Amazon Announces Plans For $5 Billion Second North American Headquarters

Tyler Durden's picture

Amazon.com announced plans on Thursday to open a second headquarters somewhere in North America that will house up to 50,000 employees and cost $5 billion to build and operate. The company is soliciting bids from local and state government leaders for the project, dubbed Amazon’s “HQ2,” and said it would prioritize metropolitan areas with more than one million people.

“We expect HQ2 to be a full equal to our Seattle headquarters,” Amazon’s CEO Jeff Bezos said. “Amazon HQ2 will bring billions of dollars in upfront and ongoing investments, and tens of thousands of high-paying jobs. We’re excited to find a second home.”

The company also announced that its investment in Seattle from 2010 through 2016 has brought an additional $38 billion in investments to the local economy. It hopes to generate the same level of return in the new site:  “In addition to Amazon’s direct hiring and investment, construction and operation of Amazon HQ2 is expected to create tens of thousands of jobs in construction and related industries, and generate tens of billions of dollars in additional investment in the city where Amazon HQ2 is located."

Existing senior leaders will get to choose whether they locate their teams in the Seattle headquarters, HQ2 or both, the company said. Amazon is currently in an aggressive stage of expansion, buying up competitor companies and bricks and mortar stores as it looks to challenge the likes of Walmart in food retailing. According to the FT, the ecommerce giant has made about 130 acquisitions or investments since its debut in 1995.

The company’s Seattle headquarters is spread across 8.1 million square feet in 33 buildings and employs more than 40,000 people.

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Croesus's picture

Fuck Bezos, CIA pos

Arnold's picture

There is a nationwide Casino moratorium until conditions improve, Jeffy.

gmrpeabody's picture

Dearborn would be ideal for the likes of Amazon.., just saying.

Joe Davola's picture

Hey, let's connive some sweet tax breaks from another bunch of schlub local governments more than willing to slob our knob.  And while we're at it, let's get them to pay for the buildings too - why should sports teams be the only ones getting that sweet action!

Kudos BigCorkedBoots, you beat me to it.

Serfs Up's picture

How many decades of Net Income is $5 billion?

Asking for a friend.

DeadFred's picture

The price is not the problem, everyone knows money can be printed. The question is whether they site the place on a pre-existing vortex of evil or create their own from scratch. Facebook chose the former and Google the latter. There are pluses and minuses for each.

813kml's picture

The new HQ will be located at the North Pole.  As cost cutting measures, Amazon will be moving production in-house by enslaving the elves and using Santa for free shipping.

VinceFostersGhost's picture

 

 

Time to breakup Amazon.

GUS100CORRINA's picture

It is ALL about JOB creation (or the illusion of job creation) and being politically correct with the TRUMP administration.

With AMAZON, we are in unchartered ground and I suspect deals are being made behind closed doors that would include a big change in news NARATIVE coming out of the WASHINGTON COMPOST!!

If BEZOS doesn't stop the WAPO FAKE NEWS, his plans are DEAD. If he reigns in WAPO, then there is room for negotiation.

Principle found in "THE ART OF THE DEAL" authored by President TRUMP.

bidaskspread's picture

Just my experience, any time a company annouces/builds a new headquarters they are at an inflection point for decline.

Wrenching Away's picture

I was thinking the same thing. Lets spend billions on another HQ just as we reach market saturation.

Big Corked Boots's picture

"soliciting bids from local and state government leaders for the project"

Put another way, they're looking for the biggest payout of YOUR tax money to build thier facility for them.

The best government money can buy.

yogibear's picture

Of course politicians are prostitutes. Anthing that gets them re-elected.

pods's picture

Exactly what I thought when I read that.  They get to line up and drop to their knees to see who does it best and gets Amazon to grace them with their HQ2.

Isn't modern life great?  We get corporate giants to influence governments to extract more from the people to hand over to them.  Down here in the south it's getting pretty cutthroat when it comes to corporate incentives.  It won't end until the people get fed up and reduce their tax footprint enough to bankrupt the government.

pods

effendi's picture

What happens to that city when the economy enters a recession/depression that is overdue and Amazon goes bankrupt? Having to deal with a recession is bad enough but losing your biggest employer along with all the builders, suppliers and subcontractors that depend on it will be devestating.The city will have run up debts and made generous financial promises on the expectation that the good times will continue.  Detroit will have a rival for the most cratered city in America.

CheapBastard's picture

Maybe Amazon can move to detroit and hire 50,000 BLM people and bee zos can prove how much he really cares.

 

In contrast to Starbucks that prefers refugees over American citizens and FB that prefers illegals.

CheapBastard's picture

Fleecing the locals with taxes similar to building football stadiums for Billionaires in the NFL, etc.

 

Why not tax the palyers to build their own stadiums esp since so many of them hate America?

