Burlington lands jet engine facility

Honda this morning confirmed that it would put its jet engine headquarters and manufacturing plant in Burlington and create as many as 70 jobs.

The Japanese automaker developed the engine in conjunction with GE Aviation and it will be used to power a new class of jets that are lighter and more efficient.

The state promised Honda an incentive worth as much as $1.76 million to win the HondaJet facility.

In addition, the Airport Authority in Alamance County will give Honda 90 acres of land for the plant. The authority borrowed $11 million to buy the land and to expand the runway at the Burlington-Alamance Regional Airport.

The state money comes from one of North Carolina's most lucrative programs — the Job Development Investment Grants.

In awarding the money, Gov. Mike Easley said of Honda's decision: "It proves we are still first in flight more than a century after the Wright brothers took off from Kitty Hawk.”

Honda also is expected to invest as much as $27 million in the facility. The 70 jobs will be mainly production and management positions as it moves its headquarters from Reston, Va. The average yearly wage will be about $62,000, nearly double the Alamance County average of $31,300.

Honda is moving into a new market for small jets that are lighter and more efficient than traditional models. And its decision to expand in Alamance County cements North Carolina at the center of its strategy.

In February, Honda announced that it would build a $100 million facility in Greensboro to produce the jets and house the division's global headquarters. It won a state grant then worth as much as $6.68 million.

Honda must meet hiring, investment and other goals to receive any of the state money. The state award approved this morning will be paid out over 12 years.