Largest bank in the country begs NYC for $1 billion to build new HQ

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Largest bank in the country begs NYC for $1 billion to build new HQ
FILE - In this May 19, 2009 file photo, an office tower known as 1Chase Manhattan Plaza, occupied by JPMorgan Chase & Co., is shown in New York. JPMorgan Chase & Co. posted a 36 percent jump in second-quarter profit Thursday, July 16, easily surpassing Wall Street expectations as strength in its core consumer and investment banking businesses offset a jump in credit losses. (AP Photo/Mark Lennihan, file)
NEW YORK, NY - AUGUST 12: JP Morgan Chase's corporate headquarters are seen on August 12, 2014 in New York City. U.S. banks announced second quarter profits of more than $40 billion, showing strong signs of a recovering economy. (Photo by Andrew Burton/Getty Images)
FILE - In this May 11, 2012 file photo, people stand in the lobby of JPMorgan Chase headquarters in New York. JPMorgan, one of the nation’s biggest banks and the largest U.S. investment bank, reports its first-quarter earnings before the market opens on Friday April 11, 2014. (AP Photo/Mark Lennihan, File)
Long Island Rail Road's storage yard is shown on Manhattan's west side, Tuesday, Nov. 1, 2011 in New York. Developers are scheduled to build more than 10 million square feet of apartments, office towers, shops and a public school over the railyards on the West Side waterfront. Construction is to begin in 2012. (AP Photo/Mark Lennihan)
An ariel view of the ongoing construction at the Hudson Yards development on the west side of Manhattan in New York, Friday, June 20, 2014. (AP Photo/Seth Wenig)
This undated artist's rendering, provided by Related/Oxford, shows the planned Hudson Yards development project by the Hudson River on the west side of Manhattan, as it would be seen from New Jersey. Next year, Hudson Yards’ tallest building is going up - an 80-story skyscraper with an observation deck higher than the Empire State Building, pictured at left. It will be home to the corporate headquarters of Time Warner in 2019. (AP Photo/Related/Oxford)
Traffic on Eleventh Ave. crosses Long Island Rail Road's storage yard on Manhattan's west side, Tuesday, Nov. 1, 2011 in New York. Developers are scheduled to build more than 10 million square feet of apartments, office towers, shops and a public school over the railyards on the West Side waterfront. Construction is to begin in 2012. (AP Photo/Mark Lennihan)
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By RYAN GORMAN

The nation's largest bank asked New York City for $1 BILLION in tax breaks to build a new headquarters in Manhattan.

Mayor Bill de Blasio has balked at JPMorgan Chase's request, but the state appears willing to play ball and is reportedly negotiating the terms of a package to help relocate the firm to Midtown.

"There was a discussion put forward to the city of a substantial amount of subsidy and, as deputy mayor (Alicia) Glen made very clear publicly, that's not on the table from the city's point of view," de Blasio said after a Monday press conference, according to Capital New York.

"We value JPMorgan as a major employer in this city for sure and we certainly look forward to their long-term presence here," he added. "If they're looking to switch locations and we can find appropriate ways to be helpful, we certainly will."

The mayor then said the bank's request "was in excess of $1 billion and that's a nonstarter."

If built, the two proposed towers would be part of the frantically rising West Side rail yards development on 33rd Street between 10th and 11th Avenues. They would have double the floor space of the Empire State Building, according to the New York Times.

The terms of the agreement would allow the bank to reduce its headcount in the city from about 20,000 to only 16,000, according to the Wall Street Journal.

Despite the possible layoffs or job transfers, JPMorgan Chase has insisted to the city that the economic benefits outweigh what it is asking for in return.

Lobbyists have argued that the city would no longer have to take $130 million a year from the annual budget to make debt payments on bonds issued to help finance improvements to the area around the West Side Yards, according to the Times.

The firm sold Chase Manhattan Plaza, a 60-story building in the heart of the financial district, for about $725 million last year.

It also reaped the benefits of billions in TARP funds during the Great Recession.

Time will tell if JPMorgan Chase also reaps the benefits of a massive tax deal while being allowed to relocate or lay off thousands of workers.

JP Morgan and Citigroup Report Earnings

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