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Toyota announced on Monday that the company's U.S. headquarters will be moving to Texas from California.
The company said the move was to improve communication between other branches of the company, according to CNN. The manufacturing and development divisions currently reside in Kentucky. There are also New York-based offices, but many of those will eventually be moved to Texas.
Toyota's North American CEO Jim Lenz said in a statement, "With our major North American business affiliates and leaders together in one location for the first time, we will be better equipped to speed decision making, share best practices and leverage the combined strength of our employees."
The decision to move to Texas was also made easier since the state offered the car manufacturer $40 million in incentives out of the Texas Enterprise Fund, if Toyota moved its base there.
Toyota was reportedly considering three other sites, but wouldn't reveal where they were.
The move won't begin immediately, or really for awhile for most employees as the new headquarters hasn't even been built yet. The Associated Press reports that construction will begin later this year and likely will be completely sometime in 2016. Some employees will move early to temporary office space, though.
The headquarters, once finished, will be able to house 4,000 employees from several different divisions together, with about 2,000 coming from their current Torrance, Calif. base, 1,000 from Kentucky and another 1,000 who work in Toyota Financial Services.