News Summary
The Jacksonville City Council has approved a $20 million incentive package aimed at attracting Otto Aviation to relocate its headquarters to Jacksonville. This investment is intended to support the construction of a manufacturing plant for the Phantom 3500 business jet at Cecil Airport and promises significant job creation and economic growth for the region. Supported by the Jacksonville Aviation Authority, the incentives will contribute to Florida’s aerospace industry and boost local employment.
Jacksonville – On June 9, the Jacksonville City Council made a significant financial commitment toward the future of aerospace in the region by approving a $20 million incentive package aimed at attracting Otto Aviation. The unanimous decision is part of a strategic plan to relocate the company’s headquarters from Fort Worth, Texas, to Jacksonville, facilitating the production of its innovative Phantom 3500 business jet.
The approved incentive package incorporates property tax rebates spread over a 20-year period, intended to support the construction of a new manufacturing plant located at Cecil Airport. This financial boost aims not only to bring Otto Aviation into Jacksonville but also to establish the city as a competitive player in the aerospace industry.
The Jacksonville Aviation Authority (JAA) is playing a crucial role in this initiative, contributing nearly $35 million in incentives. These contributions include a $22.5 million allocation for extending a taxiway to the parcel of land designated for Otto Aviation’s manufacturing facility. Additionally, the state of Florida is exploring substantial funding options through corporate income tax credits and high-impact incentive grants to bolster the project.
Otto Aviation has significant plans for job creation, anticipating at least 400 new jobs with an average salary of $90,000 by the end of 2031. As the company transitions into full production, it projects the potential for the workforce to grow to approximately 1,200 jobs by 2040. The Phantom 3500 is expected to revolutionize the business jet market by utilizing advanced technology and innovative design features.
The Phantom 3500 will incorporate “laminar flow technology” that allows for enhanced fuel efficiency, making it capable of traveling further while consuming less fuel compared to other aircraft in the same category. The design of the aircraft takes a modern approach, eliminating traditional windows and replacing them with high-definition displays that offer expansive views, along with improved aerodynamics.
Currently, Otto Aviation has signed a lease for a hangar at Cecil Airport, once occupied by Boeing, which will serve as their temporary base while the company establishes its new facility. Construction is anticipated to commence in 2027 and will span across 80 to 100 acres at Cecil Airport, with plans for the manufacturing plant to be completed by January 2022.
The overall investment from Otto Aviation for both outfitting the existing hangar and constructing the new facility is projected to be around $430 million, marking a significant economic infusion into Jacksonville. City Council member Nick Howland has expressed enthusiasm about developing an aerospace and defense cluster at Cecil Field, an area that already hosts prominent businesses such as Boeing and Flightstar.
As part of its development strategy, Otto Aviation plans to kick off research and development activities in 2027, targeting Federal Aviation Administration (FAA) certification for the Phantom 3500 by 2030. This project is positioned as a pivotal moment for Jacksonville’s aerospace sector, with Otto Aviation’s initiatives also focusing on reducing the environmental impact of private air travel, an increasingly pertinent issue as carbon emissions from private jets continue rising in recent years.
The innovative design of the Phantom 3500 is influenced by the previous Celera 500L prototype, emphasizing reduced drag and improved performance. The commitment to creating a cutting-edge aerospace facility in Jacksonville not only aims to enhance local employment opportunities but also positions the city as a forward-looking hub for technological advancement in the aviation industry.
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Additional Resources
- Jacksonville City Council Backs Incentives for Otto Aviation Plant
- Wikipedia: Aerospace Industry
- Jacksonville City Council Approves $20 Million Incentive
- Google Search: Otto Aviation
- Jacksonville City Council Approves Riverfront Plaza Land Swap
- Google News: Jacksonville Aviation
- A Look Inside the Futuristic Aircraft in Jacksonville
- Encyclopedia Britannica: Aviation
- Otto Aviation Is Project Bluebird
