East End Houston is set to become the home of the largest maker hub facility in Texas and one of the most robust economic development ecosystems in the country. The goal of the new 300,000 Sq. Ft. building is to create an environment that provides community members with access to trade skills education and career opportunities, and businesses with a state-of-the-art facility for innovation and manufacturing.

The East End Maker Hub (EEMH) is being built in three phases.

Phase one will be completed during the fourth quarter of 2020, and it will include "white box" suites focused on three areas: Innovation (Robotics, 3D printing and R&D), Crafting (Ceramics, fine wood-working and screen printing), and Light Fabrication (Food production). These suites will consist of a variety of sizes ranging from 420 to 20,000 Sq. Ft. According to Mike Pittman, Development Associate with non-profit real estate development firm, Urban Partnerships Community Development Corporation (UPCDC), the East End Maker Hub suites will be delivered with "heating and cooling capabilities, concrete floors, white walls, exposed ceilings or 12 Ft. drop ceilings (depending on size), roll-up doors, LED lights, and a sprinkler system."

Phase two is expected to be finished during the first quarter of 2021. Once completed, the EEMH will add its fourth key area: Heavy Fabrication (Welders, CNC machinist, OEM, and others). The heavy fabrication suites will range from 900 to 30,000 Sq. Ft. and will feature corrugated metal walls, exposed ceilings, roof exhausts, LED lights, roll-up doors, and insulated roofing. Phase three is expected to be ready for occupancy by the end of 2021.

EEMH is conveniently located in an area of East End Houston designated by the State of Texas as a Qualified Opportunity Zone. Among other benefits, the designation allows companies operating within the zone to delay capital gains tax liabilities and decrease capital gains tax (usually ranging from 15-20%). The savings generated can add significant reinvestment opportunities to interested companies. Additionally, businesses that operate at 50% capacity inside the EEMH facility can deduct equipment expenses and a percentage of company profits from taxes. "These are meaningful incentives for any business that benefit economically-distressed communities where new investments are encouraged to spur economic development and job creation," added Patrick Ezzell, President of UPCDC.

The East End Maker Hub is a collaboration between TXRX Labs and Urban Partnerships Community Development Corporation. TXRX Labs invested $1.25 million in equity into the hub, and UPCDC raised the additional $35.75 million in capital required for the project through New Market Tax Credits (NMTCs), funding partners, the City of Houston and the US Economic Development Administration. The NMTCs were provided by Research Park, the People Fund, and McCormack, Baron Salazar.

Veronica Chapa Gorczynski, President of the East End District, looks forward to the opportunities that the East End Maker Hub can bring to businesses and the community. She said, "Houston makers and manufacturers have been the backbone of economic activity in the East End since the early 1900s. The area remains home to a diverse range of industrial manufacturers eager to propel their businesses and benefit the local workforce.” She added, “Having the largest maker hub in Texas – and one of the largest in the United States – is something that we are really proud of in East End Houston.”

To learn more about the East End Maker Hub visit: https://eastendmakerhub.org