Thermo Fisher Scientific picks NC site for new plant manufacturing biotech equipment
Thermo Fisher Scientific, the Massachusetts-based laboratory equipment and pharmaceutical services giant, will build a manufacturing plant in Mebane, the company announced Friday.
The new facility will be the first to open in the new Buckhorn Industrial Park at 6016 West Ten Road, according to Justin Parker, vice president of real estate development for developer Al Neyer. Parker told the Mebane City Council about the deal on Nov. 1.
The council annexed and rezoned the 46-acre industrial park site in February for 675,000 square feet of warehouse and light manufacturing space in two buildings. Neyer also is working on a 115-acre light industrial park at I-85/40 and Buckhorn Road, behind the Petro Stopping Center.
Thermo Fisher Scientific’s 375,000-square-foot plant will manufacture precision pipette tips for laboratory, research and bioscience use. It’s expected to generate up to 200 jobs with the potential for future expansion.
The deal resulted from a $192.5 million contract with the U.S. Department of Health and Human Services to build flexibility and redundancy into the nation’s capacity to produce biotech equipment and to meet the ongoing demand for materials used to test for and fight the COVID-19 virus, the company’s release noted.
Mark Stevenson, executive vice president and chief operating officer, said the new facility “will help the U.S. meet future demand surges for vital laboratory products while bringing more high-quality jobs to North Carolina.”
“With its strategic geographic location and proximity to a diverse talent base, Mebane is an ideal location for this new facility,” Stevenson said.
The decision to invest in Mebane is also part of a broader strategy “to build flexible and redundant production capacity in the U.S. and across key regions globally” according to Thermo Fisher’s website.
“Increased output from recent site expansions is helping meet ongoing demand for COVID-19-related consumables, including plastics used to collect samples and transport them to labs, as well as for vital equipment, such as single-use technologies (SUT), used to accelerate production and allow flexibility for both COVID and non-COVID vaccines and therapies,” the company said.
Thermo Fisher has around 4,000 employees across seven sites in North Carolina, including a lab equipment manufacturing facility in Asheville, three life sciences and chemical manufacturing facilities in Durham, pharmaceutical manufacturing facilities in Greenville and High Point, and a distribution center in Raleigh.
Manufacturing at the new Mebane facility could begin by the third quarter of 2023, and construction is expected to be completed by the third quarter of 2024, a company spokesman said Monday.
Gov. Roy Cooper said the company’s decision to expand in North Carolina proves the state’s biotechnology sector is thriving.
“The presence of a company of this magnitude is greatly appreciated and adds another world-class organization to a significant industrial lineup in our area,” said Mebane Mayor Ed Hooks. “The investment in our economy and the job opportunities for highly skilled employees will undoubtedly have a major impact and provide great opportunities for our citizens.”
In September, Thermo Fisher announced it would invest $154 million in its Greenville pharmaceutical manufacturing site, creating an additional 290 jobs.
The investment will boost manufacturing capacity for “sterile liquid and lyophilized filling, pre-filled syringes, and solid dose continuous manufacturing,” company and state officials said at the time.
Orange County economic district
Thermo Fisher’s Mebane site is just a half-mile from Interstates 85/40, south of Orange County’s 900-acre Buckhorn Economic Development District. The district — one of three established in 1981 — remained largely undeveloped until the county put in water and sewer lines a few years ago.
It has since attracted manufacturing, wholesale, distribution, retail and service companies, including Japanese candy maker Morinaga and Medline Industries Inc., which will open a 220-acre medical supply distribution center next year on West Ten Road beside Gravelly Middle School.
In 2019, Swiss industrial equipment maker ABB expanded its operation north of the interstate to 600,000 square feet and pledged to hire 400 more employees.
All three companies received millions of dollars in local and state incentives to expand or locate in the Buckhorn area, which only has 276 developable acres, according to county planning documents. The companies must meet investment and job creation goals to receive the incentives.
Thermo Fisher Scientific did not ask for incentives to relocate to Orange County and is not receiving any, said Steve Brantley, the county’s economic development director.
Neyer’s other Orange County project is the 115-acre Buckhorn Business Centre near the northwestern corner of West Ten Road, just west of the Thermo Fisher site. Plans for the development show it could have five light industrial and warehouse buildings, as well as a new fire station.
The Mebane City Council approved a rezoning for the project and annexed the site on Nov. 1. It includes 13 lots in Orange County, and a 14th lot that already was within Mebane’s city limits.
To the east, Orange County planning staff members also are reviewing plans for the 100-acre Efland Industrial Park light industrial and warehouse project at 304 Mt. Willing Road in Efland.
The site lies outside the Buckhorn EDD but is zoned for office, light industrial and warehouse uses. Texas-based Buc-ee’s applied last year to build a travel stop along and a mixed-use development at the site but withdrew its application after running into community opposition.
Cary-based Oppidan Development now wants to build four buildings totaling 876,000 square feet on the site. The project would leave roughly 32 acres undeveloped.
The current zoning only requires the developer to get planning staff approval that it meets the county’s development, environmental and building standards.
This story was originally published November 13, 2021 at 10:52 AM with the headline "Thermo Fisher Scientific picks NC site for new plant manufacturing biotech equipment."
