There are a lot of jobs during construction.
There are very few jobs during operation. Mostly site security and a few tech support staff. There will be some steady work for maintenance contractors, but that's much less than the initial construction.
There are very few jobs during operation. Mostly site security and a few tech support staff. There will be some steady work for maintenance contractors, but that's much less than the initial construction.
What would you prefer? To me, local communities tend to benefit in multiple different ways during and after these projects, poorer communities become richer, communities with little opportunity now have more opportunity. I’m always a bit baffled by someone saying “Please don’t invest $5B and create 100s of jobs and taxable improvements in my back yard”.
This is a common argument: wanting 1000s of jobs during construction and 1000s of jobs after construction, but this isn’t a car manufacturing plant. That’s a “we want our cake and we want to eat it too” argument — not saying it’s your argument just that this comes up frequently.
So you won’t see the building cease being useful for about 20 years. You’re getting usually two full cycles of “the servers inside” before a renovation program (or potentially asset/building disposal to another party, or demolition, depending what changes in those 20 years really).
What’s often happening around these tax agreements is they are a mixture of incentive and an offset of prepaid improvement costs to the city/county for developing mains water, sewer, roads, schools, fire and police, and other infrastructure, sufficient to support the 100s of families who may move here to take the post-commissioning jobs, etc.
Often money out the door for the hyperscaler is about the same over 20 years, it’s just some number of $M’s is paid upfront as an “Contribution to Improvements”. That’s actually good for the municipality involved, too.
Municipalities typically know or are told these aren’t tax rebate for 10 years and then it’s getting bulldozed. They’re sophisticated enough and well advised to understand this is a 20+ year investment in their town.