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Castle Rock · Government

Castle Rock Approves Up to $300K to Land an AlloSource Tissue-Processing Campus on South Perry

Town Council approved an economic assistance agreement with AlloSource on Sept. 15 — up to $300,000 in fee rebates and per-job incentives for a second advanced tissue-processing manufacturing campus at 1585 South Perry Street, a Phase 1 investment topping $5.5 million.

By Connor Tien, DougCo Social·Published September 22, 2026

The Castle Rock landmark in Douglas County, Colorado

Castle Rock Town Council has approved up to $300,000 in economic assistance to bring an AlloSource advanced tissue-processing campus to 1585 South Perry Street.

Resolution RES 2026-101 — "Resolution Approving the Economic Assistance Agreement Between the Town of Castle Rock and AlloSource" — passed at the Sept. 15 council meeting, moved by Councilmember Brooks and seconded by Councilmember Davis, per the town's legislative record.

What's coming

AlloSource is headquartered in Centennial and, per the agreement, is "looking to expand its operations by developing a second advanced tissue processing manufacturing campus" in Castle Rock — a lease in the commercial flex office, warehouse, and laboratory space at 1585 South Perry Street.

Phase 1 alone "represents an anticipated investment in specialized FDA-regulated manufacturing infrastructure exceeding $5.5 million" — cleanrooms, specialized mechanical systems, manufacturing utilities, and processing equipment — with the agreement anticipating "substantial additional capital investment, manufacturing capacity, and employment growth" in future expansion phases.

What the town is putting in

The $300,000 is a cap, not a check, paid through two mechanisms in the agreement:

  • A fee rebate — AlloSource pays its town permit fees and construction use taxes up front, and the town rebates up to 50% of them within 30 days of the space receiving its certificate of occupancy.
  • A per-job incentive — paid for each full-time-equivalent, onsite job created and retained at 1585 South Perry Street: $3,000 for a Castle Rock resident earning above the Douglas County average wage, $2,500 for a non-resident above the average wage or a Castle Rock resident below it, and $2,000 for a non-resident below it. Contract and fully remote employees don't count.

Why it matters

Openings and expansions are the development story on South Perry right now, and this one brings FDA-regulated manufacturing — a category Castle Rock has courted under its Economic Development Assistance Policy, which the agreement cites as the framework for the deal. The same Sept. 15 agenda also carried a first reading of a kratom retail-sale ordinance and a landmark designation for 422 Front Street — we'll follow both.

The project also joins our What's Being Built in Douglas County tracker.


Sources: RES 2026-101, Town of Castle Rock legislative record (matter file RES 2026-101, passed Sept. 15, 2026) · the executed Economic Assistance Agreement (PDF).

Frequently asked questions

What is AlloSource building in Castle Rock?

Per the executed agreement, AlloSource is leasing commercial flex office, warehouse, and laboratory space at 1585 South Perry Street to develop a second advanced tissue-processing manufacturing campus, with a Phase 1 investment in FDA-regulated manufacturing infrastructure — cleanrooms, specialized mechanical systems, manufacturing utilities, and processing equipment — exceeding $5.5 million.

How much is Castle Rock paying AlloSource?

The agreement caps the town's total assistance at $300,000, through two mechanisms: a rebate of up to 50% of the town permit fees and construction use taxes AlloSource pays, and a per-job incentive of $2,000 to $3,000 for each full-time onsite job, tiered by wage level and whether the employee lives in Castle Rock.

Did the council vote pass?

Yes. Resolution RES 2026-101 passed at the Sept. 15, 2026 Town Council meeting — moved by Councilmember Brooks, seconded by Councilmember Davis, per the town's legislative record.

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