FAYETTEVILLE -- The research and technology park at the University of Arkansas at Fayetteville delivered $522 million in total economic effect over its first 10 years of operation, according to a university study.
The information was released to coincide with the Arkansas Research and Technology Park's 10-year anniversary ceremony which was held Thursday at the park. The study was conducted by the Center for Business and Economic Research at the university.
The $522 million figure includes cumulative construction costs and 10-year expenditures of tenants at the park and includes economic multipliers, a spokesman from the economic research center said. The data on construction effects was provided by the University of Arkansas Technology Development Foundation while tenant data came from yearly surveys by the university and, if needed, supplemented by payroll and employment data.
UA Chancellor G. David Gearhart called the tech park a success, noting it seemed like yesterday that the park was opened. He said the park's mission of stopping "brain drain" and keeping top UA graduates from leaving the area in search of good-paying jobs in the tech sector had been fulfilled.
"By every measure, the ARTP has been a resounding success," Gearhart said.
From 2005 to 2014, companies at the park employed an average of 224 workers. Labor income from those employed at the park totaled $189.5 million from 2005 to 2014.
The park has 38 public/private companies and 196 employees at the end of fiscal 2014, according to a release.
Douglas Hutchings, CEO of Picasolar Inc. and its sister company Silicon Solar Solutions, said the companies would not have grown as quickly without the facilities and the support made available at the park. Picasolar recently received an $800,000 award from the Department of Energy to further develop its process to make solar cells more efficient. Silicon Solar Solutions won an associated $500,000 award from the DOE last year.
The company employs seven graduates from the UA, Hutchings said.
Calvin Goforth, CEO and founder of VIC Technology Venture Development, said the technology park, with its specialized lab space and access to vital equipment, played a vital role in establishing many of the company's startups.
There are 15 companies in the VIC portfolio, 12 of them Arkansas-based. Of those, nine have offices or other operations located in the park. VIC companies are involved in multiple high-tech fields including nanotechnology, cancer diagnostics, pharmaceuticals and semiconductors.
"These companies represent the jobs of the future and develop technologies that can change the world," he said.
Phillip Stafford, president of the University of Arkansas Technology Development Foundation, said that over the past decade, the park had grown into a strong platform for innovation and there were plans for further expansion and the addition of research assets to support the companies in residence and attract new tenants.
"We look forward to the years ahead," Stafford said.
Business on 10/31/2014