A+ for B-One Construction, Inc.
LA Metro company celebrating 40 years of excellence
When Nick Iskanian had the chance to develop his first real estate project in 2012, he turned to his uncle to help him find a contractor he would feel comfortable using.
“He had built a few townhouses and I had no experience,” Iskanian says. “When I got the chance to build my first project it was during the real estate crash and I knew I needed help. My uncle said, ‘Look, throughout the years I’ve worked with a few people and gotten screwed over. The one reliable guy I’ve found is Bob Oundjian at B-One Construction, Inc. He’ll tell it like it is.’”
Oundjian wasn’t the lowest bid for the $2.5 million, eight-unit luxury townhome project in Burbank, Calif. The property needed a rooftop deck and a subterranean parking garage.
It also needed three elevators.
“I was going to go with the lowest bid because I thought everyone was pretty much the same. Bob asked to see how the bid was set up,” Iskanian recalls. “He showed me the estimate just on the elevators and how the bid didn’t even cover the costs of them, let alone the labor. When I asked the other contractor all he could say was, ‘Well, it is an estimate.’ If that was his approach, what else would be over budget? With Bob, he’s straightforward and I liked that. He came in right around budget, too. Being trustworthy goes a long way in this industry.”
For Oundjian, President of B-One Construction, Inc., located in Burbank, the long way dates back to October 1977 when he, his brother, his brother-in-law and his dad opened Oundjian and Sons after immigrating to the United States from Armenia.
Four Decades of Excellence
This fall marks 40 years of business for a family that first moved to Boston, but soon after relocated to California because the weather was better for year-round construction.
“My dad, my grandpa and my family always did construction growing up,” Oundjian says. “When I was 12 or 13, I was always fixing things and trying to make our house better. Construction was natural. The first jobs we took here were remodels and small jobs. We took anything even if we didn’t have the right tools. This is a tough business with a lot of competition. My brother and brother-in-law took other jobs to support their families during the crash, but my son and daughter now work here. I’ve never pushed them into this. I tell them to find something easier, but construction is in our blood and I’m happy they are here. I never thought of making it to 40 years in business when we started. We were just trying to survive and feed our family. I think we’ll have a celebration soon.”
Thriving in Boom and Bust Industry
During the building boom in the 1980s, the company’s staff grew to 75 employees. The business was renamed B-One after Oundjian’s father died in 1996. Oundjian also decided at that time that using subcontractors gave the company more flexibility and was more cost-effective.
Those aren’t the only changes he noticed in the industry over the past four decades.
Building costs have skyrocketed and material choices have gotten more plentiful. Stricter codes have made buildings far more durable but have also increased project expenses.
“Back in 1977, if you needed tile for a project you’d go to the store and there would be three or four choices,” Oundjian says. “Today, there are hundreds of choices and labor costs have also risen.”
He continues, “But I would say the biggest mistake I see is customers trying to cut corners and go for the lowest bid. They look at the bottom line and not the numbers. We’re not always the lowest [bidder], but we get a lot of business by going in to correct what wasn’t done right the first time.”
The biggest change Oundjian has seen for builders over his career came after the infamous Northridge earthquake on Jan. 17, 1994. The quake registered a 6.7 magnitude and lasted 10 to 20 seconds, causing billions of dollars’ worth of damage to structures and housing. Thousands were injured and at least 57 people died in the catastrophic event.
Building codes in the area instantly got more rigid.
“Before, you could build 25 units for $1.5 million dollars,” Oundjian says. “Nowadays, that money only pays for a couple of units. We did eight units for $2.5 million three years ago. There was a time in the ‘80s when we had 37 projects going on at once, we were that busy.”
All in the Family
These are good days for B-One and the Oundjian family. Oundjian’s daughter, Az, is the Marketing Director and his son, Vardan (named after his grandpa), is being groomed to one day take over. Az says her own sons, who are 14 and 13, are also showing interest in the fields of architecture and construction, and interest in possibly joining the company one day.
“I can’t remember dad ever having a hobby outside of this,” Az says. “He’d come home with blueprints in his hands. He just loves it. Now, one of my sons is interested in architecture. It’s really nice to see.”
Through the years, Oundjian and B-One have completed thousands of projects. The crowning glory, however, may be the one that the B-One team is working on now.
B-One won the bid to demolish an old Armenian Apostolic church in the heart of Los Angeles, and is currently building a new $5 million church in its place.
The location is on the same property as the distinguished Taglyan banquet hall, which hosts high-profile events for celebrities as well as the rich and famous.
“It’s amazing that we get to do this,” Oundjian says. “This will be one of the most beautiful churches in Los Angeles. I was 25 when we left Armenia for the United States with my father. My dad was 25 when my grandfather moved his family from Beirut, Lebanon to Armenia. Way back then, my grandfather built a church in Beirut. Friends who have visited say it’s still there and very beautiful. One day, I want to see what my grandfather built.”
The church in Los Angeles is expected to be completed in 2018.