Governor Andrew M. Cuomo today announced that PepsiCo will renovate its worldwide headquarters in Purchase, keeping the food and beverage companys 1,100 jobs in New York State. Throughout the duration of the project, which involves the complete redevelopment of 420,000 square feet of office space, approximately 1,250 local construction jobs will be created.
By working to keep PepsiCo in New York, we are saving over one thousand local jobs that are critical to the long term strength of the Westchester economy, Governor Cuomo said. With the additional creation of over one thousand construction jobs, this project will provide an immediate boost to the local economy while allowing PepsiCo to maintain its strong presence as one of New Yorks biggest employers for years to come.
PepsiCo relocated its worldwide headquarters from New York City to Purchase in 1970. The facility has been operational for 42 years with minimal renovations. This project will enable the company to increase the capacity of the facility by up to 15 percent and upgrade outdated technology, bandwidth and telephony infrastructure that will allow the company to more effectively communicate with its various stakeholders around the world. The renovations also will reduce energy usage by 22 percent, water usage by 57 percent, and greenhouse gas emissions by 22 percent by replacing older infrastructure systems with advanced solutions that enable the facility to operate more efficiently.
After more than 40 years with minimal renovations, our worldwide headquarters requires updating to meet the future needs of the company, said Rich Delaney, senior vice president, operations, PepsiCo. This project will modernize our headquarters in ways that increase operating efficiency, create a more connected and collaborative work environment for employees, and enable PepsiCo to continue to attract great talent to the company. We greatly appreciate the work of Governor Cuomo and all of the state and local officials who continue to make Westchester County a great place for doing business.
Through Empire State Development (ESD), the State is providing PepsiCo with $4 million in Excelsior tax credits to leverage its $243 million investment to maintain its worldwide headquarters in Westchester.
Empire State Development President, CEO & Commissioner Kenneth Adams said, Keeping PepsiCo and its more than one thousand jobs in Purchase is a huge win for the Westchester economy. Under Governor Cuomos leadership, the State is strategically leveraging its resources to keep one of the world's largest food and beverage businesses in New York. I thank all of the partners, including PepsiCo, whose commitment to retaining and redeveloping its headquarters here is a clear sign that New York is the place for businesses to stay and grow.
PepsiCo will target LEED certification for the renovated facility. These renovations also will result in better access to natural daylight, the creation of a more collaborative and innovative work environment for PepsiCo employees, and significantly increased training capabilities. The renovation of the Purchase office space will begin in the first quarter of 2013.
In addition to the financial incentives offered by New York State, the Westchester County IDA approved sales tax exemptions for PepsiCo.
Westchester County Executive Robert P. Astorino said, As a global company, PepsiCo can locate its headquarters anywhere in the world. We have worked hard to keep PepsiCo in Westchester by creating a positive business environment. The fact that the company has decided to reinvest in Westchester is a sign of faith in the countys future, a shot in the arm to the local economy, and the extension of a 50-year relationship thats been a model of civic-corporate partnerships. Many thanks to everyone at PepsiCo for their confidence in Westchester.
This project is the second PepsiCo real estate announcement in Westchester County in the past 18 months. The company renewed its lease in Somers, New York, in March 2011, supported in part by a $4 million grant from ESD that helped retain more than 900 Westchester jobs.