently glide across the smooth floor. Maintenance costs of MagicSlab are expected to be a small fraction of the cost of maintaining traditional floor coverings. This process contributes to the creation of buildings that are functional, aesthetically pleasing and within budget. The joint- free technology creates a stunning visual impact through the continuous, smooth appearance of unbroken concrete. n
Dan Pratt is a Vice President with North Salt Lake-based Hughes General Contractors. He can be reached at (801) 292- 1411 or [email protected].
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 17 > Construction Law
Contracting to Resolve Construction Disputes
By Brian Babcock and Andrew Berne
Although there are many different types process requires more time, and becomes of construction, such as commercial, exponentially more expensive. If resolution heavy-civil, industrial, residential, etc., is reached at the negotiation stage, the one common unfortunate thread ties cost may be minimal. Unfortunately them all together; there will eventually be negotiations are not always successful some type of a dispute. Some major. Some despite a party’s willingness and best minor. Disputes are typically either about efforts. Sometimes parties are irrational, payment, timelines, or the quality of the or unwilling to work towards a mutually work. Unlike a car crash, which occurs in beneficial result. In such a situation, the an instant, construction disputes are the use of mediation can often assist the Brian Babcock Andrew Berne culmination of issues based on months or parties to overcome previous obstacles to years of work performed. Throughout any resolution. project, it is more common than not that neither party is completely blameless. Mediation understand the disputed facts and law For this reason, resolving construction Mediation is the use of a third-party which can allow the parties to focus on disputes can easily become a very timely neutral to help facilitate resolution. The those specific issues going forward from a and expensive endeavor. Contractors can mediator does not act as a judge and failed mediation. attempt to limit their exposure to the doesn’t have the authority to determine Any settlement reached in mediation inevitable dispute with a detailed dispute liability or fault. The role of the mediator is completely under the control and up resolution clause in a written contract. is to objectively and independently help to the parties. Many mediations end Utah law, as with most other states, each party evaluate the strengths and successfully due to the parties being open- allows contracting parties to set forth weaknesses of their position and facilitate minded and having a willingness to listen how disputes will be resolved. a mutually agreed upon settlement. The to the independent mediator. A mediation typical process for mediation is that will most likely fail if the parties enter Negotiation each party will draft position statements with unreasonable expectations. Both The first suggested requirement for that are shared with the mediator. parties typically compromise more than dispute resolution should be in-person, These statements provide the factual originally anticipated. The saying is “if both good faith negotiation. In this digital era of background of the dispute, and the legal parties feel they gave too much, it is a good emails and text messages, the humanity of basis or justification supporting the relief settlement.” The parties should counsel the industry can be lost and written words sought. Sometimes these statements are with their attorney as to the likelihood of can be misunderstood. By forcing parties shared with the other parties, other times success in moving forward and the costs to to meet in person, this allows the parties to they remain confidential. The benefit obtain that success. physically interact and attempt to resolve of early mediation is that construction If the mediation does not result in a the dispute. While some people enjoy the disputes can be very complex and settlement, the last step would be formal struggle of conflict, most individuals are technical and the most crucial information adjudicative process such as litigation or more willing to try and resolve a dispute is typically fresh in the minds of the arbitration. than to push further. These negotiations parties. While a more detailed technical may start at the project management level analysis may be important for ultimately Formal Resolution with a potential escalation to the upper building a case to prove liability or to There are two main types of formal management. The best chance for success establish a defense, they may not be resolution, litigation and arbitration. is if the parties put emotion aside, have necessary for a mediated settlement. Litigation is the default most people think candid discussions and make a reasonable Additionally, by investing the time in of when they talk about suing someone. It business determination for the company. putting together well-reasoned position is administered by the court system, and Each additional step in the resolution statements, the parties will better the ultimate outcome is determined by a
18 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 > Construction Law judge or a jury. This process is governed by arbitrators. The arbitrators are agreed system, those fees can mostly be avoided. local rules and is subject to the knowledge upon by the parties and can be individuals Without a predetermined sequence and experience of the assigned judge or with specialized knowledge which can be of dispute resolution, contractors can jury which may be very limited as it relates an advantage over litigation. The parties be held to the whims of the opposing to construction. With construction being a may agree to directly select their own party and brought into litigation without technical and complex industry, vital trial arbitrator(s) or use associations like the the potential benefit of mandatory time might be lost educating the judge or American Arbitration Association (“AAA”) negotiation, mediation, or arbitration. jury about the industry. and the Judicial Arbitration and Mediation While parties can still participate in these Services (“JAMS”) who qualify arbitrators without a dispute resolution clause, it within certain fields, such as construction. is much easier to get parties to agree to Many mediations end Of note, most decisions by a judge or jury a process in the contracting stage than successfully due to the are subject to appeal where an appeal when a dispute has already arisen. n from an arbitration award is very limited. parties being open-minded As such, Arbitration awards are more Brian Babcock is a Shareholder of the and having a willingness to likely to remain and bring finality to the Salt Lake City law firm Babcock Scott & listen to the independent dispute. Babcock; Andrew Berne is an Associate with mediator. The benefits of arbitration do come at Babcock Scott & Babcock. Their practices a cost. The arbitrator(s) charge an hourly have focused on construction litigation, rate that will be split between the parties and both successfully utilize all of the Another option is to use arbitration. and if the arbitration is administered dispute resolution options discussed in Arbitration is like litigation but instead of through the AAA or JAMS, there are this article. having a judge, the parties choose either additional filing and administrative fees. a single arbitrator or a panel of three When parties litigate within the court
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 19 > Precast Concrete
Examining Precast’s Myriad Benefits
By Sarah Sutherland
The construction industry is booming. precast concrete panels. This building We’ve all heard about it and we’ve all seen was designed to reach LEED Platinum it while driving in our communities. It’s certification and to be a Net Zero Building. a fun time to watch the trends that are The Salt Lake City Public Safety building emerging and see how it is affecting each is blast-resistant and can withstand a 7.5 portion of the industry. magnitude earthquake. This is also the Precast concrete has long been direction the Church of Jesus Christ of a practicable option for construction Latter-Day Saints has taken with their projects with tight schedules. As the temples and buildings. industry continues to become more safety- Owners and developers are more conscious, precast concrete has become consciences about their buildings and Sarah Sutherland more sought after; requiring less labor the impact these buildings will have on on site during construction by quickly the environment. A building can be LEED delivering and erecting buildings, parking Certified but now it can also undergo The structures, and bridges. 5-8 man crews can Living Building Challenge. This challenge with the 2”x4” piece of plywood moving now erect a 5-story office building in weeks analyzes the completed structure to judge at 100mph into different wall materials). instead of months. This is important when the actual performance instead of the Precast concrete walls are also tested for looking at a growing population needing designed performance. With advancing different ballistics ratings and standards, places to live, park, and play. technologies in building performance as needed. Safety and durability make a With all of this growth, we are analysis, we are seeing similar huge difference in saving lives. seeing a change in attitude towards advancements in the precast concrete The world is ever changing and Class A office buildings. Owners and industry. Non-metallic shear ties are used it is great to be part of an industry that developers desire more substantial, in the fabrication of insulated (sandwich) drives change. The construction industry long-lasting building materials. Quality precast walls to ensure there is no thermal continues to push the envelope, build more matters. The level of detail, durability, bridging within the panel. Even the effectively and efficiently, and ensure and quality have made precast concrete structural design and type of insulation life safety. Here’s to another year spent one of the only viable options. Office are considered to maximize the thermal working harder to build things better. n buildings, retail buildings, and other efficiency of the building. commercial and industrial buildings have Security and safety are also Sarah Sutherland is in charge of been moving away from inexpensive, at the forefront in the design process. business development and marketing in less durable buildings materials. Owners Government buildings need to be secure the Rocky Mountain Region for Forterra, want a structure that will last 100 years, and able to withstand an unforeseen one of the largest precast concrete not fifteen. The level of detail achieved disaster. In addition, communities are manufacturers in the U.S. Sarah’s degree through precast concrete keeps evolving. creating and reviewing plans for safe is in Architectural Engineering from Form-liners can be utilized to create places to go during a life-threatening the University of Wyoming and she has custom murals and finishes. Inlaying event. Schools and gymnasiums are being extensive experience in structural design stones, including thin brick, terra cotta, constructed using precast concrete to and precast concrete. She can be reached etc., is also a trend we’re seeing. For provide a safe haven for students and at [email protected]. example, the Salt Lake City Public Safety community members. Precast walls have building is a precast concrete building with been designed and tested to withstand terra cotta cast into insulated (sandwich) hurricanes (take a look at the PCI video
20 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 HONNEN www.honnen.com EQUIPMENT 1-800-646-6636 UMC 2017 Excellence in Masonry Design Awards UMC Honors David Anderson with ‘Lifetime Masonry Service’ Award IMS Masonry earns ‘Golden Trowel’ for Herriman City Hall; ‘Best of Show’ awarded to Child Enterprises and RJ Masonry for MTC South Campus Expansion.
