CELESTE represents a visionary initiative by the Instituto de Astrofísica de Canarias (IAC) for positioning the Canary Islands as a hub of excellence for pioneering research and technology development centered on two interlinked domains—Advanced Optical Systems and New Space. CELESTE will elevate IACTEC (the IAC’s division dedicated to industry collaboration) into a self-sustaining Center of Excellence (CoE). This will be achieved in close collaboration with world-leading institutions, the European Space Agency (ESA) and the Centre National de la Recherche Scientifique (CNRS), who will bring key knowhow in ground-breaking knowledge areas such as advanced astronomical instrument design, quantum communication technologies for secure space-to-Earth data transmission, and the development of ultra-high precision optical elements for astronomical observations. Also, strategic managerial knowhow. A key driver of CELESTE is the Smart Specialization Strategy for the Canary Islands (2021-2027), which strongly supports the international leadership in Astrophysics and Space Sciences. A recent study by the region revealed the positive impact of the astrophysical activity to the Canary Islands' GDP, and for every million euros spent in the sector 45 jobs are generated. To scale this, CELESTE will allow to fully exploit ongoing investments that are already programmed for the next years. CELESTE project will focus on creating the core structure for the long-term autonomy of IACTEC as self-sustained CoE (securing stable agreements with international partners and ensuring financial stability), foster productive training and exchange programs to attract and consolidate talent, setting up and operating a new battery of high-tech laboratories, and build a robust ecosystem of stakeholders.