State Awards Tax Deal for Amazon.com Warehouse in Stoughton

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A proposal to turn an abandoned Stoughton warehouse into a giant Amazon.com distribution center has resulted in the online shopping company receiving a sizable tax deal.

The state’s Economic Assistance Coordinating Council has approved $600,000 in Economic Development Incentive Program (EDIP) Investment Tax Credits for the project, Gov. Deval Patrick’s office announced on Wednesday. The town, moreover, is supporting the project with a 10-Year Tax Increment Agreement that solely includes a Personal Property Tax Exemption valued at $2,891,816, according to the announcement.

The project proposes that Amazon upgrade the former Reebok distribution facility at 1,000 Technology Center Dr. in Stoughton. The new facility, according to officials on Wednesday, will act as a package handling “pass through” location from larger distribution centers onto trucks and will service the New England region. The company plans to invest $20 million to upgrade the facility and fit with approximately $17 million in machinery and equipment.

Stoughton officials said previously that, with the new warehouse, the company aims to open about 125 full-time jobs with an average annual income of $45,000 each. The project would also open the door for potentially hundreds of part-time jobs during peak shopping seasons. Officials, including State Sen. Brian A. Joyce (D-Milton), have applauded the move to bring Amazon into town.

The Amazon project is one of seven projects across the Commonwealth to receive approval for participating in the EDIP, the state’s investment tax credit program for businesses that aims to create 433 new jobs, retain 460 existing jobs and bring in more than $61 million in private investment and supporting construction projects.

“Supporting companies that are choosing to grow in Massachusetts is an important part and one of the Administration’s key economic development objectives to create economic opportunity in every region of the Commonwealth,” Massachusetts Office of Business Development Executive Director Michael Hunter said in a statement. “These investments will help these companies expand and continue to enhance the Massachusetts economy by making our communities stronger in the long term.”

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