Building on a Multi-Decade Legacy in the Federal Marketplace

by Balfour Beatty

March 22, 2021

As the #17 Top General Contractor (ENR, 2020), Balfour Beatty’s impressive portfolio of buildings and infrastructure encompasses diverse private and public sector markets. With deep roots in the federal marketplace, Balfour Beatty has helped build, restore, and modernize iconic projects such as the $1.4 billion National Geospatial-Intelligence Agency (NGA) Campus East Headquarters at Fort Belvoir in Virginia, $38 million MV-22 Double Hangar at Marine Corps Air Station, Camp Pendleton in California and $754 million Walter Reed National Military Medical Center in Bethesda, Maryland. 

Our impressive federal portfolio includes 57 Naval Facilities Engineering Systems Command (NAVFAC) projects valued at $2.3 billion. Over 25 years, Balfour Beatty has completed more than $3.5 billion in projects with the United States Army Corps of Engineers (USACE).

Through collaborative partnerships with these and other valued clients such as the General Services Administration (GSA) and Federal Aviation Administration (FAA), Balfour Beatty has developed a comprehensive knowledge of federal government contracting, procurement strategies, and small business outreach which offers predictability of success in a complex market. Due to their unique risks, costing, and bonding requirements that differ greatly from the commercial realm, federal projects can present a steep learning curve for contractors newly navigating the Federal Acquisition Regulations (FAR). 

Over the years, one of the key drivers of Balfour Beatty’s ability to consistently achieve operational excellence for our government clients has been our team of seasoned federal construction experts who possess deep knowledge and relationships to excel in this market.

Developing a Disciplined Market Strategy

The U.S. federal government is the largest single purchaser of goods and services the world over. According to Government Executive, the 2019 fiscal year saw $597 billion in spending, and the 2020 spending is estimated to exceed $600 billion. 

With the recent resurgence in federal construction opportunities, Balfour Beatty is uniquely positioned to usher a new era of excellence for government facilities. Building on best practices, Balfour Beatty brings expertise in alternative delivery methods, lean and sustainable construction practices, and command of leading-edge technologies and digital jobsite solutions. 

While many contractors pressed pause on federal work procurement efforts in the wake of the latest private market boom, only returning in 2020 to insulate against the impact of COVID-19, Balfour Beatty focused on strategic opportunities in key geographies such as the Mid-Atlantic, California, and the Northwest. This resulted in the outstanding delivery of projects such as the National Museum of the Marine Corps Expansion and The Portland Building Reconstruction, completed in 2017 and 2020 respectively. 

“Balfour Beatty’s longstanding presence in the federal market is a source of great pride and inspiration for our teammates who are filled with excitement about opportunities to build on our outstanding legacy,” says Mark Konchar, senior vice president and chief of innovation. 

Entering 2021, Balfour Beatty is approaching this high-potential growth market with an intentional emphasis on national collaboration and knowledge sharing. By aggregating best-in-class portfolio assets and connecting teammates from coast-to-coast with federal backgrounds, Balfour Beatty is better positioned to evaluate opportunities, ensuring alignment with both talent and business goals.

At Balfour Beatty, we believe any successful business acquisition strategy must center on relationships with trusted and experienced partners. In a market replete with mega projects and massive, multi-project programs known as Multiple Award Construction Contracts (MACCs) and Indefinite Definitive Indefinite Quantity (IDIQs), leveraging the strength of joint ventures is often integral to winning and delivering work. 

With much of the current opportunity pipeline centered along the East and West coasts, where Balfour Beatty is anchored by local teams with deep market knowledge and relationships, the collaboration will play a vital role in our path forward.

Celebrating Key Wins 

Balfour Beatty has several recent federal market project wins and shortlists to date: 

Battalion Complex, US Army Corps of Engineers Norfolk, VA: $104 million
Project win of a 125,000-square-foot multi-story Operations Building and a 225,000-square-foot hangar. Construction began in November 2020. 

NAVFAC Southwest IDIQ: $2.5 billion
Shortlisted among a pool of 14 contractors on a Multiple Award Contingency Contract (MACC). 

NAVFAC Southeast IDIQ: $900 million 
Shortlisted on a Multiple Award Contingency Contract (MACC). 

GSA 911 Federal Building Portland 
Shortlisted on Phase 1
Alternate Care Facility Richmond, VA: $40 million
In response to COVID-19 hospital overflows, the U.S. Army Corps of Engineers selected Balfour Beatty and HKS Architects in a design-build to convert the Greater Richmond Convention Center into an Alternate Care Facility in 30 days. Ultimately, the project did not proceed as the overflow was not needed.

Underpinned by a unified national strategy that enables the pursuit of large-scale federal opportunities, Balfour Beatty is also a trusted construction partner to local governments. In North Carolina, our team recently began construction on the new $91.5 million  Forsyth County Hall of Justice in Winston-Salem and the $19 million Mooresville Police Department Headquarters. In California, work is progressing on the $112 million, design-build County of San Diego Juvenile Justice Campus project. Balfour Beatty’s Texas team is executing the multi-phase Texas Facilities Commission Capitol Complex program in Austin.

Balfour Beatty is honored to continue a tradition of providing service excellence to government partners, delivering facilities that will become centerpieces of the communities they serve for decades to come. 

Interested in joining our team of federal construction experts? Check out our current career opportunities.