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ew York City has selected Skanska to oversee the construction of the first phase of SPARC Kips Bay, a massive life science and education project. The city's Economic Development Corporation awarded the lucrative contract, valued at nearly $1 billion, to Skanska on Friday. Construction is expected to begin by the end of 2024, with completion slated for 2031.

    The campus will span between First Avenue and the FDR Drive, from East 25th to East 26th streets. The first phase will feature over 600,000 square feet of educational facilities for CUNY and NYC Public Schools, as well as a public open space. Phase two will include life science space, an outpatient care center, and laboratory space for the Office of Chief Medical Examiner.

    The project aims to generate $42 billion in economic benefits over three decades, creating nearly 2 million square feet of life science and education space and 3,100 permanent jobs. The city has set a goal for minority- and women-owned businesses to participate in the project at a rate of 30%, with certified service-disabled veteran-owned businesses making up 6% of the workforce.

    Despite challenges facing the life science market due to high interest rates, industry experts predict long-term growth. A recent JLL report notes that while short-term headwinds persist, signs point toward sustained growth for life sciences globally.