Amazon may choose Atlanta for the location of its second corporate headquarters, according to a recent report by GBH Insights. As explained by Business Insider, Amazon plans to invest $5 billion in its new 500,000-square-foot headquarters over the next 10 years, which will create an estimated 50,000 jobs.
Amazon has narrowed its selection down to 20 potential cities, including Atlanta, from an original pool of 238. While the online retailing giant hasn’t announced a selection yet, there’s strong evidence suggesting that it could be Atlanta.
After analyzing what they believe Amazon is looking for in the hometown of its new headquarters, GBH Insights researchers concluded that Atlanta is the most likely candidate, followed by Raleigh, Washington D.C., Boston and Austin. You may notice that all of these cities, with the exception of Austin, are located on the East Coast. Assuming Amazon chooses one of these cities, this will keep its new headquarters next to the country’s capital.
This isn’t the only report predicting that Amazon will choose Atlanta in which to build its new headquarters. Sperling’s Best Places also ranked the southern city as the leading contender.
Of course, countless other big-name companies already call Atlanta their home, including Coca-Cola, Delta, Newell Rubbermaid and Home Depot. One of the reasons Atlanta is such a popular choice for corporate headquarters is because of tax incentives. Furthermore, it has a relatively low cost of living when compared to other cities. With so many benefits, there’s a good chance that Amazon will construct its new headquarters in Atlanta.
Competition is heating up between New York City and Newark. Both cities have been named on Amazon’s shortlist for its new headquarters and they are offering tax incentives and prime locations to attract the online retailer to their city limits.
The hunt for Amazon’s new secondary headquarters began in September 2017 when the company announced that they were opening a new headquarters. With an estimated 50,000 jobs on the line, more than 230 cities across the United States, Canada and Mexico jumped at the chance to host the new site. Eager to attract the successful company, which has transformed Seattle into a bustling, modern city, hopefuls offered large tax breaks and launched PR campaigns to convince the retail giant to accept their proposals.
In January 2018, Amazon announced a 20-city shortlist for their new North American headquarters. New York City and Newark are among the final contenders, highlighting the Big Apple’s long-held rivalry with its New Jersey neighbor. With Amazon pledging to invest $5 billion into its new headquarters and its intention to spread out over 8 million square feet of real estate, a lot of money is on the line.
New York City hopes that its reputation as a hub of international business will convince Amazon to opt with the Empire State. The city also offers the largest number of tech workers; Amazon can draw from a pool of over 300,000 skilled workers if they opt for a New York location. Manhattan West is already home to a branch of Amazon, and Staten Island currently boasts a large Amazon distribution center. New York Governor Andrew Cuomo has confirmed that Amazon will receive an incentive package if they select New York as the site of their new headquarters.
Meanwhile, across the Hudson, Newark is touting its lower real estate prices and reduced cost of living. New Jersey is also dangling an attractive $7 billion incentive package in front of Amazon, hoping that offering the largest incentives will tip the scales in the state’s favor.
Despite the efforts of Newark and New York to attract Amazon, industry insiders have postulated that Boston, Austin or Atlanta will ultimately seal the coveted the deal. Amazon is expected to announce their final decision later this year.
Amazon is planning on building a second headquarters in the United States. They are not yet sure which city they want to build their headquarters in. Some cities, realizing the great opportunities for jobs and the economy that a second Amazon headquarters would offer, are offering Amazon incentives for them to build their headquarters in their city.
Chicago is offering Amazon an interesting kind of incentive. They are offering the personal income taxes that Amazon’s workers will pay. Instead of the taxes being kept by the government, Chicago is offering to give Amazon the 1.32 billion dollars in personal income taxes that its workers will pay.
The new headquarters would cost around $5 billion and would employ around 50,000 workers. They will choose the city that they will build their headquarters in at the beginning of next year. With Chicago’s offer, the workers will continue paying the taxes, but the government will let Amazon keep the money instead of keeping it themselves.
This is not the first time that a city has offered such a program. There are almost two dozen programs in the United States that work in a similar way. Cities know that by having big companies such as Google, Target, Sears, and Amazon in their city, they will have a better economy because there will be more job opportunities. Some are offering personal income tax diversion programs to those companies, just like Chicago is doing.
Amazon has received hundreds of offers from various cities. However, most of these offers have not yet been made public. Therefore, we do not know the exact details of Chicago’s offer. However, we do know that it is part of their new Edge program, which was just relaunched in September. Edge stands for Economic Development for a Growing Economy.
Amazon Is Planning a True Bookstore in New York
Everyone knows what Amazon is and uses it almost on a daily basis. So it’s no surprise that eventually the company might try a new way of selling products.
Amazon, the famous distribution giant, may very well open up their own physical bookstore and cafe in the Hudson Yard neighborhood on the west side of Manhattan. The New York Post was the one who first broke this news and although nothing is concrete as of yet, Amazon is very serious about making this move and pushing this deal forward as soon as possible.
This wouldn’t be the first time that Amazon has opened up an actual store, in fact it would be the third one they’ve opened, after opening one in Seattle and another planned on in San Diego. Some might suggest that opening a physical bookstore might not be their best move, considering they’ve been a huge factor in running other previous stores out of business. But at the same time, having a physical presence means Amazon can sell actual books and Kindle products, much like Apple has done by using stores to sell products and market new tools for customers to use.
Also helping out is the fact that Amazon is increasing the number of hardware products it offers, such as the Echo Speaker, something that customers can flock to more easily if it was seen on shelves. CEO Jeff Bezos has said that actual store expansion is necessary.