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Greater Richmond is building the future of American manufacturing
September 30, 2026
13.8 million square feet and counting: Manufacturing drives Greater Richmond’s record growth
As the nation marks National Manufacturing Day on Oct. 2, Greater Richmond has a milestone worth celebrating. The region has more industrial space under construction than at any point in its history, and much of it is being built to make things.
According to CoStar data, Greater Richmond reached a record 13.8 million square feet of industrial space under construction in the second quarter of 2026. The companies behind that growth are producing everything from power equipment and heat exchangers to lighting controls, medicines and building bricks.
A top 10 market for industrial construction
Nationally, Richmond ranks ninth for industrial square footage under construction, trailing major hubs including Dallas-Fort Worth, Washington, D.C., Houston, Phoenix, Atlanta, Chicago and Austin. Every metro ahead of Richmond has a substantially larger population and industrial base. Among metros with fewer than 5 million residents, Greater Richmond ranks third, behind only Columbus, Ohio, and Austin, Texas.
This is not a short-lived pandemic boom. The pipeline grew steadily through 2024 and 2025 before reaching its 2026 peak, a sign that manufacturers see the region as a long-term investment.
Manufacturers are growing where they already operate
Some of the region’s strongest momentum comes from companies that know Greater Richmond best.
Demand for power and cooling equipment is driving a wave of reinvestment. Eaton is investing more than $50 million in a new 350,000-square-foot campus in Henrico County, adding 200 jobs to build the switches and power distribution equipment that keep mission-critical systems running. Alfa Laval is doubling heat exchanger production at its Henrico facility by mid-2028, pairing added automation with new workforce training. In Chesterfield County, Super Radiator Coils expanded into a nearly 100,000-square-foot production facility planned for about 120 employees.
Lutron Electronics, a global leader in lighting controls and automated shading, invested $28.3 million to build a manufacturing facility in Hanover County, bringing its intelligent building technology to the region’s growing production base.
Food and beverage manufacturing is growing too. Sapporo named its City of Richmond brewery as its sole U.S. production base, concentrating American production here even as the broader beer market contracted.
Landmark projects are reshaping the region
The LEGO Group’s more than $1.5 billion factory in Chesterfield County remains on track to open in 2027. Its local team is expected to grow to about 900 by the end of 2026 as it prepares highly automated molding and packing operations.
Eli Lilly is investing $5 billion in a Goochland County facility that will produce critical drug components and finished medicines. That project joins a growing pharmaceutical cluster that includes Richmond-based Phlow, a partner in Virginia’s Advanced Pharmaceutical Manufacturing Tech Hub. In July, the Tech Hub secured a $15.97 million federal award to build a fully domestic supply chain for essential medicines used in emergency and critical care.
Why manufacturers choose Greater Richmond
Industrial construction is a strong leading indicator of future jobs and investment. Manufacturers continue to choose Greater Richmond for its long-term advantages:
- A central East Coast location with access to nearly half of the U.S. population within a day’s drive.
- Proximity to the Port of Virginia, home to the deepest harbor on the East Coast.
- Competitive operating and real estate costs compared with larger East Coast markets.
- Interstates 95 and 64, freight rail access and Richmond International Airport.
- A productive workforce, with the region ranked No. 1 among large U.S. metros for food and beverage worker productivity.
This National Manufacturing Day, the numbers tell a clear story. With a record 13.8 million square feet of industrial space under construction and global manufacturers choosing to grow here, Greater Richmond is building the next generation of American manufacturing.
