Document 6BDae0wr1pr2pYJmgEEbpxmvg

TH E BUSIN PLAINTIFF'S EXHIBIT ISSUE 2 1958 BB027 0204 y COUNC\V Here's the new program for dealers and contractors to Find more business THE BUSINESS OF BUILDING MAGAZINE o UNITED STATES GYPSUM publication serving the construction industry-- architect, builder, deoler, journeyman. 300 W. Adams Street, Chicoao 6, Illinois Elmer H. Johnson, Editor Ross Schrom, Jr., Associate Editor F. W. Goessiing, An Director NOTICE; The following trademarks ore owned ond/or registered in the U. $. Potent Office by United Stoles Gyotvm Company, ond ore used throughout this mepciine to designate products monuloctwred by that comoony. SHEETROCK {gypsum wollooord), GLATEX (osbesiot siding sninglet). AUDlCOTE loeovsiicof pfosterj, TEXOUTE (points). SEAlCO (ospholf roofing). Copyright 195B, United Stotcs Gypsum Company PHOTOGRAPHS in this issue ore by Hookin* Photogrophy, Tulso; Infinity, Inc., Mmneopolis; Kronzten Studio, Evanston, III.; Fron Byrne, Chicogo: Hedi ich-Blessmg Studio, Chicogc. A permanent, well-coordinated campaign to improve business right now already has started paying off for local dealers and contractors across the country. It's the Home Improvement Council's nationwide promotional program designed to stimulate home modernizing and remodeling for the benefit of the entire construction industry. Since HIC's establishment in January, scattered reports have indicated widespread success with consumer interest in the $125,000 "How's Your Home?" contest which spear heads the first phase of the campaign through June 30. Increased home improvement activity already is channeling consumer dollars to dealers and contractors who have signed up as HIC members and are vigorously carrying out the program at the local level. Membership costs are nominal--$25 to dealers and con tractors with less than 25 employees. For his money the local businessman gets a series of promotional kits to aid his selling efforts, and establish his relationship with the powerful national advertising support of the campaign. As a member, the local dealer or contractor displays the distinctive HIC seal and also receives counter cards, ad mats, pennants, streamers, radio scripts and other mer chandising aids (left). Several other kits are scheduled for distribution to members later in the year. The big feature of the 1958 campaign, however, is the "How's Your Home?" contest now underway. The entry blank is in check-list form, re quiring the homeowner to ex amine the adequacy of every with H.I.C. thing in, on and around his home. He must also write 25 words on why he feels it is im portant to improve his home. This contest, which ends June 30, will be immediately succeeded by a second HIC "performance" contest, starting July 1, requiring completion of an actual home improve ment project with the aid of a local Council member. A total of $125,000 in cash prizes, including first award of $25,000, will go to winners in each contest. Dealer and contractor members reap dividends immedi ately by serving as "contest headquarters" and distributing the 16-page entry blanks, designed for use over the counter, by direct mail, or on a door-to-door basis. They also may participate in local HIC chapters which are being organized to promote home improvement business in every commu nity. Teamwork and follow-up are expected to produce profitable results on an unprecedented scale. As one of the leading manufacturers who are contributing financial support to the Council, United States Gypsum is planning to fully capitalize on the home improvement cam paign--and urges its customers to do the same. At stake is a potential estimated market of $15 billion for home im provement in 1958--an average of $1,728 per housing unit. For membership information, address Home Improvement Council at 2 E. 5ith Si., Sew York 22, S. 5\ BB027 0205 2 Te five model houses at Larkdale Subdivision near Wauconda, 111. each serve a different selling purpose for Dato Construction Co., developers and builders. The first of the five in the line is completely furnished by the company's stylist and coordinator, W. Shrewsbury Pusey. A plan for yard planting which is given to each house purchaser has also been put into practice in the yard surrounding this first house. The second house and yard have been finished to precisely the condition in which the company delivers a new house to its owners. Here, Dato demonstrates exactly how much a customer can expect to be included for the quoted purchase price. Such demonstration avoids misunderstandings. The third house is a cut-away structure, with sections of the walls, partitions and ceilings left open to demonstrate construction techniques used in erection of all Dato houses. Harold Dato, president and owner of the company, is follow ing with interest the reactions of the public to the cut-away. He feels that it has beneficial selling effect even on those who understand very little about construction or what they are seeing. These people at least become convinced that if this company is unafraid to show its construction methods so openly, these methods must be satisfactory. There have been occasional unfavorable remarks by visitors who do not (continued) model houses perform selling functions UNEUP OF MODEL HOUSES at Larkdale differs from most in that each house performs a different selling function. One is furnished, one is finished to the point of customer delivery, one is cut-away and two are partition-free display areas. 