Raleigh economic-development director: 20 active projects could mean $3 billion and 8,600 jobs; grant rules to be revised

Kyle Touchstone, director of Raleigh Economic Development at the Greater Raleigh Chamber of Commerce, told the City Council work session that the program — funded entirely by the City of Raleigh — is currently working 20 active projects that he said represent a potential $3 billion in capital investment and roughly 8,600 possible new jobs.

Touchstone said 100% of Raleigh Economic Development’s funding comes from the city and described the team’s spending priorities: roughly 40% on marketing and public relations, about 24% on project development and management, and the remainder on employee costs. He said the chamber partnership with Wake County Economic Development provides a “one-stop shop” for site selectors and often helps keep Raleigh competitive for projects.

“The 20 projects represent a potential of $3 billion in capital investment and could potentially hire 8,600 employees,” Touchstone said. He added that since the Oct. 1 start of the fiscal year the chamber has tracked 47 projects representing about 13,000 potential jobs and roughly $16 billion in potential capital investment, noting some large advanced-manufacturing prospects.

Why it matters: city funding for economic development is intended to translate into private investment and jobs. Touchstone argued the city gets strong leverage for its investment — he said the office has produced eight announced projects since 2021 that, in aggregate, the chamber attributes to 1,487 jobs and about $139.8 million in capital investment.

Councilors pressed Touchstone for clarity on the pipeline and on program priorities. When asked whether the 20 active projects were completed deals, Touchstone replied they are opportunities under consideration, not guaranteed wins, and that some large manufacturing prospects require land holdings the city doesn’t have.

The Business Investment Grant: Touchstone told councilors the city-funded Business Investment Grant has been useful but is currently skewed toward larger manufacturing investments. “The thresholds are fairly high,” he said, and recommended the city consider revisions to make incentives more accessible to office and smaller expansion projects. He said he would return with specific revision recommendations after the council’s break.

On downtown competitiveness and messaging: councilors asked what feedback the city receives from site selectors about downtown Raleigh versus Midtown and the broader region. Touchstone said transit, affordable housing and downtown density are recurring questions. He highlighted recent downtown investments — the Omni, the Red Hat Amphitheater and the convention-center expansion — as assets that the chamber is using to market downtown, while stressing the importance of telling a regional story across the Research Triangle.

On workforce and employer practices: Councilor Jones raised concerns that national rankings place the region low on worker-protection measures. Touchstone said those issues rarely arise in site-selection conversations and characterized wage and worker-rights policy as a state-level matter; he also said many employers in Raleigh treat employees well and that the chamber tracks hiring and compliance data for firms receiving incentives.

Small-business and talent pipeline supports: Touchstone said the chamber partners with Wake Tech, the Small Business and Technology Development Center (SBTDC), the Downtown Raleigh Alliance and workforce boards to assist small businesses, while acknowledging persistent gaps in startup capital for microbusinesses. He said technical-assistance work and retention meetings are a substantial part of the office’s day-to-day activity.

Additional details and next steps: Touchstone said the chamber’s marketing strategy includes a national PR campaign and digital ads, plus a new regional video series to promote Raleigh and the Research Triangle. He committed to following up with councilors on specific data requests — for example, the number of employers participating in TriShare or the exact payout total for the Business Investment Grant this year — and to return with proposed grant revisions.

The work session concluded with staff announcing the evening reconvening at 7 p.m. for a public hearing.