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$40 million research laboratory coming to Olathe

By Jason Gertzen
The Kansas City Star
11/9/07

Hundreds of scientists are coming to town as part of a $40 million research laboratory that marks the largest success yet for the region’s animal health corridor initiative.

Fort Dodge Animal Health, a $1 billion company specializing in vaccines, medicines and other products for pets and livestock, announced plans Thursday to build a new lab complex in Olathe.

In addition to the new jobs and investment the project offers, civic leaders said the Fort Dodge complex is an endorsement of their efforts to attract new businesses and encourage the expansion of the more than 100 area companies involved in the animal health industry.

“This is the validation we have all been looking for,” said Tom Thornton, president of the Kansas Bioscience Authority.

Including Fort Dodge, those guiding the Kansas City Animal Health Corridor effort have landed five relocation or expansion projects over the past year or so. The Fort Dodge deal is the largest yet.

The company’s decision also is important for the development of the new Kansas Bioscience Park in Olathe. Fort Dodge is the first private-sector operation and an anchor tenant for the 92-acre Olathe campus being jointly developed by the state’s bioscience authority and Kansas State University.

“This aligns perfectly with the focus on the biosciences to improve the quality of life and job opportunities in the Kansas City area,” said Jon Wefald, K-State president.

The 150,000-square-foot Fort Dodge facility is expected to open in 2009. It will eventually employ about 200 top-level scientists and other researchers charged with keeping the company’s pipeline of products full, said Thomas Corcoran, president of the Fort Dodge animal health unit of Wyeth.

“New products are our lifeblood,” Corcoran said. “New products mean research and development.”

Fort Dodge has operated a headquarters in Overland Park since 1995 and currently employs about 200 people in the area. The company’s scientists, however, have been spread among laboratories in Iowa, New Jersey, Europe and elsewhere.

The company, which employs about 3,300 worldwide, needs to expand its research operations, Corcoran said.

Although a location close to top executives was attractive, Fort Dodge initially considered other possible locations here and elsewhere. The Kansas City region, however, quickly emerged as a top candidate.

The Kansas City region has quietly carved out a big slice of the animal health industry.

In all, a corridor stretching roughly from Manhattan, Kan., to Columbia, Mo., is home to more than 100 companies accounting for about one-third of the $15.2 billion in annual global sales for the animal health industry.

Researchers in veterinary schools at K-State and the University of Missouri-Columbia also have been key to the corridor’s success.

Fort Dodge leaders are optimistic about the ability to find high-quality scientists to employ and collaborate with on cutting-edge research projects, said Steve Chu, executive vice president for animal health research and development at Fort Dodge.

The company has been working closely with K-State researchers for at least a decade, Chu said. He said having K-State labs and other facilities located on the Olathe campus would create intriguing new opportunities.

“We have every intention of collaborating,” he said.

As part of the deal, the bioscience authority is providing 30 acres of land within the Olathe park and up to $3.5 million for the Fort Dodge project.

The park is made up of about 90 acres near College Boulevard and Lone Elm Road. The Fort Dodge labs and offices are to be located on the north end of the campus near 107th Street and South Valley Parkway.

Officials who came up with the idea for the bioscience park thought that the research capabilities of K-State and other parts of the project would be a strong draw for new companies, Thornton said.

The authority has committed to building a business incubator and its headquarters offices at the park. At least 20 acres will be available for additional private-sector projects such as the Fort Dodge laboratories.

Bob Marcusse, president and chief executive officer of the Kansas City Area Development Council, was involved in the effort to land Fort Dodge’s headquarters in the area a dozen years ago. He also helped lead the effort for the new laboratories.

This project, Marcusse said, will be a catalyst that could stimulate additional economic development activity within the animal health corridor.

“It’s so much easier for somebody else to feel really good that a $1 billion company made a decision that they are thinking about,” Marcusse said.

To reach Jason Gertzen, call 816-234-4899 or send e-mail to jgertzen@kcstar.com.
 

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