Jan. 24, 2024

Raeco Builders has a large new building in Sioux Falls, plus a new office in Rapid City.

The contractor was founded in 2009 by Tom Jurgens, who named it after his children, Raelin and Cole.

“They truly are the reason why this business exists,” he said. “I was a traveling sales manager for a building company for a number of years — the traveling took me away more than I liked. I didn’t want to be a father that was not able to see my children grow up or watch them in their activities.”

The original idea was to sell pre-engineered metal buildings, or PEMBs, and subcontract the labor, he said.

“Then, we started receiving work from our subcontractors that didn’t meet my or my customers’ expectations,” he said. “Again, I am representing my children in everything that we do, and I wasn’t satisfied with it.”

He added a concrete division so Raeco could do its own work. Then, when he experienced delays with labor, he started bringing on building crews.

“We now have seven building crews, and we work all over the country, building what we sell, as well as building for some of the biggest contractors in the U.S.”

The new headquarters in Sioux Falls is 20,000 square feet and located at 2219 E. Benson Road. Jurgens has embraced technology like laser-guided concrete screeds and robotics but also has a 55-person team that he said grew without advertising for new hires. The company now offers pre-engineered steel buildings, concrete construction and full-service general contracting.

“The team is very important to me. I give back to them. This year, we gave out over $300,000 in bonuses,” he said. “I couldn’t be doing this without the team and their commitment to our message to our clients.”

The new building includes expanded and more efficient office space, a larger shop and a large secured storage yard.

“I believe what is driving our growth is my team and the backbone of our company,” Jurgens said. “If it’s not right, we won’t do it. We spend our clients’ money as if it were our own. I love looking for ways to help our clients save money and deliver on their dreams on a very timely and aggressive schedule.”

Recent projects include supporting L.G. Everist’s new concrete plant at the Harrisburg exit, a 100,000-square-foot addition for Trussbilt in Huron, a 60,000-square-foot building for Horton in Britton and an expansion at PB Metal Fab in Ipswich.

Raeco also is working with a Georgia company to build projects in Fargo and in Cheyenne, Wyoming.

In Rapid City, it recently added an office that will start with a few team members, including a remote worker in Kentucky.

“Rapid City is a great market for PEMB construction,” Jurgens said. “I’ve had building crews out there for the past three years. An opportunity came to obtain a piece of property, and I took it. It is coming along. We are trying to establish the right team. It is a work in progress, but with that said, I am very excited for this opportunity and have great expectations for this location.”