Amazon HQ2

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Amazon HQ2
Project logo 02.png
Project Information
Has title Amazon HQ2
Has owner Anne Dayton, Ed Egan, Diana Carranza
Has start date October 5th, 2017
Has deadline date
Has keywords Amazon, Headquarters, Bids, Proposals
Has project status Complete
Has sponsor McNair Center
Has project output Content
Copyright © 2019 All Rights Reserved.

On September 2017, Amazon announced it wants a second home outside Seattle. The news has resulted in a fierce bidding war to lure Amazon — and the thousands of high-paying jobs — using a combination of tax breaks and other incentives.

Amazon’s current headquarters are located in downtown Seattle, Washington. Amazon has been a catalyst for the development of the South Lake Union Innovation District in Seattle. In 2017, Amazon was awarded the “City Maker” award by the Downtown Seattle Association. The company estimates its investments in Seattle from 2010 through 2016 resulted in an additional $38 billion to the city’s economy – every dollar invested by Amazon in Seattle generated an additional $1.4 for the city’s economy overall. More information at:

The second headquarters is expected to generate as many as fifty thousand (50,000) new full-time employees with an average annual total compensation exceeding one hundred thousand dollars ($100,000) over the next ten to fifteen years, following commencement of operations. The Project is expected to have over $5 billion in capital investment over the initial 15-17 years of the Project.

We intend to provide information about Amazon's requests and any updates on the decision-making process.

Request for Proposal

Amazon's RFP was launched on September 7, 2017, the response deadline is by October 19, 2017, and the Final Site Selection is scheduled for 2018.

In choosing the location for HQ2, Amazon has a preference for:

 Metropolitan areas with more than one million people

 A stable and business-friendly environment

 Urban or suburban locations with the potential to attract and retain strong technical talent

 Communities that think big and creatively when considering locations and real estate options

HQ2 could be, but does not have to be:

 An urban or downtown campus

 A similar layout to Amazon’s Seattle campus

 A development-prepped site. We want to encourage states/provinces and communities to think creatively for viable real estate options, while not negatively affecting our preferred timeline

Building / Site Requirements for HQ2

Amazon is considering greenfield sites, infill sites, existing buildings, or a combination for the Project. As such, Amazon will prioritize certified or shovel-ready greenfield sites and infill opportunities with appropriate infrastructure and ability to meet the Project’s timeline and development demands, as set forth below.

Site Requirements

 Proximity to population center: 30 Miles

 Proximity to International airport: Within approx. 45 Minutes

 Proximity to major highways and arterial roads: Not more than 1-2 Miles (Close to major arterial roads to provide optimal access)

 Access to mass transit: At site (Direct access to rail, train, subway/metro, bus routes

Building Requirements

 Initial Square Foot Requirement: 500,000+ Sq. Ft. Phase I (2019)

 Total Square Foot Requirement Up to 8,000,000 Sq. Ft. (Beyond 2027)

Amazon’s Seattle headquarters

Direct Impact

 33 buildings

 8.1 million Square feet

 24 restaurants/cafes + 8 other services as Local retail within Amazon headquarters

 40,000+ Amazon Employees

 $3.7 billion Capital investment (buildings & infrastructure)

 $1.4 billion in Operational expenditures (utilities & maintenance)

 $25.7 billion Compensation to employees

 233,000 Annual hotel nights by visiting Amazonians and guests (2016)

 $43 million paid into the city’s public transportation system as employees benefit

Indirect Impact

 53,000 Additional jobs created in the city

 $38 billion Additional investments in the local economy

 $17 billion Increase in personal income by non-Amazon employees

 7 in 2010 to 31 in 2017 Increase in Fortune 500 companies with engineering/R&D centers in Seattle

Priority for Consideration

Amazon will consider the following site/building categories for the Project:

 Existing buildings of at least 500,000+ sq. ft. based on core requirements

 A greenfield site of approximately 100 acres, with utility infrastructure in place and pedestrian-friendly.

 Other infills, existing buildings, including opportunities for renovation/redevelopment and greenfield sites.

 Overall proximity of the buildings at full build-out

Key Preferences and Decision Drivers

Amazon’s preferences in no particular order.

Site/Building: suitable buildings/sites based on core requirements and preferences.

Capital and Operating Costs: stable and business-friendly environment and tax structure.

Incentives: incentive programs available (i.e. land, site preparation, tax credits/exemptions, relocation grants, workforce grants, utility incentives/grants, permitting, and fee reductions)

Labor Force: highly educated labor pool and a strong university system.

Logistics: highway corridor and arterial roadway capacity potential with direct access to significant population centers. International airport with daily direct flights to Seattle, New York, San Francisco/Bay Area, and Washington, D.C. is also an important consideration. Time to Operations: Requisite access, utility infrastructure, and zoning are critical.

Cultural Community Fit: diverse population, excellent institutions of higher education, local government support. Stable and consistent business climate.

Community/Quality of Life: overall high quality of life, recreational opportunities, educational opportunities.

Post-Finalist Commentary

Amazon said the chosen location would have to have a talented workforce that already was based in the area, as well as good public transportation infrastructure and easy access to major airports. -