Firm is building for the future.

This year began with a bang for the construction industry. Major growth in new development, adaptive reuse projects and renovations, in both commercial and residential sectors throughout the city, has resulted in an influx of projects for our firm.

For more than 20 years, ACC Construction has been active in commercial office and retail build-outs.

In addition, over the past decade, we have diversified our client base by bringing in projects in such markets as education, hospitality and healthcare.

Our diversification has been successful and in keeping with the strategic program, ACC added new service lines, including large-scale residential renovations and out-of-ground construction.

But our bread-and-butter base still remains corporate interior build-outs.

In recent months, ACC Construction has been awarded a number of office build-outs in midtown and downtown.

The trend we have seen is in projects ranging from 5,000- to 50,000 square feet, and they are abundant.

The types of companies we are working for cover a wide variety of markets, such as law firms, advertising agencies, financial institutions and telecommunications companies.

They reflect a palpable excitement in the city again, which is reinforced by low vacancy rates in office buildings and new development.

Because of our diversification strategies, ACC's portfolio represents virtually every market sector, which has enabled us to build projects that are reflective of the strongest markets.

It is no surprise that residential construction is booming and we expect that trend to continue.

ACC's earlier residential portfolio included a major capital improvement project at the prestigious North Shore Towers, a massive residential complex comprising three, 33-story towers and a virtual city of retail corridors.

We were responsible for extensive common area renovations that included over 90 hallways and corridors and later performed the exterior waterproofing of all three buildings.

We were also hired to work on other residential Droiects. including the renovations of two lobbies at Ruppert Towers, a condominium on the Upper East Side, a fitness center at a high profile co-op in Greenwich Village and, at Columbia University, the renovation of kitchens and bathrooms in 50 townhouses, all of which had to be completed during the students' summer break.

Last year, ACC was awarded two more residential projects: the renovation of 200 vacant units in upper Manhattan; and the total renovation of an occupied 180-unit rental building in Yonkers that entailed the installation of a new roof, new boilers, electrical and plumbing upgrades and major renovations in all of the apartment units and parking garages.

Moving into second quarter 2005, ACC will embark upon two other large-scale residential projects and several corporate build-outs.

Clearly, the first quarter of this year has produced an increase in projects in two specific markets for us: residential renovations and office build-outs.

And despite a spate of "bubble about to burst" predictions that have appeared from time to time in the news, we have seen no indications of the activity abating.

So if the first quarter traditionally sets the pace, we should all have a very good year.

MICHELE MEDAGLIA, PRESIDENT ACC CONSTRUCTION