Does Fairfax County want new Amazon HQ2 for Tysons?

[lchoro]

And how are these employees going to get by on total compensation averaging over $100,000 for the next ten to fifteen years per the RFP? It seems they would have to triple or quadruple the figure for this location to be viable and have pay competitive with Seattle.

An REIT is acquiring 281 acres near the 28 site at the next station over for the management of data centers.

QTS close to buying 281 acres in Loudoun, Northern Virginia | News | DatacenterDynamics

[NOVA_guy]

Originally Posted by sprklcl

Be careful what you wish for. With the area's low unemployment rate, where are workers going to come from but from outside the DMV. Congestion/traffic will increase means more time spent commuting (not holding hope that still see yet unreliable Metrorail to help), rents will increase, and for home owners property taxes will increase as property values increase. Great if you are a house flipper like those on the HGTV channel, not so much so if you are a longer term resident, as more time out of one's day and more money out of one's pocketbook. If Amazon HQ2 does end up landing somewhere in the DMV, hopefully not all 50,000 workers will come in one year and instead are spread out coming over several years, so the market can better, though still not great, absorb the increases.

This is why I think Fairfax County isn't overly trying to win them over. In the end, it may end up being more of a headache to have them come for an area that already has immense traffic and housing issues.

Honestly, they should go to DC. I just don't see them going far out in Loudoun, they're going to miss out on the DC, Alexandria and Arlington crowd. DC is the perfect middle point for most in this area.

[LuvVA]

Originally Posted by NOVA_guy

This is why I think Fairfax County isn't overly trying to win them over. In the end, it may end up being more of a headache to have them come for an area that already has immense traffic and housing issues.

Honestly, they should go to DC. I just don't see them going far out in Loudoun, they're going to miss out on the DC, Alexandria and Arlington crowd. DC is the perfect middle point for most in this area.

May be this is why both Fairfax and Loudoun counties are pitching in together on the border of these counties...

[paytonc]

Matt Kelly, CEO of JBG Smith, weighs in via a shareholder letter.

We are working with regional authorities on the HQ2 submission, as we believe that the Washington, DC Metro region is a strong contender for the award.... While many sites are submitting in the region, we believe Crystal City is, by far, the most appealing location for Amazon, boasting three proximate Metro stations, commuter rail access, and direct flights to New York, San Francisco, and Seattle from Regan National Airport, all within walking distance (yes, walking distance!). Within five miles of Crystal City there are also 111,000 units of rental housing affordable to the income profile of the average Amazon employee, located in the same neighborhoods that already contain much of the millennial workforce between 25 and 34 years old. The large development envelope in Crystal City and its plentiful infill development sites, coupled with our redevelopment plans there, can readily accommodate Amazon’s space needs without the costs or delays often inherent in achieving scale in such a close-in location. Unlike farther flung suburban locations that lack infrastructure and amenities, we have both, as well as abundant in-place parking, which could enable us to deliver new space at a cost advantage to greenfield construction. We believe this combination of workforce, affordability, and access is unrivaled in the region and, perhaps, in the country. All of this said, we know it will be fiercely competitive. We intend to put our best foot forward, expect nothing, and hope for the best.

Apparently, Arlington Economic Development put together a package that included Crystal City, and Virginia said that it would support any bid within the commonwealth.

[lchoro]

I read that Amazon specifically asked Richmond to submit a bid, Many of the packages I receive come through Richmond before coming into the Chantilly distribution centers. A smaller city with an airport with expansion for logistics hub, such as Richmond, would make a lot of sense. Amazon already has their web services office out in Herndon, but I think a major tourist and commuter airport like Reagan, BWI, or Dulles, would be too congested. A lot of the packages also come through the Harrisburg, Pa airport. There are other cities that would be attractive hubs for the Midwest, such as Austin, TX, or the Northeast as in Rochester, NY.

