MONDAY, AUGUST 21, 2023 North Bay Business Journal 9
LG Chem buys 15 acres in Vacaville
Pharma group’s purchase the East Bay. The last land the city has positioned for adds to area’s growth rapid biomanufacturing projects are 31 acres Pell Development has off Vaca Valley as a biotech hub Parkway between the Genetech campus and Kaiser Permanente Vacaville Medical By JEFF QUACKENBUSH Center, Burrus said. Fifteen acres is the North Bay Business Journal “sweet spot” for building such production facilities, so that land could accommodate Part of the South Korean conglomerate two companies’ projects, he said. best known in the U.S. for home appliances, The biomanufacturing sector has the po- smartphones and flat-panel televisions has tential to bring 2,500 new jobs at such firms acquired 15 acres of industrial land in a and $2.1 billion in investment to Vacaville, part of northern Solano County that local according to a city-commissioned economic officials have been positioning as a hub for analysis completed early this year. biomanufacturing. “Usually in economic development, it LG Chem Life Sciences Innovation Center takes a very long time to really be able to Inc. purchased 15.04 acres of vacant land prepare your city and to market and try just north of the junction of interstates to attract businesses,” Burrus said. “But 505 and 80 in Vacaville from an affiliate of we launched this initiative in 2020 and, in Agenus for $13.1 million, or $20.05 a square CITY OF VACAVILLE three short years, have been able to attract foot, on Dec. 30, 2022, according to a city an- LG Chem Life Sciences Innovation Center Inc. purchased the two parcels highlighted on this city of five companies.” nouncement Wednesday and public records. Vacaville map on Dec. 30, 2022. LG Chem is the fifth biotechnology-relat- ed venture to put down roots in Vacaville The Massachusetts-based company plans In May 2022, Columbus, Ohio-based Jeff Quackenbush covers since the city launched a concerted effort to build a half-million-square-foot manu- Mettler-Toledo paid over $20 million for a wine, construction and real three years ago to attract life sciences manu- facturing facility on 80 acres and looked for new building at 4790 Midway Drive in Va- estate. Reach him at jquacken- facturing companies, said Don Burrus, city buyers of the remainder. caville for expanding its production from bush@busjrnl.com or 707-521-4256. economic development director. That November, Agenus sold 15 acres to LG Chem has life sciences, petrochem- San Diego-based Polaris Pharmaceutical, icals and advanced materials business part of a Taiwan-based company. Burrus units, and it is one of nearly three dozen companies held by Seoul-based LG Corp. said the company has returned to discus- sions with the city over its development WE CAN’T In June 2019, LG Chem opened its life sciences innovation center in Cambridge, plan since its drug is close to meeting the Food and Drug Administration approval CONTROL Massachusetts. The life sciences business unit has a process. Polaris on its website noted it is in late-stage trials of its Pegargiminase drug INFLATION number of treatments in various stages for certain muscle tumors and a cancer of of development and regulatory approval, the internal lining of the chest and lungs. including treatments for gout and cancer In June 2022, Agenus sold 22.4 acres at 4800 as well as a vaccine for six diseases such as polio. Key approved products on the Horse Creek Drive to real estate developer Transwestern Ventures for $10.4 million. WE CAN HELP market include growth hormones, diabetes medications and kidney cancer treatments. The company has received entitlements to build a 395,000-square-foot biotechnology PROTECT WHAT LG Chem’s life sciences revenues last year complex, called Axiom Point, once a tenant MATTERS MOST were 849 billion won, the currency used in is secured, Burrus said. South Korea ($672 million in U.S. dollars at And in June of this year, LifeSpace Labs year-end), out of 51.9 trillion won for the opened in 10,000 square feet at 3333 Vaca whole operating company ($41.1 billion). Valley Parkway, Suite 400. The "wet lab“ What LG Chem plans to do with its Vacav- co-working center has space for 20 compa- ille site isn’t clear. The organization couldn’t nies and is gearing up to welcome its first YOUR PARTNER THROUGH UNCERTAIN TIMES immediately be reached for comment. companies, Burrus said. “We’ll be working with them in 2024 to This activity follows China-based RxD start planning what the facility looks like,” Nova’s acquisition of a property at 2100 Burrus told the Business Journal. Cessna Way in 2019. RxD started production Vacaville in October 2020 launched its in an existing 74,000-square-foot building California Biomanufacturing Center effort, at 2010 Cessna there then sold off 27 excess pledging about 300 acres of land eyed for acres of land to LDK Ventures and PCCP, such facilities. which have broken ground on sites to build In July of the following year, Agenus warehouses, Burrus said. Business Insurance | Employee Benefits | Personal Insurance West, an affiliate of East Coast biotech Age- That LDK project, called NorthBay Lo- 707.525.4150 | gpins.com | Lic. #0603247 nus, purchased 120 acres of land on Horse gistics Center III, offers two warehouses Creek Road in Vaca Valley Business Park. totaling 427,000 square feet.