Economy New York leaders sign open letter to Amazon, asking it to reconsiders the canceled HQ2 in Queens

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Previously:

Amazon pulls out of plan to build New York City headquarters
By Chris Ciaccia | Feb 14, 2019

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In this Nov. 7, 2018, file photo, a rusting ferryboat is docked next to an aging industrial warehouse on Long Island City's Anable Basin in the Queens borough of New York. Amazon's decision to pull out of building a headquarters in the city follows a backlash against the tech giant's plan.


Amazon announced Thursday it was turning back on its plans to build its second headquarters in New York City, the company said in a statement. The move comes after backlash from lawmakers, notably Congresswoman Alexandria Ocasio-Cortez, who bemoaned the project.

"After much thought and deliberation, we’ve decided not to move forward with our plans to build a headquarters for Amazon in Long Island City, Queens," the Seattle-based Amazon said in the release.

"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. While polls show that 70% of New Yorkers support our plans and investment, 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," the statement reads.

The company added that it is "disappointed to have reached this conclusion."

"We are deeply grateful to Governor Cuomo, Mayor de Blasio, and their staffs, who so enthusiastically and graciously invited us to build in New York City and supported us during the process," the company continued in the statement.

In a statement provided to Fox News, de Blasio said that New York City gave Amazon an opportunity and it "threw away that opportunity."

"You have to be tough to make it in New York City. We gave Amazon the opportunity to be a good neighbor and do business in the greatest city in the world," de Blasio said in the statement. "Instead of working with the community, Amazon threw away that opportunity. We have the best talent in the world and every day we are growing a stronger and fairer economy for everyone. If Amazon can’t recognize what that’s worth, its competitors will.”

Ocasio-Cortez tweeted that "anything is possible," taking a victory lap upon hearing the news.



Bankrate.com's senior economic analyst Mark Hamrick called it a "stunning development," adding: "For those who didn’t want Amazon to bring the promised 25,000 new jobs and added economic vitality to the area: Be careful what you wish for."

The opposition against HQ2 has been mounting in recent months. In December, for example, Amazon execs were grilled and jeered at a New York City Council meeting over the deal.

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Ocasio-Cortez had been extremely critical of Amazon's planned New York headquarters.

Earlier this month, reports surfaced that Amazon was reconsidering its plans for its New York office, which led to cheers from Ocasio-Cortez. "Can everyday people come together and effectively organize against creeping overreach of one of the world’s biggest corporations? Yes, they can," the freshman lawmaker tweeted.

Ocasio-Cortez has also slammed the company for having bias in its facial recognition technology.

In a statement, New York Gov. Andrew Cuomo expressed his frustration over Amazon's nixed New York City headquarters. "Bringing Amazon to New York diversified our economy away from real estate and Wall Street, further cementing our status as an emerging center for tech and was an extraordinary economic win not just for Queens and New York City, but for the entire region, from Long Island to Albany's nanotech center," he said. "However, a small group politicians put their own narrow political interests above their community -- which poll after poll showed overwhelmingly supported bringing Amazon to Long Island City -- the state's economic future and the best interests of the people of this state. The New York State Senate has done tremendous damage. They should be held accountable for this lost economic opportunity."

Amazon said it would proceed as planned with the second part of its HQ2, which will be built in Northern Virginia, as well as its distribution center that it said it would open in Nashville. It will also continue to "hire and grow across our 17 corporate offices and tech hubs in the U.S. and Canada."

The deal was greeted with much fanfare when it was announced last year and was lauded as a major economic boost.

Cuomo and New York City Mayor Bill de Blasio had touted the benefits of Amazon's HQ2, which included a pledge from the tech giant to create 25,000 jobs, paying an average of $150,000 per year in exchange for a slew of city and state tax breaks and subsidies worth up to $3 billion.

In addition to the 25,000 jobs, Amazon would've brought $2.5 billion in Amazon investment and eventually 8 million square feet of office space to Long Island City as part of its investment announced last November. The Seattle-based company said it would have generated "incremental tax revenue of more than $10 billion over the next 20 years as a result of Amazon’s investment and job creation."

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According to a December Quinnipiac University poll, 57 percent of New York City residents support Amazon’s arrival in the region, compared to just 26 percent who oppose the deal, Fox Business previously reported.

