Economic Development Agreement with Stata Corp

Economic Development Agreement:College Station & StataCorp LP

City CouncilRegular SessionAugust 25, 2014

Produces a leading statistical software package; Stata◦ Develops, distributes, and supports; Headquartered in College Station

Publishes books, manuals, and the Stata Journal◦ Stata Press, a division of StataCorp LP

Business Center at College Station; $4,877,740 valuation

104 FTEs with an annual payroll of $8,087,940

Business Retention and Expansion Prospect◦ Limited Growth Opportunity and Trailing Spouse◦ Own Internal Campus with Employee Amenities

Background

39.198 Acres

39.198 Acres−Replat; 30.275 acres & 8.923 acres

8.923 Acres− Independent third-party appraisal: $1,090,000−Posted on Brazos Valley Online Bidding System (BrazosBid)

StataCorp LP−Highest and only bidder

December 12, 2013−City Council approved a real estate contract with StataCorp LP−Purchase Price: $1,090,000

210 Technology Way

30.275 Acres

8.923 Acres

City’s Incentives−Right-of-Way Abandonment− Staff will recommend to City Council at a later date−Contingent upon receipt of a building permit within five years

−Dedication of 30 acres as parkland− Staff will recommend to City Council at a later date−Contingent upon receipt of a Certificate of Occupancy within seven years− Serve as linear park; with multi-use paths (per Comprehensive Plan)

−Permitting−Waive $700 ROW Abandonment Application−Development Fast Tracking

Economic Development Agreement

StataCorp’s Obligations−$3 Million Capital Investment in the Business Center−Campus-like Business Facility−Amenities conducive to use as a common area for employees

−New Job Creation / Increased Annual Payroll−15 FTE’s / $1 Million

Clawback Provisions−Reimburse ROW Abandonment Application fee of $700, and/or

−Reimburse $2.80 PSF of ROW abandoned

Economic Development Agreement

Questions/Direction/Action