Entegris Breaks Ground on $600M Semiconductor Campus

Image by Vishnu Mohanan via Unsplash

Massachusetts-based semiconductor producer Entegris has broken ground on its $600 million Manufacturing Center of Excellence, in Colorado Springs, Colo. The first phase of development will span 100,000 square feet and is estimated to cost $200 million—including land purchase and equipment costs. Commercial operations are slated to begin in early 2025.

The initial facility will incorporate production capabilities for the firm’s Microcontamination Control and Advanced Materials Handling divisions, which develop products used in semiconductor manufacturing.

The 88-acre site where Entegris will develop its campus is at 301 S. Rockrimmon Blvd., which used to house another manufacturing plant owned and operated by Hewlett Packard, according to the Colorado Springs Urban Renewal Authority. Colorado Springs sought to redevelop the area through private investment and Tax Increment Financing incentives. In February, the El Paso County Board of Commissioners approved the project, along with $9.2 million in tax revenues, the same source shows.

The entire campus will encompass approximately 500,000 square feet and house 597 full-time workers, documents submitted to the CSURA show. A future, second phase, could see investment rise to more than $1 billion and 1,000 employees. The authority estimates that Entegris’ campus will have a local economic impact of $2.5 billion in a five-year period.

The site is near Interstate 25, roughly 8 miles north of central Colorado Springs and 68 miles south of Denver. Entegris chose this location for supply lines optimization. The company operates another facility in Colorado Springs, at 4405 Arrowswest Drive, some 5 miles away.

A booming manufacturing industry

Semiconductor manufacturing has represented one of the main engines of industrial real estate development and investment as of late, with more than 40 such projects and $200 billion in private financing announced over the last three years, a Semiconductor Industry Association report shows.

The CHIPS and Science Act—which allocated $280 billion to domestic production—has also greatly propelled the industry, Entegris also citing it as a factor in its expansion.