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Amazon’s HQ2 Aimed to Show Tech Can Boost Cities. Now It’s On Pause

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Amazon’s HQ2 Aimed to Show Tech Can Boost Cities. Now It’s On Pause

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After a dramatic competition that pitted US cities against one another, years of contested planning, and claims of unwavering dedication regardless of the pandemic, Amazon now says its plan for a second headquarters, aka HQ2, is on pause. The firm said as we speak that it’ll delay development of greater than half of the tens of millions of sq. ft of area in a campus deliberate for Arlington, Virginia, together with a twisting tower meant to change into a signature landmark for the town. 

Amazon, which continues to be within the means of shedding more than 18,000 corporate workers, didn’t set a brand new date for development to renew in Arlington, throughout the Potomac River from Washington, DC. Arlington County board chair Christian Dorsey says the county discovered “recently” of the deliberate pause and doesn’t know when development will resume.

Amazon additionally declined to supply any timeline for development to renew. “Our second headquarters has always been a multiyear project, and we remain committed to Arlington, Virginia, and the greater Capital Region,” says John Schoettler, Amazon’s vp of world actual property and amenities.

Amazon has pledged to make use of the challenge, the primary part of which already dominates the Crystal City neighborhood wherein it’s positioned, to ultimately convey not less than 25,000 high-paid employees to Virginia. Arlington and different cities, together with Atlanta, Georgia, and Austin, Texas, competed to win the challenge partly to safe a tranche of elite employees and related tax income. How many individuals or new tax {dollars} Amazon will convey to Arlington, and on what timeline, is now unclear.

Amazon initially deliberate to build its second HQ in two phases. The first featured two giant constructions housing about 2 million sq. ft of workplace area, and the second one other three workplace buildings and a centerpiece tower known as the Helix, a construction one thing like a cross between a custard swirl and the poop emoji.

HQ2’s first part, referred to as Metropolitan Park, will open on schedule in June of this yr, Amazon says. But the corporate now not has a date for development of the bigger second part and its signature swirl, all of which was initially deliberate to incorporate about 2.8 million extra sq. ft of workplace area and 115,000 sq. ft for retail. 

That ratio might theoretically change. While Amazon spokesperson Zach Goldsztejn says that Amazon’s long-term dedication stays the identical, the development pause will permit the corporate extra time to review how its area is greatest used. In February the corporate introduced that it’ll finish its versatile, fully distant work coverage and require employees to be within the workplace three days every week starting May 1. The regime change will probably shift how workers use the corporate’s workplace areas.

“It’s not incredibly surprising that Amazon is taking a pause before beginning the second phase,” Dorsey stated on a briefing name as we speak in regards to the firm’s challenge. “If you look at the world, there is a lot of uncertainty about what is ahead. Everyone from every sector is thinking about its long-term plans in a new light, and sadly we don’t all have all of the answers.”

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