[Deeman804]

Originally Posted by lchoro

I read that Amazon specifically asked Richmond to submit a bid, Many of the packages I receive come through Richmond before coming into the Chantilly distribution centers. A smaller city with an airport with expansion for logistics hub, such as Richmond, would make a lot of sense. Amazon already has their web services office out in Herndon, but I think a major tourist and commuter airport like Reagan, BWI, or Dulles, would be too congested. A lot of the packages also come through the Harrisburg, Pa airport. There are other cities that would be attractive hubs for the Midwest, such as Austin, TX, or the Northeast as in Rochester, NY.

I would like to see which publication said that Amazon asked Richmond to submit an Proposal. I think if you throw out the requirement for good public transit, that it is a solid option if Amazon wanted to build in a smaller city. That being said, this HQ2 thing has nothing to do with where packages come from or it’s distribution centers. The requirement for the major airport is so that it can fly its EMPLOYEES to its other Major North American corporate offices.

[igo2ski]

There seems to be a few broad generalizations here that I'm not sure are accurate...

I think some of you are taking Bezos' comments too literally. He may have a wish list of being in a "hip cool urban area where employees can come and go and work and play" but the decision isn't his to make unilaterally. Amazon is a publicly traded company with shareholders governed by a Board of Directors, and Bezos is only 1 vote out of 10 on the Board. The decision will come down to the site that meets their requirements AND (and probably most importantly) whichever site makes the most financial sense.

Proximity to an airport with flights is a given for any large company, and I really think its 6 of one half a dozen of the other as to which airport it is. Employees that need to travel (management and perhaps their support team) will still be subject to the airlines' schedule, so whether it's DCA, IAD or BWI-it's likely not a deal breaker. The executive team from Seattle will likely fly in on private jet anyways...

As for millennials, I am an older millennial myself (at 30)... I can confidently say that the generalizations about our lifestyles are not entirely accurate anymore. As we get older, our priorities begin to shift. Paying an extraordinary amount in rent to have the privilege of saying you live in a "hip" or "energetic" neighborhood, or that you "live in DC", and all the crap tha comes with it gets old. As we get older, I see more and more of my friends and peers slowing down, moving out of the studios and 1BR lofts downtown and moving in with their significant others; getting married and starting a family. There are a lot of millenials that live in the suburbs... have a look at Reston and Tysons. We may not own our own homes yet, but we are shifting out of the fast lane, and the generation after us is carrying on the torch.

All this to say... I think Amazon is going to chose a suburban or semi-suburban (Crystal City/Arlington) location. I would imagine the tax breaks offered by Virginia would be very compelling (vs. DC which has lost a lot of corporate and government business to Virginia lately), and it makes more sense. If Amazon continues to grow and diversify its business, it would quickly outgrow any space it occupies in DC. They need a campus or office park like setting.

[Old Guard]

Originally Posted by igo2ski

As for millennials, I am an older millennial myself (at 30)... I can confidently say that the generalizations about our lifestyles are not entirely accurate anymore. As we get older, our priorities begin to shift. Paying an extraordinary amount in rent to have the privilege of saying you live in a "hip" or "energetic" neighborhood, or that you "live in DC", and all the crap tha comes with it gets old. As we get older, I see more and more of my friends and peers slowing down, moving out of the studios and 1BR lofts downtown and moving in with their significant others; getting married and starting a family. There are a lot of millenials that live in the suburbs... have a look at Reston and Tysons. We may not own our own homes yet, but we are shifting out of the fast lane, and the generation after us is carrying on the torch.

My inside the beltway neighborhood has had two millennial couples move in within the last year. The reason I know this is one is my new neighbor and they told me about the other. I am expecting as the millennials get older to see them come out to the burbs with money to spend after selling their DC condos for a profit.

[paytonc]

Tysons is no longer in the running, since Fairfax County endorsed the CIT site instead.

https://www.bisnow.com/washington-dc...-hq2-bid-84507