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$240M Pepsico Project To Bring 1,200 Jobs To Purchase

PepsiCo will be making a $240 million renovation to its worldwide headquarters in Purchase. Photo Credit: Patrick Stapleton
PepsiCo will start a $240 million renovation to its Purchase facility early next year. Photo Credit: Patrick Stapleton

PURCHASE, N.Y. – More than 1,200 construction jobs will come to Purchase with the $240 million renovation of Pepsico's worldwide headquarters, Westchester County Executive Rob Astorino said in a Friday press release.

“After more than 40 years with minimal renovations, our worldwide headquarters requires updating to meet the future needs of the company,” said Rich Delaney, senior vice president, operations, PepsiCo, in the release. “This project will modernize our headquarters in ways that increase operating efficiency, create a more connected and collaborative work environment for employees, and enable PepsiCo to continue to attract great talent to the company.”

As a part of the renovation, the county’s Industrial Development Agency (IDA) “approved a series of incentives” to help PepsiCo. One of them includes “an exemption from the 7.35 percent sales tax on qualified purchases” during construction. PepsiCo executives met with the IDA this morning and unanimously approved the deal.

The renewed partnership between the county and company will keep 1,100 jobs in the county and create 1,250 construction jobs, the release said. Astorino thanked PepsiCo for its “confidence in Westchester."

“As a global company, PepsiCo can locate its headquarters anywhere in the world,” Astorino said in the release. “We have worked hard to keep PepsiCo in Westchester by creating a positive business environment. The fact that the company has decided to reinvest in Westchester is a sign of faith in the county’s future, a shot in the arm to the local economy, and the extension of a 50-year relationship that’s been a model of civic-corporate partnerships.”

A reason for PepsiCo's decision to stay was Westchester’s “well-educated workforce,” said Donna Greene, deputy communications director for the county. The headquarters on 700 Anderson Hill Road is close to both Manhattanville College and Purchase College, SUNY.

Gov. Andrew Cuomo said in the release that the jobs created by the project “will provide an immediate boost to the local economy while allowing PepsiCo to maintain its strong presence as one of New York’s biggest employers for years to come.”

Westchester County IDA chairman Stephen Hunt called it “a historic moment” for the organization and “a significant reinvestment into the county by PepsiCo,” in the release. Laurence Gottlieb, director of economic development for Westchester, said the agreement would “have positive economic consequences for decades to come.”

A starting date for PepsiCo's “complete redevelopment of 420,000 square feet of office space” was not given in the release other than to say it will “begin in the first quarter of 2013.”

Since its move from New York City to Purchase in 1970, the building has been running with “minimal renovations,” the release said. The construction project includes (from the release):

• Increase the capacity of the facility by up to 15 percent.

• Upgrade outdated technology, bandwidth and telephony infrastructure in ways that allow the company to remain competitive and enable better virtual connections with colleagues and partners around the world.

• Reduce energy usage by 22 percent, water usage by 57 percent, and greenhouse gas emissions by 22 percent by replacing older infrastructure systems with modern solutions that enable the facility to operate more efficiently. PepsiCo will target LEED certification for the renovated facility.

• Create a more collaborative and innovative work environment for PepsiCo employees.

• Significantly increase training and meeting capabilities.

• Provide better access to natural daylight.

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