David Anderson, founder of Salt Lake- based David O. Anderson Masonry, was presented with the ‘Lifetime Masonry Service Award’ February | March 2 during Utah Masonry Council’s 2017 ‘Excellence in Masonry Design Awards’ banquet. Anderson’s imprint on Utah’s masonry industry is deep and wide, and was evident by the number of hands that went up when the crowd was asked who had worked with or been influenced by Anderson in some capacity. “I’m honored to know a lot of you – the industry looks like it’s in good hands. Buildings are getting nicer and more intricate,” said Anderson, adding that he appreciates the dynamic of the Utah market and how suppliers and masons are working in tandem with each other to improve project teams. He said local firms have proven over time that they can be David Anderson (right) is presented with the ‘Lifetime Masonry Service Award’ from UMC Executive Director Brent Overson for his contributions the past 40+ years to Utah’s masonry industry. (photo by Dana Sohm) vigorous competitors, yet come together when needed on important topics while showing mutual respect for each other. “I’ve spent the last decade working a lot out of state…Salt Lake City has something unique that I haven’t seen in other states,” said Anderson. “I have (contractor) friends from out of town and they can’t figure out how we’re so competitive, but we all get along. Competition here is good, but we all have a unity.” Anderson began his career at age 15 as a hod tender and enrolled in a masonry vocational course in high school, ultimately founding David O. Anderson Masonry at the age of 21. Among his firm’s achievements is the 2006 ‘Golden Trowel Award’ for the Moran Eye Center at the University of Utah, one of many education- Two firms – RJ Masonry of Heber City and Child Enterprises of Springville teamed up on the MTC South Campus related projects in its portfolio. Expansion, named ‘Best of Show’ this year. Left to right: Paul Ballif and Adam Hicken of RJ Masonry; Richard Child, Steve Child, Mike Child of Child Enterprises; Robert Hicken of RJ Masonry. (photo by Dana Sohm) UMC also presented awards for 19 projects that were completed in 2017, with in Provo, a mammoth project with two Springville and RJ Masonry of Heber City – the ‘Best of Show’ Honor award going six-story buildings that required two to install more than 650,000 total units. to the MTC South Campus Expansion masonry contractors – Child Enterprises of IMS Masonry earned the ‘Golden Trowel
22 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 UMC 2017 Excellence in Masonry Design Awards Award’ for its work on Herriman City Hall & Towne Center, an almost 50,000 SF building that included over 125,000 total masonry 2017-18 Board of Directors pieces, including CMU (45,000 pieces), Ironstone Atlas and Emperor brick, and Paul Jahn President Ash Grove Packaging natural stone. Craig Child 1st Vice President Child Enterprises Ken DiLoreto 2nd Vice President Quikrete Bryan Allen Secretary/Treasurer Allen’s Masonry Adam Hicken Past President RJ Masonry Gerald Travis Director Amcor Jeff Elder Director Interstate Brick Terry Powell Director Lehi Block Tyler Fallis Director Wasatch Masonry
Foremen Larry Farley (left) and Russell Jensen of Lindon-based IMS Masonry stand with the ‘Golden Trowel Award’ for the firm’s work on Herriman City Hall & Towne Center. (photo by Dana Sohm)
UMC 2017 Excellence in Masonry Design Awards
HONOR – BEST OF SHOW HONOR – GOLDEN TROWEL AWARD HONOR – COMMERCIAL
MTC South Campus Expansion Herriman Town Center Park City Medical Center Addition Architect: ZGF Architects Architect: GSBS Architects Architect: VCBO Architecture Mason: Child Enterprises; RJ Masonry Mason: IMS Masonry Mason: RJ Masonry GC: Okland/Layton/Jacobsen MTC JV GC: Layton Construction GC: Big-D Construction Owner: LDS Church Owner: Herriman City Owner: Intermountain Healthcare Suppliers: Interstate Brick; Ash Grove; Suppliers: Interstate Brick; Lehi Block; Ash Suppliers: Delta Stone; Spec Mix Sunroc Masonry Products Grove Packaging This 82,000 SF addition required 17,000 A monumental undertaking for both This beautiful and important 49,444 SF of Mountain Valley Natural Blend thin masonry firms involved, which combined to SF community building for Herriman City veneer pieces for a large addition to this install 585,000 ‘Norman’ brick units, 70,000 includes 45,000 CMU, a combined 46,000 SF hospital, including an orthopedics clinic, SF of precast and GFRC panels, and 11,000+ of Ironstone Atlas/Emperor brick, 10,500 procedure center, surgical suites, a LiVe CMU pieces. Three types of custom blend SF of cast stone, 200 SF of natural stone Well suite, a 12-patient bed suit plus new buff colored brick were used to compliment tiles and 6,200 Sunrise Arriscraft tile. Crews lobbies and other ancillary spaces. existing masonry on campus, in addition were challenged blending in four different to an accent red brick on inset horizontal colors on many elevation transitions, along banding. Vertical window sections stretch with the intricate nature of the water from ground level to roof flanked with GFRC feature stone floor. pilasters and jambs decked out with ornate art deco design elements. 90% of masonry work was accomplished in under 8 months.
HONOR – INSTITUTIONAL
New Bridge Elementary Architect: MHTN Architects Mason: Doyle Hatfield Masonry GC: Hogan & Associates Owner: Ogden School District >>
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 23 UMC 2017 Excellence in Masonry Design Awards
Suppliers: Buehner Block This 17,157 SF building includes 50,000 challenge was maintaining the historical This 96,000 SF school supports an units of Mountain Red king size brick, integrity and appearance of the original immersive STEM learning environment, with 12,300 units of tumbleweed king size brick, façade while improving structural integrity. red and brown masonry and buff accents and 3,450 SF of new cast stone, plus 11,316 The 126,000 SF building had nearly 27,000 that tie to the local community’s art deco CMU. The masonry accentuates an inviting modular brick units replaced, along with 500 character. More than 125,000 total structural two-story glass lobby with contrasting pavers, 317 thin stones, 135 thread stones masonry units (with 60,000 decorative units) materials emphasized in key locations and 151 precast treads and landings. were installed on this primarily CMU exterior. throughout the space.
MERIT – INSTITUTIONAL
Green Canyon High School HONOR – MUNICIPAL MERIT – COMMERCIAL Architect: Design West Architects Mason: Buxton Masonry Hale Center Theatre Ken Garff Porsche-Audi Dealership GC: DWA Construction Architect: Beecher Walker Architects Architect: Curtis Miner Architecture Owner: Cache County School District Mason: IMS Masonry Mason: RJ Masonry Suppliers: Amcor; Spec Mix GC: Layton Construction GC: United Contractors Nearly 245,000 total CMU units and 117,378 Owner: Sandy City Owner: Ken Garff Automotive Group pieces of natural block were placed on this Suppliers: Interstate Brick; Suppliers: Spec Mix; Amcor 250,000 SF school in North Logan, including Ash Grove Packaging This 37,777 SF two-story building in split face and smooth units in cocoa and This 130,000 SF project is the cornerstone Lehi has more than 30,000 Ebony units, tan colors. The design incorporated brick for Sandy City’s cultural district with a and 1,100 split face units. CMU was a key masonry in the schools’ exterior to reinforce a distinctive exterior highlighted by different material for the project with Ebony as the traditional design reflective of the community. kinds of masonry elements, including primary color (a dark gray), which allowed granite, limestone (13,300 SF), ‘Norman’ brick for a variety of surface finishes including blended with three shades (24,165 SF), and smooth, honed, and split face. Split face 4,000 SF of Arriscraft and cast stone. Stone was also used as an accent band. The color is mechanically fastened to the back of the compliments adjacent metallic materials field framing, engineered to support all used on show room exterior finishes. masonry loads.
MERIT – MUNICIPAL
Lehi City Fire Station Architect: Design West Architects Mason: Wright Masonry & Sons GC: Ascent Owner: Lehi City MERIT – HISTORIC RESTORATION Suppliers: Sunroc; Interstate Brick; Amcor; Ash Grove; Spec Mix HONOR – MUNICIPAL U of U Crocker Science Center This 13,500 SF Chicago-style inspired Architect: EDA Architects fire station includes an eclectic mix of Lindon Public Safety Building Mason: IMS Masonry block, brick and stone, with large precast Architect: Curtis Miner Architecture GC: Okland Construction stones above windows, one which has an Mason: Jim Carson Masonry Owner: DFCM; University of Utah ‘83’ carved into it as one of the masonry GC: Warner & Associates Construction Suppliers: Interstate Brick; showpieces. More than 8,500 brick units and Owner: Lindon City Ash Grove Packaging 21,000 blocks were placed in addition to Suppliers: Interstate Brick; Lehi Block; Spec Mix The masonry contractor’s biggest many precast stone elements.
