Pritzker is closer to creating 'Silicon Valley of quantum development' at ex-South Works site
Gov. J.B. Pritzker’s goal to make Illinois “the Silicon Valley of quantum development” took a massive leap forward Thursday with the announcement of the 128-acre Illinois Quantum & Microelectronics Park at the former U.S. Steel South Works facility.
The campus will be anchored by PsiQuantum, a Palo Alto, California-based company, which announced plans Thursday morning to build the nation's first commercially useful quantum computer at the site.
The site is estimated to have a $20 billion economic impact over the next decade and create thousands of jobs in quantum computing and related fields. It will also breathe new life into the former South Works facility, which has sat vacant since its closure 30 years ago.
"This is a leap of faith, in many ways," Pritzker said. "The General Assembly understood that we had a great opportunity, but they also knew that making an investment of this kind can be groundbreaking. And it was something that was timely and important to do right now. They really … stepped up to the plate."
Pritzker’s 2025 budget allocated $500 million in state investment to help fund quantum research. Of that, $300 million will go toward building the South Works campus.
The city of Chicago also allocated $5 million from Mayor Brandon Johnson’s $1.5 billion housing and economic development bond.
Cook County will contribute an additional $5 million to establish the park, Cook County Board of Commissioners President Toni Preckwinkle said. It’s also working with the city on a new property tax abatement program. Through that program, the quantum campus could be certified for Class 8 MICRO property tax incentives, cutting assessment levels from the standard 25% for industrial properties to 10% for 30 years with no renewal periods.
"This was a combined effort that took all of us not only believing in the potential of this project, but putting our time and our investment behind that belief," Pritzker said. "It is a powerful testament to all that we can achieve for Illinois, for the country and for the world when we are all pulling in the same direction."
Ready by 2027
Related Midwest President Curt Bailey said the remainder of the 400-acre campus — aside from the 128-acre park — will likely be centered around innovation and technology.
He anticipates Related will complete three to four buildings after PsiQuantum's facility and says interest in the park is already surging.
"There have been a tremendous amount of people, mostly talking to the state already," Bailey said.
The Illinois Quantum & Microelectronics Park will be the first development at the 400-acre property at 8080 S. DuSable Lake Shore Drive. It will be situated on the southern end of the former South Works site.
Phase one is expected to be completed in 2027.
PsiQuantum’s facility will be co-developed by real estate firm CRG and Related Midwest. Lamar Johnson Collaborative will design the first phase of the park, which will span 30 acres, and Clayco will be the general contractor.
The old South Works site has long been troubled. Since the steel mill’s closure, several proposals for redeveloping the property have been put forward — including a new Solo Cup Co. factory and thousands of homes. But environmental concerns with the site contributed to the abandonment of various redevelopment plans over the years.
Preckwinkle said the quantum park is a "real, tangible, transformative plan" and marks a historic moment for the South Chicago neighborhood.
"Today's historic announcement reflects a significant commitment by state and local units of government to a neighborhood, a community of color, that has long been marginalized and is overdue for genuine investment," she said.
Johnson said he was "here to revitalize" the community and planned to connect residents to the thousands of new jobs that will be generated at the campus.
The campus also brings together the "best and brightest" of Illinois, PsiQuantum CEO and co-founder Jeremy O’Brien said.
"This quantum computer will change how the world lives, works and heals. And that machine will be built here in Chicago," O’Brien said. "Today, we stand at the threshold of a new era — one that promises cleaner skies and seas, faster development of life-saving drugs, and advancements we can only begin to imagine. We look forward to the hard work ahead, and we look forward to doing that with all of you here."
The park will be managed by the University of Illinois Urbana-Champaign's Grainger College of Engineering. Harley Johnson, Grainger's associate dean for research and founder professor, will serve as the inaugural director for the project.
The University of Chicago, the Chicago Quantum Exchange, Argonne National Laboratory, Fermi National Accelerator Laboratory and the U.S. Department of Defense’s Advanced Research Project Agency are among the groups who will take advantage of the quantum campus.
Brian DeMarco, Grainger Engineering professor of physics and director of the Illinois Quantum Information Science and Technology Center, will lead the park’s administration of the DARPA Quantum Proving Ground and the development of a one-of-a-kind cryo facility.
Pritzker announced last week that DARPA would operate a program for testing quantum computing prototypes.
Neighborhood impact concerns
While city, county and state leaders heralded the campus as a "powerful testament" to what their combined efforts can achieve, some neighbors have expressed concerns over the project.
Johnson's office said the site has received environmental clearance for development, but the city "will work closely with the Illinois Environmental Protection Agency to address any unforeseen remediation requirements and meet current regulatory standards."
But some residents are calling for an evaluation of environmental impacts and a possible community benefits agreement. Among the voices pushing for such an agreement is The Alliance of the Southeast, an interfaith coalition of churches, schools, businesses and community organizations.
The alliance said in a news release that it was "concerned about the facility's cooling systems potentially releasing heated water into Lake Michigan, promoting harmful algae growth and toxins." And it could negatively impact aquatic life as well as the city's drinking water.
"With this investment, we don’t want our communities to be left behind. We built the steel backbone to Chicago, we want to be included in its future," Sam Corona, ASE community organizer and longtime southeast Chicago resident, said in a statement.
When asked if a community benefits agreement should be negotiated, Pritzker said he hadn’t "heard that before," but that all partners would do their part to ensure the park's success.
"I can tell you there’s quite a lot of community benefit that is already being invested in this as a result of the commitment that’s being made here," he said. "The jobs, the cleanup of the site itself, the investment of dollars ... I think provide great opportunity for the surrounding community."
This story has been updated to note the correct name of the property tax abatement program is Class 8 MICRO, which would be on a 30-year timeline.