3 BB027 0206 \ORE PROFITS . . . \ORE PRESTIGE FOR YOU! sin the Home Improvement Council and ecome part of the big push to moke every imily across the nation home improvement 3n$cious. Council headquarters will trigger emendous promotions in nationally disibuted magazines and newspaper supplelents. Local members (you and fellow ierchants in your home town) will benefit om more profits and more prestige when ou back up these power-packed promotions n the local level with ammunition supplied y council headquarters. oin the Home Improvement Council NOWI >nly HIC members ore permitted to use the HlC leal.) To HIC: We're ready to take on octive part in the big push to make every family across the nation home improvement-conscious. Sign us up as HIC members in our category as checked below: Manufacturer (.01 of 1% of annual ealei to the improvemcnl-modernization-replacement market -- J100 per $1 million) Wholesaler (550) Under (550) Jobber (550) Utility (550) 0 Dealers or contractors with 25 or more employees (550) 0 Dealers or contractors with less than 25 employees (525) 0 Realtor, architect, decorator, engineer (525) 0 Other (explain) ........................................................................ 0 Membership check enclosed. 0 Eilf us for membership. Please send us all HIC promotional materials so we can benefit from more profits and more prestige right here in our own home town. Nome........................................................................... Title............................................................................... Organization.............................................................. Address........................................................................ City.................................................................... State Signature..................................................................... BB027 020 _ ,, , BB027 0208 As a Home Improvcmcni Council member you will THE BUSINESS OF BUILDING n u g a iin * Receive Membership Identification Kilt Containing parchment membership certificate; two* color decal of HIC seal; distinctive counter cord; speciol employee's booklet; newspaper od mats and components with layouts; copy for newspaper release; radio and tv spots. Receive $125,000 "How's Your Home?" Contest Kit: Containing huge display banners in two different color schemes; window display streamers; store pen* nants; contest counter cord; newspoper od mats and components with layouts; newspaper reieose; radio and tv spots; contest entry forms; contest buttons for employees. Receive HIC Newsletter, twice a month: These Utters will keep you informed about what's going to happen. They'll tell you how others are getting behind the profit push. Receive Future Promotional Packages: A Spring package is already in the works . . . and a second sensational contest will break in July. Receive A Listing In The July Issue Of The American Home Magazine: 10V4 million readers will see your name listed as a place to go in your community for entry blanks and advice on the projects they need to accomplish in order to enter the second contest which starts in July. This listing is at no cost to you or to HIC. (Limited to first 6,000 local HIC members). Join the Home Improvement Council NOW! 5 model houses continued understand that the space concealed between partition faces or in attic crawl spaces are not always cleaned up as thor oughly as the interiors of a new house. The new U.S.G. Hidden Assets Evaluator, described on the next page, can accomplish many of the aims of the cut-away house, without so great an expense, and without raising the question of job conditions during construction. The fourth and fifth houses are sales-closing areas. With partitions omitted, they provide great open display space for site maps, color coordinating display boards, salesmen's desk areas and art renderings of all of the house exteriors. Each of the five display houses is a different model, so that several of the Dato plans can actually be seen. Everything is pre-planned at Larkdale. Stylist Pusey has developed an over-all exterior color scheme that coordinates the exterior colors of adjoining houses. Usually the trim color of one house may become the body color of its neigh bor. The next house may again use the same trim color, but with an entirely different but complementary body color. The company also offers ten basic interior color schemes for a choice by the purchaser. Thus the buyer does not pick individual colors, but instead the coordinated scheme which strikes his fancy. The predominance of the individual colors within the scheme may also be determined by the purchaser. Each of the ten schemes is shown on a display board in the last of the five model houses. The boards include suggestions for fabric types, carpeting, etc., but Dato Company does' not get into the purchasing of these items. Land planning for the 415 house subdivision similarly is a professional job, by Evert Kincaid & Associates. Drive ways are grouped in pairs so that the broad expanse of lawn for two houses is uninterrupted, and gives both lots the appearance of being wider than they actually are. A landscape