News Summary
Eli Lilly & Co. is in talks to establish a biomanufacturing plant in Northeast Houston, potentially investing $5.9 billion. The facility aims to create around 600 permanent jobs and over 2,000 construction jobs, significantly impacting the local economy. Set to manufacture active pharmaceutical ingredients, this project represents a substantial boost for the area and is backed by local developers and organizations focusing on life sciences.
Texas – Eli Lilly & Co., a prominent global pharmaceutical company, is contemplating a substantial investment to establish a biomanufacturing plant in Northeast Houston. This facility is expected to require a $5.9 billion investment, aimed at enhancing the manufacturing capabilities of the company while potentially creating job opportunities for local residents.
The proposed plant will be situated on a 236-acre site within Generation Park, located near Beltway 8 and about 10 miles east of George Bush Intercontinental Airport. It will primarily focus on the manufacture of active pharmaceutical ingredients for a variety of medications.
Projected job creation from this project is significant, with approximately 600 permanent positions anticipated alongside more than 2,000 construction jobs. Eli Lilly has already submitted a tax incentive application on May 16 as part of the Texas Jobs, Energy, Technology and Innovation (JETI) program. This investment is expected to infuse around $2.5 billion into the local economy over the next decade, indicating valuable economic impacts on the community.
Construction of the biomanufacturing plant is projected to commence in 2025 and be completed by 2030. Plans for the site include multiple buildings, a tank farm, wastewater treatment facilities, and specialized equipment necessary for production. The construction phase is expected to employ an average of 2,107 workers, while the finished facility will employ 604 full-time staff members, including roles such as production technicians, engineers, and administrative staff. It is estimated that the plant will also support about 1,188 indirect and induced jobs.
This potential expansion aligns with Eli Lilly’s overarching strategy to double its manufacturing capabilities across the United States, following a total investment plan that has reached $50 billion since 2020. In a recent announcement, the company expressed intentions to invest an additional $27 billion in new production facilities nationwide, focusing on four plants dedicated to active pharmaceutical ingredients and injectable drugs.
McCord Development, the developer behind Generation Park, has been actively cultivating the area for life sciences and advanced manufacturing for several years. The Greater Houston Partnership has shown interest in the project but is limited in providing specific details. However, they highlight Houston’s welcoming climate for life science investments, which bodes well for Eli Lilly’s endeavors.
It is important to note that the proposed Eli Lilly site diverges from McCord Development’s BioHub Two project, which covers an area of 45 acres and is focused on biomanufacturing and life sciences. In 2021, Generation Park was also considered for a $550 million biomanufacturing plant by Amgen, which ultimately opted for a different location, raising concerns at that time regarding the local workforce’s biomanufacturing expertise. However, the forthcoming opening of the Center for Biotechnology at San Jacinto College, scheduled for September, aims to address this talent gap by enhancing bioprocess training in the region.
Additionally, Eli Lilly is navigating through a legal dispute with Empower Pharmacy, which involves allegations regarding the sale of unapproved versions of its medications. On a different note, the JETI program under which Eli Lilly has applied allows local school districts to set a cap on taxable property values for maintenance and operations taxes, which could further benefit the company’s project.
As this proposal develops, it serves as a promising indicator of growth opportunities within the Houston area and highlights Eli Lilly’s commitment to expanding its operations while also contributing to the local economy.
Deeper Dive: News & Info About This Topic
- Houston Chronicle: Eli Lilly’s Biomanufacturing Plant
- Wikipedia: Biomanufacturing
- Bisnow: Eli Lilly’s Investment in Houston
- Google Search: Eli Lilly biomanufacturing plant
- KHOU: Eli Lilly’s Move to Houston
- Encyclopedia Britannica: Pharmaceutical Industry
