MD Leaders Reach Out To Amazon After New York HQ2 Plans Implode

MONTGOMERY COUNTY, MD — Does Maryland have a second chance to land Amazon jobs? The state lost out in the sweepstakes to lure Amazon’s second headquarters — the online retailing giant in November picked Crystal City in northern Virginia and New York City to split the second headquarters — but Gov. Larry Hogan and other political leaders sense they have a shot after all.

Amazon canceled its plan to build a new headquarters in Long Island City, the company announced Thursday, killing the largest economic development deal in New York city and state history. The move followed aggressive protests from local elected officials and activists opposed to the nearly $3 billion incentive package the firm was to receive for the project.

“After much thought and deliberation, we’ve decided not to move forward with our plans to build a headquarters for Amazon in Long Island City, Queens,” the online retail behemoth wrote in a blog post.

Maryland offered $8.5 billion in incentives in an attempt to win a competitive nationwide search for Amazon’s newest home that lasted more than a year and attracted more than 200 bids. The Seattle-based company had said it will invest about $2.5 billion and create more than 25,000 high-paying jobs at each of its two new locations in Long Island City and Arlington, Virginia, a suburb of Washington, D.C.

Amazon said it does not expect to reopen its search for a new headquarters location but plans to continue growing its workforce in New York City, where it already has 5,000 employees. The Seattle-based firm is also slated to open a new operations center in Nashville, Tennessee. But that talk isn’t deterring Hogan, who said his administration has talked with Amazon representatives and is planning to meet with the company about moving to Maryland.

“We have been in contact with Amazon and anticipate a meeting,” Shareese Churchill, a spokeswoman for Gov. Hogan, told WTOP.

Hans Riemer, Montgomery County Council member, told the radio station he asked county economic development officials to contact Amazon as objections to the New York site grew.

Prince George’s County Council member Mel Franklin said on Facebook, “Prince George’s County is the best place to invest in, in the best region in America.”

Plans for a sprawling New York City campus won’t “disappear into thin air,” Franklin told WTOP.

Possible locations Amazon should consider include the Discovery District near the University of Maryland College Park, as well as along Rockville Pike and the Metro’s Red Line in Montgomery County, Maryland leaders said.

Hiring at the new Virginia headquarters will begin in 2019, the company said in a news release.

Governor Larry Hogan said in November that the selection of Northern Virginia for one of the headquarters facilities is a tremendous win for the entire Capital region.

“Collectively, we will not only gain 25,000 corporate-level jobs, but also many businesses that are part of Amazon’s supply chain. I want to thank County Executive Ike Leggett and all of our partners in Montgomery County for working with us to put forth a strong proposal that highlighted the outstanding advantages of doing business in Maryland,” Hogan said. “I look forward to working closely with Governor Northam and Mayor Bowser to welcome Amazon and meet the opportunities that lie ahead.”

The Arlington location will result in additional jobs, business, and investments that will benefit the entire DC metropolitan region, including Montgomery County, said County Executive Ike Leggett. He also thanked Amazon for including the county among the finalists, and praised Hogan for his strong support of Montgomery County’s bid.

“Montgomery County continues to be one of the best places in America to live, raise a family, grow a business, and build a future,” Leggett said last year. “Over the past 12 years we have strengthened our fiscal foundations, eliminated unnecessary red tape, laid the groundwork for new employment centers that will create approximately 100,000 new jobs, and invested even more in transportation options and our world-class school system.”

Amazon’s HQ2 will involve billions of dollars in investment and around 50,000 employees. The D.C. area had three spots on Amazon’s shortlist of 20 finalists: Northern Virginia, D.C, and Montgomery County, Maryland.

The New York Times Times spoke to multiple analysts and experts who said Crystal City was the top location for several reasons: It’s directly adjacent to Reagan National Airport and is close to Dulles International Airport, most of the buildings there are owned by one developer, it has its own Metro station, it has a prime location near D.C., it has a diverse and highly educated workforce, and it is in the business-friendly state of Virginia.

There were 20 finalists, including Chicago, New York, Atlanta, Los Angeles and other major cities, and many have reportedly offered incentives to Amazon to move there. It is a highly sought after project because Amazon claims it would include $5 billion in investment and 50,000 high-paying jobs.

There are other reasons a site in the greater Washington, D.C., region landed the massive project. Bezos already owns the Washington Post, as well as D.C.’s largest mansion, and it makes sense he wants to have a significant presence close to a Congress that could look to target his company’s labor practices, for example.

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Photo by David McNew/Getty Images

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