Solstice Advanced Materials to Invest $49 Million in Buffalo R&D Expansion

Solstice Advanced Materials announced on Friday, October 9, 2026, that it plans to invest $49 million to expand research and development at its Peabody Street facility in Buffalo, New York. The state is backing the project with up to $1.4 million in performance-based Excelsior Jobs Program tax credits, and the company has committed to adding 12 full-time positions.

What Happened

Governor Kathy Hochul announced that Solstice Advanced Materials US, Inc. will construct, renovate and equip its Buffalo research and development facility to expand its capabilities in advanced materials and chemical processes, according to the Governor's Office. The company issued its own announcement the same morning from its headquarters in Morris Plains, New Jersey, confirming the $49 million figure, as published on PR Newswire.

The state describes the investment as one that will make Buffalo the company's premier global research and development hub, per the Governor's Office. Empire State Development is supporting the project with up to $1.4 million through the Excelsior Jobs Tax Credit Program, which is tied to performance, the state said.

What Is Confirmed

The two announcements agree on the core facts. The details below come from the state and the company.

• Investment: $49 million, covering construction, renovation and equipment at the existing Buffalo site, per the Governor's Office.
• Location: The company's Peabody Street research and development facility in Buffalo, per the Governor's Office.
• Scope: Upgrades for refrigerant and thermal management research, enhanced toxicological testing capabilities, and a laboratory for advanced energy storage materials, according to the company's release on PR Newswire.
• Incentives: Up to $1.4 million in performance-based Excelsior Jobs Program tax credits from Empire State Development, confirmed by both the Governor's Office and the company on PR Newswire.
• Jobs: 12 new full-time positions, which the company says it has committed to create by June 2027, per PR Newswire. The site currently has a workforce of about 180 scientists, engineers and support staff.

Background on the Site and the Company

The Buffalo facility opened in 1955, and research conducted there has produced more than 3,700 patents worldwide, according to the company's release on PR Newswire. The company says the site played a leading role in several generations of widely used refrigerant technologies.

Solstice Advanced Materials was formed in October 2025 as a spin-off of Honeywell's specialty materials business, per the Governor's Office. It makes specialty materials used in refrigeration, foam insulation, aerosols, energy storage and semiconductor manufacturing. The company reports about 4,100 employees worldwide, more than 3,000 customers in over 120 countries and territories, and more than 5,700 patents and pending applications. Its shares trade on Nasdaq under the ticker SOLS.

In the state's announcement, Governor Hochul said the investment will create good-paying jobs, and Ryan Hulse, the company's senior director for research and development, said the expansion will speed up innovation for customers, per the Governor's Office. Empire State Development President, CEO and Commissioner Hope Knight, State Senator April N.M. Baskin, Buffalo Mayor Sean Ryan and Erie County Executive Mark C. Poloncarz also issued statements supporting the project. In the company's release, President and CEO David Sewell tied the investment to the company's ability to bring advanced materials to market, per PR Newswire.

What Is Not Yet Known

This is a developing story, and several details that matter to the construction market have not been released.

• Neither announcement gives a construction start date or a completion date. The only dated commitment is the June 2027 hiring target.
• No architect, engineer, construction manager or general contractor has been named.
• The split of the $49 million between new construction, renovation and laboratory equipment has not been disclosed, and no square footage has been given.
• The procurement approach and bidding schedule have not been announced.

The company's release also includes standard forward-looking language noting that its plans are not final and could be modified or abandoned, and it lists tariffs, trade policy and supply chain disruption among the risks, per PR Newswire.

What It Means for Owners and Contractors

For Western New York contractors and subcontractors, this is a private industrial research project at an occupied, long-established campus. Work of this kind usually calls for trades with laboratory experience: process and mechanical piping, specialty ventilation and exhaust, controls, electrical and clean interior fit-out. The stated scope, which includes refrigerant research, toxicological testing and energy storage materials, points toward technically demanding laboratory space instead of general warehouse or office construction.

Renovation inside an operating research facility also brings constraints that affect pricing and schedule. Phasing around active laboratories, shutdown coordination, safety procedures for chemical environments and long lead times for specialized equipment are common on projects like this. Firms interested in the work should watch for a named design and construction team.

For owners, the announcement is another example of a manufacturer choosing to reinvest in an existing building. The Excelsior Jobs Program award is performance-based, so the tax credits depend on the company meeting its commitments. Owners weighing similar expansions in New York should note that state support was tied to both capital investment and job creation at an existing site.

What to Watch

• Selection of the design and construction team, and any bid opportunities for trade contractors.
• Local permitting and site plan filings with the City of Buffalo, which would reveal the size and type of construction.
• A construction schedule, including whether work is phased to keep the existing laboratories operating.
• Progress toward the 12 new positions the company has committed to by June 2027.

Image credit: New York State Governor's Office. Image from the source article.

Sources

• New York State Governor's Office, "Governor Hochul Announces Solstice Advanced Materials to Expand in Buffalo": https://www.governor.ny.gov/news/governor-hochul-announces-solstice-advanced-materials-expand-buffalo
• PR Newswire (Solstice Advanced Materials), "Solstice Announces $49 Million Investment to Expand Research and Development Capabilities in Buffalo, New York": https://www.prnewswire.com/news-releases/solstice-announces-49-million-investment-to-expand-research-and-development-capabilities-in-buffalo-new-york-302903647.html