Facebook has confirmed plans to expand in Altoona, Iowa.
The company will spend $400 million to build a fifth facility in the city.
The 1 million-square-foot building will be aided by an agreement, which the city will waive property taxes for 20 years, according to the Des Moines Register.
Facebook has been operating in the area since 2015.
The City Council’s decision will make the building exempt from property taxes for 20 years. In exchange, Facebook will pay the city $3 per square foot per year for 20 years. It will also pay for the construction of a new $500,000 pump station that will enhance water pressure for the data center and nearby retail stores.
The social media giant is currently building another 1 million-square-foot Facebook data center in Altoona.