COLUMBUS, Ohio, Sept. 26, 2011 /PRNewswire/ -- Simac Construction announced today that it has completed work on CVS in Corona, California, its 1000th construction project. The retail building project was completed in 5 months, on time and on budget.
"We are proud of our long relationship with CVS. With client expectations for lower margins at the profit and overhead line items, national contractors struggle to remain profitable," said Richard Alleway, COO at Simac. "We had to take advantage of skilled management entering the job market and redefine our business plan to include a higher volume of each market segment. Having said this, Simac has more on its WIP (work in progress ) accounts than any time in the last four years."
The broad downturn in the national construction market post 2008 has severely compressed profit margins for many contractors. Simac Construction has fostered repeat client business throughout the recession. Rich Simis, President of Simac, says: "Although profit line items have compressed severely since 2008 we are enjoying a significant volume of national construction business on a repeat basis. With lower quarterly construction cost only moving downward slightly the last 4 years, Simac has re-engineered the profit center through volume and continuity with repeat clients." In fact, quarterly construction costs have now inched back up to 2007 highs. Fuel cost, transportation and the catch up of supply inventory are the factors keeping construction costs up, though capital and cost of labor still remain the lead issues in operational capability.
Its about the Client
Speaking of the CVS project, Simis explains that, "This is the norm for Simac and that's why our clients come to us again and again, and their investors and lenders also. In a world that is awash in uncertainties, we deliver, over and over again." Alleway says, "We know construction, it's all we do. Having completed over 1000 projects worth more than $1 Billion, we have had projects entrusted to us by Irvine Company, Donohue Schreiber, Paine Webber, Shea Homes, CVS, Starbucks, Panera, Chipotle just to name a few. When you hire Simac, we have only one goal: complete the construction project as agreed, on time, within budget and without change orders. This means that we have to be generous with our time and our resources to get it done right, on time the first time. It also means we are committed to providing total support to everyone involved with the project. At Simac, we recognize that whatever your position, developer, retail company manager, investor or lender, you're putting your business in our hands. We understand that Simac's performance will impact you in many ways, so we bring our team approach to every project so that we all look good."
Simac Construction specializes in Class A office , Retail , Industrial and Gray and Vanilla shell tenant improvement projects.
Celebrating its 30 year anniversary, founded in 1981, Simac has served the needs of developers and owners of commercial property across the U.S., making Simac's project management and construction business one of the nation's leading national construction companies. Operating in more than 20 states, Simac employs hundreds of industry professionals. Simac's national construction presence allows its project management and construction business to hold strong market positions in the office, retail, industrial, pharmaceutical and mixed use sectors. Simac is expert at working closely with governments and municipalities to deliver each client uninterrupted schedules.
Richard Simis - President and CEO
SOURCE Simac Construction