In the first episode of Vertical Access, our host Michael Kremer is joined by Michael Balsamo, Senior Vice President at VDA, who brings nearly 30 years of experience in the elevator industry, including over two decades focused in the highly demanding New York City market.

The conversation explores elevator work in NYC, where elevator projects are never simple and straightforward. Michael shares a behind-the-scenes look — from page-turning specs and client wish lists to landmark buildings, modernization challenges, and the decisions that keep projects on track.

• From building landmark constraints to elevator contractor fit and client expectations, Michael explains why local knowledge and relationships matter so much in New York.
• Learn why “page turning,” scope planning, and early decision-making can make the difference between a smooth elevator project and expensive surprises later.
• Find out how technology like destination dispatch, AI, and predictive maintenance are changing not just how elevators work, but how people experience them.
• Get to know Michael a little better in segments like Up or Down and Between Two Floors — including his takes on hot dogs and hoagies, taking the stairs, glass elevators, and one big career decision.

Timestamps

[00:00] Intro

[01:00] Mike Balsamo’s Elevator Industry Background

[03:45] Building a Career in Sales, Transitioning to Elevators

[6:10] How the Industry Has Changed, Experience, and Technology

[8:50] Growth & Industry Evolution

[11:00] “Up or Down” Segment

[13:52] Consultant & Client Relationships

[22:55] Specialty Projects & Successful Projects

[27:00] Working on NYC Landmark Buildings

[29:53] The Company’s Growth & Culture

[33:30] “Between Two Floors” Segment

[38:59] The Future of Elevators & AI

[42:14] Closing

So, um, all right, well, I guess we’re live. And, uh, with that, I wanna welcome everybody to, uh, this episode of Vertical Access, VDA’s podcast, uh, where we sit down with industry leaders and, decision-makers in the vertical transportation and built environment.

My name is Michael Kramer. I am the host of the podcast, today. And today. we have Mike Balsamo. Thank you. Mike, welcome you. out of our- Thank you … New York Metro office, one of the, uh, more tenured gentlemen out of that office, but, uh, you’ve been around at VDA for a little bit. Why don’t you, uh, tell us a little bit. about yourself, uh, how you, got started in the industry, the, the path you took, and how you ended up where you are at the Ne- uh, VDA’s New York Metro office? Sure. Uh, well, thank you for having me.

Yeah. I mean, this is very nice setup that we have here. Yeah, not bad, right? Yeah, not too bad. This is great. Very professional. Thank you. Um, so yeah, I mean, if we have two hours, I can discuss on how I, you know, became a, an elevator expert. You know, we can make it three. We’ll make it three. We’re fine. Yeah. Uh, um, so this industry, a very unique industry.

Um, my dad was in the industry, and you’re gonna see that that’s pretty much common. Yeah. That’s right. It’s multi-generational. Yeah, sure. Yeah. And, uh, so my dad was with one company, started, uh, right out of the military. He was with them for 54 years. Oh, wow.

And, um, I’ve been involved with the elevator industry, since I’m about eight. Okay. And that’s no lie. Um, my dad used to do the, dispatching, uh, you know, from home and whatnot, and if he was tied up, I’d answer the phone.

I got to know the supers. So- Yeah. … I was really bred into this business early on. Yeah, you didn’t have a choice. No. You were, you were locked early. Yeah. And, uh, during high school, spent summers, uh, working for, um, that firm. You know, my dad got me in as summer help. And, um, I was working with the mechanics, and I admit I did not like to get dirty. But, uh, I worked on the maintenance side- Yeah. … worked through, with the repair team.

And I always found myself, you. know, if a super or resident manager came in, mechanics just, they don’t wanna talk. That’s not, they’re there to fix an, elevator. Right. Sure. And I always found myself backing out of the motor room, explaining to the super- Yeah.

… you’ know, uh, basically what we’re doing, what the repair is, and, I love talking to the- Yeah … the resident managers and, and, whatnot. So, um, I’ started out early on. After, a- after my schooling, I said, you know, what, some, some of my friends were going into finance and I was always drawn to sales. Sure. Um, I enjoyed sales. I, I, I think I am a people person. Um, so- they were, going to Merrill Lynch and, I, you know, I said, “You know, what? I think I’m going to go into sales and, I’m gonna do, you know, somewhat in the finance field.” Yeah.

I said, “I think I’m gonna love that.” So I went and I studied for my Series 7 and my 63. Oh, wow. Yeah. And I remember I had to go drop off some documentation, uh, it was in Long Island City, and it was actually right next door to where my dad worked. So I went in to say hello, and I sat with the owner, and I sat with the owner for about an hour- Yeah … and telling him what I, you know, what my plans were for the future, this, that, and the other thing. And it was great conversation, very lighthearted. And I remember exiting, and my father said that he came out and he says, “You know, I’m gonna call your son and offer him a job in sales.”

And my father, I was very close with my dad, but, he was like, “Sales?” He goes, “That, he’s no sales guy.” Yeah. “You know, he can never sell.” And, um, he says, “No, no, I think I’m gonna offer him a job.” Yeah. So he offered me a job, and I said, “You know, what? I’m gonna try it.” You know, finance was great- Yeah … but the problem is you’re selling a product to someone who doesn’t wanna be sold. Sure. Yeah. So it’s just, it’s hard sale. I mean, you’re on’ the phone constantly, and it’s like as soon as you say your name, they’ hang up on you. Yeah. So that was not the sales that I really was going after.

Right. Yeah, yeah. So I s- You had girlfriends, though, where you could just call and have them hang up on you, so. Yes, exactly. Yeah, you didn’t need that to do parts in your life. Yes. Good. Yeah. So, um, I started in sales in 1996, and

I stayed with that company for 21 years. Oh, wow. And, uh, it was a great company. Yeah. Um, family vibe, still independently o- independently owned.

Yep. Um, and again, I remember early on s- starting my career, operations manager sat me down and says, “If you wanna make it in this industry, um, as a salesperson, responsiveness, don’t lie, and just always be there for your clients- Yeah … and you will have a career.”