Amazon faced fierce opposition over the tax breaks it was offered in New York, with critics complaining that the project was an extravagant giveaway to one of the world's biggest companies and that it wouldn't provide much direct benefit to most New Yorkers.

"This announcement marks a landmark victory for our communities and shows the power of the people, even when taking on the world's richest man," said Deborah Axt, co-executive director of the anti-poverty group Make the Road New York.

She said the Amazon was getting "taxpayer giveaways" so that it could "force its empire-building on our neighborhoods."

There had also been concerns about what Amazon's decision could do to already rising real estate prices in the area, but Hamrick said Thursday's announcement won't solve those problems.

"From a broader view, this decision will do nothing to resolve the challenges associated with housing affordability voiced by critics of the Amazon decision and the generous tax incentives offered by government," Hamrick said in comments obtained by Fox News. "That requires a bigger conversation which could very well unfold along with the 2020 election cycle."

https://www.foxnews.com/tech/amazon-pulls-out-of-plan-to-build-new-york-city-headquarters


Now:

New York leaders sign open letter to Amazon’s Jeff Bezos, asking him to reconsider a Long Island City HQ2
By Yancey Roy and Michael Gormley | March 1, 2019

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ALBANY — Dozens of New York political, union and business leaders are trying to get Amazon to reconsider its decision to abandon its plans for a major campus in Queens.

They have signed an “open letter,” run in The New York Times on Friday, asking the company to reconsider its bombshell announcement on Feb. 14 canceling the Queens project. The letter, which Newsday obtained Thursday, says Gov. Andrew Cuomo “will take personal responsibility for the project’s state approval, and Mayor [Bill] de Blasio will work together with the governor to manage the community development project.”

Further, the Times reported Cuomo has had several telephone calls with Amazon founder Jeff Bezos, pitching him to reconsider. A Cuomo aide declined to confirm the story’s account but added that the governor has had multiple conversations with company officials.

Cuomo, at an unrelated event Thursday in Old Westbury, said he is endeavoring to get Amazon to reconsider — but said there is no indication the company will do so. He didn’t say whether he had spoken to Bezos.

“I’ve had many conversations with Amazon,” Cuomo said when fielding reporters’ questions. “I hope that they reconsider. Up until now, we haven’t seen any change in their position.”

Amazon cited local opposition when it made the shocking announcement pulling out of Long Island City. Critics had decried the nearly $3 billion in tax abatements and grants offered by Cuomo and de Blasio to one of the world’s richest companies. They also criticized Amazon for saying it would oppose any move to unionize workers and complained that the governor and mayor put together the offer without any local input.

Amazon pulled out of the deal shortly after a series of tense, closed-door meetings with union and state officials who thought they were making progress with the company. The company also faced a vocal opponent in Sen. Michael Gianaris (D-Queens), who represents Long Island City and who had been nominated to serve on a state panel that had power over granting some of the incentives offered to Amazon. Since Amazon canceled, Gianaris’ nomination to the panel has been withdrawn.

https://www.amny.com/news/amazon-cuomo-bezos-1.27892249
 
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Previously:



Now:

New Yorkers want Amazon to reconsider its HQ2 pullout
Published April 10, 2019



Amazon pulled out of its plans to build a second headquarters in New York nearly two months ago, but a new survey found that a majority of New Yorkers in the congressional district of Rep. Alexandria Ocasio-Cortez -- a fierce opponent of the $3 billion deal -- want the world’s largest online retailer to reconsider its decision.

According to the Siena Research Institute, 57 percent of voters in New York’s 14th Congressional District, which includes parts of the Bronx and Queens, think it was bad for the state that Amazon reneged on its deal.

The Seattle-based company was supposed to build its new campus in Long Island City, a neighborhood in Queens, but faced mounting criticism for the $3 billion in incentives that it would have received as a result of the deal. It announced in mid-February that it chose not to move forward with the plans.

Since then, New York Gov. Andrew Cuomo has reportedly been trying to convince amazon executives to recommit to plans in New York, even connecting personally with CEO Jeff Bezos while working “intensely behind the scenes to lure the company back,” according to The New York Times.

The Times reported that Cuomo did not offer Amazon a new location for its facility, but promised his support for the project.

