Aecom wins contract to modernize US Air Force Academy dormitory
Engineering and design consultancy Aecom has won a $25 million contract to design the renovation of the US Air Force Academy’s Sijan Hall, a 700,000 square foot dormitory with 2,200 beds.
Located north of Colorado Springs, CO, Sijan Hall is the second-largest dormitory in the country. The Aecom-designed renovation will be building’s first modernization since its construction in 1968.
“With more than 20 years of project experience at the U.S. Air Force Academy, we understand that it plays a vital role as both an active military installation and a prestigious institution of higher education. We are proud to support the Academy’s mission to prepare future generations of leaders in the Air Force, Space Force, and beyond,” said Lara Poloni, president of Aecom.
Aecom will design a five-phase renovation that includes reconfigured shared spaces for studying and socializing, energy efficient materials and systems, smart building technologies, improved daylighting, and geothermal energy and air conditioning.
The consulting firm is also supporting the Air Force Academy with the restoration of Cadet Chapel and the design of the new US Air Force Center for Cyber Innovation (Cyberworx).
Fiscal year 2020 results
The LA-based firm earlier this month announced its fiscal year 2020 results, posting $13.2 billion in global revenue for a decline of 2% compared to the prior year on an organic basis.
Activist shareholder Starboard Value, a New York-based hedge fund, has for the last two years been pressuring Aecom management to improve margins and increase shareholder value. This has resulted in a push toward higher margin professional services work and away from fixed-cost construction management work.
The company this year finalized the sale of its power industry construction business and its management services business.
“Underlying the Company’s confidence in fiscal 2021 and beyond are several favorable attributes inherent in its Professional Services business that allow for consistent performance through periods of uncertainty, including an agile workforce with a proven ability to remain productive while working remotely, a consolidated design business under one global organization, a highly variable cost structure, a substantial backlog with several years of visibility and a highly cash generative business profile,” stated a press release from the firm.
Aecom in October announced the integration of its design & consulting services (DCS) business into one global organization led by Lara Poloni, who became the firm’s president earlier this year.
The public company said that the “restructuring actions” aimed at delivering agility, efficiency, and streamlining will result in an expected restructuring expense of between $30 million and $50 million in fiscal 2021.
