Hankook Tire America Corp. is set to receive $2.72 million in incentives for moving its North American headquarters from New Jersey to Nashville, reports the Nashville Business Journal.
Hankook, whose parent company is based in South Korea, plans to employ about 200 people at the Nashville headquarters within two or three years.
…Details of the state grant became public in advance of Tuesday’s meeting of Metro’s Industrial Development Board, which also has to sign off on the grant. It’s little surprise the state is devoting taxpayer aid to help entice Hankook, given the state’s desire to continue to foster its reputation and profile within the automotive industry.
According to board documents, the grant is to reimburse Hankook for expenses tied to renovating and setting up its new headquarters. Hankook is leasing the entire fifth and sixth floors of the (Nashville’s AT&T Tower, also known as the) “Batman Building,” about 40,000 square feet. When Hankook announced its move in the spring, the company said it would invest $5 million in the move itself.
Hankook will be eligible to claim the grant money between now and April 2021. To receive the reimbursements, Hankook commits to hire and retain 150 full-time employees through the end of that grant period.
…By the end of this year, Hankook expects to start making tires at its $800 million factory in Clarksville, an hour northwest of downtown — a precursor economic development deal that gave state officials an opening to recruit Hankook’s North American headquarters as well. In that separate deal, Hankook received local and state incentives and benefits worth more than $120 million.