Nestled in the hills of Papine, St Andrew, construction and hardware company Lumber Depot stands tall as a firm pillar in the local building supplies sector. The entity, which for years continues to service ongoing commercial developments across the Corporate Area, is today a market leader, which prides its business on quality products, solid service and promising future offerings.

Commencing operations just over two decades ago as a subsidiary of Antibes Holdings Limited, the outlet carries an extensive inventory comprising hundreds of construction materials, hardware, plumbing and electrical fixtures, catering to small- and large-scale contractors, service professionals and homeowners through renovations and a number of do-it-yourself (DIY) projects.

As Managing Director Major Noel Dawes indicated, the company, which after outgrowing a small space it shared with Blue Power at its small soap factory located along Victoria Avenue in downtown Kingston, took the decision in November 1999 to move to its current location at 17c Gordon Town Road in Papine.

After emerging as a division of the Blue Power Group in 2010, the company later in 2019 acquired its assets and liabilities, moving to become listed as a stand-alone firm and a one-of-its-kind security on the Junior Market of the Jamaica Stock Exchange (JSE). From an initial public offering sold at $1.20 per share, the company was able to raise over $169 million.

“Lumber Depot was established by businessman Dr Dhiru Tanna, who recognised that despite the hardware store’s success at its downtown location, the company would grow [even more] exponentially in the vibrant area of Papine which was seen as a hub to other fast-growing communities in the parish,” Dawes told the
Jamaica Observer for this
Corporate Profile feature.

The store, which opens seven days a week, he said was purpose-built for efficiency and accessibility. It is stocked with an extensive inventory of hardware items and serves as a quick one-stop shop for the heavily trafficked surrounding communities. Strategically positioned as an access point in the hills of rural St Andrew, the store in recent years has also strived to increase its market reach to customers outside of the Corporate Area. Listed among its top selling items are cement, steel, lumber, blocks, paint, electrical and plumbing products.

“Recognising that Lumber Depot was not the only or the oldest hardware in the Kingston 6 community, the company established its presence in the market by developing a culture of partnership with its customers. The market came to rely on the hardware store for support in projects, large and small, from concept to finish which saw infrequently purchased items being sourced for their projects in a timely manner at extremely competitive prices and unmatched customer experience. Regular customers were also greeted by name and they came to appreciate the level of personal attention received,” Dawes shared in recounting what some of the early days of operation was like for the business.

“In the early days without the benefit of sophisticated operating systems, staff members worked assiduously to reduce turnaround time for in-store customers and to maintain an extensive inventory to facilitate market demand,” he continued, pointing to the integration of technology as a significant win which brought greater efficiency to operations.

These technologies resulted in improved access for customers, who through several platforms were enabled to receive quotations, place orders, make payments and to request delivery without having to physically be at the location.

“The team constantly keeps pace with new and evolving trends in the construction industry to ensure that our customers have ready access to new products,” the managing director said.

The company’s operation currently supported by a team of over 40 members and a strong board of directors chaired by seasoned business man Jeffrey Hall, Dawes said takes much pride in the service it is able to deliver to “a diverse pool of customers from the hills of St Andrew to the plains of Kingston.”

“On average, the company receives customer ratings of 4.5 out of 5 stars on a monthly basis. These reviews are generated around service delivery, prices and the availability of hardware merchandise,” he noted.

In highlighting some of Lumber Depot’s greatest achievements to date, the company’s ability to purchase its current location from Blue Power Group subsidiary, Cotrade, within the first year of operations from existing cash flow, its management ranks among top successes.

Upbeat and very optimistic about the continued growth of the business, the managing director believes some of its best years lie ahead.

Up to the end of its 2023 financial year, total assets for the hardware and building supplies company climbed to $681 million with profits at $145 million.

“The company continues to trade profitably and we will soon release our third quarter financial report due by March 15, 2024. Our balance sheet remains strong and despite the numerous economic challenges faced by our customers and the general business environment, we believe a positive growth path is attainable. Strong resilience and the will of the Jamaican people to own their own home will ensure we stick to the task of making their dreams a reality,” Dawes said.

“At Lumber Depot we are more than just a store as we offer a wide range of services to our customers locally and overseas. This, while making the daunting challenges of construction as seamless as we can,” he stated.

Speaking to the next phase of growth for the company, the outlook Dawes said is to double down on a number of areas as the business further nails down its household name status.

“Lumber Depot is closely focused on identifying and securing opportunities for expansion, growth and development with a view to increase our delivery in keeping with the demands of the market. The aim is to also increase our market share and to extend our reach within the local construction industry. We expect to achieve at least one of these milestone objectives by the end of this financial year,” Dawes said in closing.