ABBEYDALE: 40-Year Commitment to Quality Construction Drives Abbeydale

There is vibrancy in South Africa’s construction industry once again. With lockdowns ended, and a vaccination programme running successfully throughout the country, builders are back on site and working hard to create.

After the negativity around the industry that emerged following the 2010 FIFA World Cup, and the economic struggles of 2017, the pandemic heaped further misery onto an industry which had been wobbling for more than a decade.

Some have called it a ‘natural right-sizing’, others have looked at government for solutions, but those active in construction have been digging deep to secure each and every opportunity that crops up.

Celebrating its 40^th Anniversary as a participant in the construction industry in South Africa, Abbeydale is not an ‘expand at all costs business’. Since the company’s establishment, its staff and management have relied on quality as the cornerstone in its strategic growth. Ramping up activity since inception, this is a business that has developed using its projects as testimonials. Historically working across both the commercial and residential sectors, Abbeydale’s modern-day focus is in the industrial sector, specifically large distribution warehousing.

According to leading market insight business, researchandmarkets.com, South Africa’s construction industry will achieve growth of 6.2% in real terms by the end of the 2021 thanks to a boom in demand after the lockdown periods and a promise of major infrastructure investment from government.

Abbeydale is a construction firm with a turnkey offering, that takes projects from concept to completion, while always delivering excellence. This is one of many reasons that Abbeydale is recognised as an industry leader. Director Craig Gray is cautiously optimistic about the future, and humble to have been able to retain all staff during the lockdown whilst completing significant projects in what has been a trying time.

“We are fortunate to have never been through a retrenchment process in our history and were able to avoid retrenchment over the past 18-months. We have organically grown from a small construction business, relying on ingrained family culture within our ranks. When we looked at the initial lockdown, and the consequences of the ensuing harsh lockdown, we never considered releasing staff.

“It has been a difficult time for our salary and wage staff, living in a world where the consequences of Covid-19 are felt daily,” he adds. “We historically have a large annual function at the end of every year which would be attended by all staff which was an opportunity for us to engage and reflect. With Covid, that could not happen, but are hopeful that, with the vaccination programme, we will once again have that opportunity to further build our relationships with our staff.”  

STRONG PROJECT PORTFOLIO

Abbeydale’s portfolio is like a walkthrough of some of the country’s most exciting and innovative developments. Spanning the country, and including work with the biggest names, the company has proven its mettle at the very top end of the market.

Undertaking major projects for developers and tenants alike, the list includes household names such as Makro, BMW, Amrod, Atlas Copco, Seaborne, GRW, Teraco and more are complemented by recently completed projects for Pepkor, Mercedes-Benz SA, ALPLA and VEGA Instruments SA.

In Johannesburg, a traditional stronghold for Abbeydale, the company has been busy at the Lanseria Corporate Estate, adjacent to Lanseria International Airport and base of a number of corporate headquarters, building a new home for the SSA and operations for the ALPLA Group, a global packaging solutions manufacturer and recycling specialist that services some of the country’s big FMCG organisations.

“It is a complex situation with many players involved,” says Gray. “The building is being built on behalf of Griffin Holdings in partnership with Lanseria Trust One who are the Developers of Lanseria Corporate Estate on 90Ha of prime industrial property in the heart of Lanseria and the much-publicised Lanseria Smart City Concept.”

The planning goes back a number of years and, originally, the ALPLA Group was in talks to put up a small facility of around 3000 m². Following a period of acquisitions, where the ALPLA Group brought together a number of operations in SA this made a consolidation in a bigger site including warehouse facilities necessary

“We are now looking at an approximately 18,000 m² warehouse component with an approximately 15,000 m² production facility component attached to it, and then 2500 m² of office and further 3500 m² of mezzanine,” says Gray.

However, this created new challenges, specifically around power supply. the ALPLA Group’s operations are dependent on secure, uninterrupted energy and this forms part of the reason for moving out of one of its former homes in Harrismith. Perhaps beyond the remit of most construction firms, Abbeydale was happy to advise where possible, already being contracted as a turnkey provider across multiple disciplines.

“One of the mandates to the developers was that the ALPLA Group be provided a direct Eskom connection. Lanseria Corporate Estate is one of the few remaining nodes in Johannesburg where you can secure a direct Eskom connection,” says Gray.

Demonstrating the experience of its stakeholders, including suppliers and subcontractors, Abbeydale was able to offer a product that included the entire scope of work on this site, from bulk earthworks through to building contracting, electrical and mechanical installations, and finishing.

“We were involved in all three aspects of construction. Often there is a clear split between bulk earthworks contractors, building contractors, and M&E (Mechanical and Electrical) contractors. The problem with that model is the risk to the employer and end user,” says Gray. “If something goes wrong with the bulk earthworks’ component, and the building settles, how can you manage the risk associated with that defect? In conjunction with the developer, we came to an arrangement where Abbeydale could be the principal contractor for the bulk earthworks. Through that, we accelerated the building component as we had access to the platform a lot earlier.

“The tenant, the ALPLA Group, then contracted with us directly in order to undertake the mechanical and electrical scope that related to an extensive fit out. On their behalf, we are managing the compressed air, LP gas, electrical, chilled water etc. We are involved with the entire building end-to-end. The ALPLA Group will take their equipment, plug it in at the new factory and start production almost immediately.”

A tight timescale saw Abbeydale tasked with completing this major operation in just 16 months. The company employed technology to expedite the process and, for teams on the ground, this has been welcomed.

