Hauppauge, NY The Suffolk County Industrial Development Agency (IDA) has preliminarily approved a transaction to assist Citation Healthcare Labels, LLC expand its manufacturing and labeling operations within the Innovation Park at Hauppauge. With the IDA’s support, Citation Healthcare Labels will keep its existing facility, located at 55 Engineers Road in Hauppauge and expand into the neighboring facility, located at 65 Engineers Rd. The $3.5 million project will allow for the renovation and equipping of the new 23,000 s/f facility that will support the company’s growing need for manufacturing and warehousing space, while increasing its overall headcount from 126 to 151 full-time employees within two years.
“Citation Healthcare Labels, LLC has been operating in Suffolk County for more than 60 years and we are proud to support this company’s expansion that also bolsters the growth of our region’s pharmaceutical hub,” said Kelly Murphy, acting executive director of the Suffolk IDA. “This company, whose parent company is located in Minneapolis, had many options to relocate its operations. We are happy that our assistance will keep them here in Suffolk County and provide new employment opportunities for our residents.”
Founded on Long Island in 1963, Citation Healthcare Labels is an industry leader in technologically advanced in-house manufacturing of clinical trial labeling solutions. The company specializes in high-quality expedited services for the Pharmaceutical, Biotech, Contract Research Organization (CRO) and Contract Packaging industries. In 2018, the company was acquired by AWT Labels & Packaging, headquartered in Minneapolis, MN. Despite its acquisition, the executive and operational management teams were kept fully intact, which has positioned them well for growth.
“We are grateful to have the support of the Suffolk IDA on the expansion of our facilities here in Suffolk County,” said Frederick Youngs, chief operating officer of Citation Healthcare Labels, LLC. “Having outgrown our current facilities, we were exploring all options to grow our business with the hopes that it was possible to do so while remaining on Long Island. Without the help of the IDA, this expansion project and the growth of our business in the Long Island area would not be possible.”
The acquisition of the adjacent site brings Citation Healthcare Labels local footprint from 36,000 s/f to 59,000 s/f. The investments into the facility will feature state-of-the-art technology and machinery allowing the company to remain on the cutting edge of its industry. Additional facility improvements also include upgrades to the existing heating, ventilation, and air conditioning (HVAC) system to ensure the properties are supported with an ideal temperature and humidity-controlled storage environment. Construction will also include a buildout of a storage area in the warehouse to store raw material and any work-in-progress (W.I.P) items.
The 25 new full-time employees to be created over the first two years of this transaction will have average annual salaries of more than $60,000 and increase the company’s overall payroll from $7.7 million to more than $9.1 million. Moreover, Citation Healthcare Labels has kept a focus on hiring residents of all levels—skilled, unskilled, supervisory and managerial. The local economy will also see a boost as local vendors and service providers will be hired during the preparation and installation of the state-of-the-art manufacturing equipment within the facility.