Amazon HQ2 NYC Chronology: How Did the Decision to Cancel the New York Agreement Happen?

It took Amazon nearly a year to select the two cities that would house his second North American headquarters, and only three months for one of these agreements – with New York City – to collapse.

The e-commerce giant, whose CEO is the richest man in the world, announced (on Valentine's Day, either) that thanks to the brutal reaction against his plans HQ2, it would no longer create a new business campus and 25,000 planned jobs – in Long Island City.

As a result of the company's decision, many people play the blame game: some see Amazon as the problem; others accuse the politicians (at the city and state level) who opposed the agreement; and others see in the misconceptions about the agreement (such as how the incentives promised to Amazon would be distributed) as the problem.

But how did we get here? If we go back to the brief history of the agreement with HQ2, there is some indication that it would not be an easy victory for the e-commerce giant. Check all of this below.

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September 7, 2017

Amazon has announced the construction of a second strong headquarters of 50,000 employees and accepting proposals from cities wishing to host Jeff Bezos & Co. The tech giant estimates that the construction of the new QG2 will cost around $ 5 billion. it's quickly doubled. New York said it was going to put its hat on the ring, with the state's economic development branch saying it would "do everything it can" to attract Amazon's attention.

September 27, 2017

After soliciting proposals, the New York City Economic Development Corporation (NYCEDC) announced that 23 separate neighborhoods have explained why they should become home to HQ2.

October 18, 2017

The day before the release of QG2 offers, New York City's iconic sites, including the One World Trade Center and the Empire State Building, light up in the so-called "Amazon Orange." It's one of the least ridiculous gadgets that municipalities are trying to try to seduce Amazon. CEO Jeff Bezos.

October 19, 2017

Governor Andrew Cuomo and Mayor Bill de Blasio announced that the city had applied for the second headquarters, nominating four different areas: Long Island City, the Financial District, Midtown West and the "Brooklyn Tech Triangle". Downtown Brooklyn, Dumbo). and the Brooklyn Navy Yard) – as possible sites. "The case of New York is simple: we are the world capital of commerce, culture and innovation," Blasio said in a letter to Bezos.

January 18, 2018

After a few months of silence, Amazon has announced that it has selected 20 finalist cities for HQ2, including New York and Newark, New Jersey. They compete with other big cities like Chicago, Dallas, Los Angeles and Washington, D.C .; the list also includes outliers, including Indianapolis and Montgomery County, Maryland.

At the same time, a group of advocates for social justice, including members of groups like Make the Road New York and Rally for Racial Justice, among others, make their opposition known by writing an open letter in which will continue to develop its operations across the city and the state of New York, it must improve its business model and its treatment of communities and workers. "

January 24, 2018

A former Battery Park City official unveiled a modest proposal for QG2: build it on a landfill near this part of Manhattan. According to Charles J. Urstadt, using the fill to extend Battery Park City to the north, the city could create a new 60-acre package for Amazon. "This plan would create a wild, campus-like blank slate – overlooking the Hudson River – on which Amazon could design its own ideal seat," he says. (It does not end up becoming a reality.)

November 4, 2018

Amazon spends most of the year meeting with officials in cities in the United States. In November, the the Wall Street newspaper reported that New York City is among the finalist finalists. The company would become New York's number one city, touting it for its "13 million square feet of first-class real estate," as well as for its proximity to airports, transit lines and cultural institutions.

November 5, 2018

Andrew "Amazon" Cuomo is forever immortalizedAs the New York Governor says, he will "change his name … if that's what it takes".

November 9, 2018

While the rumors surrounding the imminent arrival of HQ2 in New York intensify, Crain's announced that the company was planning to bypass the Uniform Review Procedure of the HQ2. The land use (ULURP) of the city – a tedious process, which leaves the municipal council and other local authorities with control over major developments. .

At the same time, rumors are circulating that a waterfront site owned by Plaxall would be running for the Amazon campus. The site was previously reserved for a rezoning allowing the creation of housing, schools and other public benefits.

Photo of Drew Angerer / Getty Images

November 13, 2018

Rumors materialize when Amazon announces the separation of H2 between two areas: Long Island City and the Crystal City neighborhood in Arlington, Virginia. Although not all details of the deal were immediately clarified, the city and state promise at least $ 1.7 billion in economic incentives to soften the deal for the tech giant.

