The New South Wales Government has offered to subsidise eligible technology companies’ rental costs at Tech Central by nearly $2 million each in a bid to attract scale ups to the Sydney innovation precinct.
Established technology businesses with demonstrable growth can apply for the office rental and fit out rebates for three years up to $1,940,000.
Investment NSW has allocated $11 million for the rebates to be awarded over the next 18 months, meaning just half a dozen companies could exhaust the fund by setting up large or highly technical spaces.
The new program supports established technology businesses to grow and encourages others to invest in the precinct, with foreign businesses encouraged to apply, while an already announced scale up hub is focusing on earlier stage startups.
The latest scale up push aims to activate 25,000 square meters of space in the Tech Central Precinct for technology scaleups.
Tech Central is a collection of six innovation nodes around Central Station, aiming to connect researchers, innovators, startups and entrepreneurs to incubate, test and scale ideas.
It is now led by former Microsoft startup program director Annie Parker, and anchored by software giant Atlassian.
Under the latest Scaleup Accommodation Rebate, eligible technology businesses can get a 40 per cent rebate on rental expenses in the area up to $600,000 per annum for the first two years and up to $300,000 in the third year.
A 30 per cent rebate up to $440,000 is also available for eligible rental agreement and fit out costs like fixed infrastructure and mechanical installations.
To be eligible, the technology business needs to be employing at least 10 people and have demonstrated growth of 20 per cent annually in revenue or employees for several years.
The office space needs to be within 500 metres of the centre of Tech Central.
Investment NSW will assess applications for eligibility based on a demand driven process, and they will be assessed in the order in which they are received.
Applications opened last Friday and will until June 2023 or when the funding is exhausted.
The state government is also funding a scale up hub program to be operated by accelerator Stone and Chalk for the next five years for an undisclosed amount. Q-Ctrl, Sydney Quantum Academy and Quantum Brilliance have also signed on to a Tech Central quantum hub.
The state government expects the innovation precinct to create 25,000 jobs.