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
Green | Aug 24, 2017
Business case for WELL still developing after first generation office fitouts completed
The costs ranged from 50 cents to $4 per sf, according to a ULI report.
BD+C University Course | Aug 23, 2017
AIA course: New steel systems add strength and beauty
Advances in R&D are fostering new forms of structural and aesthetic steel.
Market Data | Aug 23, 2017
Architecture Billings Index growth moderates
“The July figures show the continuation of healthy trends in the construction sector of our economy,” said AIA Chief Economist, Kermit Baker.
Giants 400 | Aug 14, 2017
U.S. engineering firms channel startup mentality to spark innovation
Here’s a recap of the noteworthy innovations reported by engineering and E/A firms as part of BD+C's Giants 300 survey process.
Giants 400 | Aug 11, 2017
Top 35 engineering/architecture firms
AECOM, WSP, and Thornton Tomasetti are among the nation’s largest engineering/architecture firms, according to Building Design+Construction’s 2017 Giants 300 Report.
Giants 400 | Aug 11, 2017
Top 60 engineering firms
Fluor, Arup, and Jensen Hughes top Building Design+Construction’s ranking of the largest engineering firms in the U.S., as reported in the 2017 Giants 300 Report.
Multifamily Housing | Aug 9, 2017
Related Companies unveils plans for One Hudson Yards luxury rental residences
The 33-story tower will be positioned on the High Line with views of the Hudson River and downtown Manhattan.
Multifamily Housing | Aug 9, 2017
Multifamily developers, designers cater to occupants’ need for mobility
Bike storage facilities and “bicycle kitchens” are among the most popular mobility amenities in multifamily developments, according to a new survey by Multifamily Design + Construction magazine.
Giants 400 | Aug 9, 2017
Innovation at 72 design firms
The following is a list of advancements architecture and A/E firms underwent in 2016, as reported in Building Design+Construction's 2017 Giants 300 Report.
Giants 400 | Aug 9, 2017
Top 100 Architecture/Engineering Firms
Stantec, HOK, and CallisonRTKL are among the nation’s largest architecture/engineering firms, according to Building Design+Construction’s 2017 Giants 300 Report.