Amazon Drops Plans For New York Headquarters

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Amazon will not build a new headquarters in New York City, a stunning reversal to an ambitious plan that would have brought an estimated 25,000 jobs to the city.

Amazon, who planned to split HQ2 between Nashville, Tennessee, Arlington, Virginia, and NY say they have no plans to replace the latter site.

"Certainly, Amazon has a reputation in Seattle, and people in Seattle view the company much differently than folks outside in the rest of the world", he said. NY state reportedly provided Amazon with almost $3 billion in state and city incentives for the deal, which would have created more than 25,000 jobs.

Amazon was willing to take millions of square feet of office space in Queens at a price, and as the deal's detractors correctly noted, Amazon is willing to site a substantial operation in New York City without being given a special price. Each city was expected to have more than 25,000 workers over time.

The company said, "for Amazon, the commitment to build a new headquarters requires positive, collaborative relationships with state and local elected officials who will be supportive over the long-term".

Reactions were swift on both sides of the issue after the massive company said earlier Thursday that it wasn't willing to work with state and local politicians who oppose the plan.

Chicago landed on the e-commerce giant's HQ2 shortlist past year after the company narrowed down 238 possible locations for the $5 billion investment. However, they were divided on the incentives: 46 percent in favour, 44 percent against.

De Blasio criticized Amazon for its abrupt withdrawal, saying the company gave up on trying to engage New Yorkers. The poll source was not mentioned.

The New York Times reports that Amazon is not placing a second headquarters in New York's Long Island City, citing hard relationships with state and local politicians.

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Amazon said it will not open the headquarters elsewhere, but will press ahead with two other planned offices in Nashville, Tennessee, and Arlington, Virginia.

Amazon had planned to have 700 employees in NY as part of the HQ2 project by the end of the year and did not plan to hit 25,000 in Queens for 10 years.

"We do not intend to reopen the HQ2 search at this time", the company said, noting it will proceed with its north Virginia expansion.

Amazon now employs more than 5,000 people across New York City.

"Rather than seriously engage with the community they proposed to profoundly change, Amazon continued its effort to shakedown governments to get its way".

An employee works at the Amazon fulfillment center in the village of Dobroviz, near Prague, Czech Republic, Dec. 20, 2018.

Amazon's approach to HQ2 has irked NY lawmakers, particularly those who represent Long Island City.

"Anything is possible: today was the day a group of dedicated, everyday New Yorkers & their neighbors defeated Amazon's corporate greed, its worker exploitation, and the power of the richest man in the world".

A spokeswoman for Columbus, Ohio, Mayor Andrew Ginther told Barron's the city "turned in a strong proposal for Amazon HQ2 that we are proud of and one that made us a finalist in their search.We have no plans at this time to reach out specifically on this". Amazon will also continue growing across its 17 corporate offices and tech hubs in the USA and Canada, and will still expand its footprint in the New York City area, where it now employs about 5,000 workers.