General Electric to move headquarters to Boston

HARTFORD, Conn. -- General Electric announced Wednesday it will move its headquarters to Boston, leaving the sprawling suburban Connecticut campus it has called home over the past four decades for a technology-rich city it says better fits its ambitions as an innovation leader.

Chairman and CEO Jeff Immelt said GE, one of the best-known companies in corporate America, wanted to be "at the center of an ecosystem that shares our aspirations."

The announcement comes three years after the $130 billion high-tech global industrial company said it began considering a new composition and location for its headquarters, and more than seven months after the firm threatened to leave Connecticut, complaining about the state's tax environment.

GE plans to initially move headquarters employees to a temporary location in Boston, starting in the summer. The full move is expected to be completed in several steps by 2018.

The announcement was mourned in Connecticut, but Massachusetts officials rejoiced.

"We won Powerball today here in Boston by having GE come here," Boston Mayor Marty Walsh said. "For two decades, we've had companies move out of our city. Now we have companies moving into our city."

Various states competed for the company's headquarters in Fairfield. GE, which ultimately reviewed a list of 40 potential locations, announced in June it was considering a move after Connecticut lawmakers passed some business tax increases. The General Assembly later scaled back some of the increases after other companies voiced concerns, including Aetna Inc. and the Travelers Companies Inc.

Connecticut Gov. Dannel P. Malloy, a Democrat, also met with GE executives and offered an incentive package in hopes of keeping the iconic headquarters in the state.

Malloy acknowledged being disappointed in GE's decision and said he knows many in Connecticut share that disappointment and frustration. Malloy said he was assured by Immelt in a phone call Wednesday morning GE will keep many workers in Connecticut and continue working with various suppliers in the state.