Yeah. And I remember I took that to heart, kept it under, you know, very close to me. Yeah. And I always followed that mantra, and still to this day, um,

I follow that. Yeah. And I’m, you know, here I am now, it’s 30 somewhat years later- Yeah … and we’ just had clients out for dinner, and I just, I remember the client, and this was the president of a large real estate firm in New York City, and he says, you know, “I have to hand it to you.” Um, he says, “I just wanna say one thing.” He says, “Mike Balsamo has been the most responsive person- Yeah … in this industry.” Oh, wow. Yeah. And I was, you know, I was waiting for some, cheers. Yeah. And Bob Castellano was with me. Yeah. And

I heard him say, “That’s great. Pass the salt?” Yeah. You know? I mean, I was very proud of that moment. Yeah. Right. Exactly. So- We don’t want you to blow, we don’t want you on. the pedestal too long. Yeah, yeah, yeah. Yeah, yeah. I wasn’t up there for more than one second- Yeah, that’s good. Yeah.

… before he knocked me off. Yeah. Um, but yeah, I mean, it was, this has been a, a great industry. I now have nephews in the industry. Oh, that’s fantastic. Yeah. Um, and I am a big, uh, p- I, I, I love this industry. Yeah. Um, I love the elevator industry. I also love the, the real estate side of it, the residential and the commercial side. Yeah. I mean, we, I, I’ve built up fabulous, uh, sh- such strong relationships over

30 years. Yeah. And it’s, uh, I’ve never lost a client. Yeah. You know? I might have lost a job, but the client’s always there. Yeah. And, you know, I always try to see them and get them out and, you know, go f- go for lunch or a dinner, and, um, it’s, we don’t even talk, we don’t talk elevators. Yeah. You know? It’s like- Yeah. … I know so much about them, it’s, it’s 30 years relationship. Yeah. And I think that’s what makes New York City, so unique. I, I don’t know, if that, happens anywhere else. Sure. And here in New York City, it’s still, it always has been, and I think it always will be, relationship driven. Yeah.

You know? Well, I, I think, I think that’s kinda what defines- Yeah. I mean- … this part of the, the, the world- Yes … and New York. Yes. And what makes New York so unique, not only just in the US, but in the world. Right. Right? Yeah. Yeah. I mean, listen, you have to do a good job for them ’cause if you don’t, you’re done. That’s also New York, right? So you gotta- That is also New

York City … so there’s something to be said about that, you know? Yeah. Yes. Um, and that’s really, that’s really interesting. And well, so you said, you know, you started at 8 and 30 years, so you look great for 38. I just gotta tell you. Ah, thank you. You bet. Thanks. You got, you got young that one. So, um-In that

30 years, you’ve, 30 plus years, you’ve seen stuff. Talk about, just take a step back- Th- th- this, this industry- What are those trends? This industry has evolved so much- Yeah … over 30 years. And honestly, this is the only industry I really know, so

I can’t speak of other industries. But, um, I mean, s- from, from the company’s technology on how they monitor the mechanics, performing maintenance, uh, from the buildings, from the application, I mean, everything has just rapidly evolved.

Yeah. And it’s happened so quickly. And the problem is it was, I think it was a struggle for the industry to keep up. I mean, you have to realize older elevators, which I’ve saw a lot of- Yeah … they were carbon contact, they were such simplistic, simplistic controllers. Yeah. And it, it was basically mechanic would walk in, they can actually see the contact that was broken and fix it.

Yeah. They were repair people. Yeah, yeah. You know? Yeah. Today, it’s technicians, you know? You, you, it’s, it’s computerized technology that if that mechanic who walked in was able to fix an elevator walked into a newer system now, he’d retire. Like, it’s just- Yeah

… it, it’s two different types of mechanics. And I think that that crossover was, was very rough because you have to realize back in the mid-’90s to early 2000s, that’s when a lot of the modernizations were occurring. We were taking out the older equipment- Yeah … putting in the newer equipment. Yeah. But you had that one mechanic who was used to the older equipment but now, had newer equipment on his route, so it was like, sort of they were confused. They had to learn to adapt to that, e- that equipment. Yeah. You know, they had to be more savvy on the technology front. Is it better or worse, or is it just different? In, in that sense, you know, the, that, that change from more of that more mechanical to the more electrical, is it just, d- do have there pluses and, minuses? So believe it. or not, one, one of the former owners of VDA, Tom Stack- Yeah … um, who passed, uh, God rest his soul, and, um, he always said, “Keep it’ simple.” He says, “Give me, like, a relay logic controller any day of the week.” Yeah.

Um, but again, you’ have to evolve. Sure. And so did the controller companies. Yeah. And that technology’s evolved with it. Um, I think there’s so many f- I, me, personally, I think there’s so many fail-safes in elevators today, it might be sort of an overkill. Yeah. But, um, again, you. need that technology to evolve ’cause it’s not, it’s not just gonna stop now in the motor room with the controllers.

It’s gonna go into the hallways. It’s gonna go into DD, it’s, you know, destination dispatch. Yeah. So it’s, again, elevator usage has become now an elevator experience. That’s kind of the word for maybe the last

10, 15 years, and it’s gonna be the word going forward. Everything’s an experience, right? Yes. I mean, it’s just not, you don’t just- Everything’s a theme park now … I mean, you don’t just go to the gas station and get coffee anymore. You go into coffee shops, and you, literally they design it after. an experience.

Yes. It, and it permeates throughout, from coffee shops to elevators, right? Yeah. I mean, it’s, it’s different. What are all, what are some of the other things that you’ve seen in that time? So yeah, some, some changes from more of the mechanical to, um, more the electronic, uh, beyond maybe even the elevator, just, like, uh, how we go about business, what customers expect, per se, or even how we go about our business, um, from VDA or the likes of, uh, companies like ours in the industry. Um, so, so, so the easy answer there is as far as VDA, um,

I, I mean, I’m here nine years. Yeah. And we’ve evolved and changed rapidly. Yeah. And I, I don’t know if our competition has done that, and that’s not to bad-mouth anyone. Yeah, yeah. Just I think we’re at the forefront of that. Yeah.

Um, I, I, I think the expertise that we have now working for us, the, it’s sort of a vision for the next 15 to 20 years.

