20 Sep EUA: Arrowhead Pharmaceutical plans $200 million facility in Verona
via the Verona Press
A pharmaceutical company is planning to build a $200 million facility in Verona Technology Park.
It would start with a 102,000 square foot, three-story building next year located east of the University of Wisconsin’s Materials Distribution facility and Ceva, formerly known as United Vaccines. Plans submitted to the city this month call for a future expansion on the 13 acre site of an 82,000 square foot manufacturing facility further north. That would be brought to the city for approval “in the coming months,” according to the submission.
The city’s Plan Commission is scheduled to discuss the initial proposal at its next meeting, which starts at 6:30 p.m. Monday, Oct. 4.
Arrowhead associate counsel Bob Tiegen said the company, which specializes in genetic treatment of rare diseases, expects to bring about 250 jobs initially, averaging about five times the minimum wage, with most requiring bachelor’s degrees.
Construction costs, he said, would be $175 million to $250 million. That’s a seemingly exorbitant amount — about four times what a typical commercial facility goes for per square foot — because of its specialized equipment.
The plan also involves a city investment of some sort, through tax-increment financing, city administrator Adam Sayre confirmed to the Press, though the amount has yet to determined.
“TIF discussions are ongoing,” he wrote in an email Sept. 16.
Tiegen said the TIF request is for competitive reasons, as the company has been looking all over Dane County and in other parts of the country, as well. Arrowhead’s headquarters are in California.
“It’s part of the overall package and why we would think of Verona versus other places,” he said.
The Verona Technology Park has two other high-tech facilities on its east end that require special attention from public safety agencies, Ceva and Millipore Sigma, formerly known as SAFC Pharma.
Tiegen said the presence of those operations and the city’s business friendly attitude were big drivers of the decision to locate there.
Moving and building