plan prepared for each house is given to the owner at the time of purchase. It is not anticipated that all of the planting will be done immediately, hut experience has proven that as owners develop their yards over a period of several years they tend to follow the suggested plan. There are twelve different arrangements of these land scape plans and they are also coordinated with the plans of the neighboring houses, so that as each develops, the entire neighborhood benefits. They show placement of terrace surfaces, indicate accent fences and planter boxes, and include do-it-yourself plans for constructing the items suggested. They indicate type and size of planting material but do not specify species. Dato Construction sells successfully by offering a complete plan for living and property development rather than merely the bare house on a bare piece of ground. It Bells successfully with a series of model houses, each of which performs a separate function in the selling process. And all of this selling technique sells the integrity of the company and its building practices as well as the shape of the houses themselves. CUT-AWAY MODEL house (right) shows framing, insulation, siding, sheathing and wallboard. This house also contains displays citing the merits of the various structural materials. LARKDALE PROMOTION includes a simulated newspaper sheet and a {older con taining loose sheets on houses available. LARKDALE LEDGER $495 DOWN TO VETERANS Hidden assets of building sold by New Evaluator ong faced by the problem of how to merchandise the good con L struction features they build into their homes, builders are enthusiastic about United States Gypsum's new Hidden Assets Evaluator developed for this specific purpose. The Evaluator itself is one unit of a packaged program, but it is the heart of that program. It is a table-top display showing a full-color picture of a typical new home room interior. By manipulating tabs on the side of the display, a series of transparent overlays can be pulled across the face of the picture of the room interior. Each over lay contains one construction step, drawn in the same perspective as the room picture. One shows sheathing, another stud framing or masonry back-up, another wall insulation, and another wallboard or lath and plaster construction. As the tabs are successively pulled, the picture gradually becomes a cut-away drawing, always showing part of the finished room, but gradually revealing the entire inner structure of the walls and partitions surrounding that room. A selection of overlays is available so that the display can be adapted to any type of construction that a builder may be doing. They include all major types of building material. A simple explana tion of what is being demonstrated as the overlays emerge is an effective sales talk, and the customer's attention is held by the device. Your U.S.G. salesman can give you the full details of this program, or they may be obtained by writing Business of Building magazine, 300 W. Adams St., Chicago 6, 111. Profit opportunities in changing neighborhoods through remodeling This neighborhood needs 6 Fewer stores... more homes IN remodeling, everything depends on the neighborhood situation. While Eckert Piano Co. was successfully converting residential property in Omaha into a handsome sales cen ter for pianos and organs (right), Mazur Re modeling & Siding Co. was active on Chicago's southwest side, making living quarters from unrentable store property. Experts cite a rash of small vacant stores as evidence of the deterioration of a neighbor hood, and recommend the conversion of these properties to neat dwelling units as one step toward checking blight. The example shown at left is taken from Chicago's far-famed Back of the Yards area which has won well-deserved acclaim for lifting its community standards by its own bootstraps. There is no hiding nor denying the fact that this building once contained a store. Neither has its remodeling created an exterior appearance which would make the structure seem at home if it were transplanted to a $200a-front-foot residential neighborhood. But the work was done with good taste and the result ing structure speaks out as being neat, clean, attractive, and a credit to the neighborhood. BB027 0211 Profit opportunities in changing neighborhoods . through remodeling This neighborhood needs . Fewer homes... more stores odge Street, always a principal business D thoroughfare of downtown Omaha, Nebr., gradually evolved into a residential boulevard as it stretched toward the outskirts of the city. But the growing business community caused commercial establishments to press further and further out on Dodge Street. Outlying residen tial property took on new dollar value as its business potential increased. Max Eckert contributed to this trend when he purchased about 65 feet in the 4800 block of Dodge Street as a site for his retail piano company. It was intended that the old house on the land would be wn-ecked for the construc tion of the new Eckert store. Architect Jack Jackson, called in to design the new structure, felt that the structural con dition of the existing house warranted its re tention as part of a combined commercial-res idential building. The house was positioned far (continued j PIANO STORE downstairs--rental offices upstairs, are in a new structure (above) that extends the old house out to the sidewalk line. Notice excavation being started in the "before'' photograph. 