Yeah. You know, I, I think our hire is becoming younger and younger. Yeah. Um, I think there’s, there’s definitely forward-thinking. Um, I, I, I know there’s forward-thinking. Yeah. And I just, I don’t see

… Listen, uh, someone once told me, “Evolve or die,” and we, we’re evolving. We’re evolving, yeah. And, um, again, uh, it’s just, uh, I don’t see the competition doing that. So VDA as a whole is definitely really pushing forward on that front. Yeah. And again, as far as, as, as what clients expect, they expect, uh, a project with no change orders- Yeah.

… u- under budget- Yeah, … um, and below s- below schedule. Three, three things that happen all the time as far as- Oh, yeah. … always. Always. 100% on all of them. There’s never any problems on these types of jobs. Never any problem with any of those, right? Yeah. Um, but again, a- again, it’s, it’s a, like we just said, passenger experience- Yeah, … it’s client experience. Yeah. You know, it’s how we perform our jobs. Yep.

That’s an experience that, that the client wants to make sure is, is a good. experience. Yeah. You know, whether it’s an owner’s rep, an owner of a building, a management company, they all work for someone, and- Yep.

… they wanna make sure, we should make sure that if it’s VDA’s name attached to it, that’s a seamless project. So again, this is like a partnership between us, the management company, owner, and the contractor. Yeah, yeah.

Well, um, I wanna dive into some more of the client and consultant relationship here that we have, but before that, I think everyone wants to learn just a little bit more about Mike Balsamo.

We’ve heard a little bit about what, uh, your background and everything, but I got some real personal questions that we get to ask you here. This is a segment called

Up or Down, and you only get to answer with an up or a down. Up is yes, down is no. You really don’t get to explain yourself. I’ll, I’ll determine whether you gave the right answer or not, okay? We get the results today? Yeah, they will m- Okay, great … well, we’re gonna mail them in, and we’re, you know, we- I’ll mail them in? Yeah. We’re D- some VDA technology.

Yeah, sure. We’re gonna see, yeah. Um, okay, up or down? Up. Oh, yeah. I’m kidding. I’m kidding. You, you … Not that bad, not that bad. Practice, practice. Yeah. Up or down, this podcast is going well.

Up. Up, yeah. Um, a hot dog is a sandwich. Down.

Ooh, stuck. Um, it’s im- improper to put on your socks and shoes sock, shoe, sock, shoe.

Down. So it’s … Yeah, that’s the way you’re supposed to do it? Mm-hmm. Not two socks and then two shoes? Of course. That was sarcasm. Yes.

Okay. All right. We might have to edit that one out. I don’t- We wanna maintain clients after this one. You would take a superpower even if it had a downside.

Up. Okay. I think you have all sorts of superpowers. I just want you to- I do. I do. Yeah, you just … I think that you were able- I refrain from using them … yeah, you were able to answer that out of experience. That’s what I liked about that one. Stairs are better over elevators when it’s under three floors.

Down. Okay, okay. Um, glass elevators make the ride better. Up.

Okay, okay. Um, you get impatient when elevator doors take too long. Up. Uh, and the, the one I always like to ask is, uh, you’ve critiqued an elevator out loud in, public.

Up. Up. Who hasn’t? If you’re not in the elevator, then sorry. Exactly, right, yeah, yeah. Uh, no, that’s great, and, uh, I d- I j- I do that everywhere I go …

Do you do that everywhere you go? I’m sure, I’m sure the family loves it. Like, “Oh.” We were on a cruise three years ago- Yeah … and I’m like, “Look at what they use for the door.” And everybody’s like, “What they use? What’s going on?” All right, we gotta go flights. Mom, Dad, the b- kids, let’s go around. We’ll walk. Dad’ll take the elevator. It’s fine. It’s 12 stories. It’s fine. It’s fine. Keep walking.

Um, no, we, we love that just, uh, to kinda just, you know, let people see who you really are. Yeah, yeah. You know, I didn’t ask you about your favorite cereal or anything like that. Hot dog is not a sandwich. We all know that, right? Y-

I mean, well, what, what- It’s not debatable … what constitutes a sandwich? Bread and meat. S- yeah, and, and shape. Well, what … Is, is a, is a Philly a sandwich? No, it’s a Philly.

You don’t see it. Really? A hoagie? Yeah. A hoagie? Gyros. That’s not a sandwich? No. What about a taco? That’s not a sandwich. Soft shell.

Soft shell. Okay, so you were mentioning with the, um, trends and the, the partnership, right? How, how they, the clients expect more, right? But as relationships evolve, as the industry, evolves, so does the relationship between the client and the, the, the consultant, right?

Um, let’s, let’s talk about that for a second. Like, let’s talk about that kind of not ideal client, but what the, the client can do that’s ideal to make the project work a little bit smooth. Like, what are two or three things that you would be like, “All right, hey, things work better if you can do this”? Okay, so

I think what makes VDA, uh, stand out is- Yeah … we, we’ve been down every pitfall. We know, what causes those pitfalls. Sure. So I, I think the client should listen. If you’re retaining VDA-

Yeah. … listen to VDA. So we know, where these pitfalls can occur, and a pitfall to me is, um, extras o- on the job as far as change orders or, uh, you know, elongating the start date, you know, commencing or starting a project. You have to realize o- once you sign a contract with VDA, uh, for New York City, th- this is basically about a 12-month process before there’s actually boots on the ground and people taking elevators out of service.

Yeah, right. This, there’s a lot of upfront work to do. Yeah. There’s work by others. So they have to let us guide them- Mm-hmm … as to what those milestones should be. Okay. So I mean, they, we, we’ve actually made the system totally foolproof. Yeah. I don’t know if I should divulge what that system is. Yeah. And, you know, we’re s- sharing our- We’ll save that for a second episode, yeah

… we’re share, sharing our secret sauce. Right, right, yeah. But, but again, it, again, this is a three-way partnership. Mm-hmm. It’s us, the owner- Yep … and the contractor. Sure. If you have a bad contract, doesn’t matter what happens on the front end- Yeah … that’s gonna be a bad job. Yeah. So let us guide you on the contractors that are the right fit for a job. It’ depends on the job. Yeah. You know, some, some clients have relationships with contractors, like, “I wanna use them for this job,” and I’m like, “Well, they’re too small. This is too big of a job,” or vice versa. It might be, you know- Yeah … might be a contractor that’s too big for this small job, and it could be very too big for a job- Right … for a contractor that’s- Yeah … very small. So we’re not saying not to use them ever- Yeah, yeah … just not for this application. This might be the best application for this quote. Correct.

