North Carolina is offering $12 million in tax incentives to Xerox, a move that Gov. Roy Cooper says will result in $1.7 billion for the state economy.
The Fortune 500 company plans to build a $18 million center in the northeast central region of the state in Wake County, Cooper announced on Tuesday.
“Xerox, which had many locations to choose from, selected North Carolina because they know we can offer the highly-skilled workers they need, both now and in the future,” said Cooper in a statement.
Xerox’s Cary Center of Excellence will be the third of its kind for the company in the U.S. Cooper said it will create 600 jobs for North Carolinians.
The center is part of a Job Development Investment Grant that helps offset the cost of setting up shop in the state. In return, Xerox agrees to stay in North Carolina for 12 years. That would lead to a $1.7 billion investment into North Carolina’s economy, according to the Cooper administration.
The state’s Economic Investment Committee approved the grant on Tuesday that would reimburse Xerox $12 million over the span of the 12 years. That’s only if the company meets its job creation and investment targets.
Wake County is one of North Carolina’s least distressed economic areas ranked by the North Carolina Department of Commerce.
The counties are ranked based on average unemployment rate; median household income; percentage growth in population; and adjusted property tax base per capita.
Wake County’s unemployment rate is 3.7 percent, according to Labor Department numbers. The median household income is around $77,000. Its percentage growth in population over seven years has been about 18 percent, according to U.S. Census Bureau of Statistics.
“We’re very excited about Xerox’s decision to bring 600 jobs to Western Wake County. Cary is located in the heart of the Research Triangle and repeatedly ranks among the top places in the nation to begin or expand a business,” said Sen. Wiley Nickel.
Xerox’s move will also benefit more distressed parts of the state, the administration said.
The company’s development agreement secures about much as $4 million to some rural areas to the state’s Industrial Development Fund.
The money is slated to help the communities finance infrastructure projects that will create more economic opportunities.