The reaction started quickly; The newly-elected New York congressman, Alexandria Ocasio-Cortez, is one of the people questioning the deal, which is the tax cuts and grants to Amazon that will be transferred to New York.

November 14, 2018

The first of many QG2 protests takes place in Long Island City with members of advocacy groups, unions and elected officials. Jimmy van Bramer, a city council member, and Senator Michael Gianaris, city council, attended the meeting, announcing the upcoming fight.

"When Jeff Bezos needed $ 3 billion, the governor and the mayor found that it was very fast," van Bramer said at the rally. "The governor and the mayor conspired in secret to reach an agreement with Jeff Bezos to the exclusion of all others. This is the ultimate case of "three men in a room".

November 19, 2018

The reaction to the reaction begins: Cuomo has published an "editorial" on his official website, apparently to expose his argument in favor of why the HQ2 agreement is good for New York, but with a hefty disdain for those who criticized the agreement. Deputy Mayor Alicia Glen gave an interview to New York in which she argued that the agreement was, in fact, fair and democratic (despite the lack of involvement of city officials, unlike a ULURP). And urban planners, including New York The critics Justin Davidson, architect, and Vishaan Chakrabarti, architect, defend this agreement for the city of New York.

November 20, 2018

the the Wall Street newspaper reported that a handful of Amazon employees bought condos in Long Island City before The HQ2 deal has been made public, giving its detractors even more trouble in driving up house prices and real estate speculation in the neighborhood.

December 11, 2018

The city's application for head office is made public on a website (since then) published by NYCEDC. And it's a dream: Governors Island is touted as a retreat for Amazon employees, Milton Glaser's famous "I ❤️ NY" logo gets a makeover, then there are renderings:

On the same day, de Blasio and Cuomo announce the creation of a community advisory committee that will solicit the views of locals and local stakeholders on HQ2. The 45-member group was to meet for the first time in January. (Welp.)

December 13, 2018

The New York City Council held the first of two hearings with a panel of representatives and representatives of NYCEDC's Amazon. The meeting was, unsurprisingly, heated; opponents filled the platform and unfurled a banner saying "NO TO AMAZON". In the meantime, board members questioned the panel about everything from the tax breaks promised to the helipad rumor on the QG2 website. In the end, however, it was "less of a control issue than a release: an opportunity for both parties to define their positions, to ask silly questions and to give ridiculous answers, "as Dave Colon pointed out.

"If you are proud of the agreement, if you are proud to come to New York, you should want to answer all the questions of New Yorkers," said City Council President Corey Johnson. "It should not be a tango in two stages to meet us."

December 18, 2018

StreetEasy released a report stating a spike in housing prices in Long Island City in the five weeks following the announcement of HQ2. After a slow month of October, more than 18% of homes on the market have increased their prices.

December 20, 2018

Reactions grow stronger: three city council members, van Bramer, Brad Lander and Jumaane Williams, introduced a bill to "prohibit New York City from signing such non-disclosure agreements in future economic development agreements, thus preventing the secret dissemination of property rights. information on cities. The bill focused on Amazon's "hunger games application process" for extracting information from submitting cities, while silencing those who participated in the process.

December 27, 2018

City controller Scott Stringer asked NYCEDC to submit specific information to verify the claim that Amazon's development of Long Island City would provide a return on investment of 9 to 1, as well as breakdowns of the refundable tax credits that Amazon would have to earn. through the Relocation and Employment Assistance Program (REAP) and the Industrial and Commercial Reduction Program (ICAP).

January 5, 2019

Amazon broadcasts ads in the New York Daily News and the New York Post extol the benefits of the project for the city; letters hoping to achieve the same goals are also sent to residents of Queens. "We want to make sure that New Yorkers know the details of our investment and the benefits it derives from it," said an Amazon spokesman in Curbed at the time.

Users are not universally well received, however:

January 30, 2019

City Council held its second hearing with representatives of NYCEDC and Amazon, no more. As we reported, "Council members have begun a long list of concerns, including Amazon's opposition, its investment in the city, and accusations that municipal and state officials have not correctly calculated the conglomerate's development costs in Long Island City.

During the hearing, it was revealed that Amazon could receive an additional $ 987 million from the city in the form of tax breaks (although the company revealed that it would not take advantage of the fact that the area in which HQ2 was installed was designated "Opportunity Zone" under a new tax law). At one point, the chairman of the board, Corey Johnson, asked, "Why do you need our money?", Echoing the protesters who were inside and outside the council chamber that day.

