The U.S. Department of Energy has awarded the Smart Manufacturing Leadership Coalition, co-founded by University of California, Los Angeles, $70 million to build a hub for a new L.A.-based manufacturing institute.

The Smart Manufacturing Innovation Institute will receive $140 million in public and private investments, and focus on developing advanced sensors, data analytics, and simulation software that can reduce costs and energy expenses.

“Los Angeles is the ideal place to build the future of advanced manufacturing,” said L.A. Mayor Eric Garcetti, in a statement. “I strongly supported the Smart Manufacturing Innovation Institute, and pushed to locate its headquarters in the heart of our city.”

The future hub is a result of collaboration of nearly 200 partners from state, federal, and academic agencies nationwide. Among its partners are L.A.-based Aerospace Corporation, Southern California Edison, and PortTech LA.

The Smart Manufacturing is among nine institutes nationwide being awarded by the Obama administration to develop manufacturing technological hubs.