Written by Kenton Hornbeck, LINK nky reporter
Biological Technology and Life Sciences are two burgeoning sectors within the Northern Kentucky economy. The development of these industries locally has provided the area with numerous high-wage jobs.
In Covington, some firms have also played crucial roles in the response to COVID-19.
Kentucky Gov. Andy Beshear has allocated $10 million in his proposed two-year state budget for a new Life Sciences wet lab in Covington. Wet labs have plumbing, ventilation and other equipment vital for the day-to-day operations for scientific research.
“My budget invests $10 million in the City of Covington to support the construction and outfitting of a shared research and development lab facility to serve the rapidly expanding life sciences sector in the region,” Beshear said.
The money will specifically go towards the design and construction of the new center. City officials have reached out to the 16-member Northern Kentucky Legislative Caucus asking for support of the proposal.
The final say on the $10 million allocation will come from the 138-member Kentucky General Assembly, which is meeting now to pass a state budget. The $10 million allocation does not include the cost of land acquisition, parking, or operations. The operations of the lab would be funded by rent, foundational support, and contributions from local companies.
The partnership would encourage startups to remain and grow in Kentucky by leveraging state and local incentives, proponents argue.
According to a labor analysis from Northern Kentucky Tri-ED, employment in the Life Sciences sector grew over 82 percent from 2014 to 2019. This employment growth is centered around various companies in the Life Sciences sector emerging within the urban core of Covington.
The City of Covington and four local biotech companies headquartered in the city spearheaded the partnership. Other partners in the lab project include Northern Kentucky University, Northern Kentucky Tri-ED, the Kentucky Small Business Development Center and the NKU Collaborative for Economic Engagement.
The four local companies heavily involved with the effort were Bexion Pharmaceuticals, Gravity Diagnostics, CTI Clinical Trial & Consulting Services and BioWish Technologies.
Bexion Pharmaceuticals, a clinical-stage oncology company, started in 2006 with only two researchers. Now the company’s lead compound, BXQ-350, is on the cutting edge of contributing to the proverbial fight against cancer. Gravity Diagnostics, Greater-Cincinnati’s fastest growing company, has tested over 3 million COVID-19 samples since the start of the pandemic. These two companies, as well as CTI Clinical Trial & Consulting Services and BioWish Technologies, are integral to the economic growth of Covington.
“There are smart people in this region, strong research institutions, emerging businesses with good ideas, and sources of funding – what’s missing is the lab space needed to generate data and grow those businesses,” said Margaret van Gilse, Bexion’s Vice President of Business Development. “When we started, there was no wet lab space for rent between Columbus, Ohio, and Lexington, Kentucky.”
The lab will be built on land contributed by the City of Covington. There is no public information available yet on the future site of the project. It’s envisioned to include 10,000 square feet space with enough room to accommodate 15 startup companies as well as shared amenities and multiple meeting spaces.
A nonprofit organization will be set up to oversee the construction and operations for the building. The board of directors for the nonprofit organization will include life sciences experts and public sector partners.
“Unless you’re in life sciences, you might not appreciate the magnitude of these companies’ work and the breadth of their reputation,” Covington Economic Development Director Tom West said. “So, when they say this shared lab is the single-biggest missing element that can help Northern Kentucky build on its momentum in life sciences and biotech and help it attract and grow new companies, we all should not only listen but also take action.”
Photo: In its lab on Russell Street, researchers from Bexion Pharmaceuticals are working to revolutionize the treatment of cancer. (Photo courtesy of Bexion)
