Communities Minister Lord Ahmad has marked the start of work on a £4.5m building on the Advanced Manufacturing Park which aims to meet demand from companies looking to move in.
The centre will offer incubator space for hi-tech businesses and is set to include five split-level workshops with shared offices.
When it opens in September it will be the third Technology Centre on the park.
The first went up in 2006 and the second opened in 2008. Today they are home to 47 companies employing almost 700 people and have been full for more than a year.
The new facility means the Government has invested more than £30m in Sheffield City Region Enterprise Zone.
Communities minister Lord Ahmad said: “It’s great to be here in Sheffield to get work underway on these much-needed new workshops and offices.
“This site has been a real success story and our investment will make sure companies have the right kind of facilities to grow and create even more jobs for hard-working people.
“It shows we were right to put Enterprise Zones at the heart of our long-term economic plan. They’re really starting to deliver, providing a boost to local economies and communities.”
Owned by the Homes and Communities Agency, the Technology Centre is at the heart of the wider Advanced Manufacturing Park, which was launched to create a world-class centre for manufacturing firms and is home to global giant Rolls Royce.
James Newman, chairman of Sheffield City Region LEP, said: “The Enterprise Zone is an essential ingredient in the delivery of our ambitious 10 year economic strategy and is yielding impressive results.
“Its success is as a result of collaboration between Harworth Estates, Sheffield Business Park, the University of Sheffield, Sheffield City Council and Rotherham MBC.”
Companies moving to the Advanced Manufacturing Park can benefit from incentives, including tax breaks, simplified planning rules and super fast broadband.