New Balance plans new factory in Londonderry

Jun. 13—Athletic footwear company New Balance plans to build a manufacturing facility, its sixth in the U.S., near the Manchester-Boston Regional Airport in Londonderry, bringing up to 450 jobs to the area.

The other facilities are in Maine and Massachusetts.

The single-story building to be built on nearly 18 undeveloped acres at 55 Pettengill Road would be developed in two phases, according to plans submitted to the town. The building is in front of Electronics for Imaging's manufacturing facility and across from a UPS logistics center in the northwest corner of town.

Town Manager Michael Malaguti said a formal submission of a planning board review is expected this week. The town's heritage commission heard the plans last month.

The first phase calls for a 102,418-square-foot building with office and manufacturing space. A future expansion will double the space.

Boston-based New Balance, which reported $5.3 billion in sales last year, intends to hire 250 employees in the first phase and 200 in the second phase.

"The majority of employees occupy the building during the first shift," the application reads. "There will be a smaller second shift at this facility for restocking products."

Brooks Young, president of the Greater Derry Londonderry Chamber, said the facility will benefit the region, not just Londonderry.

"It is going to bring a lot of jobs," he said. "I think with a lot of these jobs we are going to see some younger people who work, which I think is really important to our community here. We are trying to pull in younger folks to work and live here."

He said wages likely will be competitive and encourage people to live in the region instead of commuting to jobs in Massachusetts. Strong recruitment efforts are expected.

"If they make it attractive, people might leave their current job," Young said.

The building will be constructed so solar panels can be placed on the roof in the future.

Earlier this month, New Balance broke ground on a $65 million, 120,000-square-foot addition to its Skowhegan, Maine, facility, which will double the factory's capacity and add 200 jobs there by the end of 2024. Last year, the company opened a new factory in Methuen, Mass.

New Balance says it is working to meet demand and drive future growth. The plans call for exploring new automation and robotics to enhance safety, ergonomics and increase productivity.

The company says it's the only major athletic shoe manufacturer that has maintained factories in the United States. The company also has a factory in the United Kingdom.

"Manufacturing has always been an important part of our company culture," said Joe Preston, president and CEO, in a statement. "Our associates have proven that high-quality athletic footwear can be produced in the U.S. Their skilled craftsmanship and dedication to continuous improvement will help us meet our significant U.S. and global consumer demand and drive our continued business growth."

Drawings show a number of signs on the property.

"I think having a brand like New Balance as a part of southern New Hampshire is great," Young said.

Other neighbors include Bellavance Beverage, FedEx, F.W. Webb and Milton Caterpillar.

Young said the area has brought an economic boost to the town.

"It is where everything is growing and doing well," he said.

jphelps@unionleader.com

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