ASML Chip Machine Maker Expanding: Offers Big Cash for Houses and Businesses to Make Room

This is evident from a survey of all plots sold near ASML by RTL Nieuws.

This also shows that ASML can still grow very well without movement. The additional area purchased around the existing factories is approximately the same size as the land ​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​.

Growth limits

ASML, with more than 20,000 employees in the Netherlands, has become the most important chip machine manufacturer in the world in the last ten years. The company’s technology allows very small and very powerful chips to be made. These chips are, for example, in computers and phones, which are therefore becoming faster and more powerful.

But the company is reaching the limits of its growth opportunities in its current factories. The company would prefer to expand in Veldhoven, but dozens of companies and houses stand in the way. ASML has now almost been able to address that problem. The solution: spend tens of millions on anyone who sells.

Almost everything in hand

With the exception of a few companies and houses, the technical company has acquired almost the entire industrial area south of the Kempenbaan in Veldhoven. A nearby street of homes was also bought, only to be demolished.

A poultry farm, a car dealership and a tennis and paddling club will also have to make way, just to name a few.

You get a million, you get a million

Money does not seem to be a limiting factor for the technology giant. The houses on the Heerseweg, the street on the edge of the district, were almost bought for a million euros or more. This quickly adds up to several hundred thousand and a half million above the final valuation for the WOZ.

The land of the poultry farm was acquired for 2.5 million euros, a printing company sold the plot for 3.3 million euros, and so on.

And all this happens to accommodate short-term growth. Yesterday the company also announced that they want to grow much further in the long term in another place nearby, in Eindhoven.

At least 53 million

In total, ASML recently spent at least 53 million euros, excluding taxes, to acquire as much land as possible in the area around the existing factories.

The total amount is even higher, because the company that owned the land under the tennis and paddling club was completely taken over, only to be closed down.

Counter continues to run

It is not known how much was invested in that company. But assuming a price per square meter of around 2,000 euros, which is still on the low side for the built plots bought by ASML, you will quickly reach 5 million euros more or so.

And the counter is still rising. Several companies in the area indicate that they are still negotiating with ASML about the sale of the plots.

ASML does not want to confirm the amounts, but it confirms that the company will continue to build on De Run, the industrial area in Veldhoven, for ‘a few more years’. This means that even without the planned new location in Eindhoven, the company can grow significantly in the coming years.

‘one time’

Carl Depoorter, owner of the aforementioned chicken farm and several other pieces of land, is one of the people who made room for the chip machine giant. “We knew it would be our turn one day,” he says resignedly.

He had no plans to leave the Veldhoven place before ASML started knocking. “If ASML didn’t exist, we’d still be there.” Eventually the company was merged with another location in Lunteren, near Barneveld. According to Depoorter, almost all of the 30 employees live elsewhere.

According to the owner, good agreements could be made with ASML about a transfer fee and enough time to move the company.

Rural areas will also be targeted

It is remarkable that ASML not only has its sights set on the area above the A67, but has also bought a number of large country plots south of the motorway. It does not appear that he intends to build factories on that side of the highway.

The official act shows that ASML bought the land to build a high voltage substation. After all, all these factories consume electricity.

RTL Nieuws contacted all the retail companies in the area, but most did not want to explain their dealings with the industrial giant.

ASML is sensitive

“Not interested,” says the owner of a printing shop who sold his business building and his home for more than 5 million euros.

“If you want to know something, just contact ASML,” replied one of the owners of the car company that changed hands for 2.5 million.

Almost everyone who spoke to RTL Nieuws about the sale of land and industrial buildings on the De Run industrial estate avoids substantive questions.

And even those who have not sold yet do not want to give answers or do not call back. It is a delicate matter, the residents of the company know.

Not everyone is happy

In the small town of Veldhoven there is a group that believes that ASML is an asset and a blessing to the local and regional economy. But there are also people who are not so happy with the company that has grown so fast and unique in recent years.

More than 60 objections were lodged two years ago against the proposed expansion of ASML. Two plaintiffs are still awaiting an appeal with the Council of State.

But they are in the minority. “These are people who don’t necessarily feel very welcome in the local pub,” their lawyer says when asked.

The government wants to keep ASML

ASML is not only committed to continuing to grow in the Veldhoven area. The government and the sector are also willing to invest billions to keep the company in the Netherlands.

The government is willing to allocate 1.7 billion euros for housing, education and additional infrastructure around ASML. The Eindhoven region also contributes another 800 million euros. Yesterday it also emerged that the city of Eindhoven wants to donate a large piece of land to make way for new production facilities from 2030 onwards where 20,000 people should be able to work.