Economic development organization moves HQ from Northeast Philadelphia to Navy Yard

Delaware Valley Industrial Resource Center is moving its headquarters from Northeast Philadelphia to the Navy Yard, where it wants to have a “command center” for future footprint expansion.

An economic development organization for Philadelphia-area manufacturers, Delaware Valley Industrial Resource Center’s move is a bid to be closer to the maritime economy that the Navy Yard has long been known for and continues to be invested in. The organization has signed a five-year lease with Philadelphia Industrial Development Corp. at the 4,000-square-foot Quarters M4 building at 4609 S. Broad St.

The 27-year-old Delaware Valley Industrial Resource Center is moving from a 25,000-square-foot building at 2905 Southampton Road that it owned and recently sold along with a lease agreement in place for the property. The sale has not been recorded in public records and the organization declined to comment on the sale price or buyer.

Now, DVIRC has a different strategy to build out its footprint across the region.

CEO Chris Scafario said that within the next 12 to 18 months, the organization could open four to six satellite locations across the region. They could be done in partnership with colleges or other economic development organizations to facilitate workforce development.

The move to South Philadelphia’s Navy Yard is a push to get closer to spaces where manufacturing innovation is happening around the region. Delaware Valley Industrial Resource Center will be able to bring partners in its network to a historic cradle for manufacturing in Philadelphia that is seeing its own revitalization with major investments. The Quarters M4 will serve as what Scafario describes as a “command center.”

“The strategy is part of our moonshot to really build a strong and thriving ecosystem for universities, for entrepreneurs, inventors, manufacturers large and small to engage and accelerate the competitiveness of our region,” Scafario said.

The new home base will put the organization closer to major partners in the region like Rhoads Industries, which recently announced a $100 million Navy Yard expansion, and Hanwha Philly Shipyard, a South Korean conglomerate planning to invest $5 billion at the Navy Yard.

A spokesperson for PIDC said the two organizations’ “shared mission of creating economic opportunities for the region makes their move to the Navy Yard a natural fit.”

Founded in 1998, Delaware Valley Industrial Resource Center works with over 400 manufacturing firms in the region. Its services can range from consulting on technology projects, leadership development, convening manufacturing firms for events and corporate turnarounds through training. Other recognizable companies in the organization’s network include Liberty Coca-Cola and Herr’s Potato Chips. The group also works closely with the U.S. Navy through the Maritime Industrial Base Program, designed to enhance American shipbuilding capabilities, according to Scafario.

Most of Delaware Valley Industrial Resource Center’s nearly 30 employees work offsite with manufacturers, negating the need for the large Northeast Philadelphia space. Instead, the Navy Yard site will allow for the organization to have rotating teams in the office, along with space for events and conferences. The organization will grow to 34 employees by mid-October, Scafario said.

Delaware Valley Industrial Resource Center will also house its new Artificial Intelligence Center for Excellence at Quarters M4, an area where the organization is hiring and plans to invest seven figures by 2027. Scafario said the initiative builds a “road map” for firms that want to have “an advanced pursuit of data driven manufacturing.” Its done through open enrollment or on-site training in which DVIRC gives manufacturers standards of engagement and operating protocols for AI use.

“[Manufacturing leaders] start to see [AI] as kind of a turbo charger, a way to speed up efficiencies in other parts of the business,” Scafario said of the progress of the program.