A year ago, a builder could call his supplier and have drywall delivered
to a work site in 48 hours.
Now, with a nationwide building boom, getting drywall can take a month and
cost more, too.
Customers are getting antsy. It's running up their bills and keeping them from
moving into new homes.
``It's a shock to the homeowner. It's just another obstacle in the building
process,'' one builder said.
Drywall that cost $9 a sheet a year ago now sells for about $11. While that
boosts the price of a home only a few hundred dollars, any delay means
customers are paying out additional interest in building loans. Some are
forced to find other living arrangements while they wait.
Drywall, also known as wallboard or the brand name Sheetrock, is in most cases
dried gypsum plaster sandwiched between heavy paper. It long ago replaced
plaster on interior walls in most construction.
Drywall factories around the nation have been operating at capacity for
months. Still, they can barely keep up with demand from a booming housing
market and a mild winter that allowed construction to continue in many areas
where it otherwise would shut down.
The government said Monday that construction starts of new single-family homes
last month rose to their highest level in two decades -- a seasonally adjusted
annual rate of 1.41 million units.
The drywall shortage ``doesn't stop the starts, but it slows down the
completions,'' said Michael Carliner, an economist with the National
Homebuilders Association. ``The housing start number is an indication it may
get worse before it gets better.''
At the nation's largest producer, Chicago-based USG Corp., with about a third
of the market, plants have operated 23 hours a day for the past 15 months,
spokeswoman Judy Wohlt said. Two more plants are to be operating by year's
end, a third next year, and two more are being planned, she said.
``We see the demand for drywall directly related to the strong economy and
consumer confidence,'' Ms. Wohlt said.
The demand goes beyond housing starts. Drywall for remodeling existing homes
represents about 40 percent of USG's business, she said.
Drywall does not travel well -- it is brittle and cannot get wet -- so little
is imported, except from Canada, Carliner said.
Some stores in the nationwide Home Depot chain have put a limit on how many
sheets customers can buy.
``It varies geographically by what's going on in that market as far as
building starts and construction,'' Home Depot spokesman Jerry Shields said.
``Obviously, we can't get as much as we need. The point is demand is greater
than supply for everyone.''
Pelican Building Supply in North Charleston has sold 12,000 sheets of drywall
not even delivered yet.
``This is the first time this has happened,'' said Jason Villaume, a shipping
supervisor. Those who order today will get their drywall in about a month, he
said.
Blackburn, the home builder, said the shortage hurts his customer relations.
``When I have to wait three to four weeks for Sheetrock, it doesn't make me
look good,'' he said. ``They have to pay more interest on their money and the
house is just sitting there.''
Related Article: Success Breeds Labor Shortage for Home Builders
Published: March 19, 1999
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