Aaron Traffas: Hello and welcome to Purple Wave’s Auction Podcast. My name is Aaron Traffas. We’re conducting a realignment auction of construction equipment in Iowa for Kemp and Son that will close on May 29. I’m speaking today with Jay Kemp about this event. Good afternoon, Mr. Kemp, and thanks for joining me.
Jay Kemp: Good afternoon.
AT: Tell me about the company Kemp and Son. How did you get started and how long has it been in operation?
JK: Well, my dad started it – my dad and my grandpa, I should say – and I know in the phone book it says, “for over 50 years.” To tell you how long we’ve been going, I don’t honestly know, but I know it’s over 50. It’s just a dirt contractor and we do a lot of farm work, Core of Engineers, DNR – basically, a lot of government work. We’ve got track hoes, a tile machine, bulldozers, scrapers, side-dump semis, end-dump semi – we do just about all kinds of dirt work.
What kind of areas do you serve?
In government work, we’ve been to Illinois, Wisconsin – working for the farmers, basically, I’m going to say about a hundred-mile radius. When you get too much further than that, they got to be a pretty good sized job just to go very far.
This event is billed as a realignment auction.
What does that mean and why are you having an auction?
Well, my dad passed away about 18 years ago. My mom and I and my wife own the business together and right now it’s just becoming more and more apparent that my wife and I need to kind of pull away from this and start up on our own. I’ve got three boys of my own and two of them want to go into this kind of business. We’re just looking to kind of restart something else as our own business and get out of the family thing and get in to our own family.
You’re kind of reshaping your enterprise, it sounds like.
This has to be a big decision. Why, in the end, was Purple Wave selected to conduct the event for you?
I contacted quite a few other places and my bank talked to me about Purple Wave. Then, quite honestly, I hadn’t heard of you right at that particular time. Then, when I did contact you guys, I got a long time friend that works there, Mike Saxton. I got ahold of Mike and he came out and talked to me and I liked what he was saying and, like I said, I talked to other auctioneers and other Internet places and I was just talking with Mike and then also talking with a couple of people that I do business with. They didn’t even know I was going to do anything with Purple Wave. Your name came up with them and he was telling me how much he liked basically doing business with you guys and a few things which you did. Then, when I did get the meeting with Mike, he told me everything that my other guy that I was talking with told me and I just think you guys are going to do a good job at it and I liked what I heard from both Mike and my other person I talked with. And, also, like I said, the banker told me that he has some other people in business that use you guys, too, and I just thought you guys presented yourselves really well. I liked the way it went, so that’s why I went that way.
Well, it sounds like you had several different reasons in several different areas all pointing to the same solution.
Yep, you’re right.
Well, I see right now on the website there are 74 items currently listed for this auction. Are all of the pieces listed that we’re going to have in this event?
Yeah, I think there’s going to be a few more pieces. We’re still trying to get things bundled up and cleaned up and find everything and get them all on the auction. I think there’s still going to be a few more.
Let’s talk about the items. What types of equipment are we going to be selling?
We’ll, we’ve got a couple D6R Cat dozers that are on there. They are a couple nice dozers. We’ve used them. Like I said, everything for sale right now I wouldn’t be selling if I didn’t have the issues we’ve got. We’d be working – which we are – we’re still working a couple of them yet today. We’d be working them all the time, but, like I said, we’ve got the issues of the family stuff and we’re going on our own way, so we’re selling everything. We’ve got, like I said, the two dozers, two D6Rs. We’ve got a D5M LGP, that’s the one for sale. We’ve got a D8H dozer. We’ve got three trackhoes, a 210 Link Belt, a 240 Link Belt and a 325 long reach Cat trackhoe. We’ve got a tile machine – a Speicher tile machine. We’ve got a 575E rubber-tire backhoe. We’ve got pull-type scrapers. We’ve got a four-wheel drive farm tractor; it’s a John Deere. We’ve got semis. We’ve got an end-dump semi; we’ve got two side-dump semis – trailers, that is. We’ve got also a white Freightliner tractor-trailer. We’ve got two Mack tractors. We’ve got two non-ground-bearing triple axle trailers – detach. We’ve got one really nice one, an ’05, and the other one’s a later model. I don’t remember what year but we just updated and haven’t gotten rid of the other trailer so we’re going to sell it in the auction, too. We’ve got quite a few other things such as shop equipment, tools, an air compressor, a MIG welder – we’ve got quite a few shop equipment in there. We’ve got a laser for our tile machine and, basically, all support equipment that goes along with all that stuff – shovels and rakes and spades and, I’d say, wrenches and everything else.