Yeah, that’s right. You know, so, um, page turning. You know, I, I’m a big proponent of we’ll get you covered for a draft specification for a modernization- Okay … on existing installation. Um, we’ll have you covered for codes and obsolescence and old equipment and everything that’s gonna be retained. We’ll list everything, but I wanna do page turn- turning with you, the owner, so you understand what the scope is fully. Yep. And then I wanna talk about your wish list.

Yeah. Security, interface, turnstile. You know, things that, that go above and beyond- Yeah … that cannot get missed now, because if they’re missed, that’s gonna cost the owner a lot more money- Mm-hmm … on the back end of the project-

Yes … doing integration. Yeah. So we have clients that are like, “I don’t need a page turn.” I’m like, “You do,” and I’m adamant. Yeah. I don’t mean to come off rude with them, but I’m like, “You have to do this.” Right. And afterwards, they’re like, “You know, I saw a lot of value in that.” It’s only

45 minutes. To d- take a step back. Describe page turning for those who may not fully understand exactly what you’re talking about. I, we, so we go through the entire spec. Yep. We talk about from very high level what we’re doing with your, with your hoist machines. Yep.

Are we re- retaining them? Are we changing them? What are we doing with your controllers, your door equipment, cabs, fixtures? What the client can expect. Mm-hmm. Where the contractor’s gonna be working floor or working from on each floor.

Okay. How long. Uh, staging. So we go through that. Then we also go by work by others, because that’s something that’s not going to be carried in the base bid. It’s work by others, not the elevator contractor. Got it, yeah. And that’s something that halfway through the job, clients used to call me up, or Rob, or some, my partner, somebody in, in New York City, and say, “We never even knew about work by others.” Yeah. “Well, it was in the specification.” Yeah. So that’s why I wanna do these page turning meetings with all the clients, so they can see what the work by others is, understand the scope, and then say, “Okay, I was just talking to the tenants. They want, uh, card access. They want, uh, lobby boost. They wanna upgrade the fixtures and make them a little bit different.” So again, those are the wish list items- Yeah … that we’ll discuss during a page turning, so we have that entire project now covered- Yeah … for, in, in whole. Yeah. 100%.

Yeah. And it makes for a, a, a, a smoother project and a, a better project at the end of the job. Yeah. It, it feels like at the, at the very least, if, even if everything was as expected, now you know.

Correct. Now, now you, you sleep a little bit better not wondering, right? We told you about that. We- Correct. Exactly, and, and that’s huge. And I don’t like to say, uh, you know, somebody once said, “Oh, that’s a co- cover your ass meeting,” you know? Yeah. CYA.

Yeah, yeah, yeah. And I said, “Well- Yeah … it is, but actually, I want that project to go smooth because we’re best in class. That’s what our job is- Yeah … to, to, to advise- Right … those clients what they are. Right. And if it’s a, if it’s a good experience with the client, guess what? That’s our quality job, and they’re gonna say, “You know what? Let’s use VDA again.” Yeah, yeah. Okay? If, if we don’t do it and it’s missed, and we just say, “It was in the spec. You missed it, owner.”They’re gonna be upset with us, and it, it’s, it’s not gonna sit well with them. You know, one thing I’ve always really appreciated, talking to the folks and working with the f- uh, likes the folks like yourself and y- the team, is the … You can use the word passion, but just the amount of care and attention that goes into it.

Because when you work in a professional services like we do, we just happen to be in the vertical transportation industry, right? And especially on the consulting side. It’s such a

… Our products are our people, or our people are our products is a better way of saying it. Correct. And we want our products to shine. And in, in, in this case, the product takes a very deep, heartfelt meaning into each project, right?

And so they see their name, they see our, our moniker, they see that tied to that, and there, there’s, there’s a special meaning to that, right? Um, where you say, “No, I don’t, I don’t want this project to go awry,” uh, not only just for you, but for me. So the, the fact that we have that skin in the game, I always feel like that just is, that’s that confidence that the customer needs is like we, you know, we, we take pride in our work, too. Yes. You know? Yes, definitely.

Yeah. So we had that kind of on the front end, like kind of the ideal. We’ve all had situations where things didn’t go well. And, uh, there’s always probably a little bit on both sides, but where is it on the, on maybe on that client side that they can make sure that they’re doing or not doing? Hey, as a client, try to avoid these things to make your overall project go well, right? So of course we want ’em to just sit in on those and, and not avoid those things, possibly listen.

But, like, are there any things that you can think of that you would say, “Hey, try to avoid doing these things and that’ll make your project overall smoother, better,” uh, get your … They would get their best bang for the buck? Yeah. Listen to us. Yeah. I mean, I’m being honest. Right. Yeah. It, it’s, it, it’s such an easy

… I, you know, again, I, I remember selling, um, selling a job to a client, and as they’re telling me my, our propo- VDA’s proposal’s approved, I went, “This job’s gonna be a disaster.” Yeah. And I should’ve walked away, and I didn’t.

Yep. I sold. And I, I, I’m living with it now. Yep. And it’s just there’s, like, multiple call … They’re not paying attention on, on the calls. They didn’t wanna do page turning. Yeah. And just like I mentioned with the work by others, that just came up now and w- we’re still signing on a contractor, and they’re like, “We didn’t know about the work by others.” And I went, “Well, that’s the page turning I wanted to have with you to discuss this.” Yeah. Right. You know? And they’re like, “Well, we’re gonna prepare the contract.” I’m like, “Well, that’s not, that’s not the norm.” Yeah. Usually the contractor will prepare an AIA, send it to us. We’ll review it for the pertinent information. You know, it- Yeah

… make sure our documents are referenced, out of service times. Then it goes to them for legal review. Mm-hmm. Legal counsel, you know, goes through the terms and conditions and whatnot. He’s like, “No, we’re gonna make it.” So now he’s making his own contract up.

