Four Seasons Housing, Solid foundation

Manufacturing in Action, Source : The Manufacturer US

Four Seasons Housing has grown faster than any other business in the manufactured housing industry. Sheridan Winn finds out why from Brent Bardo, vice president and co-founder.

The American manufactured housing industry began in Middlebury, Indiana in 1933, when Schult Homes pioneered what has become a multi-billion dollar industry. Today, the US market for manufactured homes is between $6 and $7 billion. Housing remains a key element in the nation’s economy, accounting for 4% of gross domestic product in a typical year, and new home starts are a critical economic indicator.

Founded in 1994 by eight colleagues, Four Seasons Housing is the fastest growing company in the manufactured housing industry. In three years, Four Seasons built its business from nothing into a $100 million company. Located in four plant facilities in Middlebury, it employs 380 people, 75% of whom have been with the company since day one.

“It was precisely the right timing; we had very strong demand at that point,” said Brent Bardo, vice president, general manager, and co-owner. His seven partners have since retired, and he remains as the only remaining founding partner. Bardo handles the operations of the company; his partner, Austin Baidas, chief executive officer, president, and co-owner, is responsible for sales, service, and engineering. Four Seasons homes are bought in 33 states through a network of 220 independent dealers, who offer anything from one model to fifty different turnkey houses in manufactured housing retail centers.

“It’s logistically smart to sell through dealers, owing to their knowledge of regional tastes,” explained Bardo. “We are moving into broadband, which will allow dealers to order online and show the customer a selection of colors and interiors. The second benefit is that we can draw on our dealers’ expert knowledge of local building codes. We have to adhere to strict regulations; there are license differences in each state.” Tastes vary as well. For example, customers in southern states prefer bright colors on their interior walls, while West Coast buyers prefer neutral, earthy tones.

Four Seasons offers homes at three distinct price levels, ranging from $20,000 to $180,000. The same amount of floor space and construction levels are included at each level, with the top levels offered a wider variety of interior dÈcor and a higher degree of finish work. “It’s this aspect of our product that makes Four Seasons unique,” explained Bardo. “No other company offers the same floor plan at three different levels of price. We’re heads above everyone else in this aspect, and we believe this is what’s made us so successful.”

“It’s part of our philosophy,” continued Bardo. If a customer doesn’t have the money to buy our high-end product, we believe he should still be able to have the same amount of floor space in his house. He will have the same quality of construction but a more limited choice in carpets and fittings. At the top end, the choice is limitless.”

Four Seasons began with six floor plans in 1994; today, it offers a wide range. Its top selling homes are sectional models, which can be moved and delivered in two parts. “People pack up and move the whole house,” said Bardo. “The components are pulled one behind the other to the site, then married together to make a home of 28 x 80 or smaller.”

Both single- and multiple-section homes are available. Models range from 880 square feet of space to nearly 2,305 square feet of floor space with four to five bedrooms and three bathrooms. Most of the multiple section homes are available with a basement, and all of the houses are mounted on a concrete foundation. One hundred percent Canadian lumber is used on the interior frames, and the exterior vinyl siding is available in four colors.

“The primary advantage of a manufactured home is affordability,” said Bardo. “For approximately $25,000, you can buy a single-section home with 880 square feet of space. The second factor is quality. Four Seasons homes are built at a very high quality level: there are few site-built houses that will stand up to being driven along on the top of a trailer at 60 miles per hour.” Ease of construction is another factor, continued Bardo. “You might wait six months for a house to be built; our houses are built in two days in a dry, enclosed environment and set in another two days. Everything is put onto the foundation, the house is married together, the wiring is connected, it’s sealed and trimmed, and it’s ready to move into.”

Although Four Seasons has been profitable every year since it was founded, last year was a slow time, with sales slow due to the economy. The company’s high-end products have been the strongest sellers over the last three years, reflecting the availability of credit in this sector of the market. “The manufactured housing industry is also very competitive,” said Bardo. “Smaller businesses are being bought up by companies that wield a massive buying power.”

But Bardo is proud of the company’s stable workforce and strong work ethic. The company has a flat management structure and a hands-on approach to lean manufacturing, with each employee responsible for the elimination of waste in his or her area of work.

“Although we’re a privately-owned company, we’re very open, and we share our profits,” said Bardo. “We want our employees to know what the impact is on the bottom line, so we show them. I’m very proud of our staff. We’re a family-oriented company, and I believe we’re very fair with our people.”

New designs are introduced each year, and older designs remain available. R&D is done on site, and work begins on the new range of models in March. By May, Four Seasons is prototyping and inviting dealers in to view and comment. Final decisions are made in June. “We need to hear what our customers are saying,” said Bardo. “The best way to get business is still by word of mouth.”

Bardo stresses that innovation is key to the company’s success. “We want other manufacturers to follow us. We search out new materials at international shows to introduce these to the market a year ahead of our competitors. This year we are offering drywall: flat, painted color on the interior walls,” he said. As for the future, “We would like to get to $120,000 million in sales,” said Bardo. “That’s our niche. We don’t want to grow any bigger than that. And we would like to keep all of our customers happy.”

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