Spotify will become one of the new tenants in the 4 World Trade Center complex in New York. The digital music service company has decided to leave its current location and move its headquarters to New York Gov. Andrew Cuomo's turf.
As reported by Pix 11, Cuomo warmly welcomed the move as it would bring several new jobs in the city. Companies that change their headquarters' location usually entice the state government of the new location with the promise of job creation in order to get approval to operate in the area they have chosen.
The New York governor lauded Spotify for choosing New York City as the location of its new headquarters. He said the move signals the growing importance of the city as a hub for technology and innovation. The World Trade Center complex is being marketed as an attractive location for several businesses.
According to a report by Business Insider, the 832 jobs that Spotify currently has will not be affected by the move. The new space that it will occupy in the World Trade Center complex is expected to be huge enough to accommodate the expansion. The digital music service company will be moving to a 378,000 square feet of office space owned by Silverstein Properties Inc.
While Cuomo touted the new jobs that Spotify will bring to the city, Spotify is also receiving some benefits from its decision. The digital music service company qualified to become one of the recipients of World Trade Center Rent Reduction Program rent credits from Empire State Development.
The rent credits that Spotify got as it moves its locations amount to up to $11 million. The digital music service company can use the credits for about 15 years of its lease.
Jobs & Hire recently reported that New York Times and Spotify entered into a partnership to boost each other's subscribers.