Amazon HQ2

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Amazon HQ2 is a proposed corporate headquarters for online retailer Amazon.com in North America, to supplement the existing Seattle headquarters. Amazon announced the initiative, along with a request for proposals from governments and economic development organizations, in September 2017, attracting attention from more than 100 cities in Canada and the United States.[1] Amazon intends to have 50,000 workers at HQ2, planning to invest $5 billion in new construction.[2]

Background

Amazon.com was founded in 1994 in Bellevue, Washington, and moved to leased space in the SoDo neighborhood of Seattle. As the company grew, it went through a series of office moves around Downtown Seattle, until announcing a move to a purpose-built headquarters campus in the South Lake Union neighborhood, then a light industrial enclave undergoing urban renewal.[3]

Requirements

Amazon's request for proposals outlined several core requirements, as well as optional preferences.[4]

  • Metropolitan areas with a population of over 1 million
  • A stable and business-friendly environment
  • Within 30 miles (48 km) of a population center
  • Within 45 minutes to an international airport
  • Proximity to major highways and arterial roads 1–3 miles (2–5 km)
  • Access to mass transit routes
  • Up to 8 million square feet (740,000 m2) of office space for future expansion

Optional preferences include airports with direct flights to Seattle, New York, San Francisco, and Washington, D.C., urban locations, and proximity to major universities.[5]

The deadline for Phase I bids is October 19, 2017. A final site will be selected and announced in 2018.[4][5]

Bids

118 cities in Canada and the United States have expressed interest in bidding for HQ2, according to The Seattle Times.[1]

Announced

Speculative and proposed

Promotional campaigns

Sun Corridor, a Tuscon, Arizona economic development firm, sent a saguaro cactus to Amazon in an attempt to promote the city's bid. The gift was rejected due to the company's corporate gifts policy, instead donating it to the Arizona-Sonora Desert Museum.[39]

The city of Stonecrest, Georgia, a suburb of Atlanta, voted to de-annex 345 acres (140 ha) of land for Amazon to establish its own city named Amazon around its headquarters.[40]

Analysis

The announcement came as a surprise in Seattle, where Amazon is actively expanding their South Lake Union campus and has 40,000 workers occupying almost half of the city's office space.[41] Seattle Mayor Ed Murray announced that he would begin conversations with Amazon about their long-term plans for the city, while the Seattle Metropolitan Chamber of Commerce characterized the announcement as a "wake-up call" to improve the city's business climate.[42] Comparisons were made to Boeing's decision to move their corporate headquarters from Seattle to Chicago in 2001, which came as a surprise to the city but ultimately only affected a few hundred corporate jobs.[43]

Steven Strauss, a visiting professor of public policy at Princeton University[44] and an expert on economic development,[45] in an editorial in USA Today[46] suggested that metropolitan areas should be cautious about bidding too generously to win the Amazon bid. He points to examples where companies have gone bankrupt and/or not followed up on expansion plans, and notes that the it is possible cities could over pay (the so called "winner's curse") in the sense of providing an overly generous incentive package that turns out to be a money losing proposition for the municipality if all the promised jobs don't materialize.

