Blog

[automated transcript]

With issues like the supply chain crisis, massive labor shortages, and the perpetual increasing cost of building the past few years, we were forced to adapt. This is how we resolved major issues like those as a luxury home builder in Tampa, FL.

Lately, we found that there are a lot of issues with supply chain and labor shortages. Whatever is the reason, we trying to deal it with perhaps paying more attention.

So I wanted to explain what we do with one and the other. 

On the supply chain, we decided that since there's a lot of materials that are being delayed because of production, because of transportation, or whatever the reason is on the manufacturer side. We decided that at the beginning, once we know what we're building, we are putting a big deposit on the items, so we get the ball rolling.

In other words, if I know that I need 100 windows in a new home, I'm not gonna wait for the time that is normally we used to do is order the windows, and get it in three weeks. 

Now windows take about six months. So I'm not gonna wait for the time that I need the windows in order to order, I order at the beginning. So whoever manufactures the windows, they have at least six months to provide them. By the time they're done manufacturing the windows and sending the windows to us, is the time that I need to install those windows. 

So that delay, it helps us to make it shorter because we put the deposit upfront on all the materials. 

And as far as labor is concerned, we work with the, we're lucky, we're very lucky. 

We work with a group of subcontractors that we've been working with for the last 10 years. It's people that we created like a small family within us. 

Yes, there is challenging. There are a lot of challenges associated with labor, but obviously, the relationship that was created and was developed, it's in place. 

We don't feel that as perhaps many other builders, because they know what we expect from them. We know what we expect from them, and they know how to expect from us, and create that bond. That if I have to wait a couple of weeks for somebody to come and do the work because they're doing other things, I wait. 

As long as I know who's doing whatever the procedure is that we're doing in the house, and I know that is a good labor, I will not change them because I have to wait a couple of weeks in order to get them to the project. 

And that is a commitment that I have with all my contractors. And once they understood the motions, they know that they can come with us. 

They know that we are good on payments. We don't delay payments. Once they get the job done and it's inspected, they receive their payment. And they're happy because in most cases, they have to wait 30 days or perhaps 45 days to get paid by somebody else. 

They know that with Arjen Homes, they do the work, the work is checked, and they get paid.