A Massachusetts economic council sealed the deal on Wednesday in the competition with Rhode Island for Hasbro’s new headquarters, by approving $14 million in tax credits to help with the company’s move to Boston.
The toy and game giant last week announced it would relocate its headquarters to Boston’s Seaport by the end of next year as it seeks a location that will be more of a talent draw than its longtime corporate home in Pawtucket, R.I. The company plans to move 700 jobs to 400 Summer St., in 265,000 square feet across seven floors — space that will be subleased from Roche subsidiary Foundation Medicine, in a building owned by WS Development. Hasbro is investing $25 million in project renovations.
Governor Maura Healey’s administration had teed up the $14 million in tax credits for Hasbro, through the state’s Economic Development Incentive Program. The Economic Assistance Coordinating Council voted to approve that award on Wednesday.
Among the other winners were Voya Financial, which was awarded $3.3 million for opening its first Boston office and bringing 220 jobs there, and tech manufacturer Entegris, which was awarded $3.5 million as it embarks on a $100 million expansion of its Billerica headquarters and adding 200 jobs there.
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Hasbro’s sublease will last for 11.5 years, but it also has the opportunity for two 10-year extensions.
“This is a big change for Hasbro,” Ethan Colaice, a vice president who heads up corporate real estate for Hasbro, told the council. “You don’t take a decision to go somewhere after 100 years very lightly. This is something that we’ve contemplated for a while and we do believe that this is the right time for us to be making the move to Massachusetts.”
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Peter Milano, director of strategy and business development for the Healey administration’s economic affairs office, said headquarters operations of major companies can serve as an anchor for high-wage jobs as well as revenue for suppliers, vendors, hotels, and nearby restaurants and stores. Hasbro’s move, Milano told the council, also strengthens the state’s reputation as a hub for innovation and creative consumer industries.
Michael Benak, a lawyer with McCarter & English who represents Hasbro, said Rhode Island officials made a big push to keep Hasbro there, including $50 million in incentives such as grants and tax breaks as well as additional parcels.
“It was not an easy decision,” Benak said on behalf of the century-old company.
“We do feel that accessing the talent-rich environment in Massachusetts is going to be really beneficial for us,” Hasbro’s Colaice said. “Our first 100 years appear to be coming to an end. We’re really excited about the next 100 being in Massachusetts.”
Jon Chesto can be reached at jon.chesto@globe.com. Follow him @jonchesto.