By Roland Murphy for AZBEX
Following a City Council vote on Oct. 20, Hadrian Automation is one step closer to building an advanced manufacturing facility in Mesa that could bring about a $200M investment and lead to 350 new jobs.
By a vote of 6-0 with one member absent, Council voted to authorize the City Manager to enter into an agreement with Hadrian for “the development of an artificial intelligence-powered, large-scale manufacturing and software facility located at 10101 East Pecos Road,” as part of the meeting’s consent agenda.
The site Hadrian leased is at the SEC of Crismon and Pecos roads in the 265.5KSF Building A at The Cubes at Mesa Gateway, which was developed by Clayco Realty Group and completed in late 2023. Hadrian will undertake a tenant improvement project of at least $6M to convert the space to fit its needs.
Hadrian was founded in California in 2020 and recently raised $260M in Series C funding, according to the presentation materials supplied to Council. The company is marketed as a pioneer in the “factory as a service” advanced manufacturing sector in the U.S. and specializes in artificial intelligence-powered Computer Numerical Controlled, commonly referred to a CNC, machining. Hadrian primarily serves as a supplier for the aeronautical and defense industries.
Hadrian worked with the City of Mesa, Arizona Commerce Authority and Greater Phoenix Economic Council on site selection.
The development agreement establishes a Mesa Resident Job Creation Program, under which Mesa will reimburse Hadrian $750 for each qualifying resident it employs, up to $75K in total. According to the report presented to Council, “Reimbursement will only occur after the Mesa resident is hired and employed by Hadrian as a full-time employee for one full year and Hadrian has provided the Mesa resident employee with at least five hours of professional development training. Such reimbursement will only be available if Hadrian invests at least $131M in the project within two years and creates at least 300 new jobs at an average salary of $71K within five years.”
The agreement also requires Hadrian to complete at least $6M in improvements at the site and invest at least $125M in equipment. Regardless of residence, at least 300 full-time employees must be hired at an annual average wage of $71K, according to the Council report. The total project investment is estimated at approximately $200M.
The facility development will take place across several rolling phases. “This means that they plan to have some administrators and one line of operations in the building and operating by 1/1/2026,” the report says, “and continued buildout of the rest of the facility, including the other manufacturing lines, R&D space, storage and distribution and office space will be brought online as it is completed. The factory will be in production the whole time, allowing Hadrian to be generating revenues and hiring employees continually.”
The facility build-out must be completed within two years.
