Terra Ferma, which designs and manufactures new technologies for the communications industry, has selected Colorado Springs as the home of its new Light Fidelity (LiFi) manufacturing facility.

Company leadership joined Lt. Gov. Dianne Primavera as well as El Paso County leaders, economic development officials and other supporters to make the announcement on Wednesday afternoon at SpringHill Suites in downtown Colorado Springs. About 50 people attended.

State and local officials said the expansion highlights the Pikes Peak region’s and Colorado’s reputation as a hub for advanced innovative technology and manufacturing.

“Technology and innovation are core to the ecosystem in Colorado Springs, particularly within the defense sector, and we’re proud to expand upon that legacy through this initiative,” Dennis Roark, Terra Ferma’s founder and president, said in part in a news release Wednesday. “Through strategic local and national partnerships and collaboration, we are bringing full-scale production and (research and development) efforts for our portfolio of products to Colorado Springs as part of our growth strategy.”

Roark highlighted Terra Ferma’s partnership with ITS, LLC, as an example, a Colorado Springs-based IT engineering company that in August announced it’s also expanding locally.

Roark continued in the release: “Through these efforts, we are not only advancing our technological capabilities but also deepening our commitment to creating high-value jobs and sustainable growth within our community.”

Terra Ferma has operated in Colorado Springs since 2009. It specializes in prototyping, advanced engineering and manufacturing solutions for LiFi, a wireless communication technology that uses light to transmit data and power over the ethernet. It is considered to be more secure than WiFi because LiFi signals are contained within physical spaces, Roark told the crowd.

The U.S. government and military, NATO (the North American Treaty Organization), and private and governmental users both domestic and international are among Terra Ferma’s customers, officials said. The company has also partnered with French-based Oledcomm Sas, which uses and manufactures LiFi components, according to the release.

Terra Ferma expects to remodel and refurbish an existing building near Peterson Space Force Base and transform it into its new LiFi manufacturing facility, Roark told reporters. The facility will manufacture small electric components used in LiFi capabilities.

The company’s expansion in Colorado Springs will create 120 jobs with average annual salaries of $68,108, or 107% of the average annual wage in El Paso County, officials said. Roles include those in sales, engineering and warehouse.

Terra Ferma will invest $1.3 million to develop the facility and an associated support structure in Colorado Springs, including customer service, engineering and sales. The company selected the city because of its access to talent and proximity to Department of Defense assets, officials said.

“By manufacturing LiFi technology in Colorado, Terra Ferma will advance an important, emerging technology and contribute to our state’s thriving innovation ecosystem. This expansion will bring quality jobs to Colorado Springs and enhance our thriving aerospace and defense sectors, further solidifying Colorado’s leadership in these critical industries,” Eve Lieberman, executive director of Colorado’s Office of Economic Development and International Trade, said in the release.

The state Economic Development Commission approved up to $1,010,584 in performance-based Job Growth Incentive Tax Credits for Terra Ferma over eight years. The company must meet new job creation and salary requirements to receive the credits.

Colorado Springs City Council approved nearly $9,000 in performance-based incentives over four years. Sales and use tax rebates approved for Terra Ferma apply to the company’s purchases of construction materials, equipment, machinery, furniture and fixtures.

El Paso County, the Pikes Peak area administrator for Colorado’s Enterprise Zone program, estimates Terra Ferma is eligible for as much as $219,272 in state income tax credits through the program.

The company also considered Florida, Virginia and Wyoming for the expansion.

It has nine employees, eight of whom are in Colorado.

“This expansion reinforces the story we see play out again and again. With Terra Ferma and so many others, the Pikes Peak region continues to distinguish itself as a hub for emerging technology; an ecosystem defined by a highly-skilled workforce; strong alignment with defense and aerospace missions; and a business climate that supports smart and sustainable growth,” Colorado Springs Chamber & EDC Vice President of Economic Development Bonnie Goff said.