City Approves Key Subsidies for Biotech Firm

OCEANSIDE-City officials in this San Diego suburb have approved an incentive package totaling nearly $5 million to help Idec Pharmaceuticals Corp. build a billion-dollar, 1.3-million-sf drug manufacturing and research office campus.

Terms of the pact call for La Jolla-based Idec to receive a package of tax breaks on equipment and business licenses, as well as waivers on building and document-processing fees in exchange for the development and its 2,400 employees. When the new facility is built, Idec would become Oceanside’s largest private employer.

The city also agreed to fast-track the permit process. It will also build a “brine line” to deliver up to 1.4 million gallons of water a day to the new Ocean Ranch Corporate Centre, under development by Stirling Development of Irvine.

Idec has been negotiating with the city and Stirling Development since lastOctober and is in escrow with the developer. The company produces theanti-lymphoma drug Rituxan, which generated nearly $100 million in salesduring the second quarter of this year.

Idec will keep its headquarters in La Jolla but use the new campus to developand manufacture drugs that are in testing trials for future governmentapproval.