In a lively discussion, Zach Kenney of ZK Painting and Lee Stahl of TRH New York, a high-end design-build firm, delved into the unique challenges and triumphs of the construction industry in New York City. Stahl highlighted the "insane" pace of work in premium NYC buildings, where tight schedules and hefty penalty clauses (sometimes $2,000 a day) create immense pressure. He contrasted this with projects outside the city, which feel like a "holiday" due to fewer restrictions. The conversation also touched on the often-rumored "black market" of payoffs within buildings, with Stahl sharing anecdotes of demanding resident managers and his preference for genuine appreciation over illicit payments.
A significant portion of their talk focused on the cost and value of high-end renovations in New York. Stahl explained how a substantial part of the budget often goes to architects, general contractors, and designers before any physical work begins, inflating costs. He then revealed his firm's competitive edge: an algorithm that can price any residential renovation in NYC in just 15 minutes, providing clients with upfront, transparent costs for different levels of renovation. This technological advantage, he noted, helps his firm cut through industry opacity and compete effectively against those with inflated pricing structures.
Both Kenney and Stahl emphasized the "craft" aspect of their work, lamenting the lack of deep understanding from some professionals in the industry regarding true quality, especially in specialized areas like high-gloss painting. They highlighted the importance of direct client communication to manage expectations and ensure clients understand the value they're receiving. Stahl also lauded the "immigrant mentality" prevalent among his crews, characterized by a strong work ethic, accountability, and pride in craftsmanship.
Finally, the discussion touched on the challenges of scaling a high-quality business and the personal dedication required. Kenney expressed his realization that not all clients prioritize or even understand the top-tier quality his company offers, suggesting that an educational arm might be his true path to scalability. Stahl echoed this, acknowledging that their specialized businesses, while successful, remain deeply intertwined with their personal expertise and commitment, making rapid expansion difficult. Despite the daily "chaos," both expressed gratitude for being able to pursue their passion in an industry they love.
