Virginia is for lovers – and it’s clearly also for design/build contractors. Ranked No. 4 on Lawn & Landscape and Professional Landscape Design’s list of the Fast 5 Design/Build States, Virginia is going strong despite challenges, including the state of the economy and years of ongoing problems with drought.
In terms of housing unit growth, Virginia was home to four of the 100 fastest growing counties from 2006 to 2007 and nine of these spots from 2000 to 2007, putting it behind only Georgia, Florida and Texas. Virginia is currently in the top 10 when it comes to unemployment, with a rate of 4.3 as of September.
There are approximately 2,064 landscape companies in Virginia, making it the 13th largest in terms of landscape business stock. “The landscape sector of our membership has been steadily increasing over the last couple of years,” confirms Jeff Miller, executive director of the Virginia Nursery & Landscape Association in Christiansburg. “And a lot of our members report the hardscape and design/build segments of their companies have recently been the strongest.”
Virginia’s economy has been good at enduring economic challenges, suggests Richard Baker, president of The King’s Masons, Manassas Park, Va. “In the past, while other parts of the country were experiencing downturns, we sailed right through them, virtually unscathed – we’ve had a very stable financial base,” he says. “Today, the state of the economy has weakened a bit.” Yet despite the financial crisis catching up with the state, Virginia remains one of only 19 states that is not in recession – and, as a result, is still experiencing industry growth while other states may have slowed.
Another potential reason for Virginia’s high standing is “livability.” For one, the climate is moderate, and homeowners can get three full seasons outdoors. This makes it worthwhile for them to invest in outdoor improvements, says Baker. “In a temperate climate like Virginia’s, people are more likely to spend time outside,” he says.
Adding to the livability factor is housing affordability. “Virginia has a more reasonable cost of living,” says Duane Shumaker, vice president of RSG Landscaping & Lawn Care in Roanoke. “People can stay within a budget, not overextending themselves, and even have money left to spend on remodeling their properties with hardscaping and other design elements.”
Many areas of Virginia are continuing to experience growth. Richmond was No. 7 on Forbes’ “Best Metros for Business & Careers” list; Charlottesville and Blacksburg were Nos. 9 and 10, respectively, on Forbes’ “Best Small Places for Business & Careers” list; and Virginia Beach, Charlottesville and Leesburg were Nos. 14, 18 and 31, respectively, on CNN Money and Fortune’s “Best Places to Live and Launch” list. The major reasons for the notoriety in these Virginia cities include a diverse economy and a strong workforce composed of graduates from area colleges, such as the University of Virginia and William & Mary, as well as some large companies that support the economy, like Stihl in Virginia Beach. High-tech businesses in Charlottesville generate an estimated $4 billion in annual revenue alone.
“For us, central and northern Virginia seem to be experiencing the biggest amount of growth right now, mostly due to the amount of condominiums, apartment complexes, town homes and general commercial sites being developed,” Shumaker says. “I’ve also noticed areas immediately around a college campus seem to be thriving the most throughout the state.”
But as competition grows despite economic concerns, it has, in some ways, created a survival of the fittest scenario. “There are always some people who have money to spend, although we have to work harder to make the sale these days,” admits Baker. “This is where companies who have built solid reputations will see their hard work pay off.”