Title
Public Hearing and Decision on Sumitomo Mitsui Banking Corporation Business Investment Grant
Action
Action:
A. Conduct a public hearing regarding approval of a City of Charlotte Business Investment Grant to Sumitomo Mitsui Banking Corporation, and
B. Approve the city’s Business Investment Grant to Sumitomo Mitsui Banking Corporation for a total amount not to exceed $852,036 over 10 years.
Body
Staff Resource(s):
Alyson Craig, City Manager’s Office
Shahid Rana, Economic Development
Matt Dufore, Economic Development
Explanation
§ On April 7, 2026, Sumitomo Mitsui Banking Corporation (SMBC) announced it would open its second U.S. headquarters in Charlotte.
§ On March 23, 2026, City Council, in closed session, indicated their intent to approve this Business Investment Grant (BIG).
§ Sumitomo Mitsui Banking Corporation (SMBC) has committed to a capital investment of $50,536,697 and creation of 2,000 jobs to be hired with an average wage of $165,686.
Background
§ Sumitomo Mitsui Banking Corporation (SMBC) offers a broad range of financial services, including banking, securities, leasing, credit cards, and consumer finance.
§ This will be the second U.S. headquarters for SMBC's Americas Division.
Business Investment Grant
§ Actual grant payments are based on the value of the investment as appraised by the Mecklenburg County Tax Office.
§ Property taxes due from SMBC must be paid before grant payments are made.
§ If SMBC removes the investment from Charlotte during the grant term, it shall pay back 100 percent of the investment grant paid to date.
§ If SMBC moves the investment from Charlotte within 10 years of the end of the Business Investment Program (BIP) grant term, a portion of the grant must be repaid as follows:
- Within one year of the end of the BIP Term: 90 percent of grant payments;
- Within two years of the end of the BIP Term: 75 percent of the grant payments;
- Within three years of the end of the BIP Term: 60 percent of the grant payments;
- Within four years of the end of the BIP Term: 45 percent of the grant payments;
- Within five years of the end of the BIP Term: 30 percent of the grant payments;
- Within six years of the end of the BIP Term: 20 percent of the grant payments; and
- Within seven to 10 years of the end of the BIP Term: 10 percent of the grant payments.
Fiscal Note
Funding: Business Investment Grant