Push to cut costs, go green boosts hand-dryer business

DETROIT — American Dryer, a manufacturer of high-speed hand dryers, is benefitting from demand for environmentally friendly products that also reduce costs.

In June, the company moved into a 20,000-square-foot building that is 40 percent larger than its prior location and is preparing to launch a new line of high-speed hand dryers for public restrooms.

“Companies in general are looking for ways to save money, and our products are one of the few things that do that,” said Dan Rabahy, 47, president of American Dryer. “Our dryers — the new ones — dry your hands as quickly as paper towels, and you don’t have the mess and landfill issues you have with paper towels.”

Rabahy also said the recession and downturn in the automotive industry gave the company an opportunity to expand because it drove down commercial property values.

The company spent less than $1 million to buy and renovate the new building, he said.

“Five years ago, you could not have done this,” Rabahy said.

American Dryer was a division of Taylor, Mich.-based Masco Corp. from 1952 until 1985.

That’s when Dan Rabahy’s father, Donald Rabahy, left Masco and established American Dryer as a separate company.

Donald Rabahy, 75, remains chairman and CEO and provides crucial experience and guidance, his son said.

Donald Rabahy said high-speed hand dryers were first introduced in the 1940s but the industry has remained relatively small because many people prefer paper towels over the loud dryers.

Now, advances in technology have led to dryers with faster drying times and less noise.

American Dryer’s new product line, called Extreme Air, features adjustable speed settings and is designed to operate at four voltage levels.

With the new building, American Dryer can triple its annual production capacity from about 30,000 to 90,000 units.