A fertile business climate north of Boston has attracted growth from advanced manufacturers such as gearmaker Harmonic Drive LLC which opened a new $16 million headquarters in 2020 at Dunham Ridge Business Park in Beverly. Photo courtesy of Harmonic Drive

In attracting growing businesses, Boston’s strength is evidenced by the influx of companies which can choose to do business from anywhere, many of which have driven the boom in Boston’s Seaport and several other urban districts. 

In part due to its proximity to Boston’s knowledge-driven economy and renowned academic institutions, rapidly rising companies are also establishing physical footprints in the area north of Boston. 

We know this because our construction management, planning, design, and development firm, Connolly Brothers, has built new corporate headquarters for several of these surging businesses. It appears likely that other companies will soon follow, as Massachusetts’ North Shore, a bubbling biotech, microelectronics and industrial tech hub, presents several desirable characteristics.  

Before zooming in on the North Shore, however, it is worth considering statewide context: Massachusetts was just declared the top business climate in the nation by U.S. News and World Report. Once nicknamed “Taxachusetts,” the Bay State is no longer among the top 10 states for highest business tax rates, and as the publication noted in its rankings, Massachusetts has “the highest amount of venture capital investment and the highest patent creation rate of any state.” 

Biotech Clusters Beyond Kendall Square 

Innovation often starts, and finds funding, here, and in recent years, innovation clusters have fully emerged. Biotech and medical tech are prominent examples. North Shore-based biotech companies such as New England Biolabs and Millipore Sigma are situated nearby medical device suppliers such as HighRes Biosolutions and Medtronic, opening up pathways for mutually beneficial collaboration. Another example is the semiconductor and circuitry industry, where companies such as Axcelis and Rochester Electronics can take advantage of a plethora of highly skilled technical workers. 

Meanwhile, neighboring North Shore manufacturing and industrial process solutions companies, such as Krohne and Harmonic Drive, may utilize esteemed local precision machinists. Taken together, these factors point to many potential supply chain efficiencies that can be realized on the North Shore. 

Perhaps most importantly, these companies appreciate the North Shore’s reputation for delivering the highest quality products. In many cases, companies decide it is preferable to invest in manufacturing here, where they can maintain oversight, as opposed to countries such as China, where labor is less expensive but significant quality control is not possible.  

Backyard Benefits to Businesses 

Beyond the economic benefits, the North Shore’s primary draw has always been tied to quality of life. Our region is defined by a stellar public education system that many view as a model for the nation, world-class restaurants, vibrant cultural institutions, and engaging leisure activities throughout the four seasons: beaches, sailing and outdoor recreation in the summer, easy access to several ski destinations in the winter – and, of course, fall in New England is renowned for its colorful beauty. 

Thaddeus Minshall

Most of the companies mentioned within could have settled in Boston, but they chose the North Shore – and its less expensive real estate and office costs – due to its capacity to attract and retain the highly skilled, specialized, and educated workforce they require, many of whom prefer not to enter the fray of the city on a daily basis. That said, with Boston just a short trip away – and easily accessible via commuter rail even during rush hour – these same workers can retain their connection to leading thinkers in their respected fields at the region’s world-renowned institutions of higher education, such as Harvard and MIT. 

This assessment is based on first-hand experience. Connolly has built new facilities or corporate headquarters for many of the companies mentioned within that have decided to hoist their flag on the North Shore, including Harmonic Drive, HighRes Biosolutions and Krohne. As businesses plan or rethink their physical location, the factors listed above position the north of Boston region to garner significant consideration from new and growing businesses with eyes firmly fixed on the future. 

Thaddeus Minshall is vice president of real estate and development at Connolly Brothers Inc.