Varda Space Industries has leased a 205,443-square-foot facility in El Segundo that formerly housed Mattel's toy design operations. The aerospace startup will use the industrial and office campus at 2031 E. Mariposa Ave. to expand its spacecraft manufacturing capabilities, marking a significant shift from toy production to space technology in the historic building.

Originally built in the 1940s as an aircraft facility, the property has deep roots in aerospace and defense industries that have long shaped the South Bay. The location puts Varda near major defense and space contractors, as well as Los Angeles Air Force Base, headquarters of the Space Systems Command. The company's expansion reflects the growing concentration of aerospace startups in El Segundo, many with ties to SpaceX.

Varda manufactures automated pharmaceutical labs that operate in microgravity, producing purer molecular crystals for drug development. The company has contracts with both pharmaceutical firms and the military, with over 10 missions scheduled on SpaceX's Falcon 9 rockets through 2028. This expansion from their smaller Aviation Boulevard headquarters represents a major scaling of operations for the company founded by former SpaceX engineer Will Bruey.