The new survey, released on Wednesday, found that 58 percent of voters support Cuomo’s efforts to woo the retail giant back to the city -- and would like to see the deal revived, $3 billion in incentives and all -- compared to 35 percent who don’t support it.

“The district breaks with Ocasio-Cortez on the Amazon deal," Siena College Research Institute Director Don Levy said in a statement. "Fifty-seven percent say that Amazon canceling was bad for New York and 58 percent would like the deal revived. Even in the Queens area of the district, over half say losing the deal was bad and 54 percent would like it revived.”



Ocasio-Cortez, a self-described democratic socialist, was a fierce opponent of the Amazon deal and applauded its eventual withdrawal.

“Plenty of companies (even large ones) move to NYC without needing an unprecedented $3b tax giveaway that isn’t extended to other local business owners - just look at Google, for example,” she said. “Deals have to be fair.”

Following the withdrawal, a group of local union leaders, businesses and other groups published an open letter to Amazon in The New York Times in which they expressed their support for the project.

“New Yorkers do not want to give up on the 25,000 permanent jobs, 11,000 union construction and maintenance jobs, and $28 billion in new tax revenues that Amazon was prepared to bring to our state,” they wrote. “A clear majority of New Yorkers support this project and were disappointed by your decision not to proceed.”

https://www.foxbusiness.com/economy/new-yorkers-want-amazon-hq2-pullout.amp
 
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I hope they build it just so another one of AOCs plans can fail.
 
After fleeing New York, Amazon finds warmer welcome for other HQ2 in Virginia
By Ben Fox Rubin | April 8, 2019​

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The Crystal City neighborhood in Arlington, Virginia, where Amazon plans to build its next big headquarters

It was business as usual in Long Island City late last month. Catering and moving trucks buzzed in and out of a waterfront neighborhood. One worker manned a forklift on the sidewalk while another nearby spray-painted a metal frame.

You wouldn't know it from standing there, but just weeks earlier this quiet industrial block in Queens was slated to become a 25,000-employee campus for Amazon -- that is, until protesters and local politicians helped kill the project.

Meanwhile, at Crystal City, in Virginia's Arlington County, it's a very different scene, where demolition has already started in preparation for construction of Amazon's surviving 25,000-employee development. Local activists are raising concerns about the Virginia project, but -- unlike in New York -- there seems to be far less vitriol.

When the New York project fell apart in February, focus quickly shifted to Crystal City, where plenty of onlookers wondered if both developments could fail. But according to development experts, local politicians and demographic data, the Virginia project was always a better fit and more critical to Amazon's future than the New York site. Not only that, but walking away from both projects would be an even bigger embarrassment for the company. For those reasons, it seems likely Amazon will stay the course in Crystal City, even if more protests or challenges bubble up.

"With Amazon pulling out of New York, the potential gains for Virginia have only gone up," said Adam Ozimek, a Moody's Analytics senior economist. "It seems unlikely that the deal will be stopped at this point."

The future of HQ2

Amazon's massive expansion project, dubbed HQ2, was first introduced in September 2017 and enjoyed months of fanfare as hundreds of municipalities vied for the development in hopes of revitalizing their communities and bringing high-paying tech jobs. But after the winners -- Long Island City and Crystal City -- were announced in November, the public response in New York quickly turned negative amid concerns about strained infrastructure, displacement and corporate welfare.

Amid a broader backlash against the tech industry and its business practices, HQ2 has turned into an albatross for Amazon. The company now needs to work through its last standing HQ2 development with far less cheering from the public and while working to repair its reputation, which took a beating in New York. If it manages to do both, HQ2 may become a long-term success, despite a botched and stumbling start.

Amazon didn't respond to a request for comment for this story.

What makes the Virginia project different

When Amazon first unveiled its plans for HQ2, the project was presented as a single 50,000-employee site that would be equal to its existing headquarters in Seattle. But the company ultimately announced two 25,000-employee projects instead, saying the split would make it easier to hire top tech talent, and quickly. A 5,000-employee site was announced for Nashville, too.

Arlington County, just outside Washington, DC, was a predictable pick and affords Amazon a handful of obvious advantages.

The DC area is the biggest data center market in the US and already a major hub for Amazon Web Services, one of the company's leading profit generators. Building a new headquarters in DC brings Amazon closer to the US' political power center and puts it in a better position to gain more government contracts for cloud computing, government supplies purchasing and other services. For these reasons and more, the DC area was seen as the long-time frontrunner for the project.