24 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 UMC 2017 Excellence in Masonry Design Awards
MERIT – SPECIALTY CITATION – COMMERCIAL CITATION – INSTITUTIONAL
Red Butte Garden Water Huntsman Cancer Institute Phase IV Bastian Elementary Conservation Garden Architect: Architectural Nexus Architect: VCBO Architecture Architect: Studio Outside, 3Fromme Design, Mason: Allen’s Masonry Mason: AK Masonry MGB+A GC: Jacobsen Construction GC: Hogan & Associates Mason: Child Enterprises Owner: Huntsman Cancer Institute Owner: Jordan School District GC: Gramoll Construction Suppliers: Spec Mix; Amcor Suppliers: Interstate Brick; Spec Mix; Amcor Owner: DFCM; University of Utah Phase IV of this iconic project at This 75,000 SF building has three colors Suppliers: Delta Stone Products; the University of Utah – titled Primary of structural Atlas brick: tumbleweed, arctic Ash Grove Packaging Children’s & Families Research Center white and park rose in three sizes, with a This three-acre site beautifully – is 230,000 SF with beautiful masonry combination of split faced, honed and regular. demonstrates how beautiful gardens elements throughout the elegant building. The banding of brick provides a modern, need not require heavy applications of 44,000 SF of Trenwyth stone and 1,600 LF of horizontal look. All exterior walls are load water. Masonry was key to many design precast caps and 700 SF of GFRC highlights bearing CMU and Atlas brick in five variations. elements of this amazing space featuring the exterior, matching perfectly with 29,000 native, drought-tolerant plants. The previous phases. The earth tones blend in contractor placed 28,500 SF of back-up well with the existing landscape adjacent stone material, 4,500 SF of Mountain Valley to the Bonneville Shoreline trail. flagstone and 10,000 SF of Mountain Valley red sandstone, plus 1,200 SF of boulder material, 250 SF of paving material and CITATION – INSTITUTIONAL 2,000 LF of stone caps. Lassonde Studios Architect: EDA Architects Mason: Allen’s Masonry GC: Gramoll Construction Owner: DFCM; University of Utah CITATION – INSTITUTIONAL Suppliers: Interstate Brick; Spec Mix This 161,000 SF project at the University Altaview Elementary of Utah uses suspended flat brick panels CITATION – COMMERCIAL Architect: NWL Architects to cap the end of the curved building, Mason: AK Masonry; Harv & Higham highlighted in clad copper. Brick walls Boyer Tower Masonry are supported floor-to-floor with a halfin Architect: Babcock Design GC: Hogan & Associates system that allows the wall cavity to run Mason: Allen’s Masonry Owner: Canyons School District continuously from top to bottom. 16,500 SF GC: Jacobsen Construction Suppliers: Interstate Brick; Spec Mix; Amcor of Emperor veneer highlights the exterior. Owner: Boyer Company This 85,000 SF school includes more Suppliers: Delta Stone Products; Spec Mix than 80,000 SF of structural Atlas brick in This $34 million, 144,000 SF office mocha, pewter and platinum, plus another building had a wide range of masonry units, 45,600 SF of Emperor brick in pewter and including honed face Mountain Valley stone platinum, and 14,000 CMU. The three colors (13,000 SF total in four sizes) on the first two are accentuated with metal panel and levels and 500 SF of classy Giallo Ventiano board formed concrete, with the stepping Granite panels on upper levels. pattern of the masonry allowing it to CITATION AWARD – INSTITUTIONAL dominate in certain lighting and be more subtle in others. Midvale Middle School Architect: VCBO Architecture Mason: Doyle Hatfield Masonry GC: Hughes General Contractors Owner: Canyons School District Suppliers: Interstate Brick; Ash Grove Packaging This 205,000 SF building has several masonry components, all of which tie >>
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 25 together in this uniquely designed school. More than 235,000 total CMU pieces were THE PREFERRED SOURCE placed, along with nearly 100,000 structural brick elements (Atlas brick in almond and copperstone were the dominant colors).
CITATION AWARD – INSTITUTIONAL
U of U Student Life Building (Interior) Architect: MHTN Architects SAND, ROCK & LANDSCAPE PRODUCTS READY-MIXED CONCRETE Mason: Allen’s Masonry GC: Okland Construction Owner: DFCM; University of Utah Suppliers: Buehner Block; Spec Mix Another world-class project at the University of Utah, this 163,000 SF facility is highlighted by a diverse mix of interior elements in different shapes and sizes. The extensive use of honed block creates a sense of consistency throughout the space, with three main block colors offering great aesthetics.
ASPHALT & PAVING CONSTRUCTION SERVICES
CITATION – MULTI-FAMILY
Stein Eriksen Residences Architect: Think Architecture Mason: RJ Masonry GC: Magleby Construction Owner: Regent Properties Suppliers: Delta Stone Products; Spec Mix This 312,500 SF project consists of 39 exquisite condos and 15 private modern mountain homes, each claiming its own distinct, contemporary design of which masonry plays a huge role. A main element was Ibex 3-5” natural stone veneer, nearly 40,000 SF worth, selected for its color variations that enhances wood siding and highlights the native environment.
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26 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18
Man of Many Hats
CEO, Mayor, Chairman – 2018 AGC Ryberg Award n the lobby just outside Wilford Clyde’s office at Orem-based Clyde Companies, recipient Wilford Clyde has served in many Inc. sits a unique piece of art – a prominent business, civic and community roles highly-intricate, mechanically-driven contraption commonly referred to as a in his 40-plus-year career, with an influence that I‘rolling ball sculpture’ – where steel balls of stretches well beyond the construction industry. varying sizes are transported along a series of rails and tracks by a veritable symphony By Brad Fullmer of moving parts. A flip of the switch puts the machine in motion, providing a uniquely soothing effect on the observer. Clyde admits the contraption doesn’t get turned on much, other than to show it off for clients and visitors to the firm’s dynamic corporate office, besides, Clyde’s schedule in recent years has afforded him little time for such rudimentary idleness.
28 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 Industry Legends
of Regents, the governing body for the people if you’re going to be member, get Utah System of Higher Education. He also involved. (The Ryberg Award) is kind of the just concluded two four-year terms as prestigious award for the Associated General Mayor of Springville at the end of 2017, Contractors so it’s an honor to receive it.” and he served as President of the Beavers “Wilford is an industry giant – he’s a in 2015, a prominent national heavy/civil natural leader and visionary in the companies construction association. he leads,” said Rich Thorn, AGC of Utah To say Clyde has worn a few important President/CEO. “He’s not only a successful – and very powerful – hats in his life would businessman with his mantra of giving a full be an understatement, yet he remains measure, he teaches that in the companies extremely down-to-earth and highly he has stewardship over. His pedigree is personable, with an unwavering belief that unparalleled, not just in the construction his contributions are making a difference. community but the community at large. “I’ve got to learn how to say no,” he Wilford knows how to make things happen.” laughs when discussing his schedule and Lane Beattie, who last November the myriad meetings on his calendar. announced his retirement as President “Sometimes I think I get too involved, but I of the Salt Lake Chamber and is staying enjoy being involved and what I find is if you want something out of it, you’ve got to get involved. Usually you end up getting more out of it than you give. I’ve always been a “Sometimes I think I get too person who got involved in a lot of things, involved, but I enjoy being even back in high school. I enjoy getting to know people and making friendships, getting involved and what I find is… to know what’s going on in your community. I usually you end up getting guess it is just part of my personality; maybe more out of it than you give. At his day job, Clyde is the former you can make a difference somehow.” President and current Chairman/CEO of the In January at the Associated General – Wilford Clyde firm – an administrative agency formed in Contractors (AGC) of Utah’s 96th Annual June 1998 that supports seven subsidiary Convention in Salt Lake City, Clyde was on until his replacement is found, said” organizations spanning the construction, honored with the Eric C. Ryberg Award for he helped recruit Clyde to serve on the building materials and insurance industries, his 40-plus-year career and service to the board because of his vast experience in and employing 3,000 people at 50 locations construction industry, one of many Clyde and knowledge of the heavy/highway/civil throughout Utah, Idaho, Nevada, Wyoming family members and employees recognized construction world, and its importance to and New Mexico. The companies include for their meritorious service. Clyde served Utah’s transportation system. W.W. Clyde & Co., Geneva Rock Products, as President (now Chair) of the chapter “When I took over the Chamber (in Sunroc, Sunroc Building Materials, Beehive in 1999 and values the association’s 2003), one of the things we wanted to focus Insurance, Deep Desert Foundations (DDF), prominent role in the industry. on was transportation and infrastructure and Clyde Properties. “The AGC has always been important to for our state, and we needed people who In his spare time, Clyde serves as 2017- our company and our family,” he said. “We’ve understood what needed to get done, 18 Chairman of the Salt Lake Chamber, felt the need to participate whether it’s on so we sought him out,” said Beattie, also and he just re-upped for a second six-year a committee, a board, with the convention, known for his long-time service in the Utah term on the 16-member Utah State Board with various training and other events. I tell Legislature. “He’s been a great asset.” >>
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 29 Members of Clyde Family to Receive Eric W. Ryberg Award
1968 Harry S. Clyde 1975 Hal M. Clyde 1975 W. Cornell Clyde 1997 Norman Clyde 2002 Richard C. Clyde 2008 Paul B. Clyde 2018 Wilford W. Clyde
Family Legacy Runs Deep Clyde was named after his grandfather (who founded W.W. Clyde & Co. in 1926) and grew up working for him, initially maintaining his vegetable garden and then working at the family-owned gas station in Springville as a teenager, before moving up the company ladder. In 1983, Clyde was promoted to General Manager of Geneva Rock, then President in 1988. In 1998 the company reorganized its stock portfolio and the purpose of the W.W. Clyde Investment Co., moving all assets under the umbrella of the Clyde Companies, with each of the now seven companies a wholly owned subsidiary. The 65-year-old Clyde was Vice President from 1998-2001, President from 2001-17, and is currently Chairman/CEO (Rhys Weaver was named President last fall). He’s been at the front-and-center of virtually every major company transaction the past three decades, including overseeing and/or being a part of more than 35 acquisitions since 1989,
30 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 Industry Legends
Wilford Clyde (right) shows UC&D photographer Dana Sohm his ‘rolling ball sculpture’ – a unique piece of art in the lobby outside his office at Clyde Companies’ headquarters in Orem. (left) Clyde (in cap) back in the late 70’s when he worked for Geneva Rock.
