Electronic giant Panasonic Corp. will move its headquarters to Newark from Secaucus with the help of $102.4 million of tax breaks from the state.
City, state, and Panasonic officials announced the move last week.
In return for the $102.4 million of tax benefits through New Jersey's urban transit hub tax credit program, the company pledged to create 250 new full-time jobs in Newark by 2016, according to the Feb. 16 board minutes of the New Jersey Economic Development Authority, which administers the tax-credit program.
"Panasonic's arrival demonstrates a confidence in our city — in our workforce, in our infrastructure, and in our future," Newark Mayor Cory Booker said in a statement.
"This is a monumental moment for Newark — a true milestone in our city's rebirth and revitalization. It is also a reaffirmation of Panasonic's corporate values, including its commitment to making a positive contribution to society. This day is the product of a real partnership between state and city."
Panasonic will move into a brand-new building located about a half mile from Newark's Penn Station once construction is completed in the fourth quarter of 2012.
The electronics company will sign a 15-year lease with the developers. Panasonic's current lease in Secaucus will expire in March 2013.
Panasonic has been looking to relocate in New Jersey and also to other states. New Jersey officials had deemed the 800 existing positions at Panasonic's Secaucus location to be "at risk" as the company's leaders were considering moving out of state.
"Panasonic could have gone anywhere on this continent, but they elected to stay in New Jersey and to relocate to the state's largest city," Lieut. Governor Kim Guadagno said in a statement. "That is a win for both the state and Newark. Additionally, Panasonic's decision to come to Newark is a significant milestone in the city's continuing revitalization,"
Panasonic's move has pitted one New Jersey locality against another. The company's current landlord in Secaucus, Hartz Mountain Industries Inc., has filed a lawsuit to contest the move and Secaucus Mayor Michael Gonnelli has spoken out against the agreement between the EDA and Panasonic.