While tax benefits match those in Asia, Ramsey says Mexican property and development costs are one-tenth to one-fifth those in Taiwan, Korea and other Asian manufacturing centers. He says fully prepped and serviced sites in Mexicali Science Park are offered at $200,000 an acre, compared to about $1 million an acre in Hsinchu Science Industrial Park in Hsinchu, Taiwan.

The price, he adds, is on par with what buyers are paying for standard distribution sites in northern Mexico, even though the park will offer higher-quality infrastructure, including special wiring and plumbing to meet extreme power and water needs, and recreational facilities for soccer, baseball, tennis and golf. In addition, the park will feature a university and technical training and research centers. Ramsey says rights are available for a more than ample supply of water from the Colorado River, while Mexicali has three state-of-the-art power plants with capacity to support millions of sf of future development.

For the park's initial phase, Silicon Border is targeting semiconductor, solar panel and flat-panel television manufacturers and biotech companies. While freedom from supply interruptions is expected to be a draw for all tenants, Ramsey says solar panel and TV manufacturers can also see substantial savings by eliminating the high costs of overseas shipping. The project's location immediately adjacent to the border will enable tenants to tie directly into US distribution networks.

ING will provide the capital for the park's first phase and has agreed to participate in three additional phases within the next 10 years. Silicon Border anticipates a 20-year build-out, during which time it will spend more than $1 billion for infrastructure including commercial services, highways, power generation and water treatment.