7 BB027 0212 'More stores continued enough back on the lot to permit extensive new construction between it and the sidewalk frontage, creating a display window and store facilities. Thus the existing house was remod eled to provide workrooms, storage area and a portion of the piano showroom on its lower level, and comfortable living quarters for the Eckert family on the upper two floors. The house was rewired, and new plumbing, heating and plaster were required. In spite of these costs, savings were considerable when compared to the estimated cost of wrecking, and construction of a completely new building. Jackson is an architect with construction ex perience. A former association with a builderpartner was dissolved when their preferences and forecasts of the most promising building markets differed. The partner had greater in terest in new speculative construction, while Mr. Jackson chose to pursue remodeling and custom building. His interest was sparked even further by reading the book "Operative Re modeling, The New Frontier for Builders," written and published by the editors of Busi ness of Building magazine,* According to Jackson, remodeling work does not require as much time at the drawing board as does new construction, but it does require far more time in job supervision. In fact a great deal of the design work is developed on the job site as the condition of old walls, and other items are observed. Residential remodeling requires so much job time that Mr. Jackson decided he might as well place the work orders himself, thus centralizing responsibility and retaining basic control of the actual job methods and progress. With the Eckert job and a long list of others to his credit, Jackson is optimistic about this type of business. He sees in it a real challenge to his structural ingenuity and design capac ity, and a profit opportunity through service. Sinplt r.'nite of Operative Remodeling ore still avaiicblc to builders, architects and other professional construction people. W'n'fc. oil your business letterhead, to BUSINESS OF Building mapartne, S00 W\ Adams St., Chicago 6, 111. NOTHING STRUCTURAL among these changes in the Eckert property. Do away with an outmoded railing, install new awning-type windows, box in the lack-luster fireplace, ap ply the, paint brush, and night becomes day. AFTER BEFORE A NEW DEN replaced the old dining room with fabric, paneling and new doors and windows creating the change. BB027 0213 * . This neighborhood needs Profit opportunities in changing neighborhoods through remodeling Fewer big houses...more small apartments REAR EXTERIOR, before and after, fives evidence of minor staircase and entrance juggling---otherwise no change. Notice how the application of Glatex siding has modernized the appearance of the exterior. These shingles also reduce maintenance costs because they never need paint. STREET VIEW, exterior, shows before and after remodeling of 53-year-old E. R. Northrop house on 8th Ave., Spokane. Wash. Notice how structural changes were restricted to enclosing the porch for additional living space. here is a story for builders in what the Seymour North- T rops did to the old family homestead in Spokane, Wash. Builders can profit by doing the same kind of job for people who lack the courage (or Mr. Northrop's archi tectural engineering training) to plunge ahead themselves. This kind of business exists in every town and city, and with it exists a profit opportunity for builders. In 1905 Dr. E. R. Northrop built a substantial, sizable house on Spokane's West 8th Avenue. His son, Seymour Northrop, was born there, grew up there and inherited the house when the doctor died. The neighborhood, now barely on the outskirts of downtown Spokane, changed with the years, and apartment dwellings began to predominate. At the time the Seymour Northrops considered selling the big old house it had a market value of roughly $10,000, but very little market. The house was too large and not sufficiently modern to attract today's average family. A businessman who would buy it to remodel into income property could not afford to pay much for it. Many people would have accepted this latter course of action, swallowed their disappointment at the low price, and sold to a builder or real estate speculator. The North rops chose to proceed themselves to create an income prop erty. In so doing, they provided an example of the profit or income that can be realized by builders who will purchase the bargain property offered by less hardy souls who face similar circumstances. The 14,500 remodeling dollars poured into the project by the Northrops (plus the original $10,000 value) left them with a property that would bring $35,000 to $40,000 icontinued) 9 BB027 0214 More apartments continued on t.he open market or a gross rental income of $390 a month. The Northrops have chosen to hold the building and collect the rents. Because rental market analysis preceded construction, the four Northrop apartments have never been idle since completion, and the rents justify the original investment. The location was not one that would be sought by upper medium income people with children to raise, so the apart ments needed to be