Third generation sheds light on electrical contracting

Real Estate Weekly, July 14, 2004

With a third generation electrician at the helm, Five Star Electric Corp. is rich with history in the electrical contracting industry.

In the 1920s, Phil Segal, grandfather of Gary Segal, who is the president of Five Star Electric, began his career when he joined Local Union No. 3, of the International Brotherhood of Electrical Workers. Phil's son Bernie, after working as a member of Local Union No. 25, I.B.E.W. on Long Island, started Five Star Electric in 1959.

In 1980, with five electricians, Five Star Electric Corp. signed a Collective Bargaining Agreement with Local Union No. 3, and, with the help of his wife Rita who handled the office, began to expand into the public sector market.

With a nearly 60-year history, it is easy to see why Bernie's son Gary joined the firm in 1981 after his graduation from Syracuse University with a degree in Communication.

"I think that one of the ideals that has helped Five Star grow, as well as survive through tough times, is that we still get down to the basics of keeping the customer satisfied..& seems people forget that we are in a service-orientated business ... and no matter how much you grow, or how big you get, you must still remember "your roots" and "where you came from"," said Gary. "The other most important item is to surround yourself with good people ... honest, hard working, trust-worthy ... without the right people, you might as well close-up shop."

Gary quickly put his degree to good use first as an apprentice electrician in the field, a journeyman electrician, an estimator, a project manager, and then as Vice President of Operations. All the while, Gary absorbed his dad's philosophies which, simply stated, are to communicate with your customers honestly, and deliver on your promises.

"Growing up, my dad taught me two basic concepts--First treat people how you would want to be treated and second your name is your most prized possession, that is your word is your bond!," said Gary. "It was the way may Dad lived his life and how I wanted to live mine. Both in my personal life and in business 1 live and die by my word--and I constantly preach that at Five Star 'If you give your word, then you live up to it."

In 1991, however, tragedy struck with Bernie's untimely death, and Gary suddenly found himself at the helm of Five Star. While embracing the Segal family's philosophies and traditions, Gary was able to maintain Five Stars special niche of building and renovating New York City public schools. However, within two years, another misfortune struck with the passing of Gary's morn, whose support in the office had helped Gary concentrate on how the work was being performed, and continue to make it happen for Five Star's customers.

Alone in the business, Gary continued to apply what he had learned from his parents and added his good judgment of character to expand Five Stars market base and begin building a Five Star management and labor team.

"I think that one of the ideals that has helped Five Star grow, as well as survive through tough times, is that we still get down to the basics of keeping the customer satisfied," said Gary. "It seems people forget that we are in a service-orientated business--and no matter how much you grow, or how big you get, you must still remember "your roots" and "where you came from". The other most important item is to surround yourself with good people ... honest, hard working, trust-worthy ... without the right people, you might as well close-up shop."

Gary has never looked back on his decision to enter this business because of the many hats he needs to wear as part accountant, part lawyer, part insurance agent, but most of all a communicator.

The Five Star philosophy of helping the Owner and its Construction Manager to build their job as a proactive member of the construction team makes it easy to understand another company philosophy.

"Five Star's business philosophy is to try to be the best asset on the construction team," he said. "We try to be as proactive as we can, to help the job be successful ... for the Owner, the A/E, the CM or GC, and of course our selves ... We don't need to hit all the 3-point shots, as long as we have the assists for them!

"We have a motto at Five Star.... "Either we will find a way, or we will make one", and we live by that every day," Gary said.

This philosophy has helped Five Star grow into the largest Public Works Electrical Contractor in New York City, using it's $300 million bonding program to work for agencies like the Metropolitan Transportation Authority, NYC Department of Design and Construction, NYC Economical Development Corporation, NYC Department of Environmental Protection, NYC School Construction Authority and NYS Dormitory Authority. Five Star is also proud of its participation in private work with the expansions of New York University and Queens Center Mall, as well as several New York City office to co-op conversions and new apartment buildings.

Five Star Electric is currently working on some of New York's major Construction Projects such as the New 26 Story Federal Courthouse and General Post Office Renovation at Cadman Plaza, the Revitalization of the Whitehall Ferry Terminal and the Mega-Water Pollution Control Plants at Newtown Creek and Hunts Point. Five Star also recently completed the three School Complex at Glen Oaks Campus, the New NYU Kimmel Center & NYU Law School, and the Fast-Track Restoration of the 1 and 9 Subway Tunnel at the World Trade Center Site. However, Five Star's pinnacle achievement has been successfully completing over 10 million square feet of new and renovated school space since the inception of the NYC School Construction Authority in 1990.