Amazon might be reconsidering its second headquarters in NY

  • Amazon might be reconsidering its second headquarters in NY

Amazon might be reconsidering its second headquarters in NY

In one sign of opposition, artists spray-painted Amazon's logo - spelled "AMAZNO" - on streets near the proposed site. One of the people reportedly questioned "whether it's worth it if the politicians in NY don't want the project", according to the Post.

As part of the deal, Amazon would stand to receive "performance-based direct incentives of $1.525 billion" for creating the 25,000 jobs in Long Island City.

Conversely, state officials in Virginia, which won the other headquarters bid, and Tennessee have quickly embraced their awarded bids with incentive packages.

Detractors-including including US Rep. Alexandria Ocasio-Cortez, who represents a nearby district in Queens and the Bronx-have pointed to the potential neighborhood disruption, strains on an already congested public transit system, and rising rent and property prices that could push out existing residents from nearby neighborhoods. Of this $1.525 billion, up to $1.2 billion could come from a refundable tax credit through New York State's Excelsior Program and a $325 million cash grant from the Empire State Development fund.

"If they stop Amazon from coming to NY, they're going to have the people of NY to explain it to", he said on Friday, according to Capital Tonight reporter Nick Reisman.

So, Amazon may be really thinking about pulling back on the New York HQ2 move.

Amazon's development proposal lays out plans for a 4-8 million-square-foot campus, but it has not yet leased or purchased office space for the project, which is not expected to receive final NY state approval until 2020.

Amazon did not directly confirm or deny the story, but released the following statement: "We're focused on engaging with our new neighbors - small business owners, educators and community leaders".

"It is outrageous that Amazon is now essentially threatening New York City taxpayers to pay for its new headquarters or else it will leave town", said Marc Perrone, the president of the United Food and Commercial Workers International Union, which is trying to unionize Amazon's New York warehouse workers through its branch, the Retail Wholesale and Department Store Union.

Amazon executives have had internal discussions recently to reassess the situation in NY and explore alternatives, the Post reported, citing people familiar with the matter.

But critics objected to the massive subsidies NY offered to lure the tech behemoth.

At a contentious City Council meeting last week, Amazon's public policy director Brian Huseman touted the deal's benefits for the city, but also said that Amazon wants to invest in a "community that wants us".

"A major problem is the way the deal was put together shrouded in secrecy and ignoring what New Yorkers want and need", he said. Update, 9:45 a.m. PT: Adds comment from Amazon.

First published February 8, 8:59 a.m. PT. Update, 9:22 a.m. PT: Adds more details and background information.