Carrier to Invest $600M in Fort Worth Chiller Plant, 1,500 Jobs

Carrier Global Corporation said Thursday morning it will invest more than $600 million over the next three years in a new advanced manufacturing and engineering center of more than 1 million square feet in Fort Worth, Texas, at AllianceTexas, with operations expected to begin in 2027 and about 1,500 jobs planned (Carrier via PR Newswire). This is a developing story.

What Happened

Carrier, the HVAC and refrigeration manufacturer headquartered in Palm Beach Gardens, Florida, announced the project in a release issued at 6:30 a.m. Eastern time (PR Newswire). The company said the Fort Worth center will expand U.S. production of advanced thermal management systems, including air cooled and water cooled commercial chillers (PR Newswire). Those chillers serve data centers, healthcare, education and industrial customers, and Carrier tied the expansion to record backlog in its commercial HVAC business (Investing.com).

The company said it chose Fort Worth for its skilled workforce, existing manufacturing base and location (PR Newswire). Carrier said the 1,500 positions will include advanced manufacturing, engineering and other roles (RTTNews), and that the facility will include engineering labs along with workforce development programs built with local schools and colleges (Investing.com).

Chairman and CEO David Gitlin said the investment "reflects the strong demand we are securing for high-performance, energy-efficient solutions" (PR Newswire). Fort Worth Mayor Mattie Parker, Fort Worth Economic Development Partnership President and CEO Robert Allen, and Ross Perot Jr., chairman of Hillwood and The Perot Companies, which develops AllianceTexas, were also quoted in the release (PR Newswire).

What Is Confirmed

• Investment: More than $600 million over three years (PR Newswire).
• Size: More than 1 million square feet of manufacturing and engineering space (PR Newswire).
• Jobs: About 1,500 (RTTNews).
• Schedule: Operations expected to begin in 2027 (PR Newswire).
• Products: Air cooled and water cooled commercial chillers and other thermal management systems (PR Newswire).
• Sustainability: The facility is expected to pursue LEED certification (PR Newswire).

How the Project Took Shape

The announcement follows several weeks of public steps in Fort Worth. In September, the Fort Worth City Council approved a seven year, 60% tax abatement on real and business personal property valued at $10.9 million and nominated Carrier for a $2.5 million Texas Enterprise Zone grant (Community Impact). That earlier proposal described a $433.8 million project, made up of $36 million in real property construction and $397.8 million in equipment, with at least 495 full time jobs by the end of 2029 at a minimum average salary of $75,000 (Community Impact). At the time, Carrier was weighing four locations, with Virginia and Alabama among the competitors (Community Impact).

On October 14, a project registered as "Project Jay - Carrier" was filed with the Texas Department of Licensing and Regulation for Hillwood's Alliance Westport 12 building at 1501 Distribution Drive (North Texas Front Porch). That filing lists an estimated $500 million cost for selective demolition and upgrades to about 600,000 square feet of an existing 1.2 million square foot building, including new offices, mezzanines, an elevator, envelope improvements and infrastructure for three manufacturing lines (North Texas Front Porch). The filing shows construction starting December 1, 2026, and finishing September 1, 2027, and lists the work as privately funded (North Texas Front Porch).

Thursday's release does not name a street address or building, and it does not explain how the $600 million, 1 million square foot, 1,500 job plan relates to the earlier $433.8 million city proposal or the $500 million state filing (PR Newswire; North Texas Front Porch). The release also does not describe any incentives (PR Newswire).

What Is Not Yet Known

• Whether the larger investment and job count will change the city abatement agreement or the state grant nomination.
• Whether the full 1 million square feet will be in the existing Alliance Westport 12 building, an expansion of it, or additional space.
• The general contractor, design team beyond the rendering credits, and bid timing for interior fit out and process work.

What It Means for Owners and Contractors

This is a large industrial conversion rather than a ground up shell. The state filing points to heavy interior work: demolition, structural mezzanines, vertical circulation, envelope upgrades and utility infrastructure for production lines (North Texas Front Porch). That scope tends to lean on electrical, mechanical, process piping and specialty trades, and a nine month window between the filed start and finish dates would be a compressed schedule for work of that kind.

The project also shows how data center demand is reaching down the supply chain. The chillers Carrier plans to build go into the same data center, healthcare and industrial projects that have been filling contractor backlogs (Investing.com). WCG has tracked that pattern in recent coverage of contractor backlog reaching 8.7 months and the national factory pipeline. More domestic chiller capacity could ease lead times for long lead mechanical equipment on future projects, though that depends on how quickly the plant ramps up after 2027.

The announcement adds to a run of Texas manufacturing commitments this month, including Blue Origin's planned $550 million campus and Lockheed Martin's $300 million Grand Prairie expansion. Several large projects competing for the same North Texas skilled labor pool can affect crew availability and pricing.

What to Watch

• Any revised abatement or incentive agreement brought back to Fort Worth City Council.
• Updated state filings reflecting the larger scope.
• Contractor selection and subcontract bid packages ahead of the planned December start.
• Carrier's next quarterly earnings call for detail on backlog and capacity plans.

Related Coverage

• Blue Origin Plans $550M Texas Campus as Six Plant Projects Top $950 Million
• Lockheed Martin Invests $300M to Expand Grand Prairie Munitions Plant
• Contractor Backlog Rises to 8.7 Months in September as Data Centers Lead
• $500B in U.S. Factories Under Construction as $3.4T Pipeline Waits

Image credit: Summit Consultants, Gray AES and Hillwood, courtesy of Carrier Global Corporation. Image from the source article.

Sources

• PR Newswire (Carrier Global Corporation), "Carrier to Invest More Than $600 Million to Expand Advanced U.S. Manufacturing and Engineering Capacity," https://www.prnewswire.com/news-releases/carrier-to-invest-more-than-600-million-to-expand-advanced-us-manufacturing-and-engineering-capacity-302916232.html
• Investing.com, "Carrier to invest $600M in Texas manufacturing facility," https://www.investing.com/news/company-news/carrier-to-invest-600m-in-texas-manufacturing-facility-93CH-4965352
• RTTNews, "Carrier Global Plans To Expand US Operations With $600 Mln Investment In Texas," https://www.rttnews.com/3701783/carrier-global-plans-to-expand-us-operations-with-600-mln-investment-in-texas.aspx
• Community Impact, "Fort Worth aims to secure $433.8M Carrier Global Corporation plant," https://communityimpact.com/keller-roanoke-northeast-fort-worth/development/fort-worth-aims-to-secure-433-8m-carrier-global-corporation-plant/
• North Texas Front Porch, "State Filing Details $500 Million Manufacturing Project Near Alliance," https://ntxfrontporch.com/state-filing-details-500-million-manufacturing-project-near-alliance/