In the News

Habitat Plans to Open Building Supply ReStore

Posted: Sunday, Nov 04, 2007 - 12:46:07 pm PST
By MARLISA KEYES
Staff writer

(Used with the permission of the Bonner County Daily Bee)

SANDPOINT -- Constructing one house a year is all Panhandle Habitat for Humanity can afford. But the organization's goal is two homes a year for two families, said volunteer Don Hanset.

One way the affiliate's members think they can accomplish that is by opening a Habitat ReStore in the area sometime next summer. ReStores specialize in selling used, overstocked or outdated building materials at 30 to 50 percent of market value.

The closest such store is located in Hayden.

Although the local organization brings in $36,000 a year from 10 no-interest mortgages on the homes it has built, that money is used to make the monthly payment on seven acres of land north of Coldwater Creek that the organization purchased several years ago.

Habitat builds homes primarily with volunteer labor for qualifying families at no profit and does not charge interest on mortgages. Those who qualify are required to put in 300 to 500 hours of sweat equity on a Habitat house.

Panhandle Habitat also raises money through various individual and corporate donations, but that still is not enough to fund building two houses a year.

Currently, it costs the Panhandle affiliate about $72,000 to build each house -- $60,000 for the home and $12,000 for the lot. However, utilities were recently added to a second phase of lots in Schissler Meadows in Kootenai, putting those lots prices at $20,000.

Habitat affiliates have more than 500 ReStores around the United States, using money raised from sales for purchasing building materials to construct houses.

About 50 percent of what a ReStore makes returns to a Habitat affiliate.

For example, the Hayden affiliate sold $375,000 worth of materials last year and kept $175,000. That money allowed the organization to build an additional three homes, Hanset said.

He doubts a ReStore in this area will raise that kind of money in Bonner County, but is hopeful that enough money can be made to build additional homes.

The other 50 percent raised by an affiliate is used to pay for a store manager, a truck driver, one other employee and typically rent for a facility. That same approach will be used for the Bonner County affiliate, Hanset said.

A ReStore provides many benefits to a community in addition to raising money for building supplies and providing jobs, Hanset said.

Budget-minded consumers will enjoy the prices, and business and individuals will receive tax benefits from their donations.

People who purchase items from ReStores tend to be those with low-incomes and looking for bargains to do small remodeling projects.

Habitat home owners also can choose to work at the store for their sweat equity hours rather than on the construction site.

Instead of materials from remodeling projects going to the landfill because people have no other means of disposing of them, they can be sold at the Restore.

A year ago, Hanset added onto his house and a window removed from the project went to the landfill.

"There was no place to take it," he said.

The one thing a ReStore does not do is compete with local building supply and hardware businesses like Lumberman's, Merwin's, Home Depot or Sandpoint Building Supply.

If a house is being remodeled or built, contractors purchase those supplies new from a building supply or hardware store.

"We're really competing with the yard sales," he said.

Panhandle Habitat has tried to sell supplies at summer yard sales, but that has not worked well -- perhaps because people may not have the need for an item at that point, but could at a later date.

Individuals sometimes will offer leftover building supplies to Habitat for their projects, but those materials don't work on the organization's project because they use standard plans and more often than not, those supplies are the wrong dimension or color.

ReStores sell items like doors, windows, flooring, lumber, cabinets, countertops, mirrors, plumbing fixtures and supplies, electrical and lighting fixtures and supplies, vents, piping, fans and paint. They also may sell furniture and appliances.

Panhandle Habitat is looking for a 5,000 to 7,500 square foot warehouse space, a truck, dollies for transporting materials and cash registers.

Anyone interested in helping plan for the ReStore's startup can contact Hanset at 610-0620. To learn more on Habitat for Humanity, call 265-5313.