JPMorgan Chase & Co. JPM is likely to receive city incentives worth millions, as it plans to develop a new office campus in Plano’s Legacy West to move in 6,000 North Texas employees.
If voted by City Council members, the New York-based financial giant may receive 50% tax abatement over a period of 10 years on the $220 million real estate and business and personal property development. Also, JPMorgan could receive $4.9 million in economic grant for its venture.
The proposed new office campus to be set up near the southwest corner of the Dallas North Tollway and State Highway 121, is expected to spread over 1 million square feet. The company intends to commence construction this year and is likely to incur costs over $300 million.
On Thursday, JPMorgan spokesperson Greg Hassell mentioned, “We have signed the letter of intent to build at Legacy West”. Hassell added, “We expect the first employees to start moving in to the new campus in the second half of 2017. Total move-in will last through 2018 and 2019.Over time, we expect 6,000 employees to work at the new campus — roughly half of our employee population in the metroplex.”
Reportedly, JPMorgan has been looking for a spot in Dallas’ northern suburbs for some time for consolidation of several of its North Texas operations into a corporate office hub. The latest move is likely to lower JPMorgan’s real estate operating expenses in the Dallas-Fort Worth region.
The thriving $2 billion Legacy West development, which spreads around 240-acre also houses Toyota Motors and Liberty Mutual Insurance.
JPMorgan currently carries a Zacks Rank # 3 (Hold). Some better-ranked stocks in the finance space include E*TRADE Financial Corporation ETFC, Capital Bank Financial Corp. CBF and County Bancorp, Inc. ICBK, each sporting a Zacks Rank #1 (Strong Buy).
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