Jacksonville Considers $13.4M Incentives For $200M Fulfillment Center With 1500 Jobs

At a meeting yesterday, the City Council of Jacksonville, FL took up a resolution to consider pre-approving local incentives for a fulfillment center project that could bring a $200 million investment and 1,500 direct new jobs to the city.

Project Rex Jacksonville, FL

Photo – coj.net

As per a memo to the City Council from the Jacksonville Economic Development Office, this project, identified as yet only by the name of Project Rex, is said to be a company that “has more than 20 years of experience in the retail and ecommerce markets and currently employs more than 200,000 people worldwide.”

There aren’t that many ecommerce retail giants that fit this description, but let’s leave that be for now, since Project Rex is said to be currently assessing various cities across the U.S. for proposed fulfillment centers.

The proposed site in North Jacksonville is located just south of the Jacksonville International Airport, within the boundaries of the JIA Community Redevelopment Area. The company is proposing to invest up to $200 million in real and tangible personal property, and the project would result in creation of 1,500 new jobs over the next three years.

Apart from the direct jobs being created and the investment, the economic development benefits to Jacksonville include the chance to address the high unemployment rate in the JIACRA area. The unemployment rate in some parts of this area exceeds 15 percent. Hundreds of these new jobs with medical benefits and other fringe benefits will go to area residents and help reduce the unemployment rate. There’s also the fact that Project Rex will add to the list of large distribution companies establishing a facility in Jacksonville.

All told, Project Rex may get up to $4.95 million in state incentives, as follows – Qualified Targeted Industry (QTI) Tax Refund – $1.5 million ($1.2 million from the state and up to $300,000 from Jacksonville); Economic Development Transportation Fund (EDTF) Grant – $3 million; and Florida Flex Training Grant – $750,000.

In order to support efforts to recruit this company to Jacksonville, the City Council has been asked to approve a package of local incentives totaling $13.4 million. This includes up to $300,000 as the City’s local QTI match, a City of Jacksonville REV Grant of up to $10 million, a training assistance grant of up to $600,000, and a road improvement grant of up to $2.5 million.

The QTI refund incentives would be available for up to 500 of the 1,500 new jobs being created. These 500 eligible jobs will pay an average annual salary of at least $50,000.

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