Centene timeline in Charlotte: From billion-dollar fanfare to quietly quitting big plans [The Charlotte Observer]

Charlotte Observer (NC)

Health insurance giant Centene’s plans to invest over $1 billion building its East Coast headquarters in Charlotte was met with much fanfare two years ago. But now, those plans are dead.

Centene said late Thursday it was backing out of the move, citing a shift in the workforce to remote or hybrid work

The Fortune 25 company and largest Medicaid-managed company’s plan was heralded as the state’s largest job announcement under the current incentive program when it was announced two years ago.

Here’s a timeline of events:

June 30, 2020: The big announcement

Centene Corp., a St. Louis health insurance giant, said it will invest over $1 billion and bring at least 3,237 jobs to Charlotte over the next decade to build its East Coast headquarters and technology hub.

The plan would create a total of 6,000 jobs in the coming years, Centene CEO Michael Neidorff said.

The average salary for the Centene positions is $100,089, or 47% higher than Mecklenburg County’s overall average annual wage of $68,070.

Mayor Vi Lyles called it “a historic occasion for Charlotte,” while Cooper said “Centene’s investment here is great for the Charlotte area and our whole state,” in a news release touting the deal.

Centene’s move is touted as the single largest job announcement in the history of North Carolina’s current state incentives program. For its investment, Centene could receive up to $450 million in incentives over 39 years.

Mecklenburg County and Charlotte officials planned to give the company up to $26 million and $31.6 million in incentives respectively.

Centene was expected to generate about $102 million net revenue over 20 years, and the money would help fund services like parks and libraries.

“This project touches every corner of Mecklenburg County,” Mecklenburg County board chairman George Dunlap said two years ago during Centene’s announcement.

July 10, 2020: Centene closes on land sale

Centene purchases 80 acres of undeveloped land at University Research Park for $10 million. The property, along Governor Hunt Road near the intersection of David Taylor Drive in north Charlotte, backs up to a greenway for “security purposes.”

June 21, 2021: Campus dedication ceremony

Centene showcases the construction of its 800,000-square-foot main office and meeting space building with a dedication ceremony with Neidorff and Gov. Roy Cooper, as well as other state, county and city officials.

Construction of the 1 million square foot campus with six buildings would be completed in phases. The first phase of development is expected to be completed in late 2022, and the second phase was scheduled to begin in 2024.

Workplace amenities would include childcare and early education center, dining venues, healthcare clinic and a corporate learning center.

Healthcare giant Centene displays East Coast Charlotte headquarters construction

St. Louis-based Rafco Properties manages the development, Charlotte-based LandDesign is site planner, and LS3P is the architect.

Aug. 18, 2022: Centene cancels Charlotte plans

Centene stuns local leaders by putting out a statement late in the day confirming it made the decision to terminate its Charlotte headquarters plans because more workers prefer teleworking following the pandemic.

“We are sorely disappointed to see this project vaporize essentially into thin air,” said Tobe Holmes, the interim executive director of University City Partners.

Centene employees in North Carolina will continue to work remotely or in a hybrid work environment. That includes about 700 workers in Charlotte. Centene has 1,300 employees across the state.

Centene will finish construction on the office building and list it to be sold.