Economic Impact: Salesforce Regional Headquarters

Salesforce (NYSE: CRM), the world’s fastest growing top 10 software company, will significantly expand its Indianapolis operations, investing more than $40 million over the next 10 years and creating up to 800 high-wage jobs by 2021. To accommodate its growth, the company will establish a new regional headquarters downtown at 111 Monument Circle, which will be branded as Salesforce Tower Indianapolis.

The company, which is among the state’s largest technology employers, will begin moving into Salesforce Tower Indianapolis in early 2017. The new headquarters will house both Salesforce and Salesforce Marketing Cloud, founded as ExactTarget in 2000.

The expansion will nearly double the company’s current headcount in central Indiana, and will have a significant impact on the local community and the state as a whole.

 

Salesforce Expansion

New Jobs: 800 high-wage jobs by 2021

Investment: $40 million+

 

State and Community Impact  

Annual Economic Impact: $122.7 million

At full employment, this expansion and job creation will generate up to $122.7 million annually toward Indiana’s GDP.

 

Direct Benefit: $60.1 million

This expansion will provide approximately $60.1 million in tax revenue (sales tax, property tax, income tax, other taxes and fees) directly to the state and local community over the next 20 years. This does not include any incentives offered by the city of Indianapolis.

 

Employment Impact: 1,520 Hoosier jobs

Each job created directly by Salesforce will result in 1.9 total jobs created in the community due to the employment ripple effect, which accounts for jobs needed to support the direct hires (construction jobs, retail jobs, vendor jobs, etc.).

 

IEDC Average Wage: $27.21/hour

So far this year, the Indiana Economic Development Corporation has secured 7,128 new job commitments. The average wage of these planned jobs is $27.21/hour (or $56,596 annually), which is 26.3% higher than the state’s average wage. It is also a 9.4% increase from the IEDC’s 2015 average project wage of $24.87/hour.

 

About Brian Scott

I play on the radio from 7 am -1 pm weekdays on 98.9 FM WYRZ and WYRZ.org. Follow me on twitter @WYRZBrianScott or e-mail me at brian@wyrz.org.

Check Also

Indiana State Police Back to School Safety Tips

It’s that time of year again when parents get excited and students are looking forward …

Leave a Reply

Your email address will not be published.