Amazon has informed New York that it is pulling out of its plans to build a corporate campus in Long Island City in the borough of Queens, N.Y., a project that promised billions of dollars in investment and at least 25,000 high-paying jobs.
The tech giant faced considerable opposition to its plans, specifically about the nearly $3 billion in government incentives it would have received, but also about political and land-use concessions the city and state had agreed to make in order to lure Amazon, whose search for its “HQ2” location that attracted bids form 238 cities.
Under the plan it is now abandoning, Amazon, over a 15-year period, could have occupied as much as eight million sf of office space that could have accommodated up to 40,000 workers, according to the New York Times.
Amazon’s decision is seen as a major defeat for New York Gov. Andrew Cuomo and New York City Mayor Bill DeBlasio, who championed the effort to forge a deal with Amazon.
In its prepared statement announcing its decision Amazon thanked Cuomo and DeBlasio for their efforts, but also stated that “a number of state and local politicians have made it clear that they oppose our presence and will not work with us to build the type of relationships that are required to go forward with the project we and many others envisioned in Long Island City.”
It wasn’t just elected officials, though, who opposed Amazon’s plan. Typical of many of the responses posted on the Times’ website, following the news of Amazon’s decision, was this from one reader, identified as AL O:
So, you bypass the democratic process and cut a backroom deal that has you taking billions in public money for nothing more than the promise of jobs you may create, and then you're “surprised” when the local people whose rights you bypassed object to the terms of that deal? So, rather than standing your ground and explaining yourself, or perhaps renegotiating the deal a bit to make your neighbors around your proposed facility somewhat happier, you just panic and take your ball and go home crying? It doesn't sound like Amazon was ready for New York.
However, Kathryn Wylde, CEO of the Partnership for New York City, thought that the negative reaction that Amazon received upon its choice of Long Island City, and the company’s subsequent withdrawal from that decision, sends “a pretty bad message to job creators of the city and the world.”
Amazon says it has no immediate plans to reopen its HQ2 search. It will continue with its plans to build a corporate campus in Northern Virginia and other buildings in Nashville.
Related Stories
| May 30, 2013
5 tips for running a successful BIM coordination meeting
BIM modeling tools are great, but if you can't run efficient, productive coordination meetings, the Building Team will never realize the benefits of true BIM coordination. Here are some helpful tips for making the most of coordination meetings.
| May 29, 2013
Realtors report positive trends in commercial real estate market
Realtors who practice commercial real estate have reported an increase in annual gross income for the third year in a row, signaling the market is on the road to recovery.
| May 29, 2013
6 award-winning library projects
The Anacostia Neighborhood Library in Washington, D.C., and the renovation of Cass Gilbert’s grand Beaux-Arts library in St. Louis are among six projects to be named 2013 AIA/ALA Library Building Award winners.
| May 28, 2013
LED lighting's risks and rewards
LED lighting technology provides unique advantages, but it’s also important to understand its limitations for optimized application.
| May 28, 2013
Minneapolis transit hub will double as cultural center [slideshow]
The Building Team for the Interchange project in downtown Minneapolis is employing the principles of "open transit" design to create a station that is one part transit, one part cultural icon.
| May 24, 2013
James Turrell's art installation turns Guggenheim Museum into 'skyspace'
James Turrell, an artist whose projects are more properly defined as "light sculptures," will have a major installation at the Guggenheim Museum this summer, turning Frank Lloyd Wright's famed serpentine atrium into a show of shifting colors and textures. The site-specific project, Aten Reign, will run from June 21 to September 25.
| May 24, 2013
First look: Revised plan for Amazon's Seattle HQ and 'biodome'
NBBJ has released renderings of a revised plan for Amazon's new three-block headquarters in Seattle. The proposal would replace a previously approved six-story office building with a three-unit "biodome."
| May 23, 2013
Supertall 'Sky City' will house 4,400 families in Changsha, China
Broad Sustainable Building has completed a long and arduous approval process, and is starting excavation and construction on Sky City in June, 2013. The proposed "world's tallest building" will be a mixed-use project that could accommodate life and work needs of up to 30,000 people.
| May 23, 2013
Are design-build contracts killing small architecture firms?
Are federal design-build contract laws unfair to small firms? AIA thinks so, citing an interesting fact: an architecture firm spends a median of $260,000 to compete for a design-build project.