NORFOLK, Va. (WVEC) — Two Norfolk Southern employees told 13News Now that the company will move its headquarters from Hampton Roads to Georgia, confirming a report by the Atlanta Business Chronicle.
The workers, who were outside of Norfolk Southern's offices in Downtown Norfolk Wednesday morning, said they were told not to talk about the move.
Virginia Governor Ralph Northam confirmed the relocation. He told 13News Now that the state was sorry to see the company leave.
"We actually gave them an incentive package a couple of years ago. Some of that will actually be returned to the Commonwealth of Virginia because they are leaving Virginia," said Northam. "I've had an open line of communication with them, and I know the mayor of Norfolk has as well...I just think this is part of their business model and wanting to have all their employees under one roof."
The prospect of a move forced one local restaurant to close before it was even confirmed.
"Doubt over what Norfolk Southern was going to do – it sort of drove my boss. He just decided for his bottom line it was probably best to close the location," said Karen Wilson, a manager at Pandaisia Gourmet.
Norfolk Southern employees were loyal customers at Pandaisia Gourmet across the street from their building where Karen Wilson worked.
"He had already been through it with Bank of America moved, and that hurt a lot, so I think he felt like here we go again," said Wilson. "We just couldn’t take a chance staying, not knowing, and now we do know and I think my boss feels like he made the right decision."
Wilson had to move to a different location.
"I wasn’t ready to leave. You build up all these relationships with your customers and it’s hard to say goodbye," said Wilson
According to Wilson, employees were not happy about the move.
"Many of them weren't really happy about having to relocate," explained Wilson. "You know, they have families here and roots...The prospect of having to pack up and start somewhere else in a place they didn't choose, you know, they weren't particularly thrilled about."
The Atlanta Business Chronicle said Georgia Governor Nathan Deal was expected to announce the relocation of the railroad giant at an event Wednesday. Cousins Properties will develop Norfolk Southern's new headquarters as part of a two-tower, 22-story project on a three-acre Midtown Atlanta site bordered by Spring Street, 3rd Street, West Peachtree Street and Ponce de Leon Avenue.
The new development, near Atlanta's landmark AT&T building, would add to the ongoing building boom in Midtown's Technology Square area, where several towers are already planned or are underway.
In early December, Invest Atlanta, Atlanta's development agency, approved a deal which would give Norfolk Southern a property tax break worth nearly $24 million over 10 years for relocating to Atlanta.
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