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Unfortunately this is kinda underwhelming holding in that case :(. I mean +10 nav cap isn't bad, but the mechanic of getting new pops should be buffed. 20% on 5 years is just silly.
So to maximize your chances, make sure you are setting your subject's primary species (or most populous non-slave species) to "full military service" and "full citizenship". Place the holding on a medium-to-high population planet, so as to make sure the jobs are filled. Also this is useless if your subject is a gestalt, as those pops can never have "full citizenship" in their hive-mind form anyway (at best, they will be set to assimilation first), so the event is skipped altogether.
For the sake of thoroughness, the self-explanatory modifiers are +2 unity from your soldier jobs and a +15% modifier to your naval capacity. There is also a restriction on species rights where a species must be set to Full Military Service (they can be commanders as well as recruited armies) before they can be given Full Citizenship.
The interesting part that your question concerns is in the recruitment office holding. The holding itself provides +10 naval capacity to the overlord, and 2 "Overlord Recruiter" jobs for the subject on that planet. The job itself doesn't do much, just occupies a couple of your subject's pops and provides a few defense armies on the planet. (continued...)