BUFFALO, N.Y. — 43North received a $1.5 million grant from Empire State Development to move its headquarters into Seneca One Tower.

It will join M&T Bank, which will be housed there starting in 2020. The company wants to be surrounded by other tech professionals.

The start-up competition that works to attract and cultivate start-ups will become the latest addition to the new tech hub that Douglas Development is creating.

43North says it has needed more space to grow for months now and that Seneca One will give it more space with other tech professionals.

But why is a state entity that you already pay for getting $1.5 million from state taxpayers?

2 On Your Side asked Lieutenant Governor Kathy Hochul.

"Well, they don't have any money budgeted for the relocation costs, which is about $1.5 million," she said. "But what people don't understand is that one of the deals that's a part of 43North is that we get a share of the success of the businesses.

"So this is not just a giveaway for them. In a sense, it's is also, we've become stakeholders, we've become investors in the company, so we get a return on our investment "

43North is in its fifth year. The governor's office said last month that it has created 520 jobs, with 120 of them since March alone.

They say that growth is why the company need new space.

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