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Unread 2017-09-07, 11:59 AM   #1
JDLM
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Default Amazon is looking for a home for its 2nd HQ

6 US Cities Amazon Should Consider for its Second Headquarters

Amazon will be developing a 50,000-person "HQ2" somewhere in North America starting next year. These are our six picks of the most likely US cities.




Amazon has gotten too big for Seattle. Now it's looking to build a second headquarters somewhere in North America, and it's taking suggestions.
This morning, Amazon started soliciting offers from metropolitan areas to host a new campus for up to 50,000 employees. This "HQ2" would become a co-equal headquarters to Amazon's giant Seattle setup, the company says. The headquarters must be no more than 30 miles from a major population center and no more than 45 minutes from an international airport.




The prize here will be big, with tens of thousands of jobs and over $5 billion in investment. Expect cities and states to start falling all over each other with tax incentives and land deals. Bids are due by Oct. 19, and Amazon will make its decision next year.
Amazon has demands. Here's what it wants:
  • Metropolitan areas with more than 1 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
I think Amazon probably wants to get away from the West Coast, which would count out options like San Diego, Boise, Phoenix, and Denver. The expensive, crowded main metro areas of the Northeast Corridor also seem to me to be unlikely winners, because Amazon can get much more for its money elsewhere.
These are my top six suggestions, in order, of where Amazon might land in the US:
1. Kansas City





Possibly the nation's most underrated tech hub, Kansas City was one of the first Google Fiber markets and is home to Sprint. The city has terrific internet connectivity, it has been nurturing tech startups in the Crossroads neighborhood, land is affordable, the airport has nonstop flights to all the right places, and the local government has a very pro-tech stance. Kansas City's primary downside is its lack of international flights. "Kansas City International Airport" holds its title because of flights to Toronto and Cancun, which isn't the globe-spanning range Amazon wants.
2. Dallas-Fort Worth


The Dallas-Fort Worth Metroplex is the fourth-largest metro area in the US, with more than 6 million people. It has its own tech titan in Samsung, and it's just down the road from Austin, a vibrant tech hub. It's centrally located and has one of the nation's major airports.
The Fort Worth side of the Metroplex is going through some major changes right now, with the city redeveloping downtown with a riverwalk, lakes, canals, and apartment buildings—turning the former city of stockyards into a real urban center. There's a major new entertainment district planned for 2024, and frequent commuter rail connects the city to central Dallas.
Dallas is a bit more expensive, and a bit further along in terms of development. It's positively buzzing as an urban hub, with world-class dining and nightlife, a growing public transit system, and a diverse population. That would be an easy move for Amazon.
3. Minneapolis





Minneapolis has long been a center for health tech, with the Mayo Clinic nearby. It's also the home of two of Amazon's major competitors, Target and Best Buy. Within the past year, according to the Star-Tribune, it's become a startup center as well, with startup accelerators settling in the Twin Cities. Minneapolis has a vibrant downtown and a real international airport with flights to Europe and Asia.
The city has a few down sides. Winter weather is famously awful. Amazon may not want to be too close to its major competitors. And Minnesota's employment market is so strong that Amazon would probably have to import employees from the rest of the US, rather than tapping into an existing local worker pool.
4. Pittsburgh


Pittsburgh is on the verge of being cool again. The city has two powerhouse universities, one of which—Carnegie Mellon—specializes in technology, with great potential synergies for Amazon. There's a vibrant nightlife (thanks to those universities), housing is affordable, and Amazon could say that it's revitalizing the Rust Belt. Pittsburgh is also a drivable distance from Amazon's Cincinnati cargo hub.



Pittsburgh's down side is that it isn't a transit hub. Its airport has shrunk from its glory days, and there isn't even a nonstop flight to Seattle. Its "international" flights are to Toronto, Cancun, Frankfurt, and Reykjavik. Amazon may want better connectivity.
5. Cincinnati


Mobile Nations' Derek Kessler suggests Cinci because Amazon already has a major investment there: a $1.5 billion dollar cargo hub. Cinci is certainly affordable, with a historic downtown that's been in the midst of redevelopment.
Cincinnati's greatest weakness is that it's terminally uncool. The city lacks high-profile universities or a nationally known arts, entertainment, or technology scene. Its reputation for being a quiet, relaxing place to raise a family is a minus when competing with places like San Francisco for young techies. The city also has awful public transportation, and Amazon likes public transit.
6. Charlotte





