Regeneron Plans 1,000 New Jobs in $1.8B HQ Expansion
Monday, July 19, 2021
Regeneron Pharmaceuticals plans to add 1,000 jobs over the next five years at its Tarrytown, NY, headquarters, under a $1.8 billion expansion in which the company also plans to add to its research, preclinical manufacturing, and support facilities.
Depending how close it comes to fulfilling its 1,000-job goal, Regeneron could receive up to $100 million in Excelsior Jobs Program tax credits from New York state, among other state and local economic incentives.
The expansion plan, announced Thursday by Regeneron and New York state Gov. Andrew Cuomo (D), caps 18 months during which the company gained global attention through the development of its two-antibody “cocktail” REGEN-COV™—which was authorized for emergency use by the FDA and taken last year by then-President Donald Trump among several treatments for COVID-19.
In 2020, Regeneron recorded significant year-over-year sales gains for marketed drugs that include Eylea® (aflibercept; co-marketed with Bayer) and Dupixent® (dupilumab; co-marketed with Sanofi), while in February, it received FDA approval for two additional indications for its cancer drug Libtayo® (cemiplimab-rwlc), in forms of advanced basal cell carcinoma and advanced non-small cell lung cancer.
“The COVID-19 pandemic has highlighted the importance of continued and long-term investment in the biopharmaceutical industry, and Regeneron is proud to pursue life-changing science and technology from our labs and manufacturing facilities in New York State,” Regeneron president and CEO Leonard S. Schleifer, MD, PhD, said in a statement.
Regeneron has nearly 10,000 employees worldwide—including approximately 3,800 at its Tarrytown headquarters.
In addition to the Tarrytown HQ, Regeneron’s New York state presence includes offices 3 miles northwest in Sleepy Hollow, NY; and the company’s industrial operations and product supply campus in Rensselaer, NY, a suburb of the state capitol of Albany, where the company carries out cGMP manufacturing for approved therapeutic proteins and those involved in clinical studies.
“Continued growth and success”
“The scale reflects the continued growth and success of the company. Over the past ten years, our team has produced numerous FDA-approved medicines, an expansive investigational pipeline, and exciting next-generation research initiatives like the Regeneron Genetics Center [RGC],” Regeneron spokeswoman Alexandra Bowie told GEN. “This new investment in our workforce and laboratory spaces will allow for continued advancement of our industry-leading scientific capabilities and diverse portfolio of medicines.”
RGC is a wholly owned subsidiary of Regeneron that applies genomic approaches to accelerate drug discovery and development. The head of the RGC, Aris Baras, MD, recently joined Regeneron’s president and CSO George D. Yancopoulos, MD, PhD, to discuss the company, its approach to drug discovery, and the RGC on “Close to the Edge,” GEN’s new video series of in-depth conversations with key biopharma leaders. (The interview has been posted on YouTube and is available here).
Regeneron told state officials it was considering sites within the tri-state New York City region that also includes New Jersey as well as New York state.
New York/New Jersey ranked third in GEN’s A-List of Top 10 U.S. Biopharma Clusters, cited in recent weeks by national outlets ranging from The Boston Globe to Bethesda (MD) Magazine. The NYC region was second in both jobs and NIH funding, placed fourth in both lab space and venture capital financing, and was fifth in patents.
“Regeneron’s expansion in Westchester County will be a game changer for the regional economy and will cement New York State as a world leader in the life sciences industry,” stated Eric Gertler, acting commissioner and president and CEO-designate of the state’s Empire State Development economic agency.
900,000 square feet
Expansion plans shared by Regeneron call for the biotech giant to build approximately 900,000 square feet in two phases over six years, consisting of up to eight buildings, three parking garages, and a central utility plant.
“The project will include new buildings for lab space for research of all kinds, as well as our preclinical manufacturing and process development facilities, offices and amenities, parking and logistics,” Bowie said.
The expansion also includes road and other infrastructure improvements to support the additional headcount.
Construction planning will begin this summer and project construction will be completed in 2027, Regeneron and New York state said.
The state has estimated the direct and indirect fiscal benefit to itself and local governments at more than $283.3 million.
Regeneron’s announced expansion is more than four times the $408 million, 207,000-square-foot of additional space and parking disclosed publicly by the company earlier this year to officials in Westchester County. That plan only covered the portion of the expansion within the town of Greenburgh—one of the two towns across which Regeneron’s headquarters straddles, the other being neighboring Mount Pleasant.
Regeneron estimated generating approximately $7.7 million in county and state tax savings for the earlier version of the expansion, presented April 22 to the Westchester County Industrial Development Agency. The Agency took no action, but is expected to consider a cost-benefit analysis of Regeneron’s expansion when it meets July 22, according to a draft agenda.
“In 2020 and 2021, the Regeneron team has worked tirelessly, bringing forward new treatments for people with COVID-19, Ebola, multiple forms of cancer, and pediatric atopic dermatitis,” Schleiffer added. “As we expand our team and site, we look forward to bringing even more medical breakthroughs to patients in need.”