AUSTIN -- The city of Austin is competing with Penang, Malaysia, to land a new National Instruments facility that could employ up to 1,000 new workers.

Austin is reportedly offering some $1.7 million in property tax breaks, contingent on NI meeting certain performance benchmarks.

The deal requires NI to pay a minimum $11 per hour or the "prevailing wage" for construction of the new building. NI is looking at investing up to $80 million on the project, including $47 million for a new site that, when fully operational, is expected to employ 1,000 new workers at an average wage of $72,223.

In return Austin will provide grants equal to 50% of the property taxes generated by the project over a 10 year span.

The Austin City Council must approve the deal.

Penang is also in the running, reports say, although its unclear what incentives the Malaysian city is offering.