Builder finds big business in catalogs

CHEYENNE, Wyo. — Some opportunities are too good to pass up.

In 1991, Randy Richardson was running a small construction business in California when a big chance came his way in Wyoming.

Richardson’s brother, Keith, decided that year to relocate his catalog sporting-goods business — Sierra Trading Post — from Sparks, Nev., to Cheyenne.

Keith wanted Randy to build his new warehouse.

“Things were getting slow in California at the time,” Randy recalled.

So he packed up his family, moved to Cheyenne, and started Richardson Construction Inc.

The first project for the new company was a 36,000-square-foot Sierra Trading Post fulfillment center. Since then, Richardson Construction has become a commercial construction powerhouse in southeast Wyoming as well as Northern Colorado.

Last year, the company saw its revenues catapult 195 percent, due primarily to its work on another Sierra Trading Post fulfillment center. This time, the customer wanted a 285,000-square-foot, $9.5 million facility, which Richardson Construction built in about eight months.

With the Sierra Trading Post contract, revenue for Richardson Construction nearly tripled in 2002 to $10.8 million from $3.66 million. The leap helped the company become the second-fastest growing company in the region.

But family connections didn’t mean the Sierra Trading Post job was handed to Richardson Construction.

“We went through the whole (evaluation) process when we looked at this because it was such a big job,´ said Robin Jahnke, director of fulfillment and facilities for Sierra Trading Post. “We looked at one (contractor) down in Colorado and another one who handles large projects here in town.

“We also talked to some other people who do steel (construction) for this type of building. We pretty much came to the conclusion that Randy was the one to pull it off and get it done — that he was most viable for us.”

Randy Richardson entered the construction business in 1975 in partnership with his father.

“We started putting in skylights and building decks,” he said.

Richardson moved on to become a “piece framer,” then took on large home-remodeling work in the San Jose, Calif., area.

“We would probably do a million-and-a-half (dollars) a year with eight or nine people then,” he said.

After jumping into commercial construction, Richardson is not inclined to return to the residential sector.

“Maybe multifamily,” he said. “Not single-family. I don’t want to do that.”

This year — without a single-large contract — could be the litmus test of Richardson’s staying power in the commercial sector.

So far, so good.

As of May 1, Richard Construction had accumulated $6 million in business, and the company expects to reach last year’s levels.

“We grew so much last year, so we’re trying to stay that size and not get too big too fast,” Richardson said.

Currently, the company’s largest job is a 13,000-square-foot, $2 million facility for the Church of Jesus Christ of Latter-Day-Saints in Cheyenne. The company has also started work on a multifamily complex, which Richardson also helped to develop.

Another source of work is subcontracting for other commercial builders. Richardson Construction is pouring foundations for several retail buildings at the new Centerplace project in Greeley. It also contributed tilt-up wall work for the new Yancey’s food distribution warehouse in Loveland.

Another unique feature of Richardson Construction is the composition of its 21-person staff. Richardson, who has a background in carpentry, keeps his own craftsmen on the payroll.

“We self-perform quite a bit of our work – tilt-ups and framing,” he said. “I enjoy it. I keep more control on the jobs. I think it makes for better profit margins. That’s how we got where we are today.”

Richardson said he’s managed to avoid the pitfalls of the construction labor shortage on the Front Range.

“I think I pay more benefits than anybody,” he said. “I pay a good wage. I have a 401(k) for them, paid holidays and vacations. And I pay for the employees’ health care.”

That makes it difficult to bid low on jobs, but Richardson said it’s worth it. “I haven’t had a hard time getting employees.”

Most importantly, the experience of the large Sierra Trading Post contract has allowed Richardson Construction to expand its bonding capacity. And that means the potential for more major projects.

“I like doing those (large contracts),” Richardson said. “One big job would be great for me. It’s just a lot easier to manage.”

His long-term goals call for more than doubling the company’s size.

“Five-to-10 years from now, I would like to be in the $25 million range,” he said.

Richardson expects some of that growth to come in Colorado, as well as the likelihood of public-school projects in Wyoming.

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