Monday's city council meeting provided a few new details about Theia Group's expansion into Albuquerque and the proposed Orion Center.
Among them is Hensel Phelps is working as Theia Group's construction management company. It "is responsible for ensuring that as many local qualified subcontractors are hired as possible," according to Theia Group spokeswoman Susan Davis.
Based in Greeley, Colorado, Hensel Phelps has a Western district office in Phoenix that covers New Mexico.
Hensel Phelps New Mexico LLC is listed as the building contractor on a Group Orion building permit application submitted in March for foundation work on an assembly building.
A construction, development and facilities services company, Hensel Phelps has extensive experience across multiple sectors, from health care to transportation. It notes on its website it has delivered 218 aviation projects with and aviation project portfolio of $9.2 billion. Hensel Phelps was awarded the Associated Builders and Contractors’ National Diversity Excellence Award for the eighth year last month.
During the council meeting, Theia Group Vice President James Reid Gorman described Hensel Phelps as "very much in tune with this market."
"They have already done outreach to as many qualified subcontractors as possible that already exist in this area," he said. "And our number one priority is to make sure if one of those firms is qualified that we would be able to utilize their services and their staffing.”
As part of a proposed lease and development agreement approved by the city council, Theia Group will "use all reasonable efforts" to see that most of the subcontractors for "any work in connection with construction" are local.
One research report from real estate firm Colliers International states the construction costs for Theia's new facility are estimated to be between $8 billion and $10 billion throughout the next decade, representing a large potential opportunity for contractors.
The first phase of the Orion Center is estimated to be about 4.1 million square feet, according to Jonathan Small, a spokesman for the Albuquerque International Sunport.
So what comes next for the Orion Center?
Agreement signing
Following city council approval, the proposed lease and development agreement will go to the company and Albuquerque's Aviation Department for signing. From there it goes on to Mayor Tim Keller's office, according to city spokeswoman Lorena Sanchez.
The agreement is for a 114-acre plot of land adjacent to the Sunport where the Orion Center could be built. The agreement has an initial term of 30 years, with options to extend to a total of 50 years. It is anticipated to begin June 1 with a $1 million payment to cover rent for the first two years of the lease term.
Development Review Board approval
Albuquerque's Development Review Board was set to consider plans for the project this week, but the discussion was deferred to April 28.
Small told Business First that a site plan, site infrastructure list and plat would be submitted this month with DRB review in late April and final approval in June.
FAA approval
Gorman previously told Business First the Federal Aviation Administration was requiring the company to do an environmental assessment study.
A representative for the agency was unavailable for comment on the environmental assessment. But in an email to Business First, Davis wrote that the company "has completed our requirements for the environmental assessment."
Workforce growth
During the city council meeting, Gorman acknowledged the company's expansion into former Raytheon facilities. At least one of the leases, for a property at 10800 Gibson Blvd. SE, represents a multiyear commitment to establishing a local presence.
"Our number one focus right now is ramping up these facilities because these facilities are going to be driving a lot of the talent that migrates to the Orion Center when it opens," Gorman said during the meeting. He also mentioned a meeting with a higher education official "to explore … curriculum development opportunity."
As of March, the company had openings that appeared on job boards, including those for a spacecraft systems engineer and software operations lead.
The assembly facility would need "at least" 1,000 workers, Gorman previously told Business First.
Company officials did not disclose how many people Theia Group has hired in Albuquerque so far. Davis told Business First that "questions on employees and hiring are proprietary."
Incentives
It is unclear if Theia Group has requested economic development incentives, or is planning to. But Lawrence Rael, the city's chief operations officer, said that Mayor Tim Keller's office would back a request for incentives if one were made, Business First reported in January.
According to the proposed lease and development agreement, Theia Group "intends to pursue certain economic development opportunities."
If the company does seek incentives, Small said the city "will proceed with care and scrutiny, and as always we will structure any public investment in a way that protects the taxpayer's money."
Theia Group plans to surveil the planet with satellites to provide imagery of national borders and monitor natural disasters, among other things. Satellites will be assembled and tested at the Orion Center, Business First reported.
The project is among the leading economic development initiatives for Mayor Keller, who previously said in a statement that the Orion Center "has the potential to be a game-changing partnership for our city’s aerospace and tech sector."
— Business First's Joanne Skoog and Chris Keller contributed to this story.
— Editor's note: This story has been updated to clarify details about the first phase of the proposed Orion Center provided to Business First from a city of Albuquerque spokesperson.
