Serving the defense and transportation industries, Cubic Corporation is a global company with clients on nearly every continent. The company has called Kearny Mesa home for 50 years, currently based in an aging set of buildings that have not kept pace with the company’s. Its facilities were divided onto two major campuses in the Kearny Mesa area, creating a lack of cohesion among its business units.
With competition for tech talent at an all-time high, Cubic’s leadership was concerned its outdated facilities would discourage potential hires. Cubic needed to modernize and redevelop its campus to help attract talent, while also providing adequate facilities for the next 50 years. Despite its long history as a San Diego company, Cubic was experiencing pressure to build its headquarters in a lower-cost state such Tennessee, Alabama, orFlorida, where Cubic had other growing operations. As a result, EDC worked hand-in-hand with Cubic’s team to secure the necessary incentives to keep San Diego a competitive option, despite pressure to relocate its facilities out-of-state.
Utilizing both state and local programs, EDC was able to leverage its expertise in incentives consulting in order to help this 50-year-old staple company stay in California. EDC developed a strategy to capture a number of incentive programs, which offset the cost of rebuilding its headquarters in San Diego. Additionally, EDC worked as an intermediary to both the City and State departments on behalf of cubic to ensure processes were staying on track and that the campus redevelopment was seen as a priority by all parties.
Cubic secured a CalCompetes Tax Credit worth $8.5 million. Locally, Cubic was able to secure expedited processes through the City of San Diego, in addition to a Business Incentive Program and Business Cooperation Program award. In total, the incentives and expedited processes provided gave Cubic the necessary offsets and timeline confidence to commit to redeveloping its Kearny Mesa headquarters, and keeping San Diego as its home for decades to follow.
ABOUT CUBIC CORPORATION: Cubic is an American public corporation providing diversified systems and services to the transportation and defense markets worldwide. Cubic Corporation is the parent company of three major divisions: Cubic Transportation Systems, Cubic Mission Solutions and Cubic Global Defense. cubic.com