References

  1. ^ a b Day, Matt (September 19, 2017). "Amazon refuses Arizona's cactus as bidders for HQ2 climb to 118". The Seattle Times. Retrieved September 20, 2017.
  2. ^ "Amazon HQ2". Amazon.com. September 2017. Retrieved September 20, 2017.
  3. ^ Brewster, David (October 1, 2007). "Amazon plans a headquarters move to South Lake Union". Crosscut.com. Retrieved September 20, 2017.
  4. ^ a b "Amazon HQ2 RFP" (PDF). Amazon.com. September 7, 2017. Retrieved September 20, 2017.
  5. ^ a b Bhattarai, Abha (September 7, 2017). "Amazon is seeking a home for its HQ2, a $5 billion second headquarters somewhere in North America". The Washington Post. Retrieved September 20, 2017.
  6. ^ "Top Local Business Stories of the Week", Austin American-Statesman, September 9, 2017
  7. ^ Birmingham launches initiative to attract Amazon's HQ2 https://www.bizjournals.com/birmingham/news/2017/09/25/birmingham-launches-initiative-to-attract-amazons.html
  8. ^ https://www.bringatob.com/
  9. ^ Central Alabama mayors show support for Birmingham's Amazon HQ2 bid http://www.al.com/news/birmingham/index.ssf/2017/09/central_alabama_mayors_show_su.html
  10. ^ Rumbolt, Ryan (September 7, 2017). "Mayor Nenshi says Calgary has 'serious advantages' in bid to host new Amazon headquarters". CBC News. Retrieved September 20, 2017.
  11. ^ "It's official: Charlotte will 'aggressively pursue' Amazon's second headquarters". charlotteobserver. Retrieved 2017-09-27.
  12. ^ Ori, Ryan; Zumbach, Lauren (September 7, 2017). "Chicago will bid for Amazon's second headquarters — and its 50,000 jobs". The Chicago Tribune. Retrieved September 20, 2017.
  13. ^ http://www.wkyc.com/news/local/cleveland/cleveland-to-bid-on-amazon-headquarters-site/475279595
  14. ^ DFW Regional Bid / Sites across N. Texas proposed HQ2 http://www.fox4news.com/news/north-texas-cities-team-up-to-bid-for-amazons-second-headquarters
  15. ^ Tomas Hoppough (September 21, 2017), Colorado to narrow down one specific location for Amazon headquarters, Denver: KMGH-TV
  16. ^ ALDO SVALDI (September 21, 2017), "Colorado expects to provide Amazon with a single proposal for new campus", The Denver Post {{citation}}: Cite has empty unknown parameter: |1= (help)
  17. ^ "The quest for Amazon HQ2: Detroit-Windsor bid could be attractive".
  18. ^ Griwkowsky, Catherine (September 8, 2017). "Edmonton to bid on 'tasty morsel' $5-billon Amazon headquarters". Edmonton Journal. Retrieved September 26, 2017.
  19. ^ "Gary, Indiana wants the next Amazon headquarters". Retrieved 2017-09-30.
  20. ^ "Huntsville to submit bid for Amazon HQ2". Birmingham Business Journal. Retrieved 2017-10-06.
  21. ^ "Quest for Amazon HQ has Indianapolis, Fishers mayors joining forces". Indianapolis Star. Retrieved 2017-09-29.
  22. ^ "Memphis Offers $10M in Incentives for Amazon HQ2". Retrieved 2017-10-03.
  23. ^ a b Rogoway, Mike (September 9, 2017). "Portland and Vancouver join bidding frenzy for Amazon's 'second headquarters'". The Oregonian. Retrieved September 20, 2017.
  24. ^ Allison Sundell (October 5, 2017), Western WA leaders bid for second Amazon headquarters, KING-TV
  25. ^ Cornfield, Jerry (September 12, 2017). "Hey Amazon, Bothell is the place for your 2nd headquarters". The Everett Herald. Retrieved September 20, 2017.
  26. ^ Lillis, Ryan (September 7, 2017). "Sacramento plans to bid for Amazon headquarters – and 50,000 jobs". Sacramento Bee. Retrieved September 20, 2017.
  27. ^ Lee, Daniel (September 7, 2017). "San Diego to bid for Amazon HQ2". San Diego Union Tribune. Retrieved September 25, 2017.
  28. ^ Thadani, Trisha (September 7, 2017). "San Jose to bid for second Amazon.com headquarters". San Francisco Chronicle. Retrieved September 20, 2017.
  29. ^ Martin, Kate (September 11, 2017). "Tacoma ready to make bid for second Amazon headquarters". The News Tribune. Retrieved September 20, 2017.
  30. ^ Puente, Mark; Danielson, Richard (September 26, 2017). "Pinellas, Hillsborough join forces to enter Amazon bidding war". Tampa Bay Times. Retrieved September 26, 2017.
  31. ^ a b Brown, Scott (September 8, 2017). "Vancouver mayor would welcome Amazon's $5-billion headquarters". Vancouver Sun. Retrieved September 20, 2017.
  32. ^ Dingman, Shane (September 13, 2017). "GTA leaders to make joint bid for new Amazon headquarters". The Globe and Mail. Retrieved September 20, 2017.
  33. ^ "Manitoba premier, Winnipeg mayor say city is 'best choice' for new Amazon HQ". CBC News. September 9, 2017. Retrieved September 24, 2017.
  34. ^ "Worcester will submit its own bid for Amazon megaproject". Telegram and Gazette. September 26, 2017. Retrieved September 30, 2017.
  35. ^ a b c Matt Day (September 29, 2017), "It may be a long shot, but Washington state cities take aim with Amazon HQ2 bids", The Seattle Times
  36. ^ Shari Biediger (September 9, 2017), "San Antonio Leaders Build Case for Amazon HQ2", Rivard Report (blog), Institute for Nonprofit News
  37. ^ Helwig, David (September 25, 2017). "Full text of Councillor Shoemaker's barn-burner Amazon speech". SooToday.com. Retrieved October 3, 2017.
  38. ^ Yglesias, Matthew (September 9, 2017). "Seattle should make a pitch to be Amazon's 2nd headquarters". Vox.com. Retrieved September 20, 2017.
  39. ^ Wingett Sanchez, Yvonne (September 19, 2017). "Amazon rejects Tucson's gift of a 21-foot saguaro cactus". Arizona Republic. Retrieved October 3, 2017.
  40. ^ Niesse, Mark (October 3, 2017). "City of Amazon proposed to attract company's HQ2 to Georgia". Atlanta Journal-Constitution. Retrieved October 3, 2017.
  41. ^ "Thanks to Amazon, Seattle is now America's biggest company town", The Seattle Times, August 23, 2017 {{citation}}: Cite uses deprecated parameter |authors= (help)
  42. ^ Beekman, Daniel; O'Sullivan, Joseph (September 7, 2017). "Amazon's announcement of HQ outside of Seattle sends ripples through state's political circles". The Seattle Times. Retrieved September 20, 2017.
  43. ^ Gates, Dominic (September 7, 2017). "Amazon plan echoes Boeing's move to Chicago, but differences are crucial". The Seattle Times. Retrieved September 20, 2017.
  44. ^ "Steven Strauss". Woodrow Wilson School of Public and International Affairs. 2014-08-04. Retrieved 2017-09-24.
  45. ^ Leonhardt, David (2017-09-22). "Opinion | Take That, Jimmy Kimmel". The New York Times. ISSN 0362-4331. Retrieved 2017-09-24.
  46. ^ "The wooing of Amazon HQ2: Taxpayers, watch out for your wallets". USA TODAY. Retrieved 2017-09-24.

External links

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