On the Cutting Edge of Efficiency
Fordham Enterprises is Taking 3D Printing Technology Mainstream
by Carole VanSickle Ellis
When the COVID-19 pandemic hit in early 2020, Justin Fordham, founder and CEO of Fordham Enterprises, had to take a step back from his latest project of 20 three-unit residential homes, and reevaluate the situation. In New Jersey, where the project was located, most development contracts were pulled or frozen early in the pandemic, leaving investors and developers struggling to determine how they would complete projects or reenter the market.
Fordham, however, did anything but flounder. He assessed the situation and ultimately decided cutting-edge technology and innovation would be the key to his market reentry. He founded Fordham Enterprises, a company that would take investors “from tech to title, helping to make homeownership a reality.”
Fordham Enterprises describes itself as “a cutting-edge investment firm that combines 3D concrete printing technology and real estate development that is leading the way when it comes to bringing new methods of construction into the mainstream.”
In addition to development and lending, the firm is the only private lender in the country dedicated solely to the 3DCP [3D concrete printing] industry. Fordham said, “Our commitment to innovation and social responsibility [3DCP residences are more affordable, faster to erect, and typically more energy efficient] fuels our relentless pursuit of creating sustainable communities.”
Because 3DCP technology enables developers to “print” assets in layers, stopping only for the insertion of plumbing, electric, or other mechanical services, the timeframe for these projects is typically far more expedited than in traditional construction.
“One of the problems we were having on the development side even before the pandemic was time,” Fordham said. He added, “The money was an issue as well because the cost of capital was already rising.” In early 2020, Fordham leveraged his time to research strategies for building and cutting margins without cutting the quality of the end product. He encountered all the “usual” solutions, but then, he encountered something even better: 3D printing.
A developer himself, Fordham talked to the leading 3DCP manufacturers, lenders, and developers in this emerging space and developed partnerships with them.
“They taught me about the process and how to implement it on a mainstream basis, and I, in turn, showed lenders how they can in most cases triple their ground-up funding by working with 3DCP developers,” Fordham said.
Just four years later, Fordham Enterprises proudly states it is “the pioneering private lender dedicated to the 3DCP industry offering an unprecedented advantage with expedited ground-up funding for 3DCP projects.”
Fordham noted, “Little did I know there were companies doing this type of development since the 1940s, but it is only just starting to be commercialized, disrupting the $10 trillion concrete industry in the process. Fordham Enterprises exists to help bring this technology and the affordable, high-quality housing it facilitates into today’s market.”
A Long & Quiet History
Concrete printing made a quiet debut nearly a century ago when inventor William Urschel used his “wall-building machine” to construct the first 3D concrete-printed building in history. That building, a basic structure composed of simple, concrete walls, was located behind a warehouse in Indiana. Since that time both concrete and 3D printing have come a long way; in 1998, high-strength concrete was used in the construction of high-rise buildings like Two Union Square in Seattle, and in 2006, “self-healing” concrete began to appear in construction. Self-healing concrete includes a “bacterial stimulant” that secretes limestone, enabling it to reseal cracks and minor damage.
Today, 3DCP builds are weatherproof, fireproof, pest retardant and energy efficient. In 2020, the real estate space was ripe for the introduction of larger-scale developments and projects like Fordham’s due to housing scarcity and a national need for affordable residential options.
“What we are really doing is pretty simple,” Fordham said. “We are utilizing A.I. and new machinery to help expedite the build process.” Fordham Enterprises is currently working not only on traditional single-family structures, but also larger buildings, including a four-story 3D-printed structure in New Jersey that will be the first of its kind when completed.
“This building will have 21,000 square feet and 17 units,” Fordham said proudly. The mixed-use building is the largest 3DCP project in the country at this time and represents huge potential for expanding 3D printing opportunities in the multifamily, commercial, and industrial spaces.
“U.S. inventory is behind by about 4 million homes,” Fordham said. “The only way we are going to make that up is if we transition how we build. We need to offload the work for humans and put the heavy work on machines so we can think better and work a little less.” He continued, “I love telling people to take a look at their six-to-eight-month process; I can do that same job in six to eight weeks.” 3DCP is largely impervious to weather conditions, making it ideal for areas with long rainy seasons. “We are able to tent the entire property and the machine itself, so rain and snow do not impede our development,” Fordham said.
