Apple waiting on city incentives for $304M Austin campus expansion, considering Phoenix instead

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Earlier this month, we told you Gov. Rick Perry announced plans to double the size of Apple’s workforce in Austin, Texas with an investment of $304 million that would add up to 3,600 jobs. Apple will receive $21 million in incentives over 10 years through the Texas Enterprise Fund as part of the deal. According several reports from KVUE News and Austin news website Statesman, Apple representatives met with Austin City Council officials today for a formal proposal.

The plan would see Apple building up to 1 million square feet of new office space taking up approximately 38 acres at West Parmer Lane and Delcour Drive. As we reported before, the new jobs would mostly be administrative positions. As part of the deal, we also learned that City Council would offer Apple an extra $8.6 million over the 10-year period, but Apple is still apparently waiting for the City of Austin to come to a decision on whether to offer an incentive.

According to Dave Porter of the Austin Chamber of Commerce (via Kxan), Apple is considering other locations like Phoenix. That report claimed the city would have to offer Apple about $75 million in incentives to complete the deal. If the deal goes through, Kxan said Apple would begin construction of new facilities in 2012 with hiring beginning by 2016.

A public hearing was scheduled by city council for March 22 to further discuss the proposal. If the deal does occur, Apple could add up to 3,600 new jobs— more than doubling the approximately 3,100 employed at its current North Austin facility.