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We prove cocontinuity of the $\max$-tensor product of C*-categories anddevelop a framework to perform factorization homology in a C*-setting. In suchcontext, we specialize some results of D. Ben-Zvi, A. Brochier and D. Jordan.As a consequence of our constructions, we realize quantum Hamiltonian reductionin terms of bimodules over a factor $N$. We also provide a GNS-typereconstruction theorem for C*-algebra objects of in categories of bimodulesover a II_1-factor, enhancing a realization theorem due to C. Jones and D.Penneys.

C*-Algebraic Factorization Homology and Realization of Cyclic Representations