BOSTON-Athletic footwear giant New Balance broke ground Monday on its new world headquarters here. It will be part of Boston Landing, a $500-million mixed-use development from NB Development Group that will include 650,000 square feet of office space along with a hotel, retail and a sports center.

“It's a game-changer,” Mayor Thomas M. Menino said at the groundbreaking. “It's a gateway through Brighton-Allston. This is going to make a big difference in this community.” The Boston Globe quoted New Balance chairman Jim Davis as calling Boston Landing “a unique, one of a kind, mixed-use entity.”

Originally, a Lowe's home improvement store had been planned for part of the 14-acre site, according to published reports. However, the project met with local opposition and the site was eventually sold to New Brighton Landing LLC, a real estate entity owned by Davis.

The six-story New Balance headquarters will be the first component of the project to go up. Designed by Elkus Manfredi Architects, it will take 18 to 24 months to complete. Amojng the features of the sports center, the Boston Herald reported, will be a 200-meter indoor track on hydraulic lifts to accommodate a variety of activities.