Amazon Reconsidering NY Headquarters Site "Following A Wave Of Opposition"

All of those real estate speculators who snatched up Queens real estate late last year are about to be very unhappy.

In what some might describe as a "dick move", Amazon is reportedly reconsidering its plans to open a sprawling new corporate headquarters in the Long Island City neighborhood of Queens after New York State lawmakers who are opposed to the lucrative package of "performance based incentives" threatened to sabotage the deal, according to a report in the Washington Post.

The report adds to the pressure on Gov. Andrew Cuomo to put a stop to a lawmakers' nomination to a state board that could give him authority to unilaterally kill the incentives package.

Since the final package of state and city incentives isn't expected to be approved until 2020, Amazon executives are reportedly questioning whether it's worth the risk for the company to hope that restive lawmakers don't kill the deal. is reconsidering its plan to bring 25,000 jobs to a new campus in New York City following a wave of opposition from local politicians, according to two people familiar with the company's thinking.

The company has not leased or purchased office space for the project, making it easy to withdraw its commitment. Unlike in Virginia — where elected leaders quickly passed an incentive package for a separate headquarters facility - final approval from New York state is not expected until 2020.

Tennessee officials have also embraced Amazon’s plans to bring 5,000 jobs to Nashville, which this weekapproved $15.2 million in road, sewer and other improvements related to that project.

Amazon executives have had internal discussions recently to reassess the situation in New York and explore alternatives, said the two people, who spoke on the condition of anonymity to speak candidly about the company’s perspective.

"The question is whether it’s worth it if the politicians in New York don’t want the project, especially with how people in Virginia and Nashville have been so welcoming," said one person familiar with the company’s plans.

In its current form, the tax incentive package would ultimately shell out $61,000 for each of the 25,000 jobs Amazon has promised to create (the total incentives package will total $3 billion).

< Prev 1 2 Next >

Sign Up

Get the InvestingChannel
Free e-Letter Today

Learn More

Independent market opinion, analysis and ideas - delivered every business day

Premium market opinions, analysis, and ideas - delivered every business day

Editor's Picks