Another big name has been added to Plano’s corporate roster, as the City Council on Monday approved an economic incentives package for JPMorgan Chase.
“Because JPMorgan Chase is committed to Texas, we’re making a significant capital investment in building a world-class campus at Legacy West in Plano,” said Greg Hassell, JPMorgan Chase spokesman. “This campus will serve more than 6,000 employees and support all of our lines of business.”
Construction for the facility will begin this year, according to Hassell. The company will occupy at least 800,000 square feet of office space in the Legacy West development by late 2017.
The approved package includes a tax abatement up to 50 percent for 10 yearsas long as the company complies with the agreement. There’s also a Chapter 380 incentive grant for $4.9 million, which comes from the annual property tax revenue accumulated in the city’s economic development fund.
According to Mayor Harry LaRosiliere, the city’s formula for creating the incentive package is based on the amount of jobs that will be created and salary per position.
“The Chapter 380 incentive is part of the tax code that enables municipalities to extend incentives for a large umbrella of things,” explained Sally Bane, Plano economic development director. “This one, in particular, recognizes employment and employment growth and includes a refund of $850,000 for the fees that they expend to the city in building permitting, inspection, engineering and planning.”
The company must make at least $220 million of improvements to the property, including both real property and business personal property, or anything not part of the physical structure like furniture and inside décor.
“It must be a collective improvement,” Bane added.
Hassell pointed out that the project will reduce the company’s real estate operating costs in the Dallas-Fort Worth market, savings the company will invest in the Legacy West campus.
“Our new campus will make it easier for our employees to collaborate in providing outstanding service and solutions to customers and clients around the world,” he said. “This investment will create a work environment our employees need and deserve- and the community can take pride in.”
In response to one protester of the incentive package, LaRosiliere said that the city’s decision stems from the growth of jobs and that it is a testament to Plano’s success and global recognition.
“I think we’re fortunate to have the ability and resources to compete for an organization and project of this magnitude,” the mayor said. “I venture to say that if you ask any mayor within a hundred-mile radius of Plano what they would do given this opportunity, and they would say ‘yes.’
“It puts us in a good position to remain vibrant long-term.”