It’s just, it muddies the water- Yeah … and it makes the project … ‘Cause now the contractor’s not used to this. His attorney has to review it. Yeah. It’s gonna go back. So what they took was a two-week process, and it’s now seven and a half weeks of going back and forth.

Oh, man. Yeah. Now he’s up … The client’s up against a gun ’cause he’s not code compliant for 2027. So he’s supposed to be started with this job already. Yep. And he’s not. He’s nowhere near as even starting. Yeah. So that’s … It’s gonna make for a proj- a, a problem down the line-

Yep … which is probably gonna ensue penalties, which he’s gonna have to pay for. Yeah. So again, listen to us. We understand- Yep … the design concept. We know where the pitfalls are, and it’s usually on the front end. Yep. It’s usually during the contract. It’s usually during selections.

So we’ll guide you as best as possible. Yep. If you listen to us, we’re gonna make for … We’ve been down this road before. Yeah. Listen to us. It’ll make for a smooth project. Well, that’s what they’re paying you for. Correct. I mean, like, you know, they, they, they … So, uh, get your money’s worth. That’s what- Yes … I mean, that, my words, not yours, but I mean, that’s, that’s what I’m hearing, right? Like- That, that’s exactly what … Get your money’s worth. Yeah, get your money’s worth. Yeah.

That’s what they pay us for. Yeah. Honestly, f- Yeah … on the whole, we do turn out a lot of good projects. Yeah. Um, I, I’m, I’m involved with some now, which, which I’m hoping at the end will be, like, my flagship, which is- Yeah … the newest of technology. New machines, PMAC, so it’s like the full boat. Yeah. Destination dispatch, um, which, which is coming into the building. It’s not there now, so- Yeah … watching them transform this, this commercial building into this DD high-ri- … It’s gonna be a beautiful project. Yeah. That’s going to be mine, and hopefully on, on, on next year’s podcast- Yeah … I can talk about that one and say- Yep … “That’s it.” That’s it. The rest of all, and I, I hate to use this term, plain vanilla. Yeah. I mean, it’s really plug and play. Um, but it’s, it’s more … It’s not how the actual project turned out. Mm-hmm. And again, when I say plug and play, you’re taking a machine out, you’re putting a new machine in. Yeah. You’re taking the door equipment out, putting door equipment in. Same with the controllers. Yeah. Where I, where I get very, uh, juiced up or amped up- Yeah, yeah … is on the cab’s cosmetics. You know, what some of these clients can pick. So- Yeah … typically there’s a cab allowance of 30,000, 35,000. Okay. You know, I’ve had a job on the Upper East Side. Final cost was $90,000 for a cab.

Wow. Lot of money. Lot of money. Beautiful cab. Yeah. Right. It took two years to pick this cab. Okay. Two years. So again- A particular client with a- Yes … with a particular taste. Correct.

Love it. Love it. Um, you know, Upper East Side, so they- Yep … had the money for that type of cab. Sure. Um, but yeah, I mean, that’s something that, that really honed in on me, was, was a specialty project, um, as far as the cab selections and- Yeah … the whole design process of that.

Um, couple of projects, uh, I can name one is, uh, one up on East 87th Street. I do remember old, beautiful wooden cabs. Yeah. You know, they hired someone to come in, and they were supposed to sand down the finishes of the cab. Yeah. They put a hole right through the cab. Oops. And, uh, you know, that was a pain project, but- Yep. Yeah … but I was there for them. Yep. And we redesigned new cabs.

And at the end they were so appreciative. And I … And again, those are the projects that I like, is when the client really appreciates our interaction, our involvement- Yeah … and, and, and VDA’s involvement, you know?

Yeah. Yep. And it’s great to hear, “I couldn’t have did this without you guys.” Yeah. You know? And that’s really, like, I love hearing stuff like that. We often talk about, you know, what the results of our job is, right? I mean, it’s like when your phone doesn’t ring, you’re like, “It’s working great.” It’s great. It’s perfect. Perfect. We did our jobs. Hopefully

… You know, and that’s, that’s … It’s, it’s an interesting thing because-The elevator, the vertical transportation, the escalator, it doesn’t matter what it is. When it’s working, you know, nothing.

Yeah. When it’s not, everything. Yeah. Right? Yeah. And, and, and there, there’s something there, and like you said, I can only imagine in, in the New York area that, that, you know, the bell gets rang just a little bit louder and, uh, a little bit quicker, and so you gotta be able to make that response-

It’s very loud … very loud. And it rings quickly- Yeah. … as soon as there’s a problem. As soon as there’s a problem, yeah. Um, but also, I mean, uh, watching the technology evolve, that’s another thing. Yeah. You know, what’s going on, on- Sure

… in the motor rooms, you know? I mean, I, I started when they were using single-speed machines- Yeah … that stopped on the brake- Yeah … notorious for being off-level. Um, you know, DC controllers, obviously DC, direct current. Yeah. That’s been, uh, omitted in New York City- Okay … eliminated, so now everything’s alternating current. Yep. Um, you know, watching that transition, ripping out those older elevators, going with PMAC- Yeah … permanent magnet

AC gearless machines- Yep … that’s the newest technology. Um, the newer controllers, uh, a- and obviously, like I said, all the fixtures, and now all these informational displays that everyone wants to put into their, into their cabs.

