Israel-based electric vehicle technology company REE Automotive is set to open its first North American headquarters and integration center in Pflugerville following action by city officials.

On March 22, Pflugerville City Council approved an economic development performance agreement between the Pflugerville Community Development Corp. and REE Automotive.

The eight-year agreement will provide up to $1 million in grants to REE provided REE invests $24.75 million and creates 125 full-time jobs over the eight-year period.

“REE’s North American headquarters and integration center is an excellent fit for our diverse and talented workforce, expands autonomous and electric car technology in the Austin region, and provides growth opportunities for the state of Texas electric vehicle industry as a whole,” PCDC Executive Director Amy Madison said in a release announcing the project. “REE’s research and development capabilities will further define the Austin region as an EV high-tech manufacturing hub.”

The headquarters will occupy a 120,000-square-foot building in the One Thirty Business Park, located near the intersection of East Pecan Street and SH 130.

According to the announcement, REE plans to begin production in 2023.