Regeneron Gets OK for Huge Expansion in Greenburgh, New York

Regeneron is one step closer to its massive expansion plans for Greenburgh, N.Y., a town a few miles from the company headquarters in Tarrytown. When complete, the expansion is expected to double the size of Regeneron’s footprint in Greenburgh.

This week, Greenburgh town officials approved a plan for the company’s expansion that includes 1 million square feet of space on a 30 acre parcel of land. Construction is expected to be done in phases and could begin quickly in order to meet the needs of Regeneron, which has been booming over the past year.

"This recent site plan approval will provide us the flexibility to potentially expand our R&D campus in the future as needed," Regeneron spokeswoman Alexandra Bowie said in a statement provided to the Hudson Valley’s Journal News. "We appreciate the continued support of our communities, county and New York state in helping us plan for our ongoing growth." 

There are still a few hurdles remaining before Regeneron breaks ground on the site, including design approval, but it seems that the company’s long road is nearing an end. Regeneron first announced its intention to expand its R&D facilities in Greenburgh in September of 2015. As part of its proposal, Regeneron plans to build five new buildings and five partially underground parking garages on 30 acres of a 100-acre parcel it owns. The 100-acre site was acquired for $73 million by Regeneron’s subsidiary, Loop Road Holdings.

The growth in the Hudson Valley has been part of Regeneron’s strategic plans for years. In 2014, Leonard Schleifer, Regeneron’s president and chief executive officer, said that the company will double its 2,500-employee workforce over the next five years. The company has seen strong growth over the past few years, which includes an increase in headcount.

That growth, which includes the addition of hundreds of new employees in Ireland, has been spurred on by numerous pipeline successes, particularly those in partnership with Sanofi. This year alone, the two companies have snagged FDA approval for two jointly-developed drugs. In May, the companies gained approval for rheumatoid arthritis drug Kevzara (sarilumab). Data from a Phase III trial released in March showed that sarilumab outperformed AbbVie’s Humira. In March, the FDA approved Dupixent (dupilumab) for the treatment of adults with moderate-to-severe atopic dermatitis.

More recently, the FDA awarded Regeneron’s and Sanofi's skin cancer drug Cemiplimab, a PD-1 inhibitor, Breakthrough Therapy Status. If approved, that could mean big money for the two companies. PD-1 inhibitors like Merck’s Keytruda or Bristol-Myers' Opdivo have generated more than $2 billion in sales per quarter, according to reports last month.

Earlier this month, Regeneron beat Wall Street expectations for the third quarter. The company saw total revenues increase by 23 percent during the quarter. That was driven by a 12 percent U.S. sales growth from its Eylea (aflibercept) injection. The company also saw strong performance in Dupixent. In the third quarter, the newly-approved drug generated $89 million in mostly U.S. revenues. Sales of Praluent also demonstrated stronger earnings during the quarter when compared to the previous year, Regeneron said.