no larger than was required by man and wife. Proximity to downtown Spokane would attract white collar people with good earning capacity. An addi tional rental market would be military personnel, stationed in the city with sufficient permanence to justify bringing their wives with them. The analysis was accurate, and both types of people are tenants in the Northrop building. The nature of the remodeling and the furnishing was conditioned by the demands of this type of clientele. "We planned the apartments to appeal to people of taste and adequate income," said Mrs. Northrop. "The furnishings we chose were of good basic design and in pleasing colors. The public entrance hall is furnished to give it a home-like feeling (including a bowl of artificial flowers) in our effort to avoid the usual bleak apartment entrance hall decor." Furniture arrangements also were pre-planned. Every bedroom w'ill accommodate twin beds and a chest of draw ers. All kitchens but one have generous space for dining. Another major objective of the design work which pre ceded construction was to tamper as little as possible with existing walls and partitions. In a few instances, windows were converted into doors and vice-versa; in another, a wide doorway became a self-lined cabinet. Partitions were added with the aid of Sheetrock wallboard, but adding partitions is usually a simple operation. Two of the major cost items were complete rewiring and new plumbing throughout. These costs should almost al- 10 1 ways be contemplated in this type of building. Carpentry labor took another big bite in the budget; as was expected. The only addition to the heating system were ducts to the areas newly enclosed in the old front porch. Rather than refinish or resurface the floors, all living areas were car peted. This helped reduce sound transmission. Exterior appearance means much to rental value, and asbestos ce ment siding shingles gave the house a fresh new look. Certain details of the Northrop remodeling are adaptable to similar situations in other buildings which are candidates for conversion. Note the following items in the floor plans shown at right. First Floor Existing opening used for main entrance. Porch enclosed on either side to create new living space. Window in ves tibule became entrance to Apt. #1. Old living room par titioned to create public hallway. Triangular area at Apt. #2 entrance enclosed pipes for second floor kitchen and bath. Space-wasting back hall and pantry became two closets, bathroom for Apt. 1, and rear entrance for the public hall. Fold-back doors open up closets for full use. Inside stairs to basement, "back" stairs to second floor and an old chimney were removed to make better use of space. (In Spokane there obviously is no require ment for two stairways to second-floor apartments). Second Floor The major change was conversion of three closets into a kitchen for Apt. #3, and partitioning the main hall to create space for a bathtub in Apt. #3. The original mas ter bedroom also gave up some space to a kitchen for Apt. #4 and the bath for Apt. #3. The structural value in older houses is great. If this can be preserved while the house is altered to meet the changed (icontinuedI)-- $ LX - BB027 0216 A PIPE CHANNEL to the second floor gave depth to this new partition which creates a closet when closed with doors. Second Floor 11 riCTURf WINDOW KITCHEN keeps Apt. tZ rented with ease. This was created Irom the front porch. More apartments continued needs of its community, its market is expanded and the true value can be exchanged for dollars. Two avenues for approaching this opportunity are avail able to builders. _They can purchase such undeveloped houses at depressed prices and revamp them in accordance with the demands of their neighborhood for resale at sub stantial profit; or they can promote their service in doing this kind of work on a custom basis for private owners. In either direction, this kind of business is worth exploring in 1958. Costs of remodeling Northrop apartments Labor (mostly carpentry ..................................................$ 4,500.00 Plumbing contract.......................................................................... 2,363.53 Electrical contract........................................................................ 1.348.46 Exterior painting contract......................................................... 315.IT Floor rennishing..................................................................................219.0? Floor tiie (baths and kitchens) .................................................. 142.73 Additional insulation .........................................................................62.52 Siding material.................................................................................... 440.45 Bathroom tile......................................................................................... 85.32 Heating ducts and cold air returns..............................................273.73 Gypsum wallboard............................................................................. 567.74 Paint....................................................................................................... 