NASHVILLE, TN (WSMV) – Oracle Corporation announced Wednesday it has requested a public hearing for approval of an Economic Impact Plan with the Metro Industrial Development Board that would bring 8,500 jobs to Nashville, according to Mayor John Cooper’s office.
Approval from the IDB and Metro Council is needed to finalize Oracle’s proposal to bring 8,500 jobs and a $1.2 billion investment to Nashville by the end of 2031. Oracle plans to create around 2,500 jobs in Nashville by the end of 2027. The 8,500 new jobs would have an average salary of $110,000.
Oracle also said over 11,500 ancillary jobs would be created plus another 10,000 temporary jobs through construction and other support services associated with building, operating and maintaining the proposed campus.
“We are thrilled that Oracle is ready to make a billion-dollar bet on Nashville,” Mayor John Cooper said in a press release. “Oracle will bring a record number of high-paying jobs to Nashville and they will pay upfront all the city’s infrastructure costs. This is a huge win for our city. In an unprecedented deal structure for Nashville, no new debt is being issued and there is no burden on our taxpayers. Oracle’s presence will transform the East Bank, and I’m equally excited about the ways Oracle can transform education and career pipelines in Nashville.”
An agreement negotiated by local and state officials would bring Oracle Corporation to Nashville’s East Bank in a development that will transform the area and connect the tech giant to the HBCU corridor on Jefferson Street.
Oracle’s potential capital investment includes $175 million in public infrastructure, bringing benefits to taxpayers without increasing Metro’s debt or burdening Nashville’s taxpayers. The public infrastructure will include a pedestrian bridge over the Cumberland River, brownfield remediation, a sewer pump station and a riverfront park.
Oracle is interested in Nashville because it provides access to world class higher education institutions and a talented workforce, boasts a diverse populations with a vibrant culture, has a high quality of life while maintaining affordability, and is a top destination for new employees. Oracle’s other hubs include Austin, TX, Redwood City, CA, Santa Monica, CA, Seattle, Denver, Orlando, FL, and Burlington, MA.
For perspective, a $1.2 billion campus would be roughly twice the scale or the Music City Center ($623 million in 2013).
The proposed deal represents the best possible financial arrangement for residents and taxpayers of Davidson County, according to a news release.
Oracle is buying the land and building a $1.2 billion campus in an area that needs substantial investment. The deal would not burden the city with any additional debt. The proposal does not require any funds from Metro’s operating budget. There are no job grants or bonds required as part of the proposed deal.
In the proposal, Oracle will make a $175 million investment in public infrastructure that a city would ordinarily be required to purchase itself, according to the Mayor’s release. This includes costs such as a pump station for water and sewer, a pedestrian bridge, street widenings and environmental remediation.
Per the Economic Impact Plan, half of Oracle’s future property taxes would go to reimbursing the company for its upfront infrastructure investment, without any interest payments.
The other half of the new property tax base would benefit the city’s general operating fund, from which funds can be directed to investments in affordable housing and neighborhood infrastructure.