Amazon said in a Feb. 14 announcement that it has canceled plans to build part of its second corporate headquarters in New York City, The New York Times reports.
The company announced in November 2018 it would split its corporate headquarters between Long Island City in the Queens borough of New York City and Crystal City, Va. New York state reportedly provided Amazon with nearly $3 billion in state and city incentives for the deal, which would have created more than 25,000 jobs.
However, opposition to the plan has grown steadily since Amazon's announcement last fall. Critics of the move argue that the company's new headquarters will cause even more issues for the state. Chief among those complaints is that the decision was made without local input and that the influx of workers may cause issues with the city's already struggling subway system, housing prices and increased income inequality and homelessness.
In a Feb. 14 statement obtained by The New York Times, Amazon said opposition from several state and local politicians caused the company to reconsider its decision. The company also said it will not reopen its search for a second HQ2 location, and will proceed with its plans in Crystal City.
"For Amazon, the commitment to build a new headquarters requires positive, collaborative relationships with state and local elected officials who will be supportive over the long-term. While polls show that 70% of New Yorkers support our plans and investment, a number of state and local politicians have made it clear that they oppose our presence and will not work with us to build the type of relationships that are required to go forward with the project we and many others envisioned in Long Island City.
We are disappointed to have reached this conclusion — we love New York, its incomparable dynamism, people and culture — and particularly the community of Long Island City, where we have gotten to know so many optimistic, forward-leaning community leaders, small business owners and residents. There are currently over 5,000 Amazon employees in Brooklyn, Manhattan and Staten Island, and we plan to continue growing these teams.
"We are deeply grateful to Governor Cuomo, Mayor de Blasio, and their staffs, who so enthusiastically and graciously invited us to build in New York City and supported us during the process. Governor Cuomo and Mayor de Blasio have worked tirelessly on behalf of New Yorkers to encourage local investment and job creation, and we can't speak positively enough about all their efforts. The steadfast commitment and dedication that these leaders have demonstrated to the communities they represent inspired us from the very beginning and is one of the big reasons our decision was so difficult."
To access the full report, click here.