Spotlight On: Kia Hajifathalian, Vice President & Market General Manager, Baker Concrete Construction
March 2025 — In an interview with Invest:, Kia Hajifathalian, vice president and market general manager for Baker Concrete Construction, discussed the company’s focus on safety and training, sustainability efforts, navigating economic challenges, innovations in construction, and addressing workforce issues while maintaining high-quality standards.
What were the most significant milestones or achievements for Baker Concrete over the last year?
This past year was the first time we experienced a sense of normalcy after all the COVID-related disruptions. We dealt with fluctuating prices and inflation, but inflation has started to stabilize and interest rates are under control. One major focus last year was safety and training. We have about 400 employees in the Fort Lauderdale office, and we provide a lot of training to support their development. Over the past years, the construction industry has struggled to recruit high-level talent, so we have created training programs offering various career paths, from carpenters to project managers. Thanks to these efforts, we’ve added about 10 to 15 full-time employees this year. Some started as interns or entry-level workers and have now grown into full-time roles.
Another focus has been safety. Our recordable incident rate has dropped to 0.9, compared to the industry average of between two and a half to five. We’re proud of this because it ensures our employees go home safely. Our Experience Modification Rate (EMR), a key safety metric in the insurance industry, is at 0.5, while the average is 1, meaning we’re performing twice as well in terms of safety.
On the project side, we’re proud of completing the Broward Convention Center expansion, which includes hotels, exhibition spaces, and more. It’s expected to have a $200 million annual economic impact on Fort Lauderdale and create about 1,000 long-term jobs. While some work continues into 2025, the bulk is done. We also completed RD Las Olas, the second-tallest building in Fort Lauderdale, following our previous project, 100 Las Olas, the tallest. These major projects make us proud of our contributions to the city’s skyline and economy. We’re committed to creating high-paying, skilled jobs in Fort Lauderdale, providing training and career growth that leads to better pay and improved quality of life for our workers and their families. This is something we truly care about.
Which sectors do you see experiencing the highest growth in the next few years, and what are the fundamentals behind that?
Looking at percentage growth provides a clearer picture of trends. Traditionally, this market has been driven by condos and multifamily developments, but we’re starting to see a more balanced mix of project types. In the next five years, we expect significant growth in education projects across Miami, Fort Lauderdale and West Palm Beach — up to 120%. Government projects are also rising, and healthcare continues to expand, though at a slower rate. Multifamily housing, the dominant sector, will remain stable next year, but it is projected to grow by 70-75% over five years. Office space isn’t growing as predicted a few years ago. We expect stability next year, followed by a 30% increase over five years.
The biggest growth will be in recreation — stadiums, event centers, and infrastructure supporting tourism, with up to 200% growth in Miami, Fort Lauderdale and West Palm Beach. This is positive as tourism drives economic growth. On the downside, transportation projects are expected to decline, which is unfortunate given the region’s public transportation challenges. While airports are improving, public transit needs more investment.
What role do you see emerging innovations playing in construction over the next few years?
I remember when Building Information Modeling (BIM) started gaining traction about seven to eight years ago. We were early adopters, and now it’s fully integrated into every project. BIM helps us be more efficient and reduces mistakes by allowing us to build the structure digitally first, identifying issues before breaking ground. This proactive approach minimizes disruptions. Looking ahead, we expect AI to have a major impact in the next five to 10 years, affecting everything from contract reviews to safety risk identification. While AI isn’t fully integrated yet, we’re exploring its potential. It’s an exciting frontier. We’ve also invested in 3D printing over the past five or six years. While innovative, we don’t see it having a widespread impact on large-scale projects in the near future. It may be useful for smaller, intricate projects but not on a mass scale.
How has Baker adapted its processes and strategies to navigate the current economic environment?
Up until about a year ago, things were chaotic due to inflation and rising costs. We had fixed-price contracts, and when construction costs soared, it created significant financial risk across the industry. Thankfully, things have stabilized. While the chaos has eased, we’re still in a fast-paced environment where trends shift rapidly. This isn’t unique to construction – all industries are facing rapid changes. To adapt, we’ve moved from a reactive to a proactive approach. Ten years ago, we might have waited for changes to impact us before responding. Now, we constantly research and plan for short-, mid-, and long-term strategies, making agility a key part of our business.
How has Baker Concrete approached sustainability and reduced its environmental impact?
We started focusing on our carbon footprint years ago. There are two main goals: reducing costs for the end user and minimizing environmental impact without increasing those costs. Cost can be a barrier to greener solutions, so we prioritize initiatives that don’t add extra expenses for the end user. For example, we’ve replaced 50-60% of cement in our concrete with byproducts like slag and fly ash, reducing pollution by reusing industrial waste. This is now a best practice on all projects, even if not required. We also use salvaged metals and recycled materials for reinforcing steel, lowering demand for new raw materials.
We’re also focused on retrofitting older buildings. Following the Surfside tragedy, regulations now require recertification for buildings 30-50 years old. This creates a growing need for retrofitting, and we’re working with local universities to research safe, affordable solutions. Lastly, as hurricanes and extreme weather increase, building codes must keep up. High-rises are getting taller, and we continually push the limits of concrete strength and technology to ensure our buildings are as safe and resilient as possible.
What are some challenges Baker faces regarding the construction workforce?
One of the major challenges in the construction industry right now is the misuse of 1099 independent contractors. Some companies exploit this loophole, which isn’t supposed to apply to the construction industry, according to the IRS rules. These companies don’t provide workers’ compensation or other benefits, giving them an unfair cost advantage. This practice is not only unfair but also detrimental to the workers, who miss out on critical protections like insurance and tax benefits. It also shifts the tax burden onto everyone else. Our local government could do a better job enforcing the rules. Recently, in Washington, D.C., the attorney general fined companies for improperly hiring 1099 employees for construction work. I’d love to see similar enforcement here in our local market, which would push companies to follow the rules and provide proper benefits and protections for their workers.
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