Investment will support increased economic development in northeast Illinois

CHICAGO – Governor Rod R. Blagojevich today announced a $14.2 million investment package for HSBC North America Holdings Inc., one of the top 10 financial services organizations in the United States, to maintain facilities in the state. The $14.2 million in state support will leverage a $95 million investment by the company and will result in the retention of hundreds of jobs. This support comes as a part of Opportunity Returns, the Governor’s comprehensive economic development strategy to create jobs and build the economy in northeast Illinois.

“We understand that the best way to grow the economy is by investing at the local level. Our innovative regional approach to economic development is working – by investing in companies like HSBC-North America, we are supporting economic growth in this region of the state and helping to keep hundreds of jobs here in Illinois,” said Governor Blagojevich.

“Our investment in companies like HSBC-North America – who are also investing in Illinois – is really about supporting a brighter, more prosperous future for the people of this state. We’re not only helping to create a stronger business culture in Illinois, making it easier for companies to develop and expand in Illinois, but we’re also helping to bring even more jobs into the state, support our communities, and grow our economy,” said Rep. Dennis Reboletti (R-Addison).

HSBC-North America is consolidating its operations that are currently housed in five existing locations in Chicago’s west and northwest suburbs into a new corporate campus facility in Itasca.  Construction of the 304,000 square-foot facility, which will accommodate some 2,000 employees, is expected to start in the fall of 2008.  Occupancy begins in third quarter of 2010.  The Itasca facility will be constructed to minimize resource consumption and environmental impact. The US Green Building Council’s LEED Green Building Rating System will be adopted as a framework for measuring sustainability.  

“We are grateful to the Illinois state government for its support in bringing this project to fruition,” says Mark Melas, executive vice president, Corporate Real Estate, HSBC-North America.  “We looked at multiple possible locations in the region and we are confident that this new facility will enable HSBC-North America to continue to improve its operational efficiency while allowing us to provide a comfortable and efficient environment for our employees here in Illinois.” 

The Illinois Department of Commerce and Economic Opportunity (DCEO) is administering the business investment package.  It includes tax credits and exemptions through the Economic Development for a Growing Economy (EDGE) and High Impact Business (HIB) programs.

“By making targeted investments on the local level we are supporting jobs and economic growth across Illinois.
Our work with HSBC-North America is also helping to the company to improve its efficiency and flexibility, which is critical to succeeding in an increasingly global market,” DCEO Director Jack Lavin said.

Gov. Blagojevich’s Opportunity Returns regional economic development strategy is the most aggressive, comprehensive approach to creating jobs in Illinois’ history.  Since a one-size-fits-all approach to economic development just doesn’t work, the Governor has divided the state into 10 regions – each with a regional team that is empowered and expected to rapidly respond to opportunities and challenges.  Opportunity Returns is about tangible, specific actions to make each region more accessible, more marketable, more entrepreneurial and more attractive to businesses.  It is about upgrading the skills of the local workforce, increasing the access to capital, opening new markets, improving infrastructure, and creating and retaining jobs.  Opportunity Returns is about successfully partnering with companies and communities, both large and small, to help all of Illinois reach its economic potential.

About HSBC-North America
HSBC – North America comprises all of HSBC’s U.S. and Canadian businesses with assets totalling $557 billion.  The company’s businesses serve nearly 68 million customers in five key areas: personal financial services, consumer finance, commercial banking, private banking, and corporate investment banking and markets.  Financial products and services are offered under the HSBC, HFC and Beneficial brands.