.
The privately held companies’ new business outlook coincides with a transition in ownership. Michael Gallant, who has served as CEO of the companies since 2005, is the new owner.
Mr Gallant said: “Building on past success, the new business model of the companies aims at a high rate of growth over the next three-year period. The economic recession and the dramatic decline of the new housing market provide growth opportunities for kitchen remodeling, in general, and Millbrook custom cabinetry, in particular.”
The New York based custom cabinetry manufacturer plans to “aggressively market its products to the growing home remodeling market for customers who appreciate a high quality cabinet”.
“Innovation in design and production of kitchen cabinetry was practiced with passion by the founder Joseph E. Hochberg and has driven the success of the Millbrook brand; it will continue to be the driving force as this new, exciting period begins,” Gallant said.
Millbrook’s forecast for opportunities in remodeling only loosely corresponds with views of other US remodeling businesses.
The Denver News Channel reported this week that consumers were taking advantage of declining demand and having remodeling done at discount rates. Prices were being driven down as homebuilders began competing with traditional remodeling companies for work.
Brad Roach, from The Basement Remodeling Company, said customers were able to have work done for the same price they were paying six years ago. Roach said business was as slow as it had been after the terrorist attacks of 11 September.
Meanwhile, Reed Construction Data this month reported the US residential remodeling market had weakened sharply with the stall in consumer income growth. It predicted a small boost to residential remodelling would come in the near future as Congress is set to provide funds for reducing mortgage payments and will require lenders to absorb some reduction in mortgage payments.
