Nexigen is expanding in Newport with new office space with the Newport Commission approval of $5 million in IRBs for the project.
Nexigen, based in Newport, Kentucky, is a technology company that provides managed IT services, cloud solutions, cybersecurity, and AI-driven innovations to businesses.
The Newport commission approved the issuance of up to $5 million in taxable Industrial Building Revenue Bonds, also known as IRBs, to support NXG Holdings, LLC (Nexigen) in financing the acquisition, construction and equipping of a new commercial office facility in downtown Newport at its meeting on Oct. 20.
The projects are located at 810 Monmouth St., which is an old bank building and 825–835 York Street, which is an old funeral home, within the city’s designated downtown business district. The city first entered into an agreement with Nexigen on Feb. 26 to pursue the bond financing.
“Those properties are critically important to our community,” said Newport Mayor Tom Guidugli Jr. “They’re central, they’re focused, they’re large structures, and they’re prominent and I look forward to getting those back in service. The idea of this being technology, it also correlates to artificial intelligence technology side of things, so it’s forward thinking.”
Nexigen currently works out of a building on 11th Street in Newport.
The agreement establishes a 30-year bond term (2026–2055), with repayment coming from lease revenues generated by Nexigen, ensuring that no city general fund or tax dollars are used.
It also includes a Payment in Lieu of Taxes, also known as a PILOT, agreement requiring annual payments of $8 per $1,000 of assessed value, distributed among the city of Newport ($1.50), Campbell County ($1.13), and Newport Independent Schools ($5.37).
The order clarifies that the city assumes no general obligation debt, and repayment is strictly tied to project revenues.
The city said that Nexigen is anticipating at least 75 new jobs to come to Newport through the deal.
Jim Parsons with Keating Muething & Klekamp said Nexigen got approval from the state local debt officer in February and then the company purchased the two properties in May. Now, they are moving forward on construction financing.
Parsons said the plans for the old bank building on Monmouth Street are pretty far along and that the building on York Street has plans to include partial residential use to provide some housing for Nexigen employees.
“I think it’s very exciting to both create new jobs in our city, hopefully ones where folks can live in Newport, in this instance, it sounds like people will be able to do that, but also to be able to activate two very historic buildings inside of our city,” said Newport Commissioner Mike Radwanski.
Parsons said they expect to close the loan bonds in November, and people should see active renovation happening after that. He estimated a nine-month renovation period for the old bank building.
