Region/NORTHEAST Q: What defines your corporate culture?
A: We are very much continuing the legacy of Leon Weiner. In affordable housing, he was one of the most recognized individuals in many a decade. Leon was a past president of NAHB, and now I am on some of the executive boards, not because I have a particular talent but because I believe if everyone took the attitude of ‘why do it,' then we would all suffer. The industry has been good to me and good to our company. I feel that there is an obligation to give back and try to improve the circumstances under which we all operate. I find it gratifying to grab an oar and row the boat forward.
Q: What are some of the challenges that you face in your market?
A: Occasionally, I will run into communities in the South that can go through the permitting process in three to six months. In our backyard, even if we are conforming to the zoning codes and asking no exceptions, a plan review will typically take 24 to 30 months to get approved.
Q: How does the North-east's economy affect your business?
A: Everything is soft right now, but overall demographics remain very strong; everything bodes very well in the long term for multifamily housing. In our region, Delaware has traditionally had a very strong economy and continues to diversify. Of course, Maryland and down to D.C. remains one of the strongest markets in the country. In Delaware, people are beginning to realize that many of these land-use codes that are restrictive of multifamily development actually perpetuated sprawl instead of managing growth. I think there is a realization that, by permitting increased density, [cities] can achieve managed growth, whether it is townhouses, attached condos, or rentals.
Q: What are your company's growth plans?
A: We do not plan on increasing our footprint. We are a regional player, if you will, and small by many standards. We are extremely detail-oriented, and that can inhibit substantial growth, but we are proud that in 56 years, no one here has missed a paycheck, and we continue to distribute bonuses each and every year. Certainly we are looking for additional opportunities, particularly in the acquisition, preservation, or conversion of existing affordable housing. Because of the prices of labor, materials, and dirt, many affordable construction deals do not pencil out.
Q: What is your New Year's resolution?
A: Personally, I need to lose 20 pounds—it's been the most talked about 20 pounds for a while. On a corporate level, we want to focus on our core mission and disciplines. We're not going to run off and buy a Lear Jet anytime soon. We have an annual meeting to examine our successes and our failures. We strive to learn from both and improve what we do and how we do it. We approach things cautiously. You don't get wildly rich that way, but we've also found that you don't go wildly broke, either.
About the Company
What: Affordable housing developer and operator
Founded: 1949
Headquarters: Wilmington, Del.
Employees: 170
2007 revenue: Declined to state
Units owned: 4,550 Units fee-managed: 4,100
Geographic coverage: Connecticut, New York, New Jersey, Pennsylvania, Ohio, Delaware, Maryland, and Virginia
About the Project
Project: The Village of Eastlake
Location: Wilmington, Del.
Units: 70 rental and 90 for-sale townhouses
Rent: Varies widely, between 26 percent and 115 percent of area median income
Notable: HOPE VI project; spawned several other subdivisions in a community that had only seen minor spot development for four or five decades