City economic-development staff announced Sept. 2 that X Energy, an advanced nuclear reactor and fuel company, will move its headquarters to a large office building at 9801 Washingtonian Boulevard in Gaithersburg and lease 125,000 square feet.

Tom Lonergan Seager, presenting the economic development update, said the company will invest at least $14,500,000 in tenant improvements and furniture, fixtures and equipment, retain 250 existing full-time employees locally and hire at least 525 additional full-time permanent employees over the next six years — a total of about 775 employees at the site. Seager said the city worked with the Maryland Department of Commerce and the Montgomery County Office of Economic Development to assemble an incentives package totaling more than $5,300,000 in performance-based incentives; the city committed $50,000 from its economic development toolbox.

Seager told the council that property-owner upgrades had drawn other new tenants to the building and that the combined improvements and the lakefront Rio neighborhood helped attract X Energy. Council members responded positively to the announcement during the meeting and welcomed the anticipated economic activity.

What happens next: the company will occupy the leased space and must meet the performance benchmarks tied to the public incentives; releases of incentive funds are contingent on investment and job-creation milestones, per the presentation. The city and county offices will administer performance oversight.