February 4, 2019

The project was spoiled by the New York State Senate: Majority Leader Andrea Stewart-Cousins ​​nominated Michael Gianaris, now a fierce opponent of the agreement, to the Commission of Control of Public Authorities, a committee composed of five members. with veto over the HQ2 case. This decision was widely perceived as an attempt by the state Senate to exercise control over the deal, the Cuomo camp not too happy on appointment. (Cuomo would have had the veto power of the Gianaris headquarters.)

February 6, 2019

The Battle of Amazon HQ2 has become a hot topic in the public prosecutor's defense of New York City. Of the more than 15 job candidates, many oppose the contract; During the first televised debate, several candidates, including former city council chair, Melissa Mark-Viverito, and current board member, Jumaane Williams, denounced the deal. In the meantime, Ron Kim, a member of the New York State Assembly, uses his #NoAmazon position as a talking point in his own shippers… who started landing in mailboxes on the day of the cancellation of the transaction.

February 7, 2019

Gianaris told Fast Company that he was sending out his own leaflets, decrying the HQ2 deal as a fix for what he calls the "Amazon misinformation campaign". The leaflet took a red pen to his own shippers, and encouraged people to tell Bezos to "stay in Seattle. "

"No matter what it takes, I will make sure that the people of this community are fully informed and aware of what is happening and do not fall under the Amazon propaganda trap," Gianaris told Fast Company. . (Announcing, again.)

February 8, 2019

Beginning of the first troubles in paradise: the Washington Post – which belongs to Bezos-reported that Amazon was reconsidering its plans to bring QG2 to New York. "The question is whether it's worth it if New York politicians do not want this project, especially as the people of Virginia and Nashville have been so hospitable," said one of the To postUnnamed sources. Cuomo immediately goes on the defensive, declaring that "If Amazon does not come to New York, it's because of the political opposition."

February 12, 2019

Pro-HQ2 voices attempted to draw attention to supporters of the project, staging a rally near the Queensbridge Houses in Long Island City to show that some New Yorkers were willing to welcome Amazon with open arms. "We have a group of residents standing behind us. All understand the development potential of our communities, "said Bishop Mitchell Taylor, one of the strong supporters of the agreement, at the rally. "We need to talk to them and not allow people from outside our community to speak for us. You can not speak for us. "

On the same day, Siena College released the results of a poll indicating that 58% of registered voters in New York City were in favor of agreement with the No. 2 head office, while 35 % were against

February 14, 2019

Everything has collapsed on Valentine's Day: Amazon announced the withdrawal of its offer from its headquarters, saying that it requires "positive relations of collaboration with local elected officials and local authorities who will support in the long run ", thus confirming that despite a seemingly wide audience. approval, the lack of loyalty of local politicians has made the job unattractive. Opponents of the agreement celebrated in Queens, though some rowdies made an appearance.

Photo of Drew Angerer / Getty Images

The reactions were quick but the reactions of Cuomo and Blasio were particularly remarkable: the first blamed "a small group of politicians [who] place their own narrow political interests above their community. "The latter seemed to blame Amazon, stating that"[w]We gave Amazon the opportunity to be a good neighbor and do business in the largest city in the world. Instead of working with the community, Amazon has given this opportunity. "

Among the many questions raised by the company's abrupt reversal, one wonders what will happen to Plaxall's Anable Basin site, which has been selected for the HQ2 campus.

February 15, 2019

David Lichtenstein, CEO of Lightstone Group, said the cancellation of the agreement was "the worst day for New York since September 11 … except this time, the terrorists were elected." according to the Real Deal.

February 16, 2019

De Blasio writes an editorial for the New York Times this blames Amazon for not wanting to work with New York on the way forward for QG2. In this document, he noted that he "shares[s] the frustration of American companies ", which motivated many of the opponents of the agreement; He also stated that the dog and pony show that was the QG2 bid process "was an illustration of this injustice", although he himself was involved in the process. Compromise – 25,000 new jobs, tax revenues of up to $ 27 billion – was too desirable to resist.

But, he concludes, "We have just seen another example of what the concentration of power in the hands of huge corporations leaves in its path. Let's change the rules before the next company tries to divide and conquer. "

Additional report by Zoe Rosenberg and Caroline Spivack.