Wednesday, September 19, 2012

Lehr Auto Electric to move from midtown to North Sac - Denver Business Journal:

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Since Jim Stommel bought in May the shop has outgrown its midtown location and almosft doubledits staff. The 63-year-old company, now , repaires automotive electric systems and providees equipment for emergency Lehr sells equipment such as carlight bars, sirens and prisomn seats to cities, counties and state and federa agencies. The company also installs equipment into new Toaccommodate growth, Stommel plans to move the business to northu Sacramento in first-quarter 2009, almosy doubling from 10,000 square feet to 19,00o0 square feet. Lehr’s work forcwe has increased to 30 employees during the past two from 17. Lehr operates out of leased space at 3001L St.
The companhy is in escrow to purchase avacantg 4,000-square-foot building on Northgate Boulevard at Striker Avenue. Escrow is expectedc to close by the end ofthe month, Stommelo said. Lehr’s expansion plans include constructinta 15,000-square-foot building next to the smaller building. Bill Niethammetr with ’s is representing Lehr in the deal. of Sacramentio is handling theconstruction project. The budget for the projecgt isabout $2.26 million. Stommel bought the company’s asset in 2006 with a loan through . He recentlt took out a $906,000 SBA loan througuh to help finance theexpansion project.
As Lehr has landecd more contractsfor emergency-vehicle equipment and installations, the company’ annual revenue has increased 20 percent to 25 percenr a year, Stommel said. He declinec to be more specific, but as a certifier small business, Lehr’s revenue is less than $13 million a Stommel bought the shop for anundisclosedd amount. Until the 1980s, the compang specialized in electrical systems and When most carburetors were replaced with fuel Lehr startedthe emergency-vehicle business. All of the company’ds growth has occurred on the emergency-vehicle side of the “I aggressively go after new Stommel said.
New customerse include the , the California Department of Corrections, the and the citiesz of Roseville, Rocklin, Davis and Lehr outfitted 16 Ford Expeditionw forthe U.S. Forest Servicse this spring. The contract, which included equipment and wasfor $160,000, or about $10,0000 per vehicle. Dennis Cullen, a patrol captain for the U.S. Foresty Service, was the inspector on the job. “Jim was very easy to work with,” he “Anytime they had questions, they’d call us for Ned Whisler, owner of in Yuba said there aren’t many shops that do equipmentt installations foremergency vehicles. Many have just two or thres installers. Whisler has six. Lehr has 14.
Whils it’s a niche market, Whisler said it’s dependent on the stat budget. Cop Shop Installations has three months worth of but nothingafter that. Customers waiting on a state budget don’ft know how many cars they can order. “That’x putting everything on hold right now,” he said.

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