Condoboss Q&A #6 with Tom Rivkin: What Condo Associations NEED TO KNOW Before Starting a Masonry Restoration Project
Tom Rivkin is his family’s third generation President of Central Building & Preservation L.P.. He is responsible for management of all administrative and operational services including customer contact, estimating and job planning and supervision. A past president of the Tuckpointing Contractors Association of Chicago, he has served as an officer of the organization since 1993, and chaired its negotiating committee. He has served as Chairman of Tuckpointers Local 52 Pension Fund since 1994 and continues to chair a number of important fund committees.
Tom is a licensed Masonry Contractor in the City of Chicago. Tom is a member of the Apartment Building Owners and Managers Association (ABOMA). Tom has been a member of Young President’s Organization (YPO) since 2005 and has served in multiple leadership roles in YPO including Chair of the Chicagoland Chapter. He is very active in community service work, currently serving on multiple boards including The Jewish Federation of Metropolitan Chicago, the Center for Learning and Leadership (CLAL), and is a Trustee with the Washington Institute for Near East Policy.
Tom is a past President of The Standard Club in Chicago. He graduated from DukeUniversity and received a Masters of Management from Northwestern University Kellogg School of Management.
Tom’s contact information is: (P) 312-666-4040, (C) 312-656-5369, (F) 312-733-4044, tom@centralbldg.com, www.centralbldg.com
Condoboss (CB): As the 3rd generation owner of Central Building and Preservation, what are the key tenets that you have preserved and what new methodologies have you introduced?
Tom Rivkin (TR): Many of the repair methodologies remain unchanged since the early days of masonry repair. Many of the materials (particularly sealants) have improved due to technology and we stay up to date on recommended repair methods. From a strict business standpoint, we have always felt that when we align our interests with those of our clients, we each win. We try to look at masonry issues from the client’s perspective. Knowing what we know, what would we do if we owned the building?
(CB): What are the pros and cons of offering Union-based labor? How can you compete against non-Union firms? Do boards care?
(TR): We occasionally compete with non-Union firms. For the trickier and more sophisticated repairs, we are usually very competitive with non-Union. Our work involves highly skilled trades-people often working well beyond the range of easy supervision (several hundred feet in the air). We try to convince potential clients that paying for a highly-skilled, fully-trained, and well-insured Union tradesman is worth the investment when it relates to preserving an asset that often makes up a large percentage of a client’s net worth.
(CB): What is your appetite for standing on scaffolding that’s 100-stories up? What is it like to experience that?
(TR): After the first few rides, you get used to riding swing stage scaffolds. The technology is the same as an elevator as you have a suspended cable going through a motor to power the movement of the stage. Obviously, the big difference is that an elevator is enclosed.
(CB): Your firm recently completed the largest commercial masonry restoration project in the history of Chicago. What was that experience like? What did you learn along the way?
(TR): The rehabilitation of RandolphTower – 188 W. Randolph – was a great experience for us. We tried to compartmentalize the project into multiple repair tasks so as not to be overwhelmed by the vast scope. We partnered with key vendors and subcontractors and worked together (in some cases with added incentives) on achieving our common goals. Most importantly, the project reinforced the importance of long term, personal relationships which engender trust. Our client had worked with us multiple times in the past and, together, we strove to align our interests for the betterment of the project. The client had great confidence in our ability to complete an extremely complex project on time and on budget and we knew that success on Randolph would lead to more opportunities in the future. That has already proven itself.
(CB): What are the fundamental differences between your firm and your top competitors?
(TR): The fundamental differences include our Ownership perspective outlined above. In addition, we spend a great deal of resources on our staffing and supervision. We have educated and trained architects and engineers on our staff which not only provides us with technical knowledge, but also allows us to better interact with an Owner’s hired consulting engineers or architects.
(CB): When should property managers and board members call you? When should they not?
(TR): Preventive maintenance is always less costly than reconstruction. Many of our clients contact us for general reviews of their exterior masonry. Many contact us to work with their hired professional consultants to provide budgets before a bidding process. Others call us when a tenant or Unit Owner has discovered water infiltration into a unit.
(CB): I have known you for over 10 years now. And I have learned about how much you enjoy running your firm. What are your fundamental beliefs and core values that make your firm so successful and one of the most respected in the industry?