470.82 Two large front windows....................................................................62.60 Misc. lumber, kitchen cabinets, sinks, fans, linoleum. .3,656.75 814,498.89 THE WINDOW SEAT in the old dining room (above) remains an asset for the bedroom (below) in Apt. 2. 12 BB027 0217 Bold gesture pays CHANGING TIMES and changing opportunities led Hope Lumber Co. to abandon this site (left) and build a completely new yard (below) STREET VIEW of the new Hope Lumber Co. headquarters shows broad windows filled with interesting displays, easy-acceas parking space, and a wide-open auto entry to the yard and storage sheds for pick-up of heavy items. COVERED DRIVE-THRU from street to yard is flanked by small inventories of materials that contractors arid homeowners pick up for self-delivery. Storage rooms at the left contain similar pick-up merchandise, while the main display room is at the right. OPEN YARD STORAGE is planned as carefully as the interior of storage sheds. This is a constant flow operation, making the transition from incoming shipments to storage to order-filling as continuous and easy as possible. O 1 ...Newyard brings more sales--less cost AERIAL VIEW here and on the cover make apparent the efficiency of the traffic flow in the Hope Lumber Co. yard. Rail spurs curve into the heart of the yard to serve both warehouse and open yard storage areas. N every situation the time arrives when a major change, a I cleaning of the slate, a new start, is opportune. Hope Lumber Co. of Tulsa, Okla. took bold action when circumstances seemed to indicate that a drastic change might be advantageous for their business. They planned and built an entire new yard and sales office at a new location, and disposed of their former property. In a short time the new sales showroom was attracting a 25 percent increase in retail trade. The new yard, developed by an architect from a layout sketched by United States Gypsum's Customer Service Department,* is permitting Hope Lumber to handle a larger volume of business with 25 percent fewer yard employees. The secret of materials handling savings being enjoyed by Hope Lumber Co. is planning by experts, plus careful investment in a few labor-saving devices. Reduced personnel needs in the yard have been more than offset by increases in sales staff. But each additional sales employee creates profit-making business, while yard employees represent expense which reduces profits. The Hope yard is also arranged to take advantage of laborreducing shipping methods, pioneered in many cases by United States Gypsum, and now spreading to other types of materials purchased by building materials dealers. The shipping department of each U.S.G. mill keeps a record of the unloading facilities of each of the customers serviced by that mill, and, so far as is possible, makes its shipments in the manner that will save the customer most time and cost in un loading. Flat car shipments of board products are especially advantageous to dealers having lift truck equipment. Hope Lumber Company's investment in a handsome new yard has done fine things for the bookkeeping figure which means most--net profit. When a new yard can boost sales and reduce costs, net profit is where the change is most happily evident. * Planning service of this type is available to all U.S.G. dealers whether they contemplate remodeling of their yard or a complete rebuilding program. U.S.G. sales~ men welcome dealer requests for such service by the Customer Service department. Movie available on materials handling Newest chapter in the continuing program of industry services by United States Gypsum Company* is a 50-minute sound and color motion picture entitled The Economy of Motion. The film and the accompanying textbook manual of the same name, are devoted to cost-saving ideas in materials handling for the building and building materials industry. It is being shown at lumber dealer conventions throughout the nation, and a print of the movie is available on loan for showing to any sizeable group of building materials people. Showings are scheduled through local U.S.G. District Offices or w'rite Business of Building, 300 W. Adams St,, Chicago 6, I1L * Other recent industry services by United States Gyjtsum have included a motion picture for materials dealers. Profit Management, and a textbook for builders, Operative Remodeling, by the editors of Business of Building magazine. B13027 0 2 2 0 V sell the "spot-weld'* shingle... sealed against wind and weather new BB82-R * asphalt shingles by U.S.G. New Sealco Asphalt Shingles are quickly applied. Then the sun does the rest--tightly seals the roof. Sealant is factory applied at spot intervals so moisture can drain down, and out--not back up to cause trouble. There's no smearing; you get a clean job every time. Extra-strong construction protects against wind, weather, fire. See your United States Gypsum representative for full details. I TAYI S UNITED STATES GYPSUM 300 W. Adams St., Chicago 6, III. the greatest name in building [ Save application timel Skalco shingles are packed so you work from bundles--no tape to remove; [ no hand-applying of sealing agent; no [ special handling to add to cost. Good protection on low pitch Self-sealing ability meets FHA requirements for roofing low-pitch roofs. Appeal to home buyers I Homeowners like the double value, double protection of sealed overlapping i shingles--and the appealing colors. *t. m. aec. u. s. fat. ofi o ttOo BB027