Plug and Play is a business that invests in advanced manufacturing startups while providing training, mentorship and partnership, said Kevin Parakkattu, a partner at the company.
The agreement with Plug and Play is one of many deals recently arranged to bring jobs to Cedar Park and move away from the city’s previous reputation as a bedroom community, according to previous Community Impact reporting.
The big picture
In the last four months, Cedar Park has entered into economic performance agreements with a handful of companies, from pharmaceutical manufacturers to game developers.
These agreements ensure the city receives economic benefits in exchange for the offered incentives, with the end goal of securing a sound economic environment for Cedar Park, Director of Community Affairs Fran Irwin said in an email to Community Impact.
Through these agreements, companies are relocating or headquartering in Cedar Park and in turn bringing jobs to the city.
“When we looked at Central Texas, Cedar Park really struck us. [The city] really had the perfect formula for Plug and Play,” Parakkattu said.
Since August, Cedar Park has entered into economic performance agreements with four different companies, which will create 298 total jobs.
Partnering with Cedar Park
| Company | Jobs | Incentives | Investments |
| PD Labs | 16 | $105K | $4.3M |
| Compedia | 228 | $855K | N/A |
| Plug and Play | 4 | N/A | $1M |
| Hanyang ENG USA Inc. | 50 | $450K | N/A |
Diving in deeper
As of Nov. 20, the city has 20 active agreements with a variety of companies, including engineering consultant Hanyang ENG USA Inc., computer game developer Compedia, full-service compounding pharmacy PD Labs, and Plug and Play.
City officials expect all the active agreements to create a total of 6,209 jobs in Cedar Park.
However, job creation is just one of the varying conditions and expectations outlined in each company’s respective agreement with the city. Certain agreements must also adhere to timelines for building completion and annual growth, according to city documents.
PD Labs President Ray Solano said if the terms outlined in the agreement are not met, the city could take the incentives funding back. However, he said the business will still be able to operate.
“It’s not a gift; it [requires] specific performance,” Solano said. “If you don’t meet the requirements, there are callbacks, and [the city] can take all the money back. It’s in writing—it’s a contract.”
For most companies, there is usually a certain time frame in which expectations need to be met, and if not, the contract can also be voided, officials said.
PD Labs
- Construct an office headquarters in Cedar Park by January 2025
- Retain the 26 existing full-time employees and take on six additional full-time employees by January 2026
- Add 16 full-time employees by January 2030
- Occupy their Cedar Park facility no later than December 2023
- Take on 18 full-time employees by April 2025
- Have 82 full-time employees by December 2027
- Have 228 full-time employees by 2033
- Employ at least four full-time employees within the three-year contract agreement
- Usher in six batches of startup participants over three years
- Host mentorship and program events at the new Cedar Park facility
- Purchase the new facility in Cedar Park no later than December 2023
- Employ no fewer than 25 full-time employees by December 2024
- Have no fewer than 50 total full-time employees by December 2025
What they’re saying
- “Our decision to make Cedar Park our new home is impacted by the city’s abundance of high-tech industries and a workforce distinguished by excellence in various facets.” Sungwook Choi, president of Hanyang ENG USA Inc.
- “It’s just a great opportunity for companies because we do have the labor, the talent, a lot of land and a pro-business environment.” Dave Porter, Williamson County Economic Development Partnership executive director
With Cedar Park nearing full build-out, officials are looking to “fill gaps” with commercial development to better align with the goal of becoming a “live, work, play” city, according to previous Community Impact reporting.
Irwin said the city still has available land for development with over 500,000 square feet of flex industrial space.
The Williamson County Economic Development Partnership also plays a role in bringing companies to the cities by generating leads for businesses interested in building a presence in the county.
As of mid-November, the WilCo EDP has 27 leads with six promising opportunities, Executive Director Dave Porter said. The leads are typically distributed based on the cities’ strong suits.
“[For] forever, Williamson County [has] been a bedroom community where everybody commuted into Austin or elsewhere,” Porter said. “But now that we’re getting more and more employers, we’re becoming a center of employment.”
Targeted Industries
The following are industries the city of Cedar Park is targeting for future or potential economic development agreements.
- Regional or national headquarters
- Defense and aerospace
- Health care and biotechnology
- Software development
- Clean technology
- Advanced manufacturing
