Amazon reconsidering putting new headquarters in NYC - report

News General United States 11 FEB 2019
Amazon reconsidering putting new headquarters in NYC - report
Amazon executives have been reassessing the company’s decision to situate one of its new headquarters in New York City in light of the city’s mixed welcome to the project, the Washington Post reported, citing two sources familiar with the matter. The contract, announced and welcomed by New York Governor Andrew Cuomo and New York City Mayor Bill de Blasio, has faced opposition on the political and community front, by group opposed to the subsidies involved in the matter and who say, among other things, that the contract will push up local real estate prices and push out many residents. The New York state Senate has also nominated a new member to the state board that is critical to the project and who could have veto power. Other key officials have also criticised the project. 

Senator Michael Gianaris, who is deputy majority leader of the Senate and was recently nominated  to the Public Authorities Control Board, said that between the state and city, incentives to the Amazon projet totaled up to USD 3 billion. The announced number had been USD 1.525 billion

The sources noted that no specific plans to abandon New York have yet been made and that the talk about pulling out could be a way of putting pressure on New York officials. “The question is whether it’s worth it if the politicians in New York don’t want the project, especially with how people in Virginia and Nashville have been so welcoming,” one source said. But, as Amazon has not yet leased or bought any office space for its headquarters in the Queens neighbourhood of Long Island City, it could be easy still at this point to walk away.

Still, a company spokesperson said the company was focused on engaging with its new neighbors: “Whether it’s building a pipeline of local jobs through workforce training or funding computer science classes for thousands of New York City students, we are working hard to demonstrate what kind of neighbor we will be.” 

Amazon has also hired a lobbying and a public relations firm in New York and recently advertised for a “senior community affairs manager” to “focus on developing a positive partnership with local stakeholders, community groups and nonprofits.”

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