MEMPHIS, Tenn. — Medical device maker Medtronic is seeking a tax incentive to build a 1 million-square-foot manufacturing and logistics center that would employ some 265 people in Memphis.
The company submitted its request to the city-county EDGE board for a 15-year payment in lieu of taxes arrangement worth more than $22 million to fund a total investment of $133 million in the Memphis facility. EDGE will consider the request at its meeting Wednesday.
The plan first came to light in late 2021, but an amendment to the tax incentive package is being considered by EDGE.
Medtronic would occupy and use about 30% of the building for manufacturing, while contracting with logistics firm CEVA to occupy the rest of the site at 5300 Airways Boulevard, just south of the Memphis International Airport.
Medtronic said the 265 new jobs are expected to pay more than $48,000 a year. The incentives would also help retain 365 existing jobs in Memphis.
The facility would replace Medtronic’s existing 376,000-square-foot Memphis facility at 4340 Swinnea Road.
Medtronic said the company is evaluating consolidation of its six U.S. distribution centers into two facilities. One of the two facilities would be located in the Mid-South area.
“If Memphis is chosen, the baseline staffing levels from Swinnea Road would be maintained and significantly expanded,” the company told EDGE.
Medtronic, based in Dublin, Ireland with operational headquarters in Minneapolis, has been in the Memphis area since 1999. The medical device company says it employs 90,000 worldwide with revenues of $30 billion. CEVA Logistics is the Delaware arm of a French company that employs 78,000 worldwide with revenues of $7 billion, according to documents submitted to EDGE.