Meek’s Lumber completes real estate deal
Meek’s has completed the sale-leaseback of 41 properties.
HFF – a commercial real estate brokerage – reported that it has completed a sale-leaseback of 41 distribution centers and commercial assets for Meek’s Lumber and Hardware.
The deal includes more than 2 million square-feet across 23 properties in Missouri, 10 in California, 6 in Arkansas and 2 in Nevada, all of which represents nearly the entirety of the company’s operational real estate, HFF said in a press release. Terms were not disclosed.
Meek’s Lumber, based in Springfield, Mo., was acquired by LBM startup American Construction Source (ACS) last week. Funding for ACS is lead by Angeles Equity Partners, LLC, a Los Angeles-based private investment firm, and Clearwater Capital Group, L.P., also a private investment firm.
This portfolio consisted of distribution assets with a retail component along with manufacturing facilities, a design center, and the headquarters.
A second closing for an additional set of properties is set for the fourth quarter of 2018, HFF said. Meek’s operates more than 50 locations.
Kodiak heads to the Northwest Frontier
Frontier Building Supply operates 5 yards and a millwork center Washington.
Kodiak Building Partners has acquired Frontier Building Supply, based in Anacortes, Wa.
Frontier operates 5 yards in the state, along with a millwork center, and has sales of more than $35 million in 2017. The pro dealer has been a long-term supplier of building materials to the Northwest.
The company is joining Kodiak’s LBM division under the leadership of Mike and Pat Flood, co-presidents of the group. Terms of the deal were not disclosed.
Frontier was founded in 1975 by Oscar Johnson and his sons Mike and Terry Johnson. The Johnsons are retiring and Chuck Posey will assume the role of president of Frontier. Posey has been an integral part of Frontier for more than 30 years and has worked his way up through the ranks, serving in a variety of positions, Kodiak said.
Frontier explored many options for the brothers’ exit strategy and “confidently selected” Kodiak, Kodiak and Frontier said in a joint statement.
Posey said that Kodiak is made up of “lumber guys” and a good fit for maintaining Frontier’s culture and legacy. “The folks at Kodiak have a great track record of retaining companies’ heritage after acquisition. They allow their companies to ‘keep up the good work’ and stick to their roots.”
“The team at Frontier runs a very successful business in a unique geography, serving professional builders and remodelers,” said Steve Swinney, Kodiak CEO “Our decentralized business model allows us to support all that they profitably do and offer our assistance where it makes sense.”
Based in Littleton, Colo., Kodiak operates 77 facilities in Washington, Texas, Florida, Colorado, Arizona, Delaware, Massachusetts, Michigan, Wisconsin, Minnesota, and Maryland.
LMC dealers gather for ‘Innovation’
Pro dealers tour innovative operations in Boston.
LMC (Lumbermens Merchandising Corporation) recently held its 4th annual Leadership Summit in Boston, Mass.
The Leadership Summit is an opportunity for future leadership in the LMC dealer network to come together to learn from each other as well as from professionals in other industries.
This year’s theme was “Innovation,” and attendees learned how to use inventive thinking techniques and skills to enable them to think more creatively, innovate, and easily adapt to change. All of the companies and locations the group visited over the 3-day event are innovators in their respective industries, according to LMC.
“We wanted to visit companies and institutions that really push attendees to think outside the box,” said Jessica Scerri, chairman of the Aspiring Leaders Group. “How can the next generation of leaders step beyond the status quo and re-imagine their businesses?”
Based on Wayne, Pa., LMC is a leading forest products and building materials buying group with more than 1,400 dealer locations.
Event facilitator Jim Austin, a faculty member for Duke CE, outlined the trajectory for the event. He said the group would be looking to better understand incremental and transformative innovation, the risks involved, and the need to develop a portfolio of options for innovation-driven growth.
The attendees headed to MIT where they visited the MIT Museum and participated in a hands on structural engineering workshop. The leaders then attended MassChallenge, the world’s largest global accelerator. They learned how to stay pertinent when startups are disrupting industries, and heard directly from entrepreneurs who are relevant to this industry.
“I really enjoyed the MIT Museum, it definitely caused me to think differently and outside the box,” said Ian Galbraith of Foxworth Galbraith.
The event included several speakers that shared how they lead the effort to drive a culture that is rooted in innovation, and innovative ways retailers are capitalizing on the demographic shifts that are providing both opportunities and risks for the modern retailer.
The group also visited Stanley Security’s Futures Innovation Factory, a breakthrough innovation center in Boston dedicated to advancing technological innovation in the company’s business. They also ventured to Fenway Park for a special tour of the park. The tour examined the history of Fenway and detailed how the park was saved from being replaced through innovative thinking.
At the conclusion of the event, attendees gathered to discuss all they had learned over the past few days and how they could apply it back home.
“I am very impressed with the opportunity, the idea generation, the collaboration, and the willingness of all the participants to share their insights,” said Tim Tryba from Consolidated Lumber.