Amazon Says 238 Places Want to Host Its New Headquarters
October 23 2017 - 12:21PM
Dow Jones News
By Laura Stevens
Amazon.com Inc. said Monday it received 238 proposals from
cities and regions across North America to host its second
headquarters, a sign of the intense competition to host the $5
billion project.
The proposals came from 54 states, provinces, district and
territories. Amazon, now based in Seattle, didn't name any of the
bidders or say when it would come up with a short list for its
potential picks.
Cities including New York, Boston, Atlanta, Nashville and
Austin, Texas, have said they applied for the new corporate site,
which is expected to generate 50,000 high-paying jobs over nearly
20 years.
The proposals were due last week, and Amazon has said it would
make a decision on the new location next year.
Amazon has said it would consider factors such as the
availability of software developers and other tech talent, good
transportation options, cultural fit and the ability to move into a
phase-one site as early as 2019. Other items on its wish list: a
metro area of more than one million people and tax incentives.
Some cities and states are proposing big incentives. Newark.
N.J., last week said it would offer a potential package of $7
billion over a decade.
Still, it is unclear where Amazon might land. "I don't think any
one market fits everything. It's going to be a balancing act of the
various attributes," says Dave Bragg, a managing director at Green
Street Advisors, which conducts real-estate research.
Amazon has increased its workforce from a few thousand to more
than 40,000 over the past decade. And it is still planning to add 2
million square feet and 6,000 people in the next 12 months.
But to keep growing, the company needs more space. Amazon has
said that it will give its team leaders a choice between staying in
Seattle, relocating or being based out of both. It has said that
the average pay for the new jobs will be around $100,000, depending
on where it locates.
Opening a second, equal headquarters is believed by management
experts to be an unprecedented move by an American corporation, and
it presents unique cultural challenges for the company.
While Amazon continues to grow in Seattle, experts say it would
be difficult for the company to essentially double its footprint
there. In addition, hiring thousands more software developers will
almost certainly be cheaper and easier in a different city, they
say.
Write to Laura Stevens at laura.stevens@wsj.com
(END) Dow Jones Newswires
October 23, 2017 12:06 ET (16:06 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.
Amazon.com (NASDAQ:AMZN)
Historical Stock Chart
From Mar 2024 to Apr 2024
Amazon.com (NASDAQ:AMZN)
Historical Stock Chart
From Apr 2023 to Apr 2024