“Interestingly, this project was put together almost entirely using Building Information Modelling (BIM). Every team member had access to an online portal, and all the QC lists, drawings, models and designs were done entirely through the cloud. Our site managers were able to work off tablets rather than using paper-based notes. For us, in terms of Southern Africa, it is exciting that we are looking at a future that may encompass an entirely paperless operation. It really was a pleasure to work this way.

“As a product, this building is exceptional – the quality is superb and our team has delivered something which we are extremely proud of,” explains Gray.

Currently, the company is busy at a new site for VEGA Instruments SA in Johannesburg where again, an international organisation looked for a reputable contractor to deliver amazing infrastructure.

“Often, we perceive that employers who are based in foreign countries have concerns about the capacity for the South African construction industry to deliver in terms of their expectations. When these representatives come to South Africa and see what is actually happening on-site, they often talk about how the facilities here are some of the best they have seen, globally,” Gray smiles.

“The contract was awarded to us at the end of April 2021 and construction started in May 2021. The scheduled completion date is the end of March 2022. The new facility really is a beautiful building with a relatively small warehouse component of around 2000 m² where instrumentation equipment is received from the German Headquarters and distributed throughout Africa. There is also a magnificent office component of around 5000 m², which has an attractive curved façade, gabion walling, and basement parking. It’s currently on programme and we are fortunate to be working with an exceptional professional team. 

NATIONAL SUCCESS

To ensure adequate market penetration and coverage, as such servicing clients that have national operations, Abbeydale considered its footprint outside of traditional Johannesburg; and has been able to structure itself appropriately across South Africa. While the company, in its infancy, was Johannesburg-based, operations have scaled, and today, the company is comprised of Abbeydale Building and Civils, Abbeydale Cape, and Abbeydale Projects.

Abbeydale Projects is a Level 1 BBBEE-rated business, in association with Jade Capital, which has completed, and is currently undertaking, major building projects in Gauteng and KwaZulu-Natal.

Abbeydale Building and Civils embarked on an initiative in 2002 which culminated in the formation of what is now Abbeydale Cape. Pierre Rousseau joined the group in 2005 as a Company Director. Rousseau is originally from the Cape, with 10 years of executive experience. Today, Rousseau runs Abbeydale Cape under Abbeydale identity.

Abbeydale Cape has recently completed several significant contracts, such as The Courier Guy, Morgan Cargo and Get Worth. Recent secured work includes a mega-warehouse for Takealot.

Abbeydale was introduced into the KwaZulu-Natal market when it was awarded the Ackerman’s contract for Pepkor in 2016. This exciting and successful project boasted a warehouse in excess of 85,000 m², which has led to further work in the region.

“In Durban, we are working on a R800 million second-phase project for Pepkor in Hammarsdale, which includes 100,000 m² under roof and another 52,000 m² of mezzanine, amongst other projects,” says Gray.

“Our Durban office has recently completed several significant contracts, such as Makro Umhlanga and Kerry Ingredients.”  

Considering the sizable operation in Johannesburg, together with the Durban and Cape Town offices, Abbeydale are active in all South Africa’s major metros.

In terms of expansion outside of South Africa, Gray explains that the company has experience working cross-border, completing jobs as far north as the Democratic Republic of Congo. However, following the pandemic, and with its focus on the local market, Abbeydale is not actively seeking contracts across the borders of South Africa.

LOOKING AHEAD

As Abbeydale considers its next move, the market may see a business edging closer to a corporate-sized building contractor, undertaking some of the biggest projects for large businesses. But within, the company remains fundamentally an ethical, professional, and efficient organisation with a family-orientated culture. Many of the senior team members have dedicated their lives and careers to the company, and the younger Directors look to this example as the continued way forward, making this an interesting time for all involved.

“Most of the partners have been with the business for the majority of their careers and that brings a leadership team that has been entrenched in the business for more than two decades. In the past 10 years, a new level of management has been established which is about future sustainability. This new team is learning from the established leaders, taking that knowledge forward, and building on that success.

“I have worked in a corporate environment and, as a young professional in the building industry, we underestimate the importance of mentorship. After joining Abbeydale in 2012 and being provided exposure to the senior individuals in the team, where I can sit three doors down, get up and walk to see one of them, and ask for advice. In a corporate you simply would not be able to do that. We perceive our organisation as one with a relatively flat hierarchy. We’re not big on titles and prestige; we consider ourselves as supporters for the guys on site – we exist to make their lives easier. That comes with trust and communication,” highlights Gray.

Now with industry leading expertise over the full project lifecycle, Directors involved at every level, and an ethos that dedicates all at Abbeydale to integrity and quality, this is a business that is growing and changing with each project, ensuring comprehensive engagement from the outset.

“South Africa has always constructed using a tender model,” he adds. “The employer will employ the design team who will then tender the building contract with the lowest bidder securing the work. Builders were viewed as simply contractors. In other parts of the world, builders are viewed as turnkey-contractors who offer far more. A big part of our offering over the past five years has been delivering these turnkey contracts and working as partners of the developer or end user,” says Gray.  

As the industry begins to show green shoots and opportunity returns to the market, Abbeydale has positioned itself on a robust base to grow. A young and energetic group is being readied for future decision-making, and a group of seasoned Directors continues to drive the business with a hands-on approach.

Known for quality, turnkey abilities, and on-time and on-budget delivery, Abbeydale is building its reputation at the top of this exciting industry which is set to boom as spending and investment returns to the market and the country.