GE Picks Former Necco Buildings in South Boston for HQ

GE will shift headquarters operations to the Necco buildings in South Boston in 2018.

BOSTON—While the finer points of the deal have yet to be revealed, General Electric reports its new corporate headquarters will be located at 5 and 6 Necco Way at the P&G campus in South Boston. The company plans to occupy the two buildings, which total approximately 100,000 square feet, as well as a new building it plans to construct on the 2.5-acre site that is part of P&G’s 44-acre South Boston campus. No financial details of the transaction were released. A spokesperson for P&G says the deal is expected to close in the next 12 months. GE did not divulge the size of the building it plans to build on the property. GE CEO Jeff Immelt reportedly pegs the development cost of renovation and the new building at between $80 million to $100 million. The company will begin occupying this summer approximately 45,000 square feet of temporary headquarters space at 33-41 Farnsworth St. in Fort Point Channel that is being vacated by software firm Bullhorn. GE says it will relocate in several steps to its South Boston headquarters complex in 2018. GE will sell its offices in Fairfield, CT and at 30 Rockefeller Plaza in New York City to offset the cost of the move. “South Boston is a major hub for innovation and development and GE is excited to be a part of such a dynamic and creative ecosystem that is leading the future,” says GE Vice President Ann Klee .  “This centrally-located property presents an excellent opportunity to enhance the Seaport District and the surrounding community. We look forward to bringing our headquarters to South Boston.” The purchase includes the vacant two historic buildings, which will be renovated, and an adjoining parking lot. GE will construct the new building at the parking lot site. The Necco buildings were more recently used as field offices for contracting firms on building projects in the area, including the Big Dig. Charlie Pierce , president, The Gillette Company at P&G, said in a statement, “When GE contacted us, we saw an opportunity to welcome a world class innovation leader into our neighborhood, benefiting the local community, enhancing the Seaport District and generating value for our shareholders.  We’ve designed and manufactured some of the most cutting-edge shaving technology in the world at this site for over a century and it will continue to play a significant role for us in the future.” GE officially announced in January it would relocate its corporate headquarters from Fairfield, CT to Boston, but up until now had not divulged where in Boston it would move its operations to. Of its Boston corporate headquarters workforce, 200 will be corporate staff and 600 will be digital industrial product managers, designers and developers split between GE Digital, Current, robotics and Life Sciences. GE currently employs approximately 5,000 employees in Massachusetts in businesses including aviation, oil & gas and energy management.  In 2014, GE moved its Life Sciences headquarters to Marlborough, MA and in 2015 GE announced its energy services start-up, Current, would also be headquartered in Boston.