Growth-minded AEC firm CannonDesign announced this morning that it will merge with Denver-based Bennett Wagner Grody Architects (BWG), a 28-year AE firm with portfolio strengths in the K-12, Higher Education, and healthcare sectors.
This alliance gives CannonDesign its first office in Colorado, and represents its second acquisition within the past few months. In September, Cannon announced that it was joining forces with Houston-based design firm FKP, whose expertise extends to healthcare, science and technology.
CannonDesign did not disclose the terms of its agreement with BWG. But Brad Lukanic, AIA, who took over as CannonDesign’s CEO 15 months ago, indicated that this deal is part of his 102-year-old company’s larger ambitions to expand by linking with strategic partners. “We’re in the mode of looking at how our practice is evolving,” he tells BD+C. “The two recent mergers are key steps” in CannonDesign’s growth framework, and are expected to help the company expand its position in the education and S+T sectors.
Brad Lukanic, CannonDesign's CEO, says his company intends to continue growing organically and through mergers with strategic partners. Image: courtesy of CannonDesign
Don Grody, AIA, a founding partner at BWG, says that about a year ago his firm started thinking about its future within a consolidating AE industry, too. It concluded that prosperity hinged on locating the right partner firm. He says the company worked up a list of 200 AE firms, and targeted 20 of them with an information piece about BWG. “CannonDesign was one of the firms that responded positively to BWG as well as to the Colorado market.”
Grody says the merger “allows us to harness new services and expertise to help our clients leverage the built environment to improve performance and create stronger futures. It gives us a very distinct perspective in the industry.”
CannonDesign has coveted a bigger presence in Denver “for a very long time,” says Lukanic. BWG’s recent projects in the state include Colorado State University’s Behavioral Sciences Building, Colorado Mesa University’s Engineering Building, and numerous projects with Kaiser Permanente. CannonDesign’s work in Colorado includes the renovation and expansion of the University of Colorado at Boulder’s Student Recreation Center, the expansion of the University of Colorado Hospital’s Anschutz Inpatient Pavilion, and the U.S. Air Force Academy’s Holaday Athletic Center.
Don Grody, one of BWG's founding principals, is in charge of innovation, quality planing, and excellence at his firm. Image: courtesy of CannonDesign
BWG’s management team, including its three principals, is staying on with the company. BWG will operate as Bennett Wagner Grody Architects | CannonDesign, and while its brand will eventually disappear, that transition process “could be fairly long,” predicts Lukanic, because Cannon Design doesn’t want to lose any of BWG’s marketing cachet.
Once its merger with BWG is completed, CannonDesign will have nearly 1,000 employees working in 19 offices in North America and abroad.
As for future expansion, Lukanic says CannonDesign is tracking markets where populations are growing and where its core business sectors are strong. He points specifically to Texas as an area where the firm wants to be a bigger player, and to construction services as an area for potential increased business.
He says that CannonDesign is also looking at “a few key international markets” for expansion, both within and outside of North America.
Lukanic believes that, by operating multiple offices, CannonDesign has a better shot at attracting and retaining the “emerging leaders” it will need to be successful in the future. Its geographic diversity “gives our people more lifestyle options.”
Related Stories
Market Data | Sep 3, 2019
Nonresidential construction spending slips in July 2019, but still surpasses $776 billion
Construction spending declined 0.3% in July, totaling $776 billion on a seasonally adjusted annualized basis.
Giants 400 | Aug 30, 2019
2019 K-12 School Giants Report: 360-degree learning among top school design trends for 2019
K-12 school districts are emphasizing practical, hands-on experience and personalized learning.
Codes and Standards | Aug 29, 2019
Industry leaders ask for government help as trades shortage worsens
AGC asks for more funding for education and increased immigration to fill gaps.
Giants 400 | Aug 28, 2019
Top 50 Data Center Engineering Firms for 2019
Vanderweil, ESD, kW Mission Critical, Jacobs, and EXP head the rankings of the nation's largest data center sector engineering and engineering architecture (EA) firms, as reported in Building Design+Construction's 2019 Giants 300 Report.
AEC Innovators | Aug 27, 2019
7 AEC industry disruptors and their groundbreaking achievements
From building prefab factories in the sky to incubating the next generation of AEC tech startups, our 2019 class of AEC Innovators demonstrates that the industry is poised for a shakeup. Meet BD+C’s 2019 AEC Innovators.
Giants 400 | Aug 16, 2019
2019 Healthcare Giants Report: The ‘smart hospital’ is on the horizon
These buildings perform functions like a medical practitioner. This and more healthcare sector trends from Building Design+Construction's 2019 Giants 300 Report.
AEC Innovators | Aug 15, 2019
Oracle’s replica of a construction jobsite creates an immersive environment for AEC professionals
The Oracle Construction and Engineering Innovation Lab allows visitors to walk through five different stages of construction work, to test new AEC technologies and training techniques.
Giants 400 | Aug 13, 2019
2019 Science + Technology Giants Report: Operational flexibility is a must for S+T buildings
The science and technology (S+T) sector is arguably the industry’s most complex because it caters to a diverse clientele with specific priorities and imperatives, according to Building Design+Construction's 2019 Giants 300 Report.
Giants 400 | Aug 8, 2019
Top 100 Office Sector Engineering Firms for 2019
Jacobs, Burns & McDonnell, WSP, Thornton Tomasetti, and Arup head the rankings of the nation's largest office sector engineering and engineering architecture (EA) firms, as reported in Building Design+Construction's 2019 Giants 300 Report.
Giants 400 | Aug 8, 2019
2019 Office Giants Report: Demand for exceptional workplaces will keep the office construction market strong
Office space consolidation and workplace upgrades will keep project teams busy, according to BD+C's 2019 Giants 300 Report.