Tulsa: A Hidden Gem for Industrial Expansion
In last week’s newsletter, we highlighted regions with favorable conditions to build a factory, and Tulsa made the cut. Rosa Hathaway, an aerospace engineer who grew up in Tulsa and moved back after spending a decade at SpaceX, saw the newsletter and reached out to share her insights on why Tulsa truly deserves this recognition. As she put it:
"Tulsa has a highly skilled workforce, especially in the aerospace and energy sectors. The city has generations of engineers and technicians who are ready to meet the needs of modern manufacturing."
Rosa’s firsthand experience working in both aerospace and energy industries gives her a unique perspective on what makes this city an ideal location for industrial development. Below, we explore some of the key reasons why Tulsa stands out as an untapped destination for building your next facility.
1. Strong Industrial Heritage and Skilled Workforce
Tulsa has a long heritage in the oil and gas industry, but in recent years, aerospace and aviation have become major industries in the region. The city is now home to one of the largest maintenance facilities for American Airlines and is a key player in aerospace manufacturing. This expansion in the industrial foundation has resulted in a skilled workforce specializing in engineering and manufacturing, making Tulsa an attractive destination for companies seeking such talent.
2. Low Energy Costs and Renewable Energy Initiatives
One of Tulsa’s most significant advantages is its low energy costs. Oklahoma ranks among the top three states with the lowest energy prices in the U.S., which is particularly appealing for energy-intensive industries such as electric vehicle (EV) battery manufacturing and data centers. Hathaway emphasizes this point:
"One of Oklahoma's most significant value propositions for any company that's looking to expand is its low cost of energy."
Additionally, Tulsa has embraced renewable energy sources, particularly wind power. In 2023, Oklahoma generated 45% of its energy from renewable sources, with wind playing a major role. This makes Tulsa an attractive option for companies looking to reduce their carbon footprint while benefiting from affordable energy.
3. Affordable Real Estate
Tulsa has worked hard to make land affordable for companies that build factories in the region. The city has implemented several initiatives aimed at reducing costs for businesses, including tax incentives and infrastructure investments. In addition, through Oklahoma’s Supporting Industrial Transformation and Economic Success (SITES) Ready Program, communities like Tulsa receive funding to improve site infrastructure, making land more attractive and affordable for industrial development.
Rosa Hathaway mentioned that both Tesla and Rivian seriously considered building their latest factories in Tulsa. Although they ultimately chose other states, their interest highlights how attractive Tulsa has become for large-scale industrial projects.
In fact, Crusoe Energy Systems and NorSun have both recently announced plans to build factories in Tulsa. Crusoe Energy Systems is investing $10 million into a new manufacturing facility that will produce critical data center infrastructure using excess natural gas from oil fields to power its operations[2][3]. Meanwhile, Norwegian company NorSun is investing $620 million into a solar wafer manufacturing facility that will create 320 jobs and support the growth of renewable energy production in the U.S.[5][6].
Conclusion
Tulsa presents a compelling case for businesses to consider when looking to build or expand industrial facilities. With its skilled workforce, low energy costs, affordable real estate, and supportive business environment, Tulsa has many attributes that meet the needs of modern manufacturers. Whether you're in aerospace, or emerging industries like EV batteries or data centers, Tulsa offers both economic advantages and a high quality of life that can support long-term growth.
As Rosa Hathaway noted about her own decision to return to Tulsa:
"We knew that it had changed quite a bit since we had left it... It wasn't moving back home; it was moving to a new place and meeting new people."
Keep Tulsa in mind for your next industrial project!
