New Balance / NB Development Group, LLC

Brighton,

Headquarters Sports Complex Program And Operational Plan

In 2011 B&D was selected by NB Development Group, LLC to assist with the development of the New Balance Headquarters Sports Complex in Brighton, Massachusetts. We were specifically tasked with assessing key performance facilities for their respective demand, usage, and ability to contribute to the New Balance brand, project vision, and financial performance; refining a space program for the complex; and identifying key functional adjacencies for the project. Our scope of work included market research, phone interviews with health club / track / sports complex professionals, and the production of interactive financial models that could be actively updated and used to test new scenarios and details as the project developed. The complex was anticipated to be a regional destination celebrating elite sport and healthy lifestyles, both of which were integral to the New Balance brands. We identified major activity spaces needed and their appropriate sizes, informed the design of the building for best functional adjacencies and operational efficiency, and modeled each profit center’s financial performance. All market research indicators—including user demographics, proposed location, existing and forecasted employment rate, and the facility’s year-round potential for hosting public events—suggested high participation projections. We recommended specific components for the facility, their scale, and key revenue drivers for each that would produce certain target net operating income levels. Our financial analysis revealed overall profitability was attainable for the facility as it reached stable operations, even allowing for a reserve fund for long-term capital costs. We confirmed that the proposed facility had the potential to heighten New Balance’s presence locally, regionally, and globally.