News Summary
Hasbro is relocating its headquarters from Pawtucket, Rhode Island, to Boston’s Seaport District by the end of next year, driven by a significant tax break from Massachusetts and a need for a more vibrant job market. The move will bring 700 jobs to Boston and includes a $25 million investment in renovations. While this decision marks a century-long connection to Rhode Island, local officials express concerns over job losses and tax revenue decline. The move highlights economic challenges faced by both Massachusetts and Rhode Island.
Rhode Island – Hasbro, the well-known toy company, is set to relocate its headquarters from Pawtucket, Rhode Island, to Boston’s Seaport District by the end of next year. The Massachusetts Economic Assistance Coordinating Council has approved a significant tax break of up to $14 million for Hasbro, which is contingent on the company meeting specific hiring requirements.
The new headquarters will occupy a 265,000 square-foot facility at 400 Summer St., which will be subleased from Roche subsidiary Foundation Medicine, currently owned by WS Development. Hasbro intends to move approximately 700 jobs to this new location and plans to invest $25 million in renovations to adapt the building for its operations. The sublease arrangement will last for 11.5 years, with options for two additional 10-year extensions.
The decision to shift headquarters marks a significant milestone for Hasbro, which has been rooted in Rhode Island for over a century. Ethan Colaiace, Hasbro’s Vice President of Corporate Real Estate, indicated that the decision has been under consideration for a while, reflecting the company’s strategic need to position itself in a more vibrant and talent-rich environment.
Massachusetts Governor Maura Healey’s administration has played a key role in facilitating these tax credits through the state’s Economic Development Incentive Program, which aims to encourage business growth and job creation. In addition to Hasbro’s substantial incentives, other companies have also received support, including Voya Financial, which was awarded $3.3 million for establishing its first Boston office, creating 220 jobs, and Entegris, which received $3.5 million for a $100 million expansion, adding another 200 jobs in Billerica.
The implications of Hasbro’s move extend beyond the company itself. Local officials in Pawtucket have expressed disappointment, raising concerns over potential job losses and a decline in tax revenues due to the departure of such a prominent employer. Hasbro had previously faced substantial efforts from Rhode Island to remain in the state, with a proposed $50 million incentive package aimed at retaining the company.
Supporters of the move assert that relocating to Boston allows Hasbro to align more closely with the city’s job market and its innovation-focused economic ecosystem. However, this decision has occurred amidst criticisms of Massachusetts’s overall economic climate, which has been reported to rank last nationally for private employer job growth. Concerns about sustaining economic viability and competing with states like North Carolina, which have experienced stronger job growth, have also been voiced, highlighting broader challenges facing Massachusetts.
The business climate in Massachusetts continues to be scrutinized, especially regarding factors such as taxation and high housing costs. Although Hasbro’s relocation is a positive development for Boston’s economy, it casts a spotlight on the economic hurdles that the state faces in maintaining and attracting businesses and talent.
In conclusion, while Hasbro’s decision reflects its growth ambitions by moving to a more conducive environment for business, it simultaneously underscores significant economic challenges within Rhode Island and Massachusetts, a state grappling with preserving its competitive edge amidst evolving market dynamics.
Deeper Dive: News & Info About This Topic
- Boston Globe: Hasbro Receives Tax Credits
- Bloomberg: Hasbro’s Move to Boston
- State House News: Mass Welcomes Hasbro HQ Move
- Commercial Search: Hasbro’s Boston HQ
- Valley Breeze: Hasbro Moving to Boston
- Wikipedia: Hasbro
- Google Search: Hasbro News
- Google Scholar: Hasbro
- Encyclopedia Britannica: Hasbro
- Google News: Hasbro
Author: STAFF HERE PROVIDENCE WRITER
The PROVIDENCE STAFF WRITER represents the experienced team at HEREProvidence.com, your go-to source for actionable local news and information in Providence, Providence County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as WaterFire, Rhode Island International Film Festival, and Rhode Island Comic Con. Our coverage extends to key organizations like the Greater Providence Chamber of Commerce and Providence Warwick Convention & Visitors Bureau, plus leading businesses in finance and manufacturing that power the local economy such as Citizens Financial Group and Textron. As part of the broader HERE network, we provide comprehensive, credible insights into Rhode Island's dynamic landscape.