“He’s not only a successful businessman with his mantra of giving a full measure, he teaches that in the companies he has stewardship over. His pedigree is unparalleled, not just in the construction community, but the community at large. – Rich Thorn, AGC of Utah President/CEO. when it bought Ajax Concrete, a small grow. I had to be a good salesman in the ready-mix company in Tooele County. Six beginning. My feeling is, as a company you months later in 1990, it flipped Ajax and can’t stand still – you’re either going up or ” purchased Ideal Concrete, and since that going down.” have to give credit to all the people who time some three dozen companies have “When we purchased Ideal Concrete have sat at the table and made it happen. been gobbled up by the Clyde Companies that was an adrenaline pumper,” he 2017 was pretty strong – not sure we can in the Intermountain region. Clyde said recalled. “If I look back on my career beat it or not. (2018) is going to slow a little, he’s relished the intense, often competitive that was one of the most challenging, I think.” nature of those transactions, and credits most exciting things I was involved with. As for his future, Clyde plans to stay those that came before him – his father Bringing the two companies together – in his current role for a few more years, Blaine and various uncles and cousins – for buying it on Friday and making it work simply because he’s enjoying it too much, maintaining a solid foundation to where as one company on Monday – that was and isn’t quite sure what he’d do to stay the company could ultimately grow. interesting.” busy, beyond spending quality time with “Absolutely,” he said regarding the Revenues for Clyde Companies hit his family, which includes 16 grandchildren. high level of satisfaction and enjoyment a record $950 million in 2017 – a sizeable “I feel like I’m still making a he derives from the negotiating/buying jump from where it was in ’98 (less than contribution to the group,” he smiles. “As process. “To purchase a business can $200 million), and Clyde said it could long as I can still contribute, I’ve got a few take anywhere from two to six months, crack the billion-dollar mark provided the more years. I could leave at any time and sometimes longer. When I was running economy stays hot. the company would be fine. It’s a little Geneva Rock, (family members) were on my “We’ve had the goal for awhile to scary to retire. When you’re younger, you board and I was the young guy throwing make it to a billion dollars by 2020,” he can’t wait to get to that age and then when out ideas of buying new businesses, and said. “We set a goal before the recession you get to that age, you realize you’ve got they supported me in that. I think they and went backward for a few years. Maybe all these great relationships. I gave up the saw the advantage of expanding the we’ll make it sooner. It’s certainly not just Mayor’s job and I’m okay with that…so I’m business and looking for opportunities to me – it’s a group of us over the years. You doing good.” n
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 31 SHINING STAR USTAR’s new Innovation Center in Clearfield designed to aid entrepreneurial start-ups and other technology-driven companies.
By Brad Fullmer
USTAR – the State’s ‘Utah Science Designed by Woodbury Corporation Technology and Research’ initiative created of Salt Lake City and built by Ogden-based in 2006 – recently saw the completion of R&O Construction, the $2.9 million project its newest ‘Innovation Center’ in Clearfield is the fifth building R&O has finished last fall in the Falcon Hill Aerospace at FHARP and includes approximately Research Park (FHARP) just outside Hill Air 13,000 SF of warehouse space for various Force Base. The state-of-the-art, 21,000 high-tech equipment, and 8,000 SF of SF facility aims to help entrepreneurial offices, including a special ‘SCIF’ (Sensitive firms with the development of newly Compartmentalized Information Facility) manufactured products. room, an enclosed space dedicated
32 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 USTAR Innovation Center
The $2.9 million tilt-up concrete building is located just outside Hill Air Force Base, and has the capacity to add a SCIF room (Sensitive SHINING STAR Compartmentalized Information Facility) among its various pieces of high-tech equipment such as this OMAX water jet. (photos courtesy R&O)
Enterprises at USTAR, the building features campuses of the University of Utah in Salt several unique and expensive pieces of Lake and Utah State University in Logan. fabricating machinery that can be utilized “Any USTAR client can use the space by any company – start-up or established – we’ve gone through a revision on how – trying to develop a prototype of a the program works and we do a lot to specific item prior to any kind of small- or support start-up companies in research large-scale production. This includes a and development,” said Bradshaw. “It gives large-format $250,000 OMAX water jet companies a resource to test their research cutter (capable of cutting steel), two for prototypes, with a goal of finding $30,000-plus 3D printers, an assortment investors and fine tuning their product of wood saws and routers, and metal before going into (full) production mode.” fabricating equipment. A high-powered One such company, said Bradshaw, air compressor capable of delivering 98 is looking to build a prototype machine cubic feet of compressed air/second at 120 by 2020 that could be sent to Mars, which pounds per square inch powers the water would draw from the atmosphere to create to processing classified/top secret jet, two CNC’s and the laser cutter, with oxygen for astronauts – pretty heady stuff. information (electronic signals cannot capacity to add even more equipment. “We’re able to track (companies) in our be transmitted in/out of the room). The HAFB is one client that has been utilizing system and follow them for five years to room wasn’t fully completed due to a the prototyping lab equipment fairly see what’s working,” he added. “We hope lack of funding, but could be upgraded in consistently. to grow, but because we are fully funded the future to meet the needs of a specific This facility gives USTAR four by taxpayers we have to show success here client. ‘incubator’ buildings for research and and justification for (future) growth.” According to Ken Evans, who oversees development in the state – the others Construction of the tilt-up structure all machine training at the center, and are located at Granite School District’s took less than eight months to complete Wayne Bradshaw, Director of Incubator headquarters in Salt Lake, and the according to Neil Manning, Project >>
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 33 USTAR Innovation Center
Manager for R&O, and is highlighted by unique architectural steel fins welded to the exterior to enhance the USTAR orange branding. Mechanical and electrical systems were specially designed to accommodate the equipment. “It was pretty straightforward,” said Manning. “Just coordinating all the equipment – the power requirements, the drain requirements, the location of each machine – that was the most challenging part.” n
USTAR Innovation Center Cost: $2.9 Million Start/Completion: February | March 2017/ October 2017 Owner: USTAR (via Governor’s Office of Economic Development) Developer: Woodbury Corporation
Design Team Architect: Woodbury Corporation Civil: Great Basin Engineering Electrical: EDG Engineering Mechanical: JTB HVAC & Plumbing Engineering Structural: MJ Structural Engineers Interior Design: Woodbury Corporation
Construction Team GC: R&O Construction Electrical: Salmon Electrical Contractors Mechanical: Salmon HVAC Concrete (Tilt Up): Wasatch West Contracting Steel Fabrication: Preston Fabrication Joist/Deck: Div. 5 Inc. Metal ACM Panels: Western Building Group Steel Erection: Crockett Construction Glazing/Curtain Wall: Capitol Commercial Glazing Drywall: Silver Leaf Partners Flooring: Wall2Wall Flooring Roofing: Redd Roofing Grading/Sitework: Applied Excavation
34 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18
Past It’s Peak?
Opinions vary among local economists, political leaders, owners and A/E/C executives as to whether or not construction activity in the Beehive State in 2018 can keep pace with 2017.
By Brad Fullmer
Will the good times in Utah keep rolling? hit an estimated $8.5 billion, up from $7.5 Prison, several high-profile schools and At the beginning of each new billion (13.3%) from 2016, with $4.8 billion educational facilities in the Higher Education calendar year, economic and business coming from residential construction, $2.4 and K-12 markets, and many others for cities, prognosticators break out their crystal billion in non-residential (commercial) municipalities and other agencies. balls and attempt to peer into the future construction (which is down approximately Regarding 2018, Wood is of the belief as to what will happen economically over $155 million from 2016’s record $2.558 that economic conditions remain favorable another 12-month cycle around the sun. billion), and $1.3 billion in additions, for all firms operating in Utah’s A/E/C It’s never an exact science, given how the alterations and repairs. The $8.5 billion industry to have another year similar to confluence of local, national – even global figure marks an all-time high in current 2017. Factors such as rising interest rates – economies continue to meld together in dollars and the second highest year ever (hovering at 3.7% for a 15-year mortgage the 21st Century. Each has its own unique in inflation adjusted dollars – close to the as of February | March 28) and an ever- impact on the great state of Utah, which as $8.989 billion posted in 2006. shrinking available labor pool are the two of late has been on an unprecedented hot Wood said the $2.4 billion in non- major factors driving downward pressure. streak of economic growth. residential construction last year was “I think 2018 will be a good year, very According to statistics from Jim Wood, enhanced by another $600 million of much like last year,” said Wood. “We see Ivory-Boyer Senior Fellow at the Kem C. spending on public-related construction a little slowing down in job growth, not Gardner Policy Institute (KCGPI) at the projects, including the massive $3.6 billion for lack of demand, but more lack of labor University of Utah, the total value of Permit Salt Lake International Airport Terminal supply, which is holding back economic Authorized Construction in 2017 in Utah Redevelopment, the $690 million Utah State growth.”
36 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 2018 A/E/C Economic Outlook
Eight+ Years of Growth...and Counting? David Eccles School of Business) and Juliette markets. Of an estimated 1.47 million total From an economic standpoint, Utah Tennert, Economic Research Director – jobs in Utah, construction has a 6.57% share, has been a ‘darling child’ of the nation the stated that every major industrial sector in or 96,500 jobs. past eight-plus years, with consistent – if not Utah expanded in 2017, contributing 43,500 Utah’s burgeoning population is at downright sizzling – growth that has seen a new jobs, with an annual growth rate of 3.16 million, up from 2.76 million in 2010 near total rebound to pre-recession heights. 3.1% - consistent with the state’s long-term (plus 400,000 in eight years) and the state In the 2018 Economic Report to the Governor, average and among the best in the U.S. is currently the third fastest in population Wood and his colleagues at Gardner Policy Utah’s construction sector had the highest growth at 1.9% (trailing Idaho and Nevada), Past It’s Peak? Institute – including Natalie Gochnour, job growth at 5.4%, a reflection of robust and had a net in-migration of nearly 27,000 Director (as well as Associate Dean of the activity in both commercial and residential (most since 2006), 46% of the state’s >>
Natalie Gochnour and Jim Wood of the Kem C. Gardner Policy Institute at the University of Utah spoke at several economic forecast events for various industry-related groups in January, offering their predictions on construction spending. Gochnour spoke at AGC of Utah’s 2018 Convention, NAIOP’s ‘Utah 2050 Symposium, and Salt Lake Chamber’s 2018 Economic Outlook & Public Policy Summit, where Mitt Romney was the keynote speaker.
