Celebrating LGBTQ Industry Leaders
Part III: Home Construction
We caught up with home builder and founder of Phase2 Builders, Michael Miller. He gave us the scoop on supply chain disruption and a shortcut to adding square footage to your SF home.
What’s your founder’s story?
I got my start when I was young. My father was in real estate and construction and he taught me how to manage those industry projects at an early age.
As a kid, I rebelled against what my dad was doing and ran off and got a degree in computer science. I worked in tech for 15 years and learned the project management skills I have today. Eventually, I realized I wasn’t happy in tech and it was the push I needed to start my own construction company. I always loved design and building, so I got my license in 2003 and begged my friends to hire me to remodel their kitchens and bathrooms.
It’s always the kitchens and bathrooms...
Yes, the bread and butter. As I was just starting out, I was introduced to the lead sales guy at IKEA. He was looking for a contractor to refer IKEA kitchens. When I got hooked up with him all of a sudden I became that guy for the entire Bay Area, it launched my business.
Over time I got to know the people in my community and was introduced to designers and architects through friends. Now, all my business is through referrals.
Wow, from IKEA kitchens to building homes from the ground up?
Yes, something like that. It took a lot of work to get here.
It’s a great story.
What are some of the projects you’re working on right now?
I’m working with a great friend and architect on a ground-up addition, an Accessory Dwelling Unit (ADU). San Francisco is all about creating more housing right now. Typically adding square footage to your home requires years of planning, environmental review, and all the things that go along with building homes in tight spaces. The city has reduced that whole process to encourage more housing.
Another great home remodeling project I’m working on is a 5 bathroom home in Noe Valley. It’s a really cool interior design project, working with basically every color of the rainbow, beautiful wallpaper, marble mantels, and one-of-a-kind tile.
Another luxury interior design project is a high-end kitchen and bathroom renovation featuring Heath tile. It’s really amazing.
All three projects sound awesome. Is the supply chain disruption affecting them?
Yes it is. High-end appliances are delayed. I ordered a Wolf range last October and I’m not expecting it to arrive until this October.
The biggest change is the cost of products. Interest rates, the supply chain, and the scarcity of labor to manufacture increase prices. Most products are back-ordered and if they’re in stock, they’re more expensive.
Another challenge is subcontractors’ availability. You’re scheduling electrical, plumbing, flooring, and drywall subs in advance. If they get COVID or someone’s out, then your timeline starts to slip.
How do you communicate these shifting timelines to clients?
We use a project management tool called Buildertrend that keeps clients updated. It organizes everything from estimates and invoices to sending daily photos of the job site, and we communicate a lot with our clients. They’re understanding because for most of them the supply chain disruption is affecting other areas of their lives.
Switching gears, how did COVID change business?
2020 to 2021 was surprisingly very busy. People were at home, looking around, noticing their kitchens and bathrooms, and thinking ‘I’m going to be spending a lot more time at home and I hate my kitchen. Let's call Phase2 Builders and get an estimate.’
Luxury home remodeling referrals started pouring in April and May of 2020 and it hasn't stopped.
People are spending more time at home and they want to be surrounded by beautiful things.
One of the many reasons why we love homeowners in the Bay Area. Lastly, a couple of lightning-round questions:
What’s your favorite neighborhood in San Francisco?
I work in the Mission, I live in the Mission, and I love the Mission.
The architecture is spectacular, there are a lot of Victorian homes that were built in the 1850s. I love an old lady Victorian.
What kind of home do you live in?
My home is mid-century—from the 1950s.
When you walk into a room, what’s the first thing you notice?
Straight lines and a level floor.
Where will we find you celebrating Pride?
We’ll make an appearance at the parade. And we are always supporting Queer art— probably going to some kind of performance or show. It’s always important to support the arts—really support those who are being creative and putting themselves out there and making a difference for our community.
We agree.
Thank you for your time and conversation, Michael.
Of course, thank you.
