NEWPORT, Ky. — Newport City Council is voting Monday to give Newport-based IT and cybersecurity business, Nexigen, up to $5 million in taxable industrial building revenue bonds. The bonds are to help Nexigen expand its company.
Currently, Nexigen works out of one building on 11th Street. Soon, though, they’ll have two more buildings — the old Newport National Bank and an old funeral home, right behind the bank.
“We’re effectively more than doubling our real estate portfolio,” said Jon Salisbury, cofounder and CEO of Nexigen.
It’s all part of a major company expansion that will create new jobs right in the heart of downtown Newport.
WATCH: How Nexigen's expansion will benefit the local community
“Nexigen is making a significant investment in these properties as part of an expansion that will create more than 60 high-paying jobs in the AI (Artificial Intelligence) sector … We are excited and appreciative that Nexigen has chosen to expand its footprint here in Newport, strengthening our historic downtown business district and our local economy,” Newport Assistant City Manager Brian Steffen said in a statement.
The bonds the City of Newport is voting on are basically a tax exemption for Nexigen. But while they won’t be paying traditional taxes, they’ll still be investing in the community.
“The city, county and school district will receive some payment in lieu of taxes,” said James Parsons, a partner at Keating Muething & Klekamp Law and the council on the bond agreement between the city and Nexigen.
It’s not just through new jobs and money to the community that this expansion will impact those outside of Nexigen. The old Newport National Bank building will have a full AI lab, which Salisbury says will impact the entire region.
“It’s a very controlled environment, we can do simulations, which is testing things out with lots of permutations to make sure it's safe, and then from there we can share our information and studies papers, grants,” said Salisbury.
Salisbury added that they also plan to partner with local universities, businesses and organizations to collaborate and educate on a number of AI, cybersecurity and technology projects.
