Amazon chooses New York City and Northern Virginia for new headquarters


"We will continue to stand up against what can only be described as a bad deal for NY and for Long Island City".

According to the Wall Street Journal, which broke the news on Monday evening, the selection caps a process that lasted over a year to lure the Seattle-based retail giant.

The search for an HQ2 location has spanned more than a year and dozens of cities were in the running, including the Triangle.

The company said it will receive "performance-based direct incentives" of $1.525 billion based on its promise to create 25,000 high-paying jobs in the NY area.

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It received applications from 238 candidate locations, which Amazon whittled down to 20 finalist cities by January 2018.

"We're thrilled that Amazon selected One Court Square as a critical component of its HQ2 plans for Long Island City", said Nicholas Bienstock, a managing partner at Savanna, in prepared remarks.

The competition had been derided in some quarters as a "Hunger Games" contest pitting cities against each other, with rival bidders piling up offers of incentives for one of the largest and most successful global corporations.

The particular neighborhoods Amazon chose offer lower rents and more attractive zoning than central business districts nearby, a Brookings Institution report said.

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Amazon has had a mixed impact on Seattle, the location of its original headquarters.

"Massachusetts is the proud home of almost 4,000 Amazon jobs located in numerous facilities across the Commonwealth, including the headquarters for Amazon Robotics in North Reading and the creation of an additional 2,000 Amazon jobs in Boston's Seaport district by 2021", the state economic development office said in a statement. In its announcement, Amazon said it could receive more than $2 billion in tax incentives from the two locations.

It also has brought additional scrutiny to potential incentives Amazon might receive to locate in certain areas. "While I am proud Boston was named to Amazon's shortlist for its second North American headquarters, our future will not be defined by a single company as we continue to plan for equitable, sustainable growth". Bernie Sanders, who have called out the company over issues like wages. Some hired McKinsey & Co. and other outside consultants to help them with their bids, investing heavily in courting Amazon and its promise of 50,000 jobs. Stephane Kasriel, the CEO of the freelancing platform Upwork and the co-chair of the World Economic Forum initiative, chalks up the concentration of jobs in big cities to a lack of imagination.

Amazon will begin hiring employees for all three sites in 2019.

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The company's push to build a second home base highlights how massively Amazon has expanded during its 20-plus year history.