Merck Breaks Ground on $1B Biotech Center

Merck has broken ground on a $1 billion, 470,000-square-foot biologics center with laboratory, manufacturing and warehouse capabilities in Wilmington, Del., as it looks to expand its manufacturing presence in the U.S. Merck Wilmington Biotech is being developed at the 164-acre Chestnut Run Innovation & Science Park, where Merck signed a long-term lease with owner MRA Group.

The development at CRISP will create more than 500 full-time positions and about 4,000 construction jobs. The laboratory component is expected to be fully operational by 2028, with production of investigational compounds anticipated to start by 2030. Further expansion at the site could create an additional 1,500 full-time roles and 26,000 construction jobs, the company stated.

Merck Wilmington Biotech will enable Merck to produce next-generation biologics and therapies including potent antibody-drug conjugates as it focuses on expanding and diversifying its pipeline. The site is expected to be the future U.S. home for producing Keytruda as the global company seeks to expand its biologics portfolio domestically. The world’s top-selling pharmaceutical, Keytruda is approved for treating lung cancer, melanoma and other tumors. It is also Merck’s biggest selling product, accounting for about half of the company’s revenue, according to the Wall Street Journal.

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Merck is currently manufacturing Keytruda in other countries, including Ireland, and also using domestic contract manufacturers, WSJ reported. Merck Chairman & CEO Rob Davis told the WSJ the decision to build the Wilmington facility is part of the company’s strategy to source drugs used by Americans from U.S. sites. He noted the expansion plans are very much aligned with President Donald Trump’s new tariff policies and efforts to bring more manufacturing, including pharmaceuticals, back to the U.S.

Ongoing and future investments

Merck began boosting its investments in domestic manufacturing following the passage of the 2017 Tax Cuts and Job Act during Trump’s first term in office. Since 2018, the company has allocated more than $12 billion to enhance U.S. manufacturing and research capabilities, including $3 billion in New Jersey and Pennsylvania. In March, Merck completed construction of a $1 billion 225,000-square-foot facility to expand vaccine production capacity in Durham, N.C. That expansion created nearly 400 full-time positions and about 4,000 construction jobs. More than $9 billion in investments are planned over the next four years, including $3.5 billion in biologics and small molecule manufacturing sites and capabilities at other U.S. locations.

Growth at CRISP

For Horsham, Pa.,-based MRA Group, the decision by Merck to build its biologics center at CRISP marks a defining moment for the campus as MRA continues transforming the former Dupont property into a multi-tenant life science and innovation hub. MRA acquired the 14-building campus from Dupont in 2021 and announced plans for a $500 million makeover, including plans to develop additional facilities on the site and renovate existing structures. In August 2023, MRA secured $63 million in debt for the redevelopment.

To date, MRA has more than 1.3 million square feet of redevelopment approved, planned and completed. Last February, Prelude Therapeutics relocated its headquarters to a 101,876-square-foot building at CRISP that included 57,074 square feet of lab space. Earlier this year, construction on a 127-key Marriott Residence Inn began. The property will provide short- and long-term lodging options and include meeting spaces and food and beverage offerings. It is the first hotel to be built in the area in nearly three years. A childcare center also recently opened as well as a fitness center.