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 37 Value of Permit Authorized Construction in Utah (Billions) twice the national rate (2.9% vs. 1.6%). What’s remarkable is not the growth rate, Year Residential Non-residential Additions Total Value but how steady it’s been.” 2005 $4,662.6 $1,217.8 $707.6 $6,588.0 Gochnour did question the timing of 2006 $4,955.5 $1,588.0 $865.3 $7,408.8 the federal tax cuts, wondering if such 2007 $3,963.2 $2,051.0 $979.7 $6,993.9 a massive cut during a time of relative 2008 $1,877.0 $1,919.1 $781.2 $4,577.3 economic vitality in many parts of the 2009 $1,674.0 $1,054.3 $660.1 $3,388.4 nation is a wise move long-term. She also 2010 $1,667.0 $925.1 $672.0 $3,264.1 said the current U.S. unemployment rate 2011 $1,885.4 $1,236.0 $652.0 $3,773.4 at 4% (closer to 8% when factoring in the 2012 $2,196.7 $1,020.2 $728.9 $3,945.8 ‘discouraged worker’) is essentially ‘full 2013 $3,024.6 $1,105.9 $784.9 $4,915.4 employment’. 2014 $3,350.9 $1,478.9 $1,034.3 $5,864.1 “Congress just gave us a $1.5 trillion tax 2015 $3,981.8 $2,096.0 $1,062.9 $7,140.7 cut in an environment of full employment,” 2016 $3,900.0 $2,500.0 $1,100.0 $7,500.0 she said. “The macro economics of that is 2017 $4,800.0 $2,400.0 $1,300.0 $8,500.0 that it can overheat the economy. In the short term it’s positive, and makes 2018 possibly in the books as a strong year growth of 57,500 people from July 1, 2016 we’re past our peak.” because you have so many tailwinds. The to July 1, 2017, according to U.S. Census That said, Gochnour added that Utah price we pay for a tax cut in an environment estimates from December. is in good position to at least challenge of full employment is that we’re borrowing Accolades from various national and maintain similar economic numbers money for that tax cut – it is deficit financed, publications and reports keep pouring from 2017 considering Utah’s many and people in the future are going to pay for in, adding to the state’s allure. Forbes in strong tailwinds including strong wage it. You hope it’s stimulative enough that it November ranked Utah the No. 3 ‘Best State growth, strong in-migration, still relatively can pay for a big part of itself, but prior tax for Business’ (it had been No. 1 four of the low interest rates, reduced business cuts haven’t done that.” last five years), the PwC 2017 Report listed regulations, and the recently passed $1.5 Tennert said the state’s 102 Salt Lake City No. 3 (No. 1 for investment; trillion federal tax cuts, which could be consecutive months (and counting) of No. 10 for development) and the SLC/Provo another boon to short-term growth. economic expansion – the third longest Large Metro area No. 1 overall; the U.S. “Every business leader I talked to is economic expansion on record, means Census Bureau has Utah No. 1 on its ‘Fastest saying this is a big deal,” said Gochnour. “we are probably closing in on the end of Growing States’ list; and Utah is the top- “Tax reform is nice, but regulatory relief is this long expansion. 2017 was a banner ranked state in the 2017 10th annual Rich what they’re really benefitting from. Utah year for the economy. As we move into States/Poor States report by the American is about 18 months to two years ahead of 2018, there is no reason to expect much of Legislative Exchange Council (ALEC). the U.S. in the economic cycle – we have a a change, but I think we are at a point of At the Salt Lake Chamber’s 2018 more mature expansion, growing at about deceleration.” Economic Outlook & Public Policy Summit January 16 at the Salt Lake Marriott Downtown at City Creek, 900 business leaders gathered to hear from economic We are probably closing in on the end of this long expansion. and legislative leaders, in addition to “ keynote speaker Mitt Romney. Gochnour 2017 was a banner year for the economy. As we move into asked a panel of five legislative leaders 2018, there is no reason to expect much of a change, but what their opinions of the economy were for 2018, and responses ranged I think we are at a point of deceleration. from “booming” and “really strong” to – Juliette Tennert, Economic Research Director, “moderating” and “converging with ” national trends” (i.e. flat, slower). In Kem C. Gardner Policy Institute response, Gochnour surmised “I think we’ll be moderating and converging. I think
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Economic Conditions in Utah U.S. Census Bureau units), and the boogeyman under the bed – air quality, particularly during the first 1. Employment growth to slow slightly Top States in Job Growth (2010-16) quarter of the year. in 2018. 1. Utah – 20.7% Gochnour said that in the SLC-Ogden- 2. Labor shortage will constrain growth. 2. Colorado – 16.9% Provo Metro area, air quality is “three 3. Florida – 16.9% 3. 2017 wage growth at 5.3% was best in times worse than the national average. 4. Idaho – 16.7% 10 years; 2018 should be another We have companies in this state that don’t 5. Nevada – 16.3% strong year of wage growth. recruit during the winter. It’s an issue – we’re very different than the average.” 4. A high net in-migration of 28,000 people. Top States in Population Growth (2010-16) 1. Utah – 2.03% The advent of Tier 3 fuels she said will help 5. Non-residential construction will be 2. Nevada – 1.95% mitigate car pollution at some point in the lower in 2018. 3. Idaho – 1.83% future (allegedly reducing pollution up 6. Continuing shift in residential market 4. Florida – 1.82% to 80%), but it will take years before that to multi-family. 5. Washington – 1.78% conversion takes full effect. Utah Governor Gary Herbert also weighed on the state’s strong economic Tennert mentioned other strong growth. Negative economic headwinds status, saying, “We’ve had 8 ½ years of the tailwinds like Utah’s young, talented include rising interest rates, housing best of times…it’s clearly all of us working workforce, entrepreneurial spirit, low affordability and availability (this decade together. It’s encouraging to hear what’s business and energy costs, and being is shaping up to be the first where more taking place and it’s easy for us to bask in the best-positioned economy for future households come online than housing the glow of the work of many of you. >>
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 39 This is a room full of movers and shakers who have done much to help our economy grow. We want to keep government off your backs and out of your wallets.” Herbert praised the free market system of America and the drive of people to be successful. “It’s not luck, it’s by design we’re having the success in Utah we’re having,” he added. “The free market enterprise system is remarkably good. If we’re going to have a miracle, it’s going to be hard work behind it.” Even Ken Simonson, Chief Economist for the Associated General Contractors of America, said Utah is poised for a solid year and will remain one of the strongest states in the nation for construction spending, along with Mountain and West Coast states, Speakers at NAIOP Utah’s ‘Utah 2050’ Commercial Real Estate Symposium January 25 included (left to right): plus Texas and Florida. Mike Richmond, Cushman & Wakefield; Rusty Bollow, Newmark Grubb ACRES; Patrick Bodnar, CBRE; Rawley Nielsen, CBC Advisors; Brandon Rawlins, JLL. “Utah should continue to outpace the nation in construction growth, as it has Office, Industrial, Multi-Family Still Point, a 40-acre, four-building campus. “We’re ever since the recession ended,” Simonson Vibrant; Retail Trying to Adapt seeing speculative construction in this area stated. “Last year, construction employment At NAIOP Utah’s ‘Utah 2050’ because of the confidence developers have increased more than double the U.S. average Commercial Real Estate Symposium in the growth coming from the technology (almost 6%). One reason is the state’s January 25 at Grand America Hotel in Salt sector of our market,” he said. persistently high population growth – 1.9% Lake, Gochnour was the keynote speaker In South Valley, six buildings totaling last year (2.5 times higher than U.S. rate). and followed five local Salt Lake-based 800,000 SF were completed in 2017, each That generates demand for housing, schools, experts in real estate. boasting 80%-plus occupancy at the time retail and other construction, and it supplies Utah’s commercial/office market has of completion. In 2018 three buildings state and local revenue and, potentially, been particularly strong, with a record $520 totaling 500,000 SF are under construction, more construction workers. Furthermore, million on the books in 2017 comprising 13 including the Sandy Center Plaza – the Utah is close to most of the nation’s high- new buildings totaling 1.6 million square feet new home for Mt. America Credit Union growth states, making it desirable for of space, the second highest total all-time – an 320,000 SF, 11-story building that is distribution and transportation facilities.” in this market, according to Mike Richmond, the tallest building outside of downtown Simonson said nationally, construction Executive Director of Cushman & Wakefield. Salt Lake. Richmond said the majority of activity should pick up modestly in 2018, The majority of that office development buildings in suburban areas are generally with power construction (pipelines, energy occurred in the 25-mile ‘Silicon Slopes’ area capped at 4-5 stories, but with good land fields), office, data center, and warehouse from South Salt Lake County (Midvale) to development sites becoming scarcer, construction among the stronger private Northern Utah County (Pleasant Grove), with developers and cities may start looking at sectors. Hotel and apartment construction a host of new buildings planned for 2018. taller buildings in the future. will likely level off nationally, even though “Utah County North is the fastest In downtown Salt Lake, speculation multi-family in Utah remains vibrant and growing office market along the Wasatch on future development is hot and there are speculative development likely to continue. Front,” said Richmond. “This sub-market several notable office/mixed-use projects Simonson expects education and airport was nearly non-existent 10 years ago in the works, including a two-building, work to be among the best public sectors, when the first Thanksgiving Park building 650,000 SF project at 600 South and Main, and highway construction may finally “turn was completed…it’s now approaching six a 300,000 SF-plus mixed-use development positive”, but other public categories will million square feet.” at 400 South West Temple, a 250,000 SF remain starved for funding unless Congress New Phase I developments that recently building next to the Salt Lake Hardware and the White House pass an infrastructure began in this area include Lehi Spectrum, a property, and a possible 450,000 SF high- package early in in the year. four-building development, and Innovation rise tower similar to 111 Main at the corner
