In a significant stride for Arizona's semiconductor sector, Amkor Technology Inc. has solidified its position with the acquisition of 56 acres of land—at no cost for 50 of those acres—to establish a $2 billion chip manufacturing facility in the Vistancia master-planned community in Peoria as per abc 15.
Amkor, based in Tempe, secured the land parcel through a deal with the City of Peoria, which donated the land to support the development of advanced technology industries in the region. The remaining 6.3 acres were purchased for $4.1 million from Vistancia Development LLC, a tie to IHP Capital Partners, indicating a strategic addition to their pre-established plans for expansion, this was mentioned by the Business Journal. The project, touted to generate 2,000 jobs, is poised to be a catalyst for more high-tech investments and sets the scene for Five North at Vistancia to become a buzzing commercial epicenter.
Mark Hammons, general manager of Vistancia, conveyed the community's enthusiasm in a statement obtained by the Business Journal, "We anticipate Amkor Technology’s facility, and its estimated 2,000 employees, will attract more complementary companies, and provide the critical mass to support the high-quality retail and restaurants planned for Five North.” In line with the city's economic development strategy, the donated land was part of an established agreement that stipulates that the recipient must commit to a capital investment of at least $20 million and produce 100 jobs with average salaries of $50,000 or more.
Adjacent to the Amkor site, around 45 acres are being marketed by Colliers International for employment opportunities at a significant going rate of approximately $653,000 per acre. The facility's proximity to other tech giants like Taiwan Semiconductor Manufacturing Co. and its relationship with them offers a glimpse of the burgeoning tech landscape taking shape in Arizona, a fulcrum of potential that beleaguers the region with anticipated growth and technological advancement.
Peoria is ramping up its infrastructural game in preparation for the Amkor facility, with the city planning to reimburse up to $3 million for public infrastructure improvements pertinent to the project according to a joint development agreement. The city, fostering an advantageous environment for high-tech businesses, has also floated the idea of a foreign trade zone at the Amkor site which would weave fiscal benefits for the company. On the economic front, Amkor showed promising financial health with its third-quarter revenue of $1.86 billion, denoting an uptick from the previous fiscal year.
