State to consider $490,000 for GoDaddy expansion

HIAWATHA - The Iowa Economic Development Authority will consider approving more than $490,000 in tax credits to go toward GoDaddy's $6 million expansion on Friday morning.

The Scottsdale, Ariz.-based company announced the 12,000-square-foot expansion and renovation to its Hiawatha facility last week.

Pending approval from the state economic development board, the Hiawatha City Council will have a formal approval on Sept. 2 on about $171,000 in tax increment financing over a six-year period of time, said Kim Downs, the city administrator.

That would bring the total city and state financing to about $661,250.

The company will fund the project, spending $4.5 million on the building, $1 million on furniture and fixtures, and $500,000 on computer hardware, according to state documents.

GoDaddy would like to use both the state sales, service and use tax refund as well as tax credits available to companies brining new jobs to the state.

The expansion, which could start later this month and conclude by later summer 2016, will add a fitness center with showers and lockers, as well as pingpong, foosball and shuffleboard tables.

GoDaddy Iowa employs workers in customer care and as small business consultants, as well as in engineering, development and marketing.

Since GoDaddy opened its Hiawatha location in 2010, it has grown to employ more than 600 people. The company said the expansion could create another 130 jobs over the next three years.