CEDAR RAPIDS, Iowa (KCRG) - A British defense contractor plans to open a $139 million facility in Cedar Rapids, creating 650 new jobs.
The Cedar Rapids City Council is set to discuss a resolution supporting an application for state incentives for BAE Systems. The resolution details plans for a 200,000 square for classified defense aerospace commercial building at the southeast corner of 76th Avenue SW and 6th Street SW. The project would be slated to start in October and open in September 2022.
The project would create 650 new jobs, 550 of them considered high-quality wage threshold for state incentives.
BAE Systems produces a variety of military technology, with nearly all of its business coming from defense contracts.
BAE is in the process of buying a business unit of Cedar Rapids-based Collins Aerospace. That sale is part of a merger between Collins parent company, United Technologies, and Raytheon Company. It’s unclear how many of those jobs from the current Cedar Rapids-based unit would account for the 650 jobs created at the new facility.
The Iowa Economic Development Agency is slated to consider financial incentives for the BAE Systems project at its July 17th meeting. City staff are also starting the process for TIF and Urban Renewal tax incentives.
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