Yeah. I mean, they’re only there for, you know, riding that elevator for four or five seconds, but they wanna know exactly what’s going on in the world- Yeah … in those four or five seconds. So, um, you know, just watching everything evolve, I mean, I, I think it’s, it’s exciting for me. A little bit later- we’ll ask you what you see in the future, right? But I mean, like, right now, what we’re seeing is we’re seeing, um, I mean you. mentioned it there, an attention span of people that is shortening, right? I mean, you-

Don’t exist. The, the only thing. that works are the long-form podcasts anymore, right? Yeah. And, uh, and for some odd reason tho- those are actually … But everything else is six seconds or less, or maybe 10. You know, it just, “I haven’t found interest. Flip through it.” Clip. It’s a clip, right? It’s a clip. And so that’s what you have. You have clips when you, you can ride these, and I mean, that’s how the, today’s world is finding its way in something, and I’m gonna say as simple as an elevator. Not the system itself, but just the, for the user experience. You used to go in-

Yeah … doors shut, you feel goofy for a second, they open up and you’re in a different spot. It’s like magic, right? Yeah. But now, oh, my gosh, we can’t inconvenience you for 10 to 20 seconds with a, with silence in your el- Phone might not work in there, what am I gonna do, right? That’s, uh- But you can watch 1,000 six-second clips and- Exactly … be totally pacified. So yeah, it’s- Makes no sense.

Yeah, yeah. Um, so, uh, one of the things that’s interesting about New York City is there are landmark projects, right? Yes. And then there’s landmark status, and we do things, VDA, we do things with those. Just talk a little bit about that’ process and the projects that maybe you’ve, uh, experienced or done stuff with on. So, um, there was … Th- there’s a lot of landmark buildings- Mm-hmm … uh, throughout the city of, of New York, and it’s either an, interior landmark or an exterior or both. Yeah.

Um, those are, like, the most difficult jobs. There’s an architect involved- Okay … because they have to vet all the material coming in. So- even with cabs, if that’s, like, an historical lobby which has now been landmarked, you know, lobbies flow into elevators. So everything, anything and everything that’ you’re putting into that’ elevator- Yeah. … if it’s being, it, has to be replicated 100%- Yeah. … as far as material, cast. I mean, w- we, were involved, I, was involved with a project where we actually, we had to re-fabricate or fabricate cast fixtures. I’ mean, this industry hasn’t used cast in 100 years. Yeah. You know, everything’s now? is munz or stainless steel.

Yeah, yeah. You know, it’s, like- an alloy. Th- we had a … I mean, these were heavy cast. We had to find a company that’ did it, and it was one company down south which we utilized for this project. But I mean, it’s, it’s

… Obviously the price was almost double for the fixt- Yeah … I think actually triple for the fixtures. Wow. But that’s what they would, that’s what it called for. Yeah. And, and those are the, those are the very hard type projects that you have to, um, live through. Um, and you have to have passion for it, because if you don’t have passion you’re not gonna make it through that project- Yeah … ’cause it’s so much interaction, um, not only with the client but with the architect.

Um, and a lot of these older machine, basement drum machines- Yeah … so y- if it’s a landmark building and y- you wanna put that machine on’ top and you wanna raise the roof a little bit-

Uh-huh … that’s not happening. Yeah. So you have to figure a way to fit that machine in the basement. You have to make sure. your clearances with the hoist ropes in the back of the cab, you’re not cutting any of those cabs down. So again, it, it, it’s, it’s … They’re such intricate- Yeah. … intricate jobs- Yeah. … where we need to cost that, you know, we need to cost that correctly on the, front end- Yeah. … because there’s so m- much more interaction on’ VDA’s side. Yeah. That’s interesting, and that’s not something that’ you see anywhere and everywhere, but- It is … more prevalent to New York, probably- Yeah. … than in any other spot, right? Yeah, maybe Boston.

Yeah, Boston, sure. Boston, too. Uh, these, these more n- Eastern-based, larger cities is where- Yeah … you’re gonna see some of that. Yeah. Yeah, I was just with, uh, I was just up in Boston, and it was amazing. They had, like, these four brownstone buildings- Yeah … at’ eye level, maybe a little higher, look like old Boston. Yeah. And right on top of it they put a 60-story building. So I was just … That’ c- that was wild ’cause it reminds me of the Hearst building on 57th

Street. If you take a look at that- Yeah … the foundation of the Hearst building is, is original from when it was erected- Mm-hmm … and they wanted to do a 60 or 70 to- 70-foot tower on top of that- Yeah … which they did, but they kept the actual original building as the base- Oh, yeah … and then built on top of it.

Yeah. So I mean, tho- those are just unique buildings that- Right … that I love to stare at and marvel, you know? Yeah, yeah. You know? Being in New York, and, and being that VDA is the, the original, you know, Van Dusen

& Associates, VDA portion of it is New York-based, right? But in your 30 years, uh, three-fourths plus the existence of VDA, you’ve seen changes in the industry and you’ve even seen them within VDA itself. I mean, what does that look like, I mean, just in terms of from where you sat as a young eight-year-old working at VDA and, uh, in the last 30 years, what have you seen for VDA in how we’ve grown domestically, internationally, and how has that helped benefit, change the way you guys do business one. way or the other?

Um, that’s a great question. I, I, I was sort of worried about, our growth. Oh, interesting. Yeah, why? Well, I … Try- to name a lot of companies that, that, that grew as fast as we did- Yeah … and still held it together as far as quality-

That’s fair … and employees. Yep. I, I mean, I can’ speak for New York City, we have the high- one of the highest retention rate- Yeah … not only with employees, but, with clients. Yeah. And we’ve grown. We’re at now over 500 employees.

Obviously, we are all over the globe now. Yeah. But it’s still VDA New York City as far as my client’s concerned. Yeah. You know, they haven’t seen that change- Right … which I’m glad. But there’s so much depth to the organization-

Yeah … which means if that client should happen to have a building out in California- Yeah … guess what? I’m there for you. Right. You know, if you have one in Dubai, I’m there for you. Right. So it’s good to use that depth as that advantage when we need to. Sure.

But, um, I, I, I just know me and my partners in New York City, we, we keep on preaching quality, quality, quality- Yeah … and we keep on staying involved with our clients. Yeah. And that’s something that you have to do. Yeah. And, you know, we’ve also made a lot of acquisitions, which, which help with that growth.

And if you look at what’s amazing to me is all the acquisitions we did, all the owners are still here. That, that is not something that ha- Well, but you know what? I think there, there, there’s a reason. And it… I’m gonna, I’m gonna put words in your mouth here, but, like, the word I’m gonna go with is intentional.

