Earlier this month, industry veteran Joe Mandola took over as president of Trendmaker Homes. He has been in the home building business for more than 30 years, including the last 25 at Trendmaker, a member of the TRI Pointe Group and a long time Texas builder. Mandola succeeds Will Holder as president, who recently retired after 25 years with the company.
Mandola began his career in 1988 at Village Builders before joining Trendmaker in 1993, first as an area manager, and later as director of housing operations and vice president of operations. In 2010, he became senior vice president and general manager. He holds a degree in construction science from Texas A&M University.
Houston-based Trendmaker was acquired by the TRI Pointe Group in 2014 and expanded into Austin in 2015.
BUILDER recently asked Mandola about his background, the Texas home building market, and his plans for Trendmaker. Here’s what he had to say:
BUILDER: How has your degree in construction science impacted your career?
Mandola: My BS in construction science created a great path for my career. I knew I wanted to be in the home building business when I chose the degree. Of course I had business, finance, and accounting classes, but I felt I needed to know more about the structural, design, and construction side of the business as my starting point. I think that strategy has worked well for me, and I wouldn’t change a thing.
B: Do you think you approach certain issues differently than your colleagues with business degrees?
M: I approach construction-related issues with a good base of knowledge of how things work, but I think anyone in this business with a broad range of experiences has the ability to look at issues from many different angles. In the end, you look at the issue and work your way through it.
B: Since you’ve joined Trendmaker, how have the Houston and Austin markets changed?
M: I joined Trendmaker in June of 1993, so a lot of things have changed over that period. If I had to pick a handful of changes off the top of my head I would go with labor, land, and the Internet.
The labor supply is not what it used to be in terms of quantity or quality. It’s no secret that construction-related jobs are not glamorous, but I know painters, bricklayers, framers, plumbers, and electricians who worked for Trendmaker over the years, and put their children through the top universities this country has to offer. It’s a shame that high schools are now geared to steer kids away from the trades—they are doing some kids a disservice. Not everyone is cut out for college, and the ability to have a rewarding and successful career for someone willing to put in the work is there for the taking.
As for land, they aren’t making any more of it, and the prices reflect that. Land prices, in both markets, make it more difficult to deliver an affordable home. It’s a challenge, but at the same time, it’s also fun to figure out how to make it happen. Texas is an incredibly competitive market, and the home builders continue to find ways to get it done.
The Internet has changed everything, and it will continue to reshape our business in almost every way going forward.
B: Houston and Austin are obviously two of the more competitive markets in the country. How does Trendmaker stick out?
M: Over the years, we’ve done a good job finding communities that support our value propositions, then offer compelling designs, and deliver a home in a safe and quality manner. As long as we continue to strive to satisfy our customers, their Realtors, and our development partners, good things will continue to happen for us. We’ve been doing business in Texas for more than 47 years and our success is directly tied to our people. If we have happy and engaged employees who care and know they make a difference, it’s hard to go wrong.
B: Are there certain price points where you’re seeing increased success in recent years?
M: Our patio homes represented 25% of our business in 2017. It’s been a great product for us, and while we sell to a lot of move-down Baby Boomers, we don’t market it as “Age-targeted” or “Age-restricted”.
B: What are your short-term goals for Trendmaker?
M: In the short term we want to grow and broaden our price points down market. In Houston and in Austin, the market below $350,000 is more robust and we want to have a bigger presence. We are working on more affordable homes that will be built on smaller lots to deliver that price point. At the same time, we are not abandoning our upper price points where we earned our reputation, we are just going to grow via an affordable price point.
B: How about long-term goals?
M: In the longer term, we will continue to grow our current markets as well as add new markets within the state. We are not currently in San Antonio or Dallas, so we will look for that opportunity to grow the Trendmaker brand throughout the state. We think the Trendmaker name and reputation will travel well, and when the time is right, we will be in those markets.
