On The Record - Geoff Golden, Construction Company President

December 21, 2008 The Birmingham News

By Michael Tomberlin

Geoff Golden may not have the Midas touch, but his Birmingham-based construction firm has remained busy with high-profile projects at a time when few building jobs can be found.

His Golden & Associates Construction is wrapping up work on the $15 million Hyatt Place hotel near UAB at 2024 Fourth Avenue South.

Next up is Block 121, a downtown development with 22,000 square feet of retail space, 255 apartments and a 360 space parking deck. The project is situated in the city block bounded by First and Second avenues south and 20th Street and Richard Arrington Jr. Boulevard.

Golden talked to the Birmingham News about how his firm has weathered the economic downturn and what it's like working in a city with more than its share of big-time construction companies.

Q. How did you create Golden & Associates?

A. After graduating from Auburn, I went to work for another large general contractor here in town for a number of years, and in 1997, I started Golden & Associates.

I was very fortunate that in 1999, I convinced my lifelong friend, Greg Pyburn, to join the firm. I certainly couldn't have built the business without him. Brad Condray joined our firm in 2001 and has had a significant impact. It all boils down to people. That's the answer.

We've just got a very hard working group of people that are thoughtful. That family-like atmosphere is part of our culture. It is something we cultivate.

Q. Did you start out with a niche in the construction industry?

A. From the beginning in 1997, the economy was pretty good. But I had been trained in a company that had a balance in its bid work and its negotiated work. I chose to pursue the bid work pretty strongly in the building so as to build an acumen… in hopes that when times did slow down it would give us the ability to not see so many highs and lows.

That has helped us a number of times when the economy has slowed down.

Q. One niche you seem to have found is downtown construction - both new development and renovation projects. Was that a conscious decision or did that just evolve?

A. There was some method to the madness. I just saw that as an opportunity. Back in 1997 when we started, that was the leading edge of the re-urbanization of cities all over and that was the beginning of the increase in multifamily activity downtown. We've always had a trait in our company of doing renovation work.

We have done the most historic tax credit renovations downtown. From that, we started getting called on to do other things. It was real beneficial. We grew into doing out-of-the-ground projects downtown.

Q. You are nearing completion on the Hyatt Place hotel near UAB. Was that your first out of the ground hotel project?

A. Yes, that is our first hotel project. It will be one of the first four new Hyatt Place hotels in that concept in their franchise...

The dynamics of the foundation issues involved in a downtown project, the mixed-use aspect and the fact that it is a new prototype really sort of played to our strengths. We fancy ourselves at being pretty good at figuring out projects such as that. We enjoy doing things like that.

It challenges our people and makes us a better company.

Q. You're going from y our first hotel to building up an entire city block with the Block 121 project.

A. That's one we've been working on for several years and it's just sort of happened that it's ready to start as we're finishing up the Hyatt.

That's going to put the first real Class A, high-density, for-rent product in downtown Birmingham.

Again, being mixed use with retail, one level of concrete and all the other elements inevitably play to our strengths.

Q. Will the construction industry came back any time soon?

A. You're seeing some REITs (real estate investment trusts) fail, which is very worrisome. Retail sales are way off and (retail real estate) is overbuilt. It is obvious that commercial real estate is going to see a pretty strong slowdown.

I'm very concerned about the second wave of these option-ARMs and (other types of) mortgages further dragging the residential world down.

At the same time, I don't know if anybody knows how long something like this will last. But looking back, Birmingham has never had explosive growth that created huge vacancies.

Q. Birmingham seems to have more than its share of large, successful construction firms. Does that make it easy to co-exist or do you wish there weren't so much competition.

A. The competition can be very stiff, but in general they are smart competitors. There are highly qualified people who are motivated and well trained. The subcontractor community is deep and strong. I think it's a great place to be a contractor.

Geoff Golden
Title: President, Golden & Associates Construction, LLC
Age: 43
Education: Bachelor's in Building Science from Auburn University
Family: Wife, Tricia, two sons and one daughter.
On his iPod: Southern Culture on the Skids, BoDeans, Marshall Tucker Band
Last Book Read: "Built to Last" by James Collins and Jerry Porass