Posted at Atlanta 575 Real Estate
Dell Inc. may bring 1,500 jobs to Cobb County.
The world's second-largest personal computer maker is considering locating a $45 million corporate facility in Cobb.
Dell (Nasdaq: DELL) would not comment on specifics -- including the purposes of the facility -- but Cobb officials expect it to have 1,500 employees.
A similar-sized Dell location in Oklahoma City functions primarily as a call center.
County officials were told to expect a decision after the first of the year, said Robert Quigley, spokesman for Cobb.
Dell could construct a build-to-suit facility or purchase an existing building. If the company chooses to build, it may lease offices while a permanent campus is being prepared.
Speculation has centered on Wildwood office park, in which Cousins Properties Inc. and UBS Realty Investors own buildings that have enough space to do the deal, which could require 200,000 square feet or more.
Dell spokesman David Frink said the company "evaluates multiple locations all around the world almost continuously for possible expansion" and said the computer maker does not comment on the due diligence process of any particular site.
"It's an ongoing process for us," Frink said.
Dell is in the midst of a program to improve customer service called "Resolve in One." It is investing$150 million this year on customer experience initiatives.
By increasing the number of customer service agents, average hold times for U.S. customers were reduced from nine minutes to three minutes in the past year, the company says.
In addition, the company has reduced call transfers by more than 30 percent and has improved first contact resolution rates by 20 percent.
Dell says its "Resolve in One" program reflects its desire to resolve issues to a customer's satisfaction on initial contact.
In November, the company announced plans to double the size of its customer service center in Ottawa, Canada. That facility employs about 1,200. The company has 30 customer service centers worldwide.
In a letter dated Nov. 3 to Tom Menke, director of global site selection for Dell, Cobb County Commission Chairman Sam Olens said, "We are excited about your company considering Cobb County as the location for your corporate facility."
If the company constructs a build-to-suit facility, the property could be worth $45 million, according to the county.
Cobb County has referred to its dealing with Dell as "Project Echo."
In the letter, Olens referenced the fact that Dell had "shown an interest" in certain properties.
"If you choose to build, we will assist you in negotiating a lease in the only currently available facility," Olens wrote.
"This will allow you to get 'up and running' immediately while your permanent campus is being prepared."
That single facility is believed to be at Wildwood, but there are a variety of options for a build-to-suit. Land is available at the Galleria office complex, Overton Park and Cumberland Center II, among other sites.
In addition to tax abatements that could save the company more than $2.9 million over 10 years, the Development Authority of Cobb County has offered to budget up to $100,000 to assist with the relocation of key executives and management personnel.
Cobb officials have offered to sponsor a two-day job fair to help Dell staff the facility.
The county, along with the Cobb Chamber of Commerce and the county development authority, said it will coordinate with Dell's human resources and marketing officials to inform local residents about jobs with Dell, by means of a billboard and direct mail.
"I would encourage the county to do whatever they can do to get them to move in," said Connie Engel, a partner with Childress Klein Properties who is in charge of leasing and marketing the Galleria office buildings.
Dell employs about 19,000 at its headquarters in the greater Austin, Texas, area. In addition to executive offices, the location includes development, manufacturing and sales functions.
Atlanta Business Chronicle - January 5, 2007
Jill Lerner, Staff Writer
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