June 12 (Reuters) - U.S. aircraft startup JetZero, which

has secured investments from United Airlines and Alaska

Airlines, will invest $4.7 billion over a decade on a production

facility and headquarters in North Carolina, the state said on

Thursday.

The deal contains more than $1.1 billion in state

performance incentives that would be paid over nearly 40 years

and are contingent on JetZero creating over 14,000 jobs between

2027 and 2036, a state representative said.

The company will manufacture its 250-seater Z4 blended wing

bodied aircraft at an airport site in Greensboro, the state and

company said in statements. JetZero would also benefit from an

additional $450 million in infrastructure improvements to the

airport facilities, along with city and county incentives, the

representative said.

JetZero, which has a conditional order for up to 100 fuel

efficient airplanes from United, and options for another 100, is

the latest startup to reach a deal for a factory at Piedmont

Triad International Airport, with supersonic jet maker Boom

recently opening a facility at the site.

Aerospace companies are growing their footprint in the U.S.

south, fueled by strong demand for aircraft and parts and

comparatively lower costs than traditional U.S manufacturing

hubs, although recruiting experienced labor remains a challenge.

Several startup aviation firms are seeking to revolutionize

travel by developing planes that emit fewer emissions to help

airlines meet industry net zero targets, along with

battery-powered aircraft that can take off and land vertically.

But entry barriers remain high in an industry that is capital

intensive, with some startups struggling in recent years.

(Allison Lampert in Montreal, Editing by Nick Zieminski)