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term economy, a location (potentially freight from vessels to rail cars to inland northwest of Salt Lake Int’l Airport) that locations for further processing and We’re seeing speculative contains a portfolio of multi-mobile distribution. “ transportation assets including trucks, “The industrial, distribution/ construction in this area planes, and trains that serves as a means warehouse market has been great for (Silicon Slopes) because of of efficiency in the supply chain, moving us – Utah has established itself as a >> the confidence developers have in the growth coming from the technology sector of our market. – Mike Richmond, Executive Director, Cushman & Wakefield ” of 100 South State on the edge of City Creek next to Harmon’s. “The rapid lease of the 111 Main building and lack of large quality blocks of space have led developers to position several sites for downtown development,” said Richmond. “Out-of-state developers who previously have not worked in Utah are beginning to take notice of what’s happening here.” The industrial market has also been on fire, with 13 million SF of space added to the industrial base since 2012. Rusty Bollow, Senior VP for Newmark Grubb ACRES said direct vacancy is less than 3%, and net absorption in Salt Lake County of 5.4 million SF last year was more than double the five-year average of 2.4 million SF. Of the 6.4 million SF currently under construction, Bollow said nearly 4 million SF is pre-committed. Recent massive warehouse projects for UPS and Amazon have boosted Utah’s status as a regional distribution hub in the wide-open Western U.S., and there is growing clamor for Salt Lake City to start developing in earnest a true ‘Inland Port’, something Bollow said Utah is well-positioned to do, despite myriad challenges that likely will take some years to work through. Bollow called an Inland Port a “potential game changer” for Utah’s long-
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 41 regional hub,” said Rob Moore, CEO of Big-D said Bodnar. “When you mix in a low cost “Every year we’re seeing more Construction. “We’re building six million of living with incredibly accessible outdoor institutional buyers identify Salt Lake square feet of big box construction right recreational lifestyle, Utah truly has a Metro as one of their top investment now. We’ve had really good growth the winning recipe for success in this sector.” markets in the country, and 2017 was our past few years, so I’d be happy if we stayed “80% of our market is multi-family strongest year yet,” said Nielsen. flat next year.” – we’ve been doing multi-family for 25 Retail is the one market that has not Utah’s multi-family market has also years and it’s continued to grow,” said Carl measured up to the other markets, as seen an extraordinary amount of activity Tippets, President of Draper-based Pentalon retail nationwide saw a 6.1% increase in in recent years, with 5,138 units (42 projects Construction. “There are a lot more players vacancy, with many large retailers shutting totaling a record $1.03 billion) delivered in who have gotten into the market – it used to down mass numbers of locations. Brandon 2017 and another 11,222 units presently be more of a niche market. External forces Rawlins, Principal Broker for JLL, said retail under construction, slated to come online (outside Utah) are the only things that could isn’t dead, it just needs to be revived. in 2018-19, according to Patrick Bodnar, start to have an impact on the economy. “Is retail going away?” he asked. “Our Senior Associate with CBRE. Despite this Internal forces are not going to change habits collectively are transforming the high level of building, Bodnar said vacancy anything for the next 24 months.” retail market right before our eyes. The is still low at 3.9%, with average apartment Regarding outside investments retail industry is having to learn and adapt prices of $1,066/month. in Utah real estate, Rawley Nielsen, to how we conduct business. Instead of “The incredible success in multi- Investment Sales for CBC Advisors, said relying on location, we’re focusing on family in 2017 was driven by continued job Utah has evolved from a secondary market information, then location…trying to growth, low unemployment, a surplus of afterthought to a primary secondary understand and predict what customers capital, and an increase in net migration,” market. want in the future.”
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E-commerce is the biggest factor driving future retail spending. To wit, of 63 Sam’s Clubs that closed recently, Rawlins said 12 are being converted to e-commerce fulfillment centers. Locally, there is much speculation as to what will become of the Gateway Mall – current owner Vestar of Phoenix has plans for a major renovation – while developers of the former site of Cottonwood Mall (Ivory Homes Ltd. and Woodbury Corporation partnership) had their recent proposal highlighted by a 136-foot tall office tower shot down in January by the Holladay Planning Commission.
Education Market Brisk Utah’s third-fastest growth rate via in-migration and consistently high birth rate (still tops in U.S. in 2017 at 16.6 births per 1,000 people) translates into a strong At 11-stories, the $65 million, 327,000 SF Sandy Center Plaza (future home of Mountain America Credit Union) demand for new schools and educational is the tallest building in Salt Lake County outside downtown Salt Lake. The commercial office market from Midvale to Pleasant Grove saw a record $520 million of product facilities. Dozens of significant, noteworthy projects dot the state from Logan to Utah’s K-12 market will be hopping UDOT spokesman John Gleason said St. George at public higher education over the next couple of years, thanks to the Legislature’s passing of a $1 billion campuses, all funded through the State of the passage of $650 million in bonds last bond last year was key to getting several Utah Division of Facilities and Construction November by voters in the following school critical projects off the ground sooner than Management (DFCM). districts: Canyons ($283 million); Granite expected, and Department executives are According to DFCM Director Jim ($238 million); Weber ($97 million); Morgan optimistic that future state transportation Russell, the agency is busy working with ($49 million). Voters rejected a $58.6 million funding initiatives (and perhaps even an the Legislature finalizing the budget and bond to rebuild South Summit High in increase in federal funding depending on funding for future key building projects. Kamas, and also rejected a $106.5 million how the infrastructure bill shakes out) will Among the most noteworthy projects in bond for Ogden SD by a mere 240 votes continue to remain strong. the works: (only 48.5% approval). “We are seeing very similar activity • $185 million Medical Education as we did in 2017,” said Brandon Squire, and Discovery Building at the University Heavy/Highway Market President of Draper-based Ralph L. of Utah (programming starts in April, Activity Strong Wadsworth Construction. “The market design in January 2019), part of an overall The Utah Department of is still going strong but it seems to have $400 million budget that includes the Transportation (UDOT) is expecting a busy plateaued. There are several large projects Ambulatory Care Center building and the year in 2018, with 36 major projects (over $1 underway that are tying up a lot of Rehab building, both slated for completed million) planned totaling more than $2.36 resources and we expect that to continue in fall 2019. billion, either currently under construction well into 2019, if not beyond.” • $56 million Human Performance or expected to begin this year. Top projects It’s strong but I think it’s going to Center at Dixie State University, which include: the $500 million Mountain View slow a little,” said Wilford Clyde, CEO of broke ground in January and is slated for Corridor from SR-201 to 4100 South; the Orem-based Clyde Companies and 2017-18 completion June 2019. $450 million I-15; SR-92 to Lehi Main Street Chairman of the Board of Governors for the • $34.9 million Social Sciences project (dubbed ‘The Gap’); the $275 million Salt Lake Chamber. “Even though there is a Building/Lindquist Hall at Weber State US-89; Farmington to I-84; the $201 million lot of work out there, it’s very tight margins University, slated for completion in August Bangerter Highway Interchange (four and very tough competition – it’s not a 2018. locations). cakewalk by any means.” >>
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 43 Local Firms Optimistic; Labor is No. 1 Concern Representatives from some of Utah’s biggest construction firms continue to remain bullish regarding their firm’s prospects for not only this year, but even peering ahead through the end of 2019. Many firms have solid backlogs and high optimism that private work/development will remain brisk, while demand for public sector and municipal projects will also keep firing on all cylinders over the next 18-24 months. “Our revenues are bigger than they’ve ever been - $700 million at the end of 2017, it’s a nice jump,” said Doug Welling, President/CEO of Jacobsen Construction of Salt Lake. “We’re taking care of the clients that we know and trust, and that trust us doing a good job for them. We think there is steady 10% growth over the next foreseeable future, two to three years at least. There are a lot of projects on the drawing board, a lot of opportunity. Obviously the concern is if the economy Many local construction firms in Utah are anticipating another productive year of activity in 2018, despite major challenges finding adequate labor sources across all markets.
continues to grow, we’ve got to step up and to the past several years,” said Alan grow, but our subcontractors have got to Rindlisbacher, Director of Communications/ be able to do the same thing. With a dearth Marketing for Layton Construction of Sandy, noting that his firm expects both We’ve had such positive of manpower that’s a challenge.” “ “We have a fairly diverse market private and public markets to remain strong growth trends over the past share of public and private projects,” said throughout the state. “If the recent Silicon few years that it would be Slade Opheikens, President/CEO of R&O Slopes Tech Summit is any indication of Construction of Ogden, listing office, multi- future growth, the future is bright (for normal to flatten a little bit. I family, student and senior housing and private development). Plans for an inland think we’ll continue to see a retail as the firm’s top private markets, port is a hot topic of discussion, too.” robust construction economy with various public work mixed in. “The “The private sector continues to retail market is facing some challenging experience vibrant and robust growth – for the foreseeable future. changes, but we are continuing to find there is significant demand for new office The biggest challenge to opportunities with our clients as they re- space and corporations are focused on support economic viability is invent the future of how everyone shops.” improving the workplace environment, He expects increased revenues for investing heavily to make facilities more our workforce; we simply do 2018 based on projects acquired last year, collaborative and employee-friendly,” not have enough people to but cautioned, “We do anticipate a slowing added Jeremy Blanck, Project Executive in project starts during 2018 due to an for Okland Construction of Salt Lake. get the jobs done. increase in the number of projects that are “The market may have reached its peak, – Rich Thorn, unable to meet clients budgets, which will but we still have many large and small AGC of Utah President/CEO ultimately impact 2019 revenues.” projects that are in design or have just “We are optimistic that 2018’s broken ground. We predict that the market ” construction activity will be quite similar will remain steady – we will not see a 44 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 substantial decrease in new construction projects from 2017 to 2018.” “Our members are continuing to show a lot of optimism as many have more than a fair amount of backlog on their books,” said Rich Thorn, President/CEO of the Associated General Contractors of Utah. “Looking down the road there are good opportunities coming into the state. We’ve had such positive growth trends over the past few years that it would be normal to flatten a little bit. But flatten versus a reduction in work are too different things. I think we’ll continue to see a robust construction economy for the foreseeable future. The biggest challenge to support economic viability is our workforce. We simply do not have enough people to get the jobs done.”