New York was a bit more of a surprise choice, but fit with Amazon's efforts to grow in fashion, marketing and advertising markets.

Both deals included plans to expand to roughly 40,000 employees, nearly as large as the Seattle headquarters, with 45,000 employees. Considering that potential expansion, the company ultimately may have realized it didn't need such a rapid expansion in headcount that would come from two HQ2 projects, according to a person familiar with Amazon's thinking.

One element that makes the New York and Virginia projects so different is their current uses. While the site in Long Island City is already filled with several operating industrial buildings, the Crystal City project includes loads of empty office space.

"This is a game-changer for Arlington," said Stephen Fuller, a professor at George Mason University's Schar School of Policy and Government. "The tax base is eroding; this turns that around."

The Virginia location was first developed in the 1960s on old railroad facilities, junkyards and industrial space. Many of its first occupants were military workers, said Fuller, who was hired by the Virginia Economic Development Partnership last August to study the economic impact of HQ2.

Then the 9/11 terrorist attacks pushed many of those military tenants out of urbanized areas. Tightening federal budgets and a deep recession in 2008 added to Crystal City's woes, with 24,000 jobs eventually pouring out of the neighborhood, leaving a huge hole in the local economy, Fuller said.

The potential to bring back all those lost jobs with one major tenant was why local officials pushed to get the project.

"It fits," said Christian Dorsey, chairman of the Arlington County Board. "And with it comes a substantial amount of money from the Commonwealth of Virginia" for infrastructural improvements that were long needed.

Long Island City isn't facing the same problems. There are several office developments being constructed there already and office vacancy rates are slightly better, at 17% versus 20% in Crystal City, according to real estate company Cushman & Wakefield and Arlington County. Added to that, the population density in New York is nearly three times higher than in DC, which is likely why many New Yorkers complained about HQ2 burdening already strained infrastructure, including public transit, schools and sanitation.

Political support in Virginia is far stronger, too, with local and state officials standing together to back the project. In New York, several state and local Democrats worked against fellow Democratic Gov. Andrew Cuomo and Mayor Bill de Blasio as they tried to move the development forward.

Cuomo and many local corporate leaders have since attempted to revive the New York development, but Amazon hasn't showed any sign it plans to come back.

"We look forward to continuing our partnership with Amazon on the project that we agreed to here in Virginia and that has been approved overwhelmingly by our General Assembly," Alena Yarmosky, spokeswoman for Virginia Gov. Ralph Northam's office, said in a statement.

https://www.cnet.com/google-amp/new...rk-amazon-finds-warmer-welcome-for-other-hq2/
 
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Hilarious, I’m told she’s one the most intelligent fresh faces out there right now
 
Move to a state with no income tax.

Bring in awesome employees.

Everyone wins.
 
The majority don't want it. One politician stood up and got Amazon to reneg.

Now, political "leaders" want to defy the majority and give Amazon billions in corporate Socialism.
 
The majority don't want it. One politician stood up and got Amazon to reneg.

Now, political "leaders" want to defy the majority and give Amazon billions in corporate Socialism.

I personally don’t believe in polls, but there’s one right in this thread that goes against your claims. One politician didn’t “stand up” for anything other than a gross misunderstanding of what was actually happening. I don’t know if it’s just me but any way you look at it NY was going to make $, the workers were going to make $ and amazon was going to make $

Believe it or not people like making $
 
I’m completely lost here man. Can you explain what you mean?
Yeah sure.

It's that thing you constantly bitch about. The socialism thing. That's what you're supporting here.
 
Yeah sure.

It's that thing you constantly bitch about. The socialism thing. That's what you're supporting here.

How am I supporting socialism by shitting on the fresh faces?

I bitch about it cause I’ve lived it...not the real one ofcourse according to my goofs here
 
How am I supporting socialism by shitting on the fresh faces?
Because she's not wrong. She did a good thing.

People who actually work should be happy and appreciative.
 
Aka "I support Socialism to own the libs"
Oh lord, were you with AOC in thinking that a tax incentive was money they can now spend? They didn't gain 3 billion from Amazon leaving, they lost 27 billion.
 
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