Transportation Sector Leads California's $70 Billion in Projects Under Construction

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Researched by Industrial Info Resources (Sugar Land, Texas)--California has the highest gross domestic product of any U.S. state, and this can be clearly observed in its levels of industrial project activity. While the transportation sector leads California in nearly $70 billion worth of projects presently under construction, the state is filled with projects across many other industrial sectors, including power systems and data centers.

The transportation sector accounts for well over half of the $69.9 billion that industrial developers are pouring into California at the moment. This comes primarily from both light rail and airport projects in San Francisco, San Diego and Los Angeles. Two of the largest projects underway involve the extension of the Purple Line on the Los Angeles subway system. Section 1 entails constructing 3.9 miles of track with twin-bored tunnels along with three new stations. A second section also is underway involving 2.6 miles of new track and two new stations. Section 1 has been underway since 2014, while Section 2 began construction in early 2018. Both segments are expected to be completed in 2025. Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Project Database can learn more by viewing the project reports on Section 1 and Section 2.

One of the state's largest airport projects is occurring at the San Diego International Airport, where the T1 international terminal is being replaced. Contractors are constructing a 1.2 million-square-foot building with 30 gates, a new roadway system and expanded concessions, including an outdoor dining terrace that will overlook part of the runway apron. The project is expected to be completed in late 2027 or 2028. Subscribers can click here for more information on the project.

California has some of the loftiest environmental goals of any U.S. state, and this is seen with a strong showing in the renewable energy and alternative fuels sectors. The City of San Francisco is underway with construction of a new biosolids digester and combined heat and power unit to help meet its green goals. The project is being constructed on a 47-acre site in the city, where existing buildings have been demolished, and new buildings totaling 200,000 square feet are being constructed that will facilitate the processing of 280,000 pounds per day of biosolids into 2 million cubic feet per day of biogas and 5 megawatts (MW) of renewable electricity. Construction kicked off in 2020 and is expected to be completed in 2026. Subscribers to Industrial Info's Alternative Fuels Project Database can click here for more information.

Most of California's power projects involve solar energy and related battery energy storage systems (BESS). Expected to be completed in the coming months is Energias de Portugal SA's (Lisbon, Portugal) Sandrini solar plant near Mojave, about 80 miles north of Los Angeles. Engineering, procurement and construction contractor Rosendin Electric (San Jose, California) kicked off construction in early 2022, situating more than 521,000 solar panels that will provide 300 MW of power when completed later this year. Subscribers to Industrial Info's Power Project Database can click here to learn more.

Other solar farms will be accompanied by energy storage. Examples include Arevon Energy's (Scottsdale, Arizona) Eland 1 solar and BESS facility in Cantil, about 100 miles north of Los Angeles. The 200-MW solar facility will feature panels manufactured by First Solar Incorporated (NASDAQ:FSLR) (Tempe, Arizona), while the 100-MW BESS unit will feature Tesla Incorporated (NASDAQ:TSLA) (Austin, Texas) battery technology. Construction on both the solar farm and BESS is expected to wrap up in the coming months. Subscribers can learn more by viewing the project reports on the solar farm and BESS unit.

Distribution and warehousing and data center projects represent more than $2.2 billion of ongoing projects in California, and the city of San Jose is home to both types of projects. On the warehousing and distribution side, e-commerce giant Amazon.com Incorporated (NASDAQ:AMZN) (Seattle, Washington) is renovating a distribution center in San Jose by demolishing an existing warehouse building and constructing a covered loading area and more than 94,000 square feet of warehouse space and 13,500 square feet of office space. The project is in the process of wrapping up.

Down the road, Stack Infrastructure (Denver, Colorado) is demolishing an existing 80,000-square-foot building to construct a four-story, 220,000-square-foot data center building featuring 24 MW of power and 69 rooftop cooling units. The project is expected to be completed in the late summer of this year.

Subscribers can learn more by viewing the project reports on the Amazon facility and data center.

Subscribers to Industrial Info's GMI Database can click here to view reports for all of the projects discussed in this article and click here for the related plant profiles.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 trillion (USD).