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DEALER PROFILE: A New Frame of Mind

 

Fueled by new ownership and renovations, LumberTown has a new outlook on business.

BY ALYSSA SAMSON

LBM Resources

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LumberTown, based in Zanesville, Ohio was feeling like many businesses during the recession: beat down. After half a century of hard work, reliability and dedication, morale within the company was sucked dry. That was until James Cappano purchased LumberTown in 2012, revitalizing the lumberyard both aesthetically and operationally.

“The vision that James Cappano brought to Lumbertown has turned the company around, but the most important thing he did was bring back the enthusiasm that everyone has for the business,” says Mandy Pierce, chief financial officer. “He came into a store that the recession had taken a lot of the motivation out of, and told us that it was time to grow—time to be great.”

Developed in 1959 by custom cabinet builder Ray Thomas, LumberTown moved to its current location in 1963 after a fire demolished its previous residence. Since Cappano took over ownership 49 years later, the company has not only climbed out of its recession slump, but sales margins continue to rise consistently.

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With one main location in Zanesville, LumberTown serves roughly 80% contractors and 20% retail/DIYers. Its sister company, Preferred Building Supply, has two separate locations in Cleveland and Newark, Ohio. Following the acquisition by Cappano, LumberTown added 11 new employees to the existing 14 veterans, and raised revenues significantly— up 78% from 2012 to 2013, with anticipated revenues expected to hit roughly $11 million for 2014.

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