I, I, I’ve seen it that, uh, how intentional you guys are in New York City. I’ve seen how intentional we are from, a headquarter basis, um, across the country and across the globe. Like, um, there have been growing, growing the family, it just doesn’t happen that way. It’s like, it’s like when- Well- … it’s like when the children- You just hit the nail on the head. Yeah. Some people are growing a business. We’re growing a family. Yeah.

And I’ll be honest with you. Yeah. Every, every, every acquisition, like, I’ll meet the owners and I’m like, “These are good people.” Yeah. You know? Right. Most companies, they don’t care about the people who they’re buying. Yeah. They’re just… They’re buying a number. They’re just buying a company’ to say they bought a company. Yeah.

You know, we are growing our family and we’re, we’re, we’re… Again, we’re buying family members. Well, we use those words internally. These aren’t external words that we- Yeah. We, we use ’em, but we, we talk about that. Yeah. We’re growing the family and this is how we’re gonna do it. And we get on planes and we go and see each other, and we sit down and we talk, and we break the bread, right? And it’s, uh- It’s a dysfunctional family, but it works.

Oh, yeah, totally. But we love each other nonetheless, right? No. Uh, it, it’s, it’s intentional in New York City. It’s intentional in headquarters. It’s intentional overseas. We’re, we’re, we’re focusing on that.

I’ve, in previous lives, I’ve been a part of organizations where you do buy and then you, you cut the head off that chicken. And it does run around crazy, and it, it doesn’t go that… Not only have we seen those people stay, like, they are ingrained. And we’ve picked up so much from them, from some of the ones that we purchased in New York City, and now we, we use that as a platform for our inspection side of our business. I mean, like, we’re learning and we’re growing.

I, I personally, having come here, think of that, that’s one of the most amazing and fascinating things that I see. It’s, it’s, it’s real and it’s intentional, and it’s, uh- Yeah. … it’s pretty great.

It’ is. Yeah. Yeah. It is. So, um, well, now we’re gonna get into an- an- another unique spot, okay?

One of- my favorite segments where we get to learn just a, just a little bit more about Mike Balsamo. And I won’t tell you whether your subjective answers are objectively right or wrong on this one, so you’re off the hook on this one.

This segment is called Between Two Floors, and the idea of this section is we want a personal or a professional story from you where you didn’t necessarily feel stuck, but you were kind of in, a spot where you had to make a decision. Can you tell us a little bit more about the situation, the decision you made, and then the results of it?

That’s an easy one. All right. Let’s go. Um, 30-plus years in the industry. This is my second job. Yeah.

You know? Yeah. So my first job, my first employer I was with for 21 years. Yep. That’s where my father worked for 54 years. Oh, man. And, um- History … yeah. So I, I, I do remember going through those crossroads in my w- my life of when I had to exit- Yeah. … from my former employee and start here. Yeah. Um, and that, that, that weighed on me. Sure. So I mean, as far as why, um, great organization.

Yeah. Great company. And again, I, I… It’s, it’ was family. Yeah. It’ was family. And, um, it’ was a great team, great family. I just, uh, I needed just- something a little bit more for, uh, for growth in my career.

Yeah. And do it, for change. Sure. And, um, I, I, I was… It’ was, very hard of me saying my goodbyes. Oh, I bet. And I just, I remember the night before I gave my notice and I, I,

I was up till, like, 2:30 in the morning. Oh. And I said, “Screw it. I’m going right to the office.” And I went right to the office, you know? But I told my wife, I said, “The toughest thing is I’m, I’m not worried of making a mistake going to VDA.” Yeah. “It’s exiting.”

I says, “You know, I, I know what I have here with my current job-” Yeah “… and it’s family.” Right. I says that, “I’m not gonna have that’ at VDA.” Yeah. I says, “I’ll, I’ll never re- I, I, I’ll never be able to replicate that again.” Yeah.

And two weeks after, I was like, “I made the right decision.” I mean- Yeah … this became family quickly. Yeah. You know? Yeah. And it’s… I, I sort of only knew VDA th- you know, from looking outside in. Yeah, sure.

Yeah. When I got here and I saw the professional team from the outside- … it was very, still very professional. Yeah. Yeah. But it was… it’s great camaraderie. Yeah. It’s great teamwork. It’s good. And, and it, it became my family quickly.

You know, my second family. Your second family. Or, I’m sorry, my third family. Third family. Yeah, whatever. You know? Just we’re all big- But, um- … one big family … but yeah, that, that made the tran- That was a very, very rough transition for me. Yeah. Um, I, I actually,

I suffered through that for months. Oh, I bet. Yeah. Yeah, it was a very hard transition. Yeah. You know? And, um, I just… I was very nervous on, on, on giving notice at a company where my father was there for 54 years. Yeah. You know, I still have family there.

And, um, you know, that was my, uh, stuck between two floors. Well, you take that family with you though, right? You n- That family never leaves you. There’s, there’s still, there’s so much that you, you do today that came from them, whether you know it or not. That, that is now- Right … that helped build those instincts, that, that ingrained- Yes

… what you know now, that’s in your DNA because of them. Correct. And so it’s a hard decision to make, but, um, my guess-As they cheered you on all along the way?

No. No, they did. They did. I’m ki- I’m kidding, I’m kidding. I’m kidding. Yeah. It- I, I still, we still w- you know, w- again-

Yeah … they’re a contractor, so- Yeah … we, we do work with them, so we’re a lo- and it, the, it’s totally- Yeah … smooth, you know? Yeah. It’s, uh … I still miss them, you know? Yeah. It, it, the people there, um, still a great organization and whatnot, but- Yeah … yeah, that wa- that was, that was a tough one for me. Well- And again, it’s my, it’s my only job change in, in 30-something years. Yeah. So yeah, it was a tough one.