Wood’s Take in a Nutshell Getting down to brass tax, Wood estimates that the total value of permit authorized construction for 2018 will end up at $8.3 billion, about 2% less than 2017’s final numbers. The value of residential construction will increase 2% to $4.9 billion due to increases in labor and material costs. Residential units are forecast to increase by 2,000 units to 25,500 units, with much of the increase in the single- family sector. Multi-family permits will be at 10,700 units, with a shift to more condominiums and townhomes and a slight dip in apartment construction. Wood expects the value of permit authorized non-residential (commercial) construction to decline 21% to $1.9 billion, a level of activity well above the annual average of $1.6 billion since 2000, but sharply down from 2017’s lofty $2.4 billion figure. Another $1.5 billion in additions and repairs is expected for this year. Public projects large and small (airport, prison, schools, highway/municipal) will again play a key role in the non-residential market. “Utah has seen a lot of positive growth in recent years and 2018 should still be good,” he said. “It’s natural for a strong cycle like this to slow down eventually and for some markets to soften.” n
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 45 AGC of Utah 2018 Convention AGC of Utah 2018 Convention Recap
Jon Huntsman Sr. Honored with AGC’s ‘Service to the Industry’ Award Individual awards to Jacobsen’s Wright, Litz spotlight their work on Huntsman Cancer Institute Phase IV, adding an emotional element to the popular annual event; Doug Welling installed as 2018 Chair.
oods were lively and spirits high throughout the 96th Annual MConvention of the Associated General Contractors (AGC) of Utah, held at Little America Hotel in Salt Lake City January 18-10. More than 2,300+ individuals from the 520-firm association gather annually to celebrate their successes and recognize individuals and companies for their contributions to the association and Utah’s A/E/C industry as a whole. The popular three-day event was highlighted by the 2018 Awards Breakfast January 17, where Jon M. Huntsman Sr. was recognized with the AGC’s ‘Service to the Industry’ award, ironically just a couple Jennifer Huntsman-Park accepted the ‘Service to the Industry’ award – on behalf of her father, Jon M. Huntsman of weeks prior to his death February 2 at Sr. – from AGC 2017 Chair Mike Kurz (left) and AGC 2018 Chair Doug Welling. the age of 80. The award put a spotlight on and the increased safety to get us to where presented to John Wright and Norm Litz of the Huntsman Cancer Institute (HCI) at the we’re going. I love seeing the good that Jacobsen Construction, who earned Project University of Utah, Mr. Huntsman’s legacy comes from these many projects and the Manager of the Year and Superintendent of project, which completed its fourth phase benefits that we enjoy as citizen of this the Year (Building), respectively, for their work last year and was dedicated on his 80th great state. I hope you realize the positive on HCI Phase IV. During construction, Wright’s birthday, June 21. The $125 million, 225,000 impact that you have.” father, Litz’s wife, and the wife of another SF Primary Children’s and Families’ Cancer She continued, “(My father) wanted me Jacobsen team member, all passed away from Research Center increases the campus to express his appreciation and gratitude cancer-related illnesses. Wright, who also was to nearly 900,000 total SF and caps a to those here today. This latest phase of Project Manager of Phase I of HCI from 1997- quarter century of design and construction construction is an amazing addition to 99, expressed appreciation for the work he’s work at HCI, the first phase of which HCI’s campus and seamlessly carries forth accomplished during his career. was completed in 1999. Mr. Huntsman’s the vision of phases one, two and three. “In 1974, Ted Jacobsen hired me right daughter, Jennifer Huntsman-Park My parents were privileged to work with out of college and in my last interview accepted the award on his behalf. Jacobsen Construction on this phase. My with him he said, ‘What do you want “…I do bring his emotions so if I start to father said Jacobsen were terrific partners to do while you’re in the construction cry just chalk it up to my dad’s emotions,” and we appreciate their professionalism – industry?’ And I told him, ‘I want to change she began. “It’s been amazing for me to see their team never once let us down. I know the skyline’. During the time I’ve worked today the impact that this industry has on my father would personally like to thank for Jacobsen Construction they have every aspect of our life. From healthcare every single person involved in this project.” provided that opportunity many times. to education to entertainment and living, Two of the individual awards were The most recent project (HCI Phase IV) has
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AGC of Utah 2018 Convention Recap project – earthmoving machines grading Education Director for the Southern Utah the site, formwork being set in place, cranes Home Builders Association, where she also being erected and steel swung into place, specialized in writing education grants. smells of newly turned earth, concrete form “Just getting to know members is my oil, hot tar, drywall mud curing on a wall, number one goal and there is some crossover hydrating concrete as it sets. from the homebuilders association,” she “The main thing I really love,” said said. “I want to make sure our members are Welling, “is the smiles on people’s faces aware of the services we provide at AGC as we get done with what we’re doing, and take care of any needs they may have, and they start enjoying the facilities and providing networking opportunities. I love are able to do their work. It’s an amazing giving back to the community and AGC does industry we’re all involved in.” a great job of that locally.” >> He said labor and recruiting new people into the industry will be among the leading issues the AGC and its members face in 2018. “We need help, we need people to join us. John Wright of Jacobsen Construction was given the ‘Project Manager of the Year’ award for overseeing HCI Once we get people in our industry, we need Phase IV. Wright also was Project Manager on HCI to figure out how can we mentor and train been part of that change in the skyline – and get them to be all they can be.” that building in and of itself changes the skyline in many different ways. While we New Southern Utah District Manager were on that project, we had a motto that The AGC recently welcomed Kathy we were building for hope, the hope that Tolleson as its new District Manager, replacing Bryan Rodgers. Tolleson most researchers will do their very best to find Kathy Tolleson cures for cancer. When you build a project recently served as Member Services and like that, they’re done by great teams.” Litz added, “I’d sure like to thank the Huntsman family – they do some amazing things in this community. As John said, it does take a team of people, from design team to laborers in the field, DFCM, and the best owner’s group we’ve dealt with.”
