Back to Index

Denver HQ Laboratory & Collaboration Space Refit

Proposal #6 · Submitted 2026-08-06
90
Recommend Approval
Strong financial return with acceptable payback period and positive NPV.
Requestor
Name
Tom Baxter
Role
Facilities Director
Region
Americas – US Mountain
Business Unit
Operations & Real Estate
Proposal
Description

Full refit of 1,200 sqm Denver HQ: replace legacy open-plan with activity-based working zones, upgrade soil/water testing lab to AIHA accreditation standard, install 8 private focus pods, and refresh A/V in 4 meeting rooms.

Strategic Rationale

Lab accreditation unlocks CDPHE and EPA contract prerequisites worth $2.1M annually. Workspace modernisation supports retention — current eNPS score -12 vs industry +20.

Approver Information
Urgency
Medium – AIHA accreditation audit window Oct 2026
Risk Level
Medium
Risk Description
Construction timeline risk during live operations; phased programme minimises disruption.
Alternatives Considered
Lab-only refit scoped at $180k — does not address talent retention issue.
Vendor / Supplier Shortlist
Mortenson Construction, Hensel Phelps, Skanska USA
Implementation Timeline
8 months
Dependencies
Lease landlord consent (likely)
Regulatory Requirement
Yes – AIHA laboratory accreditation
Carbon / Sustainability Impact
LED upgrade and smart HVAC saves est. 34 tCO2e/yr
Financial Metrics
CapEx £780,000
Annual OpEx Change £42,000
Annual Benefit £310,000
Useful Life 10 yrs
Payback Period 2.91 yrs
ROI (life-of-project) 243.6%
NPV £1.02M
ROIU (yr 1) 34.4%
Cumulative Return (£)
YearCumulative (£)
Yr 1 £531,851
Yr 2 £302,085
Yr 3 £89,338
Yr 4 £107,649
Yr 5 £290,046
Yr 6 £458,931
Yr 7 £615,307
Yr 8 £760,099
Yr 9 £894,165
Yr 10 £1.02M
Committee Decision
Current status: Pending