BarkingCat's picture

And for that money Amazon is going to bring in a shit load of H1B1 visa worked to drive up the cost of your local housing.

The local people will get fucked over 3 times:

1- financially sheared so that money is given to Amazon

2- cost of living will increase

3- traffic will get worse

 

Fuck Amazon.

 

My next t-shirt is going to be "Boycott Amazon".

jbwilson24's picture

Plus they will be forced to look at fat, hairy brown indian woman walking around town with their 6 mustachioed broodlings

south40_dreams's picture

Who says crime doesn't pay

SloMoe's picture

"The company is soliciting bids for tax breaks and subsidies from local and state government leaders"

CheapBastard's picture

Raise local taxes to subsidize a new company. That's what Austin did to attract tech companies. Screw locals to bring in tech.

Cardinal Fang's picture

I'm thinking Colorado, no shortage of dope smoking millenials there...

Denver?

Nah, but somewhere near...

Maybe Cheyenne Mountain

Philo Beddoe's picture

My hunch is a swing state like Ohio or Florida. 

Philo Beddoe's picture

Nice profile pick. 

Yeah, Florida. They will toss money at this shit. 

 

DeadFred's picture

Should be able to pick up some nice (newly vacant) beach front property next week.

Magnix's picture

It's actually in either Dallas or Austin TX.

just the tip's picture

i'm thinking memphis.  UPS

i'm thinking louisville.   FEDEX

bearwinkle's picture

You have that backwards, Louisville is UPS and Memphis is Fedex.

 

dogismycopilot's picture

It will be Colorado. Few people know it, but Colorado is part of the Federal Governments COG plan.

moorewasthebestbond's picture

TAX BREAKS AND CORPORATE WELFARE IN 3... 2... 1

 

STATES WILL LINE UP TO BLOW AMAZON AND THEN TAKE IT IN THE A$$

Juggernaut x2's picture

Like Foxconn is doing to the mopes in WI

NoWayJose's picture

Foxconn is buying Paul Ryan in Wisconsin!

Mr.BlingBling's picture

The true contenders will need to reverse that sequence.

TheSilentMajority's picture

Another $5billion in the hole.

Apparently they need a new $5billion headquarters to help them figure out how to actually make a profit.

Oldwood's picture

Like an invading army that assumes the wealth of its victims claiming proof of its superiority, while actually only consuming and destroying. Amazon is killing or buying it's completion with market dominance achieved with technology (weapons) that are destroying our jobs....and WE are buying it. We do not seem to be able to distinguish between economic growth that benefits us and that which is parasitically    consuming our future.

ludwigvmises's picture

Employ +50k while -500k get fired in brick and mortar stores. Fantastic deal!

buzzsaw99's picture

it gets better.  they want free highways and roads and hiking trails and other free shit for their "diverse" employees which they will ship in and consequently hire almost none of the locals.  the plan is to use YOUR MONEY to trash YOUR (currently) NICE CITY.

duo's picture

No white males, hetero at least, will be hired at this new HQ.

pazmaker's picture

And they pay there warehouse employees around $12.75 an hour, which leave most of their employees qualfying for government assistance.  They also make even the lowest of hourly employees sign a noncompete and truely try to enforce it if they leave their employment.  Screw Amazon!

Mr.BlingBling's picture

I'm so old that I remember when $12.75 an hour was a damn good wage.

By cracky.

buzzsaw99's picture

why don't we just build them a huge sports arena and give it to them for free?  i'm a total nimby on this.  go somewhere else bezos bitchez.

Handful of Dust's picture

 

 

Amazon is under fire for reported Hurricane Irma price gouging, with 'life-sustaining necessities' selling for wildly inflated prices

 

For example, a 24-pack of Aquafina — typically sold for less than $6 — was priced at $20. And, Deadspin editor Diana Moskovitz reported that a 24-pack of Nestle bottled water with expedited shipping was priced at $179.25. 

 

 

http://www.msn.com/en-us/money/companies/amazon-is-under-fire-for-report...

 

Juggernaut x2's picture

Don't want to get "gouged"- don't buy it. How difficult us it to have a weeks worth of water stored in your house? It's not, but people are too stupid to do so

Son of Loki's picture

There's always a few nefarious people in any market place and Amazon will remove them I bet.

But storing water for weeks!?

Have you seen the photos of many of those folks in the shelter?

I doubt many of them have enough food, water, etc for more then one day under normal conditions so I highly doubt they can "store water for weeks."

It seems easy for you or me maybe, but for many of those low IQ very poor folks that's simply not realisitc. Houston has been mismanaged for years mostly by dem mayors. the last mayor Parker was no better. Instead of focusing on infrastructure, she went after the $$$$ rail connecting Houston and Dallas surely to be a boondoggle and lots of pork ofr her RE developer friends.

Hopefully, this mayor Turner focuses on these issues namely infrastructure, etc.