Well I’ve been looking at some of the inventory and it looks like Mike has done a great job of getting a bunch of really good pictures and video on some of the more marquee items – video that can be viewed on purplewave.com or on our YouTube channel. Tell me, Jay, about the condition of the equipment. Has it been well taken care of?
Yes, it’s been real well taken care of. Is everything fixed up to the perfect thing? Well, no, there’s a little thing we could have done here and there, but I didn’t know I was going to do this until kind of the spur of the moment and basically had to get it done right away. We’re using this stuff right now and we were ready to go this spring with everything. Like I said, we’ve changed the rails and rollers and sprockets and the idlers on all the two D6s and the D5. The two Link Belt trackhoes, they’ve had everything changed on them such as the rails and rollers and sprockets. We were ready to go to work and then this came around.
Is everything located there in one place?
It will be. Not all of it is there right now, but it will be.
Tell me about Letts, Iowa, where this particular location is. How would I get there? As somebody not intimately familiar with the state of Iowa, where is this auction location?
We’re not too far away from the Mississippi river. We’re about 15 miles south of Muscatine. It’s not too hard to find. We’re about three-and-a-half miles north of the intersection of Highway 92 and 61. We’re on the east side of 61, the long, dead-end road. We’ve got signs that say PURPLE WAVE AUCTION right at the end of the road and it’s not hard to find.
We have a couple of scheduled open inspections from 8 a.m. to 5 p.m. on Saturday, May 24, and Wednesday, May 28. During those times, anybody can stop by and ask questions or take a look at the equipment. In the event that those times don’t work for somebody, what would he need to do to come and take a look at the inventory outside of those times?
My number is on the auction page there and all they need to do is give me a call and I can tell them either right where that machine’s at or we can come look at the stuff any time they want to as long as they give me a call. That way I can tell them right where it’s at and how to get there.
What can a winning buyer expect after the auction as far as payment and will there be any loading assistance available?
Yeah. Now, the payment is to Purple Wave and basically they take care of it on that end of it. The load out is basically – I will have a trackhoe will be left there until load out is done. I’ll have either a skid steer or a fork truck there to help load up some of the palleted stuff and some of the pipe and stuff. We’re going to give them 14 days to come get their stuff out of there and, like I said, I will have some support equipment that will have to be left there until the end of that 14 days.
As we mentioned earlier, Jay, you are not going out of the business yourself. You are essentially reshaping the way that your companies will operate, and so you will continue to operate as Kemp and Sons. Will you be continuing the same kind and type of operations or will the services that you offer change?
Right now, we’re looking into trying to do the same kind of a business as what we had been doing. Like I said, I’ve got three boys and two of them are wanting to go in to the same type of work that we’re doing. My wife and I are trying to figure out what all we are going to be needing and what we’re going to be doing and, basically, we’re going to start trying to get some of our own machines. We’ve got jobs going on right now that we’re going to have to start renting and, or, start owning some of the stuff that we need. So we’re going to be getting some of our own machines pretty quick here, and we’re just going to be trying to downsize and get what we need to do what we’re going to do. That’s basically what we’re going to try to do is what we’re doing already.
Jay, is there anything else you want to say about the auction?
Well, I just hope everybody can see everything that’s there and is happy with it. I hope they call me up with any questions. I’ll be happy to talk to them and tell them all that I know about it. I hope everybody’s pleased with everything and we can have a good sale.
I’ve been speaking with Jay Kemp about the Kemp and Son complete realignment auction. Thanks again, Jay, for visiting with me.
Thank you. I sure hope everybody gets out there and bids.
Bidding for the Kemp and Son complete realignment auction is open now and will close on Thursday, May 29, beginning at 1 p.m. central. If you have questions about any of the assets listed, or you’d like to take a look at an item before placing a bid, stop by during one of the open inspection periods on Saturday, May 24, or Wednesday, May 28, from 8 a.m. to 5 p.m.
Like all Purple Wave auctions, there are no reserves or minimum bids. Items receiving bids in the last few minutes will be automatically extended to give everyone a fair chance to bid. There’s no advantage in waiting, so view the complete inventory listing – and place your bids now – at purplewave.com.