NE: Gov. Heineman Awards $500,000 in Community Development Funds for Kearney Business Expansion
2 Nov, 2010
Gov. Dave Heineman today joined city officials and company leaders of Xpanxion, LLC at a ribbon-cutting held to celebrate the company’s new, expanded offices in Kearney.
The Governor presented $505,000 in Community Development Block Grant (CDBG) funding to the city of Kearney to help Xpanxion move its operations to a facility that doubles the work space for the global software engineering services company. The expansion will help Xpanxion create 24 new full-time jobs over the next two years and nearly triple its staff to more than 65 employees.
“The success of companies such as this has helped attract attention to the potential that exists in Nebraska,” Gov. Heineman said. “Software and computer related companies represent an emerging strength for our state, with opportunities available in nearly every county across our state. We are pleased to see that development continuing in the form of a larger office and new job opportunities at Xpanxion.”
Xpanxion CEO Paul Eurek said, “Our exceptional growth in Nebraska has been a direct result of a growing trend of large corporations beginning to use rural outsourcing as an alternative for their information technology services. Any new growth begins with an investment, and I am proud to have the community of Kearney, the Nebraska Department of Economic Development, the Buffalo County Economic Development Council, and the State of Nebraska as a financial partner investing along side of us to help us accelerate our potential to add jobs and increase our corporate footprint in Kearney.”
Xpanxion will use $500,000 in CDBG funds for working capital for the expansion. The remaining $5,000 will help cover administrative costs for the city. An additional $721,000 in funding from Xpanxion will complete the project.
Headquartered in Atlanta, Xpanxion has offices in Kearney and Loup City, as well as Pune, India. The company’s Nebraska locations are focused exclusively on quality assurance and software development and testing.
The Kearney office opened in 2006 with 2,500 square feet of space. It doubled in size a year later as part of an expansion. The current workforce of 54 full-time employees has outgrown the space available and company officials began searching for another location. The new facility provides 10,000 square ft., which could accommodate up to 95 workers, and an option to add additional space after three years.
Many of Xpanxion’s software engineering professionals are graduates of the University of Nebraska at Kearney, a positive reciprocal development the company accomplished in large part to its successful partnerships throughout the state of Nebraska.
The Nebraska Department of Economic Development administers the state’s share of CDBG funding.