Yeah. After 21 years. You know, it’s, uh, going back to the very, very beginning when you were talking about it, you know, this is, this is like a, a, it’s a very niche industry, right? I mean, when you’re in it, you c- you see all the things and you see things differently, but, um, you know, if you’re not familiar with vertical transport, everyone knows what it is, but they’d have n- they may have never even called it vertical transportation. But once you get in, you find out that, well, whose nephew are you? Whose son are you? ‘Cause it all kinda started that way and for a long … But that also is changing too. You see that. But a lot of, a lot of, um, whether obviously VDA or otherwise, you just see they, they, they’ll go from one manufacturer to another or to a consultant, but that’s good because it, it, it keeps things kind of fresh and allows people to see things differently, both sides of the coin, if you will, and I- Yes … that’s gotta make you a better, uh, consultant or salesperson or, or, or, uh, leader of the organization-

Definitely … in that sense. Yes. Yeah. Definitely. Yeah. Yeah. Um, well, that’s great. I appreciate you sharing that. I mean, it, it’s a tough thing, right? And, um, I, I will speak and I don’t know if you- I, I don’t know, I, I don’t know if it was tougher telling my, my, my, the prior owner- Uh-huh … that I was leaving or my father. Were you guys still working together? No, no. Okay. He had retired by then.

He, he, he had, at this point, he was retired and- Yeah … um, he had dementia setting in, so- So- But I, I did tell him. Yeah. You know, and it was like, you know, it just, it clicked-

Yeah … you know, that I was leaving, you know? Yeah. And he had dementia. It was like Bosco from Seinfeld, you know? Yeah. But, uh- He remembered … daddy remembered. Yeah, daddy remembered. You know? Yeah, he came out. Yeah. But, uh- Yeah … yeah, I mean, it was, it was, it was … I, I had to tell him as well, you know?

Yeah. And, uh, for what he didn’t understa- he understood that at that point. Yes. Yeah. You know, so he was like, “Good for you.” Good for you. Yeah. You know? So, um, but yeah, that was, that was probably one of the tougher transitions for me. Sure. Yeah. Or the toughest. The toughest, yeah. Yeah. Well, we hope you don’t have to make another transition like that. We’re happy with you right here.

Thank you. Yeah. And, uh, so and you, we, we already got you for at least another year, ’cause you said when you come back next year and we talk about a few things, and so we’ll, we’ll, we’ll hit that contract. Signed the contract. I didn’t even know it. Yeah. We got it on tape somewhere on here. Yeah. One of the last things

I wanna go with is, uh, look, we’re in vertical transportation, so we’re not gonna say let’s look into your crystal ball. We’re gonna say look into the glass elevator. Tell us what you see. Right? So 30-some years, um, in this industry, the last nine with VDA, you’ve seen trends kinda led that, that, that started there up to this point and maybe into the near future. Let’s talk 5 years. Let’s talk

10 years. I mean, what, what do you see? What do you kinda predict and, like, what do you see, like, for your clients, how projects are going or, and, and just kind of that element of the industry? So

I, I don’t know where they’re going, but I’m very curious to see what happens with AI. Yeah. For sure. You know? I mean, listen, you, you … AI, it’s, it’s, it’s here. It’s here. Okay? It’s no longer coming. I mean- It’s arrived

… I go down some of these rabbit holes on Instagram. It’s, uh, 3:00 in the morning. It’s like AI. No one will be working in 24 months. Yeah. Like, the whole world’s unemployed. Yeah. So I don’t think it’s gonna be as, as doomsday prediction as they’re predicting. Yeah. But what is AI gonna do to the elevator industry? Um, I think it’s really going to change not so much the technicians and the maintenance being performed- Yeah … I think more on predictive maintenance.

Sure. You know? Yeah. It’s gonna anticipate what’s gonna go bad or what’s gonna become compromised before it goes compromised. So I mean, think about that. So w-

I, I see the future of elevators definitely changing through AI. Yep. Um, also that, that, that passenger experience. Yeah. You know? Um, you know, DD, I think algorithms are gonna change for smarter dispatching. Yeah. So I think AI’s definitely going to help with the elevator industry. Yeah. But I also think we’re still gonna need technicians, so it’s really not gonna affect them. Well, w- You’re gonna need your installers and- Oh, for sure … your maintenance and repair people. Yeah. That, that’s the robot part of things. They, we haven’t quite got there yet. Yeah.

Yeah. So but go back to that predictive maintenance. Just describe that a little bit more. What does that adoption look like for the predictive maintenance? You know, um, people are using it now. How does it continue to grow? Like, what, what does that, what does it really entail and look like? So we have someone in New York

City office, um, that, that we work with, and he’s been preaching predictive maintenance is the way of the future. And again, i- I think it’s basically going to take a look at the equipment- Mm-hmm … and it’s gonna send out, uh, an alert, “Hey, you know, the, this door operator belt- Yeah … it’s good for 3,000 cycles. You’re at

290. Let’s get someone on the next maintenance to go there and, and change the belts out.” Yeah. Yeah. So you’re actually … You, you’re predicting when the shutdown could happen- Mm-hmm … instead of going in, doing the maintenance, and then when you leave two hours later, that belt broke because you didn’t even look at it.

Yeah. So I, I, I do think that that’s going to help with, with the contractors and how they perform their maintenance. Okay. And if they, if this does happen to come to fruition, I think you’re gonna see an increase in reliability-

Yeah … and obviously a d- decrease in downtime. Yeah. So I think, uh, the end user’s gonna really benefit from this. For sure. Yeah. Um, and I, you know, I, I don’t know how this is gonna b- be implemented and that reporting. Yeah. Is the contractor gonna charge the client for that in a premium? So I, I just, I think we have a lot of changes coming down the pipe. Yeah.

Um, but I think it’s really good change for the industry. Oh, sure. Yeah. And well, you know, in a year we’ll come back and we’ll talk about it or look back and see if we’re still talking about it. Again, is, is it coming? Has it arrived? Is it, you know, where’s it going from here? It’ll be here. It’ll be here. I mean, it is just moving at the speed of AI right now. It’s fast. I know. Yeah, it’s fast, so. It is.

Yeah. Well, Michael Balsamo, thank you for- Thank you … joining us. It’s so good to- I appreciate it. Thank you. Absolutely. Thank you. Uh, again, my name is Michael Kramer. Uh, I’m the host of Vertical Access, VDA’s podcast, where we sit down with decision-makers, uh, and subject matter experts like Mike Balsamo. We wanna say thank you for listening in, and we look forward to seeing you next time.