With the economy going strong, there has been a ton of site selection activity across the U.S. for high-end corporate campus projects. These site selection projects are very industry diverse and include big name companies such as Amazon, Apple, Snapchat, JPMorgan Chase, Google, Infosys, State Farm, NTT Data, Liberty Mutual and many more. These mega projects are attracting huge economic incentive packages and are gobbling up labor across metro areas. To help understand the impact on your site selection decisions, Site Selection Group has analyzed where these projects have landed as well as where many of them are shortlisted to help you plan for the future.

Labor availability drives most mega site selection deals

The quest for more labor is the No. 1 factor behind most of these mega site selection deals. Most companies have gotten so large at their headquarters location that they are tapping out their existing labor markets. As a result, some companies are setting up operations strategically in other submarkets within their existing labor pool or they are expanding into totally new metro areas to find totally new labor resources while often reducing labor cost at the same time. For example, Amazon and Apple are both searching for new labor markets as they have outgrown their headquarters labor markets. When leaving high cost labor markets like San Francisco and Seattle, these companies can often reduce their labor costs by 20 to 30%.

Economic incentives play critical role in site selection decisions

Economic incentives should always be considered “icing on the cake” when making your final site selection decision. These mega projects have attracted some of the biggest economic incentive packages which include cash grants, tax credits, tax abatements, training grants and a variety of statutory and discretionary state and local economic incentives.

The following provides some good examples of the types of economic incentive packages that have been awarded:

  • DXC Technologies was awarded $115 million for 2,000 tech jobs in Lousiana.
  • Credit Suisse Group was awarded $53.9 million for the creation of 1,200 jobs related to its expansion of their campus in Raleigh, North Carolina.
  • Infosys was awarded $31 million for 2,000 tech jobs in Indianapolis.
  • Allstate was awarded $23.75 million for 2,250 jobs in Charlotte, North Carolina.
  • Charles Schwab was awarded $6 million in state incentives for 1,200 jobs at its new campus in a Dallas-Fort Worth suburb.

Tracking where big deals are locating or looking is critical in the site selection process

The impact of these mega-deals on your site selection decisions is critical. Most of these projects are branded employers paying premium wages so they can be an employer of choice. Just think of the impact of Amazon landing in your city as they ramp up to 50,000 employees. Your employee attrition and labor cost for quality talent are going to skyrocket.

To help you stay informed, Site Selection Group has mapped most of these mega-deals to help you visualize where the deals have happened or may be happening in the the future.

Mega Site Selection Project Announcements 

Feature Map-1

# Company Project Type Metro Area # of Jobs
1 Facebook Expansion San Francisco, CA 7,500
2 Amazon HQ2 Shortlisted Los Angeles, CA 50,000
3 Snapchat Expansion Los Angeles, CA 1,194
4 Pluralsight New Site Salt Lake City, UT 2,400
5 Adobe Systems Expansion Provo, UT 1,260
6 Amazon HQ2 Shortlisted Denver, Colorado 50,000
7 ADP New Site Phoenix, AZ 1,500
8 Bank of the West New Site Phoenix, AZ 1,027
9 Farmers Insurance New Site Phoenix, AZ 1,000
10 State Farm New Site Phoenix, AZ 8,000
11 USAA Expansion Phoenix, AZ 1,500
12 Cognizant New Site Des Moines, IA 1,014
13 Amazon HQ2 Shortlisted Chicago, IL 50,000
14 Amazon HQ2 Shortlisted Indianapolis, IN 50,000
15 GEICO Expansion Indianapolis, IN 1,474
16 Infosys New Site Indianapolis, IN 2,000
17 Salesforce New Site Indianapolis, IN 800
18 Amazon HQ2 Shortlisted Columbus, OH 50,000
19 Ernst & Young (EY) New Site San Antonio, TX 600
20 USAA Expansion San Antonio, TX 1,500
21 Amazon HQ2 Shortlisted Austin, TX 50,000
22 Uber Expansion Austin, TX 50
23 Amazon HQ2 Shortlisted Dallas-Fort Worth, TX 50,000
24 Charles Schwab New Site Dallas-Fort Worth, TX 1,200
25 Cognizant New Site Dallas-Fort Worth, TX 1,090
26 FedEX New Site Dallas-Fort Worth, TX 1,200
27 Liberty Mutual New Site Dallas-Fort Worth, TX 4,000
28 NTT Data New Site Dallas-Fort Worth, TX 6,377
29 State Farm New Site Dallas-Fort Worth, TX 10,000
30 Toyota New Site Dallas-Fort Worth, TX 4,000
31 Walmart New Site Dallas-Fort Worth, TX 200
32 DXC Tech. (Formerly HP) New Site New Orleans, LA 2,000
33 Amazon HQ2 Shortlisted Atlanta, GA 50,000
34 Anthem New Site Atlanta, GA 1,800
35 NCR Corp. Expansion Atlanta, GA 1,800
36 State Farm New Site Atlanta, GA 8,000
37 Amazon HQ2 Shortlisted Nashville, TN 50,000
38 Allstate New Site Charlotte, NC 2,250
39 Amazon HQ2 Shortlisted Raleigh, NC 50,000
40 Apple HQ2 Shortlisted Raleigh, NC 20,000
41 Credit Suisse Group Expansion Raleigh, NC 1,200
42 Infosys New Site Raleigh, NC 2,000
43 Amazon HQ2 Shortlisted Miami, Florida 50,000
44 Amazon HQ2 Shortlisted Northern Virginia 50,000
45 Apple HQ2 Shortlisted Northern Virginia 20,000
46 Amazon New Site Northern Virginia 1,500
47 Amazon HQ2 Shortlisted Northern Virginia 50,000
48 Amazon HQ2 Shortlisted Pittsburgh, PA 50,000
49 Amazon HQ2 Shortlisted Philadelphia, PA 50,000
50 Amazon HQ2 Shortlisted New York Metro 50,000
51 Facebook New Site New York Metro 1,000
52 Spotify Expansion New York Metro 1,832
53 Spotify Expansion New York Metro 1,000
54 Amazon HQ2 Shortlisted Boston, MA 50,000
55 Amazon New Site Boston, MA 2,000

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