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Step Inside The latest news from Pieper Electric. February 2011 www.pieperhouston.com
Copper: The New Gold Why rising commodity prices are affecting electrical contractors. Adding to current challenges in the Houston construction market, we are facing new headwind on materials pricing. While owners are expecting to see savings (it's a buyer's market), they are consistently setting budgets below what current pricing levels support. The rising commodities market has been a major instigator of this problem. Prices for steel, zinc, aluminum, glass, concrete, rebar and especially copper, have soared to new highs. Many of our clients are surprised by the increased costs in what should be a retracting market. However, electrical construction is heavily vested in the commodities markets. Our fixtures, switch gear, conduits and boxes are all fabricated from steel and copper. When base materials increase in cost, the fabricated assembly increases as well.
Copper's heightened value has incited unwelcome attention to jobsites. All materials installed on a project are covered under the contractor's builder's risk policy, and with copper thefts becoming increasingly common, general contractors are having to foot the bill. A recent article stated that an increase in demand for base metals may jump 10 percent to 15 percent this year. According to Barclays Capital, that compares with an average annual increase of 6 percent for aluminum and copper, and 4.3 percent for zinc between 1972 and 2009. Demand is predicted to jump 80 percent by 2015. We at Pieper Houston Electric study these fluctuations carefully, and aim to keep you informed about key issues in the industry. If you have questions about materials pricing or the demand increase for copper and other raw materials, feel free to call us at 713.984.9342. We'll be with you every step of the way. Sincerely, George W. 'Bud' Walters, President
Featured Project: St. John Lutheran Church Sunday mornings were feeling a bit cramped at St. John Lutheran in Cypress, Texas. Having outgrown their current worship center, the congregation decided to launch a new building campaign utilizing Pieper Houston Electric as its engineer of record and installing contractor. Other collaborators on this project include Brookstone Construction and Zeigler Cooper Architects. According to John Burkhart, Pieper's project manager, 'a main challenge of this design build involved wiring the new sanctuary while maintaining power for the rest of the functioning campus.' St. John's worship facility is expected to be completed on time and under budget in early April. A word from our clients: Pieper approaches projects that we have collaborated on with a positive 'can do' attitude and impressed our clients with their professionalism and courtesy… most of all, we felt like they were fair, professional and just as concerned about the project as we were. The building industry needs electrical contractors with their abilities. Mark Madorsky, P.E. President, MEP Group PBK Engineering Division
A Walk in Their Shoes Get to know: Laura Zavala Position: Receptionist Years at Pieper: 2 Birthday: May 7 Family: Her four children Larissa, Jared, Julia and Liz Favorite Food: Pasta Favorite Music: All kinds of music Laura's Motto: Keep moving forward! Favorite Type of Shoes: Flip flops Every step of the way. Pieper-Houston Electric 1708 Oak Tree Houston, Texas 77080 713.984.9342 PieperHouston.com