The city of Palmdale, California has welcomed an addition to its aerospace sector with AS Aerospace breaking ground on a new, two-phase, 90,000-square-foot manufacturing facility in Palmdale on Thursday, Oct. 16. The AS Aerospace project marks the first project delivered under the City’s Palmdale Aerospace Incentive Program (PAIP).

As the inaugural PAIP project, the company’s investment is expected to create 150 quality jobs and expand Palmdale’s role as a hub for aerospace innovation. The company is relocating and expanding its precision manufacturing and advanced component production from Santa Clarita, CA to Palmdale.

AS Aerospace breaks ground on its 90,000-square-foot manufacturing facility in Palmdale, California. (Photo: City of Palmdale)

“This is an extraordinary moment for Palmdale and a powerful validation of our vision for aerospace excellence,” said Mayor Pro Tem Laura Bettencourt at the groundbreaking. “AS Aerospace’s decision to make Palmdale its home demonstrates the strength of our business climate, and as the inaugural recipient of our PAIP, they’re bringing opportunity, economic vitality and a brighter future to our City.”

Approved by the City Council in 2023, PAIP leverages Measure AV funds to attract and retain aerospace businesses in Palmdale. The program provides up to $250,000 per project in financial incentives tied to job creation and capital investment. PAIP supports companies seeking to grow beyond the Los Angeles basin by offering proximity to Air Force Plant 42, available land and a skilled workforce.

This milestone underscores Palmdale’s competitive advantages for aerospace and defense companies seeking to expand beyond the Los Angeles basin, where many small to mid-size businesses may be limited in growth opportunities. Palmdale’s proximity to Air Force Plant 42, available land and skilled workforce create an ideal opportunity.

The city is actively expanding its aerospace sector, supported by its history and strategic efforts to attract and grow aerospace businesses.

Other significant aerospace companies, such as Lockheed Martin’s Skunk Works, which has had a presence in Palmdale for 80 years. The operation there is focused on advanced technologies like hypersonic flight and next-generation spacecraft.

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