Rice University is planning a $100m redevelopment of a former retail store to create an incubator that it hopes will buoy the local startup ecosystem, the Houston Chronicle has reported.
The scheme is expected to concentrate on industries including energy, healthcare, data and logistics. It is regarded as a response to the city of Houston missing out in its bid to host e-commerce firm Amazon’s second US headquarters.
Construction on the first phase of Rice’s project is due to finish by early 2020. The 190,000 square-foot facility will include co-working spaces, offices, and restaurants, adorned by a restored art deco façade and 1930s-style interior décor.
The project is to be funded by the university’s endowment arm, Rice Management, which has acquired a 28-year lease on the property and surrounding sites. It will be operated by local incubator Station Houston.
Medical district Texas Medical Center, which contains Rice University, plans to build a data science division at the incubator sponsored by its healthcare-focused accelerator, TMCx. Rice is also expected to gain support from Houston Exponential, a local government-backed entrepreneurship unit formed in October 2017.
Rice University plans to partner University of Houston, Houston Community College, University of St. Thomas, Texas Southern University and Lone Star College on the project, which could form part of a proposed four-mile “innovation corridor” between Texas Medical Center and downtown Houston.
Bob Harvey, president and chief executive of economic development agency Greater Houston Partnership, said: “I think there is a growing realisation that Houston needs to act and act quickly to build up the digital economy.
“The Amazon result served as a catalyst for much more immediate action than we had previously anticipated.”