(TR): We treat our clients’ real estate asset as if it were our own. We operate with the utmost integrity in all of our business relations – client, vendor, subcontractor, employee, etc. We are not afraid to tell a client what he needs to hear as opposed to what he wants to hear.
(CB): Were you given a choice in terms of taking over the business? Was it an offer you could not refuse? Or were you given options and you simply ended up gravitating back to Central after you explored other options?
(TR): My grandfather started our business and, in many ways, pressured my father to enter the business. My father did not want to repeat that pattern and he required my two brothers and me to explore other work options prior to considering a career with Central. I worked for two real estate developers during and after college and received my MBA prior to joining Central in 1989. In the end, my two brothers opted for other careers and they too have been very successful in their endeavors.
(CB): What are the most common mistakes board members make around masonry restoration?
(TR): While this may sound strange coming from a contractor, we think condominium board members occasionally overspend. There is a “collective mentality” that while a board member would never pay $10,000.00 to repair his home if he could spend $5,000.00 for a solution which is 90% as effective, he eagerly authorizes the $10,000.00/unit expense because everybody will be paying for it. Often, the $10,000.00 repair is the sensible and appropriate repair; but not always.
(CB): What are the most cost effective ways to maintain a masonry façade?
(TR): Preventive maintenance can help defer more costly reconstructive repairs. This maintenance includes regular upkeep of roofs and roof flashing (many façade repairs are focused at parapets and top floors due to roofing defects), tuckpointing of open mortar joints to prevent water infiltration, and regular upkeep of windows including caulking.
(CB): How does your firm compare price wise with your direct competitors? How about value wise? What is your value statement?
(TR): We have now been in business for ninety years and have remained competitively priced. While our hourly rate for a tradesman may be more costly than others, our supervision and job planning allow us to expend fewer man hours in completing repair tasks which keeps us competitive. This also provides value to a client as we can complete required repairs in a shorter time-frame which will be far less disruptive to unit owners and tenants. Our business longevity also portrays a business which can be trusted. We were here yesterday, we are here today, and we will be here tomorrow to address the needs of our clients.
About the Authors:
Salvatore J. Sciacca aka “Condoboss” is one of the nation’s leading experts in the community property management industry and is also recognized for his blogs and insight on personal and organizational transformation. He is also the President and Founder of Chicago Property Services, Chicago’s #1 community property management company specializing in management and operations of condos/townhomes/HOA’s of 100 units and under. Salvatore is also the founder of managmycommunity.com (MMC), which is a state-of-the-art online support portal for community associations.
With over 20 years of industry experience, Salvatore is recognized for his extensive knowledge of capital planning, preventative maintenance, cost-saving measures and community building techniques. He holds industry stature as a Certified Manager of Community Associations (CMCA), the designation of Association Management Specialist (AMS) and is fully licensed as a manager (License #: 261.001386) through the State of IL.
Salvatore can be reached at: 312.455.0107 x102 or ssciacca@chicagopropertyservices.com
Tom Rivkin is his family’s third generation President of Central Building & Preservation L.P.. He is responsible for management of all administrative and operational services including customer contact, estimating and job planning and supervision. A past president of the Tuckpointing Contractors Association of Chicago, he has served as an officer of the organization since 1993, and chaired its negotiating committee. He has served as Chairman of Tuckpointers Local 52 Pension Fund since 1994 and continues to chair a number of important fund committees. Tom is a licensed Masonry Contractor in the City of Chicago.
Tom is a member of the Apartment Building Owners and Managers Association (ABOMA). Tom has been a member of Young President’s Organization (YPO) since 2005 and has served in multiple leadership roles in YPO including Chair of the Chicagoland Chapter. He is very active in community service work, currently serving on multiple boards including The Jewish Federation of Metropolitan Chicago, the Center for Learning and Leadership (CLAL), and is a Trustee with the Washington Institute for Near East Policy.
Tom is a past President of The Standard Club in Chicago. He graduated from Duke University and received a Masters of Management from Northwestern University Kellogg School of Management.
Tom’s contact information is: (P) 312-666-4040, (C) 312-656-5369, (F) 312-733-4044