Issue:
Distribution facilities were outdated and not maximizing the cube. Manufacturing systems were complex and expensive to relocate. The company was PE-owned and positioning itself for a sale.
Solution:
We relocated their world headquarters from a tired Class C legacy space into a new waterfront location. We were able to decrease SQFT while increasing cubic storage area on various distribution centers of up to 180,000 SQFT. Spalding completed an expansion on their Chickapee, MA Top Flite manufacturing facility increasing to a total size of 750,000 SQFT (large enough to fit 13 NFL football fields inside the building).
Result:
Operating costs per unit of product was reduced, improving profitability. The fresh new headquarters reflected the image of a world class company, and they were ultimately sold to Russell Athletic for a very significant gain.
Client Response:
“Many thanks for the efforts you and your staff have provided with our headquarters relocation and the various operating divisions around the country. In each transaction, your efforts have yielded positive results by lowering our operating costs and exposure to risk. …your concern for our future requirements helped us align our real estate decisions with our long-term business strategy.”
Paul Whiting – Chairman and Chief Executive Officer, Spalding & Evenflo Companies
