In its search for a new headquarters, FMC Corp. looked in its back yard, across the river in New Jersey and down I-95 in Delaware.
It decided to stay in Philadelphia — crossing the Schuylkill River — and signed a 16-year, 253,000-square-foot lease to move into a building to be called FMC Tower at Cira Centre South. The company will occupy 10 floors at the new building and has an option to take another three floors.
Though the property sits in a Keystone Opportunity Zone, which gives FMC certain tax breaks on state and local taxes, the chemical company decided it will not take advantage of those benefits. Instead, it will take a $10 million incentive package from Pennsylvania after having reviewed similar offers from Delaware and New Jersey. The offer from the Garden State was “extremely competitive.”
Incentives typically compensate for high taxes and offset some costs of doing business.
In 2004 when FMC went looking for a new lease deal, it decided to remain at the Mellon Bank Center and took $1 million in state incentives. The company decided then not threaten to leave the city or try to hammer out a large incentive package, figuring then that Center City real estate market conditions were weak enough to hash out a sweet deal with its landlord.
This time it took a different tack.
Full story: http://tinyurl.com/mls3aoo
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