Biomedical manufacturer plans $8 million facility in Fargo
FARGO -- Aldevron, a global biomedical manufacturing firm with headquarters here, plans to construct an $8 million production facility in south Fargo.
FARGO - Aldevron, a global biomedical manufacturing firm with headquarters here, plans to construct an $8 million production facility in south Fargo.
The company is seeking property tax incentives from the city for the project. Fargo commissioners will consider the request at their Monday, Aug. 1, meeting.
According to the company's application with the city, the new, state-of-the-art facility will be located at 4044 40th Ave. S. and would be a plasmid DNA and protein production facility. It will be 45,000 square feet. For size comparison, a football field minus its end zones is 48,000 square feet.
"Products produced in the facility will be used to support clinical trials and commercial production of therapeutic applications worldwide," the application states.
The new facility would increase annual revenue for the company by $2.4 million to $3.5 million over the five years. The company would add between 10 and 20 employees a year, according to its application.
According to a March news release, Aldevron's Fargo site employs over 100 people, and the company expected to increase its headcount to 130 by the end of 2016.
Aldevron was founded in 1998 in a lab at North Dakota State University. It now has offices and production facilities at 4837 Amber Valley Parkway and a manufacturing facility at 3233 15th St. S., as well as facilities in Madison, Wis., and Freiburg, Germany.
Aldevron had previously acquired the former Woodrow Wilson school, 315 N. University Drive, but sold it to the Kilbourne group in January 2015.
Earlier this year, Aldevron completed a 4,500-square-foot expansion of the facility just south of 32nd Avenue South. That project increased the company's production capacity by over 35 percent, according to a news release.
Aldevron applied for payment in lieu of tax (PILOT) in 2013 for the Amber Valley parkway site, formerly home to PRACS Institute. In 2014, it received a five-year 100 percent corporate tax incentive from the state of North Dakota.
The current PILOT request for the new facility is for five years at 100 percent and five years at 50 percent. That would result in assumed savings of $837,720 in taxes over the 10 years, according to city documents.
Aldevron CEO Michael Chambers was traveling last week and unavailable for comment.
Construction on the new facility would be completed by Oct. 1, 2017, the application states.