As 3DCP becomes more mainstream, Fordham said a misconception about the process has emerged around the idea that automating construction jobs will hurt employment in the industry. According to a 2019 study conducted by Oxford Economics, it is likely that systems like 3DCP and other manufacturing platforms could replace roughly twenty million jobs by 2030. However, according to the same study, automation and robotics also tend to increase demand for workers because these systems make more product available. In the case of 3DCP residential properties, that hypothesis holds true, Fordham said. He explained that historically, many people have expressed concerns about 3D printing putting developers and contractors out of business.
In reality, he said, “It is actually the inverse. New technology coming to market opens up more jobs and opportunities because we can build more, build faster and build with better efficiency. We need to train more people, improve the relationship between lenders and developers, and educate investors to make the entire process easier. It is ultimately complimentary to everyone.”
A Familiar Process with Advanced Results
One thing Fordham said represents a challenge for developers interested in 3D printing is an element of real estate development that will be familiar to everyone: funding. However, unlike “traditional” developments, 3D-printed developments do not come with a wealth of financing options. It should be as simple as determining the value of the assets and obtaining a loan based on that data, but, in reality, there is also access to the printers themselves to consider.
Fordham Enterprises is already at the forefront of 3DCP, and, of necessity, Fordham said the company expects to be one of the primary lenders in the space within the next year. “We handle lending for the acquisition and financing of properties as well as the leasing of the machines,” he said proudly. “We start out at the very early stages with the developers looking at surveys of land where they want to place the assets, uploading and evaluating blueprints, and even creating 3D renderings of what the properties would look like. We even have options for determining the valuations of properties before the build.”
These valuations enable developers and investors to talk with lenders and obtain financing for their 3DCP projects, but, Fordham said, his company specializes in making these types of loans also simply because they have such a strong understanding of how the process works.
“The time element is really significant because speeding up these projects saves the lender money,” Fordham said. For example, the interior and exterior walls of a 1,200 square-foot home can be completed in around 20 hours of print time (vs. nearly a year in some regions).
Because the entire process is more efficient, the end result, although wholly comparable to a more traditionally built home (albeit more energy efficient in many cases), can be sold at a more affordable price.
“We expect our homes to ultimately appraise higher because they are weatherproof, come with an 80-year warranty, are fire-retardant, and are nearly indestructible,” Fordham said. “However, our clients can offer them at a lower price because the process itself is less expensive. We have had great reception in the industry so far, and we are building everything from affordable homes to high-end, luxury properties.”
SIDEBAR
FAQs About 3D Concrete Printing
How are 3D-printed concrete walls designed to be weatherproof, seismic-resistant, fire-retardant, pest-resistant, and energy efficient?
3D-printed concrete walls are designed to be highly durable and safe. They are also weatherproof due to moisture-resistant concrete and optional waterproof coatings. In seismic areas, reinforcing with rebar or fibers boosts flexibility, enabling the walls to withstand earthquakes. Naturally fire-resistant and pest-resistant, 3DCP requires no additional treatments for these issues. For energy efficiency, typical R-values can be increased by adding foam or insulating layers, helping regulate indoor temperatures and reduce energy use.
What types of floor and roof systems are compatible with 3D-printed walls?
Floors must be designed to support the load of 3D-printed walls. Suitable options include precast planks, concrete slabs over metal decking, and steel floor trusses.
What insulation options are available for 3D-printed walls?
Insulation types suitable for 3DCP walls include low-rise foam, perlite, and high-density blown-in cellulose.
Can 3DCP be used in various climates?
Yes, with appropriate design considerations and insulation choices, 3DCP can be adapted to different climates to ensure energy efficiency and durability.
How does 3DCP compare to traditional construction in terms of cost savings?
3DCP can significantly reduce labor and material costs, streamline construction timelines, and minimize waste, resulting in overall cost savings for many projects.