Doug Welling Installed as 2018 Chair; Clyde Presented with Ryberg Award At the Installation Banquet January 20, outgoing 2017 Chair Mike Kurz, President of Staker Parson Companies Utah, passed the ‘gavel’ to 2018 Chair Doug Welling, President/CEO of Jacobsen Construction. “I would be remiss if I did not mention my appreciation for the wonderful individuals I’ve served with on the Board of Directors,” said Kurz. “These industry leaders are not just great contractors and suppliers, they are great individuals who believe in the AGC’s motto of skill, integrity and responsibility. The AGC is better today because of your service.” Welling talked about his genuine passion for the industry, and his love for the sights, sounds and even smells of construction, painting a picture to those in attendance of the various aspects of a
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 47 AGC of Utah 2018 Convention AGC of Utah 2018 Hale Centre Theatre Convention Recap
2018 AGC of Utah Awards INDIVIDUAL/COMPANY AWARDS UDOT Employee of the Year Green Marwan Farah Project Open Service to the Industry Award UDOT Region II Project Manager Owner: Giv Group Jon M. Huntsman Sr. GC: Wadman Corporation AGC Committee Architect: Architecture Belgique, Inc. Eric W. Ryberg Award Chairperson of the Year (Workforce Development Committee) Healthcare Wilford Clyde Clyde Companies, Inc. Sydne Jacques Primary Children’s Hospital Jacques & Associates Surgical Center Architect of the Year Owner: Intermountain Healthcare Salesperson of the Year GC: Jacobsen Construction Architectural Nexus Rick Newton Contractor Owner of the Year Geneva Rock Products Architect: HKS Architects
Larry H. Miller Sports & Service/Supplier of the Year Higher Education/ Research Entertainment Company Mountain Regional Primary Children’s & Families’ Consultant/Engineer Equipment Solutions Research Center at HCI of the Year Owner: State of Utah DFCM/HCI Specialty Contractor of the Year GC: Jacobsen Construction Dunn Associates, Inc. Architect: Architectural Nexus Cache Valley Electric DFCM Employee of the Year Manufacturing Jim Russell BUILDING/INDUSTRIAL DIVISION PROJECTS OF THE YEAR Harrisville Cannery Director Owner: LDS Church GC: Big-D Construction DFCM Contractor of the Year Cultural ($0-25 Million) R & O Construction Tracy Aviary Bird Feeder Project K-12 Education Owner: Friends of Tracy Aviary Midvale Middle School Project Manager of the Year (Building) GC: SIRQ Construction Architect: AMD Architecture Owner: Canyons School District John H. Wright GC: Hughes General Contractors Jacobsen Construction Cultural ($25 + Million) Architect: VCBO Architecture Project Manager of the Year (Highway) Hale Centre Theatre Multi-Family/Residential Owner: Sandy City; HCT Bryce Jaynes GC: Layton Construction Legacy Village of Sugar House Ralph L. Wadsworth Construction Architect: Beecher Walker Owner: Woodbury Corporation Architects GC: Big-D Construction Contractor Superintendent of the Year (Building) Architect: Beecher Walker Norm Litz Government/Public Architects Jacobsen Construction Herriman City Hall Office & Towne Center Superintendent of the Year (Highway) Owner: Herriman City CHG Healthcare Russell Ottley GC: Layton Construction Owner: CHG Healthcare Ralph L. Wadworth Construction Architect: GSBS Architects GC: Okland Construction Company Architect: VCBO Architecture
48 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 AGC of Utah 2018 Convention Herriman City Hall Project HCI Primary Children’s (Ph. IV) Open
Renovation – Restoration Concrete/Structural ($0-25 Million) University of Utah Shoreline Ridge VivintSmartHome Arena Superior Air Handling Parking Structure Owner: Right Field Properties, LLC Owner: U of U Commuter Services GC: Ascent Construction GC: Ralph L. Wadsworth Construction Architect: AE Urbia Architect: VCBO Architecture
Renovation – Restoration HIGHWAY/MUNICIPAL/UTILITY ($25+ Million) DIVISION PROJECTS OF THE YEAR University of Utah Crocker Science Center Utility/ Infrastructure Owner: State of Utah DFCM Urban Highway GC: Okland Construction, Inc. Tibble Fork Dam Rehabilitation Architect: EDA Architects I-80; 1700 East to East Canyon Owner: No. Utah County WCD Bridge Rehabilitation GC: Whitaker Construction Interior/ Tenant Improvement Owner: UDOT Engineer: RB&G Engineering GC: Granite Construction Zion’s Bank Basketball Center Engineer: AECOM Owner: LHM Real Estate Development Airport/Transit GC: Okland Construction Rural Highway Vernal Regional Airport Runway Architect: SCI Architects; Method Studio Reconstruction SR-91; SR-13 to Mantua Drainage Owner: Uintah County/Vernal City Retail Owner: UDOT GC: W.W. Clyde & Co. GC: COP Construction Engineer: GDA Engineers Canyon Corners Engineer: JUB Engineers Owner: Canyon Corners CenterCal Civil/Public Works GC: Layton Construction $0-10 Million Architect: CSHQA Saratoga Springs Marina Pump Station SR-12 Slope Stabilization Owner: City of Saratoga Springs Sports/Recreation Owner: UDOT GC: COP Construction GC: W.W. Clyde & Co. VivintSmartHome Arena Renovation Engineer: Hansen, Allen & Luce, Inc. Owner: LHM Sports and Entertainment Over $10+ Million GC: Okland Construction UDOT AWARDS Architect: SCI Mountain View Corridor; 5400 S. to 4100 S. Design-Build 2017 Small Contractor of the Year Owner: UDOT Landscape/ Urban Development Schmidt Construction, Inc. GC: RLW Construction/Staker Parson Red Butte Garden Companies JV 2017 Large Contractor of the Year Water Conservation Garden Engineer: Michael Baker Int’l Owner: State of Utah DFCM Geneva Rock Products GC: Gramoll Construction Highway Architect: 3Fromme Design/MGB+A UDOT Large Partnering I-215; 300 East to SR-201 Project of the Year Worship Building Owner: UDOT GC: RLW Construction/Staker Parson Geneva Rock Products MTC Expansion Companies JV SR-37; 5100 West to SR-108 Owner: LDS Church Engineer: UDOT Region 2 GC: Okland-Jacobsen-Layton JV AGC/WCF Safe Contractor of the Year Architect: ZGF Architects Miller Paving, Inc.
Feb | Mar 18 | UTAH CONSTRUCTION & DESIGN | 49 AGCA 100th Anniversary
AGC of America Marks Centennial Powerful general contractor association celebrated its 100th anniversary in style at annual national convention Feb. 26-28 in New Orleans. AGCA CEO Stephen Sandherr praised the Utah chapter for its impact and influence in the local industry.
he Associated General Contractors said time and again, we wish every one of America is celebrating its 100th of our chapters was as strong, proud and Tanniversary in 2018, and marked the accomplished as the AGC of Utah. (It has) occasion in style at AGCA’s 99th Annual played a key role in securing tax reforms Convention Feb. 26-28 in New Orleans. that benefit all contractors, including Stephen Sandherr, CEO of the those who pay taxes at the individual rate prominent association that boasts 91 as pass-through entities. Our focus for chapters nationwide and more than 26,000 2018 is on addressing chronic workforce members, said AGCA is well positioned to shortages, further improving the safety of continue its role as a powerful voice for our industry, pushing for more common- contractors, both nationally and locally. sense regulatory reforms and securing “Celebrating a milestone like turning new, and desperately needed, federal 100 years isn’t about turning pages on a infrastructure funding.” calendar,” said Sandherr. “The significance of AGC of America’s Centennial is the tremendous impact our association and its members have had on the success of The significance of AGC of “ Stephen Sandherr the construction industry, the expansion of our national economy and the growth America’s Centennial is the by states on a 4 to 1 basis, which amounts of our nation. As we catalog in our new tremendous impact our to $1 billion. That figure just scratches the Centennial book – 100 Years: Building association and its members surface of a projected need of $4.5 trillion on Experience – the association has by national engineering associations like amassed a long and distinguished record have had on the success of the American Society of Civil Engineers of advocating for the industry, connecting the construction industry, (ASCE). members with each other and the broader the expansion of our national “While it will take a lot of work to construction community, educating get Congress to enact new infrastructure professionals within the industry, and economy and the growth of funding, the fact is improving saving members money.” our nation. infrastructure is one of the few areas Sandherr, who joined AGCA in 1984 where Democrats and Republicans and has been CEO since 1997, was quick to – Stephen Sandherr, CEO. continue to be able to agree,” noted praise individual chapters for their efforts, Sandherr. “We feel confident that if elected and singled out AGC of Utah for its strong officials hear from enough employees of track record and consistency through the Two hot-button issues the association” member firms that they will feel a need to years, noting that Rich Thorn has been is closely monitoring on a federal level are act on new infrastructure measures.” in his present role as President/CEO two infrastructure funding and immigration He said AGCA has launched an years longer than Sandherr has been with reform, both major talking points of aggressive new social media campaign the association. “It’s always impressive President Donald Trump’s agenda. Trump’s under the title of “Americans for Better to learn about the AGC of Utah’s many most recent proposal calls for $200 Infrastructure” that utilizes Facebook, accomplishments,” he said. “As we have million of federal money to be matched Twitter and other social media platforms >>
50 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 CONSTRUCTION96th Annual Convention I January 18th-20th, 2018 I Little America Hotel WORKSTHANK YOU TO OUR SPONSORS WHEN WE WORK TOGETHER
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WHEN WE WORK TOGETHER AGCA 100th Anniversary to educate and influence Congress about the need for new infrastructure funding. (Learn more at BetterInfrastructure.org). Regarding immigration reform – something local contractors are clamoring for in terms of increasing the size of labor pools with skilled, qualified immigrants – and also looking at Trump’s call for $18 billion to be spent on a border wall between the U.S. and Mexico, Sandherr was asked if that money would be better spent on infrastructure instead. He responded, “AGC of America has long-championed comprehensive immigration reform and at the same time worked to promote tighter border security measures. The fact is the lack of effective border security measures has put too many member firms in the position of having to be the de facto enforcers of U.S. immigration laws. And while most firms lack the tools available to confirm the legal status of all their workers, they are held to a far higher standard of accountability than we currently hold our own federal officials for enforcing immigration law. “We are punishing firms because we can’t enforce our own immigration laws,” he emphasized. “The obvious answer is to both tighten border security and to find a way to allow more people with essential construction skills to legally enter the country. That is why we will continue to fight for common sense immigration reform.” Thorn said the 100-year milestone is noteworthy on many levels. “For a volunteer, not-for-profit trade association to weather 100 years, in an industry as potentially volatile as construction and to build such strong name recognition and credibility is nothing short of remarkable,” Thorn said. “Not many associations can say they’ve been in business serving clients for 100 years – it’s an historic milestone.” The AGCA’s Centennial will be celebrated October 1 in Washington, D.C. n
52 | UTAH CONSTRUCTION & DESIGN | Feb 18
zeroworkzonead FIN.pdf 1 1/23/13 3:08 PM
INDEX OF ADVERTISERS AE Urbia ...... 9 AGC of Utah ...... 51 Archer Mechanical ...... 35 Architectural Nexus ...... 54 Babcock Design ...... 47 Bowen Studios ...... 42 Cache Valley Electric ...... 4 CCI Mechanical ...... 17 Century Equipment ...... 30 CSDZ ...... 41 Dunn Associates, Inc...... 5 Ferrellgas ...... 52 Geneva Rock ...... 6 Honnen Equipment ...... 21 Hughes General Contractors ...... 27 Hunt Electric ...... 14 Intermountain Bobcat ...... Back Cover Kilgore Companies ...... 53 Layton Construction ...... 39 Midwest Commercial Interiors ...... 45 Monsen Engineering ...... 19 Mountain States Fence ...... 13 R&O Construction ...... 2 Richards Brandt Miller Nelson ...... 34 Sealmaster Utah ...... 10-11 SMPS Utah ...... 54 Staker Parson Companies ...... 26 UDOT (Zero Fatalities) ...... 55 Wheeler CAT ...... 3 Whitaker Construction ...... 15
54 | UTAH CONSTRUCTION & DESIGN | Feb | Mar 18 zeroworkzonead FIN.pdf 1 1/23/13 3:08 PM CELEBRATING 50 YEARS OF SERVICE One Tough Animal.
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