Bricks n' Mortar Update: Pharmaceutical-Biotech Sector Plans 199 New Facilities with $20 Billion in Capital Investment Potential

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Reported by Annette Kreuger, Industrial Info Resources (Sugar Land, Texas)--Scattered throughout North America are 199 reported new-facility builds in the Pharmaceutical-Biotech Industry, according to Industrial Info's Pharmaceutical-Biotech Online Database. The sites represent a potential total capital investment of just over $20 billion, which translates to a per-site average of about $100 million. The "potential" investment for each site includes initial construction as well as any reported planned future expansions and subsequent phases.

The 199 new-build sites have generated 224 active projects. The projects are in various stages of planning, ranging from early market analysis to actual construction. Some of the projects are grassroot, new from the ground up, while others--the "additions"--include reconfiguration and/or renovations of newly acquired facilities. These additions establish the new company's first laboratory or manufacturing operations at that particular location.

Click on the image at right to see a graph detailing new-build projects in the North American Pharmaceutical-Biotech Industry by region.

The projects range from a $1 million investment to construct a small clinical-scale radiotherapeutics plant addition to a $1.8 billion mega-plant. A number of the projects are sourced out of the public sector, with many benefiting from federal or state dollars. While many of the facilities are research-based at this point, there is a definite manufacturing presence on the list.

Click here to access the 2016 Pharmaceutical--Biotech Industry North American Outlook.

The largest of the planned sites remains the nearly $2 billion plan by Novo Nordisk AS (NYSE:NVO) (Bagsvaerd, Denmark) to construct a plant in Clayton, North Carolina. When complete, the site will produce the active pharmaceutical ingredient (API) for use in the production of insulin.

On a much smaller scale, but, nevertheless, much appreciated by locals, BioVectra (Charlottetown, Nova Scotia) is investing $25 million for a new cytoxics APIs and reagents plant in Windsor, Nova Scotia. The company is renovating and upfitting an existing 50,000-square-foot building, once owned by Sepracor Canada. The new plant will feature a modular production 17,000 L suite, which was constructed off site. JW Lindsay Construction of Dartmouth, Nova Scotia, is the construction manager for the project, joining other team members GMP Engineering (Whitchurch-Stouffville, Ontario) and Equilibrium Engineering (Kentville, Nova Scotia).

Mary Kay Cosmetics chose Lewisville, Texas, as the site for a $110 million grassroot cosmetics plant. When complete in 2018, the 330,000-square-foot facility will house production, research and the corporate headquarters.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.