Probably the best East Coast pick, Charlotte is a finance and financial-technology center with affordable land, an educated workforce, and a great airport.
Charlotte's down side is that, like Cincinnati, it really lacks urban cachet for a company that prides itself on its urban experiments. The North Carolina state government has also been at loggerheads with Amazon over development of a wind farm and the state's previous anti-gay HB2 law, and Jeff Bezos may just not want to do a deal there.
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Last edited by JDLM; 2017-09-07 at 12:01 PM..
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Unread 2017-09-07, 02:47 PM   #2
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Amazon is planning a second headquarters, and Kansas City is planning to make a pitch for it. AP file photo
Amazon is planning a second headquarters, and Kansas City is planning to make a pitch for it. AP file photo

Business

KC will make ‘aggressive’ bid for Amazon’s second headquarters, and its 50,000 jobs


<LI class=email>


Kansas City intends to make a serious bid to be Amazon’s planned second headquarters.
“Kansas City will compete,” Mayor Sly James tweeted Thursday morning, saying he had asked City Manager Troy Schulte and the Economic Development Corporation Kansas City to help him put together a team to respond to the company’s request for proposals.


The Kansas City Area Development Council also announced Thursday that it would submit a proposal on behalf the metro area.


Quote:
Mayor Sly James @MayorSlyJames
I've asked @KCMOManager and #EDCKC to help me put together a team to respond to https://www.amazon.com/b?ie=UTF8&node=17044620011 …. #KansasCity will compete!
11:57 AM - Sep 7, 2017




“This is an exciting and unprecedented opportunity for our KC region and we are taking immediate action to assemble our regional team, and compile the most compelling business case for Amazon,” the agency said in a statement.




The online shopping behemoth announced Thursday that it expected to invest $5 billion in Amazon HQ2, which the company said would grow to offer as many as 50,000 “high-paying” jobs.
By “high-paying jobs,” Amazon officials said that meant positions making $100,000 or more.
In addition to its direct investment, the company said its second headquarters in North America would create tens of thousands of additional jobs and tens of billions of dollars in investment in the surrounding community.
Amazon said the second headquarters would be “a full equal to our current campus in Seattle.”
The Area Development Council said it would lead the regional effort “in partnership with our communities, states, workforce, education, utility, corporate and philanthropic partners.


“We have been in touch with the appropriate people at Amazon and we are moving quickly to put the KC region in the best possible light.”
The statement said the region will not respond by taking the “average route” to the request for proposals.
“We will be extremely creative and aggressive in technical workforce development as well as space, city transit, financial incentives, educational assets, cultural amenities, air transportation, and more,” the statement concluded.
Amazon currently occupies 19 percent of all office space in Seattle, where its presence is more than twice as large as any other company in any other U.S. city, according to the Seattle Times. It occupies more space than the next top 40 employers in the city combined.
Amazon estimates that its investments in Seattle from 2010 through 2016 resulted in an additional $38 billion to the city’s economy.







Amazon is a publicly traded U.S. corporation with more than 380,000 employees in North America and throughout the world.
“Due to the successful growth of the company, it now requires a second corporate headquarters in North America,” Amazon said.
Amazon said its preference is for a metro area with more than 1 million people, a stable and business-friendly environment and a community that thinks “big and creatively.”
The company said its second headquarters does not have to be a downtown campus or similar in layout to the Seattle campus and it does not necessarily require a development-prepped site.
Amazon will require 500,000 square feet initially and eventually up to 8 million square feet. That would dwarf the Cerner campus in south Kansas City.
The deadline for submitting proposals is Oct. 19.
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Unread 2017-09-07, 02:58 PM   #3
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With the new airport being constructed that could help KC

Seems like KC vs. Dallas. That's a tough fight.
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Unread 2017-09-07, 03:17 PM   #4
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Originally Posted by turbotuner20v View Post
With the new airport being constructed that could help KC

Seems like KC vs. Dallas. That's a tough fight.
It's not just KC/Dallas. There are a lot of first class cities lining up for this.

Chicago, Toronto, Denver, Pittsburgh, Baltimore, Boston, Columbus, Detroit, Philadelphia, Phoenix, Vancouver and Washington D.C.

http://money.cnn.com/2017/09/07/tech...ies/index.html
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Unread 2017-09-07, 05:09 PM   #5
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Originally Posted by ForcFed93 View Post
It's not just KC/Dallas. There are a lot of first class cities lining up for this.

Chicago, Toronto, Denver, Pittsburgh, Baltimore, Boston, Columbus, Detroit, Philadelphia, Phoenix, Vancouver and Washington D.C.

http://money.cnn.com/2017/09/07/tech...ies/index.html
Many of those cities are expensive already and would likely not offer that strong of an incentive package to cover the cost of the campus. They're almost too '1st class'.

Kansas City covered $1.6B of the $4.3B Cerner campus

The Kansas side has the land, but may not be able to fund as much w/ the tax issues going on.
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