‘These Workers Are In High Demand’: Advanced Manufacturing On The Rise In Allen, Texas
Heading into 2025, Texas remains among the world’s largest economies, and one of its prized sectors, manufacturing, is only growing stronger.
There are over one million manufacturing workers and 28,000 companies in the state — making up nearly 10% of the country’s total manufacturing GDP. Some of the world’s most recognizable companies, such as Lockheed Martin, Samsung and Toyota, have also established a significant presence in Texas, drawing attention to the Lone Star state as a “manufacturing mecca.”
Out of the state’s sizable manufacturing workforce, more than 300,000 people and 7,500 companies are in the advanced manufacturing space.
In the Dallas-Fort Worth area particularly, advanced manufacturing has flourished in recent years, said David Ellis, assistant director at Allen Economic Development Corporation in Allen, Texas — a city just 30 minutes outside downtown Dallas.
“Whether it's 3D printing, semiconductor chip manufacturing or robotics, firms in this space use technology to produce goods faster, at higher quality and at lower costs, allowing U.S. manufacturers to compete with low-cost products overseas,” Ellis said. “Texas Instruments, just a few miles down the road, got this industry started when they invented the computer chip in the ’50s, and it’s blossomed ever since.”
It's All About Location |
When advanced manufacturers are searching for a place to call home, they consider several factors, Ellis said. In addition to access to talent and modern amenities, they need a facility that’s going to offer them a prime location — something that traditional manufacturing facilities don’t typically offer, he said.
“If you look at other industrial facilities across Texas and even the country at large, they can be found in low-cost environments, either on the side of the highway or in rural areas, and there’s virtually no amenities,” Ellis said. “If you have a customer coming into town, you may find yourself scrambling to drive 30 minutes to the nearest restaurant. This model just doesn’t work for tech manufacturers.”
With this in mind, developers have jumped on the opportunity to build new industrial and mixed-use developments in the city, including 121 Technology Park and The Farm, a mixed-use development where composite building material manufacturer Fibergate Structures will move its headquarters into a 102K SF space, FARMWorks One, a Class-A office building, in 2025. The building features private balconies, outdoor areas and a grand three-story lobby to welcome tenants and guests.
Both developments are located next to State Highway 121, or the Sam Rayburn Tollway, and U.S. Highway 75, providing easy transportation access — something that’s of paramount importance for these manufacturers. DFW International Airport and McKinney National Airport are also within a 30-minute drive.
The 735K SF 121 Technology Park will feature seven spec buildings, all zoned for light industrial use and office space upon its completion. The Farm will feature more than 1.6M SF of Class-A office space as well as a variety of local restaurants, 2,400 residential units and 142K SF of retail space. Both developments already have tenants lined up.
“These developments have a really rich amenity base built around them, and we’re seeing an overwhelmingly positive response to both,” Ellis said. “We have more developments in the works along the 121 corridor, it’s going to be an exciting place to be, and these companies are going to reap the benefits.”
ALLEN’S ROBUST TALENT POOL |
Because the area’s background is steeped in technology and innovation, many skilled technicians and white-collar talent already reside in and around Allen, Ellis said. It’s estimated that there are nearly two million workers within a 30-minute radius of Allen, with about 60% holding a bachelor’s degree.
Texas also has the second most engineers in the U.S. The industrial engineering sector alone is expected to grow by 12% over the next eight years, much faster than the average growth across industries nationwide.
“These workers are in high demand, and a long, onerous commute to the office isn’t necessary for them,” he said. “Bringing more advanced manufacturing facilities and companies to our city makes perfect sense for our workforce that wants to live, work and play in Allen.”
Attracting and retaining talent is a top priority for advanced manufacturing companies, Ellis said. Fortunately, given Allen’s abundance of young talent from the area’s surrounding 19 colleges and universities — including Southern Methodist University and Collin College — it’s positioned to provide tech manufacturing companies with talent, he said.
“Collin College is a great community college that plays a pivotal role in our city,” Ellis said. “There are more than 50,000 students at the college, and they’re very innovative, resourceful and entrepreneurial. Our interactions with the college and students have been fantastic.”
ADVANCED MANUFACTURING GROWS IN ALLEN |
Since 1992, AEDC has helped bring an economic impact of $50.3B to the city and created more than 35,000 jobs, according to Ellis. These figures are expected to grow even larger as other advanced manufacturers move into the city, including Onsemi, Visitech Americas and Amphenol Fiber Systems International.
Onsemi, a semiconductor manufacturer known for its automotive and industrial chips, is slated to expand its footprint in Allen with a 97K SF lease at 505 Millennium Drive. The company is in the process of completing a $28M renovation of the space.
Visitech Americas acquired Keynote Photonics, an Allen-based digital light processing, or DLP, company, and has built a brand new DLP engine factory — the only facility of its kind in the U.S. Company executives predict that with its new facility in Allen, sales will double by 2025.
Amphenol, a company that already had its roots planted in the city, has also announced that it will be expanding in Allen by moving into 121 Technology Park — taking up 94K SF in the highly sought-after industrial park.
These companies are growing their footprints in Allen because of a combination of business-friendly policies and economic incentives, Ellis said.
“AEDC has a dedicated half-cent sales tax that raises about $15M annually for incentives,” he said. “We also contribute to development projects by helping to defray some of the costs, helping to pay for parking garages and offering cash grants for new and existing. Allen’s tech manufacturing industry is growing, and we could not be more thrilled to be a part of its expansion.”
This article was produced in collaboration between Allen EDC and Studio B. Bisnow news staff was not involved in the production of this content.
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