BREDESEN 1, SCHWARZENEGGER 0:
Nissan Motor Co. announced Thursday it is moving its North American headquarters and nearly 1,300 jobs from California to the Nashville area to take advantage of the lower cost of doing business in the Southeast.
“The board of Nissan decided to relocate our North American headquarters, and we’re coming to Tennessee,” Nissan CEO Carlos Ghosn said at a news conference at the state Capitol attended by Gov. Phil Bredesen and other top state officials.
The headquarters, which has been based in Gardena, Calif., will relocate to Williamson County, a suburban area south of Nashville. . . .
Ghosn cited lower real estate and business taxes as major reasons for the move.
“The costs of doing business in Southern California are much higher than the costs of doing business in Tennessee,” he said.
Plus, housing is much cheaper for employees, and there’s no state income tax.
UPDATE: Reader Daniel Aronstein emails:
Your title – and take – on the Nissan relocation from California to Tennessee is unfair and inaccurate.
Nissan left for reasons that Ahnold has been trying very hard to change.
And the Democrats and unions have stopped him.
An accurate and unbiased title would have been “BREDESEN 1, Kalifornia Democrats & unions 0.”
I wasn’t really picking on Arnold, I just thought that was cute. But a fair point.
ANOTHER UPDATE: SKBubba emails:
Small correction to your Nissan post (which is great news, by the way). There IS an income tax in Tennessee. It’s called the Hall Tax. Check it out. It particularly sucks for small business people like me
and the Mrs. who organize as Sub-S corporations. It isn’t mentioned in the chamber of commerce brochures. Not sure why Tennessee penalizes small businesses, who create about 80% of the jobs here.
Yes, the Hall Tax sucks though it probably has no relevance to decisions like Nissan’s.