Dec 7, 2019

Big Tech continues real estate spree in New York

The Vessel at Hudson Yards, New York City in Oct. 2019. Photo: Gary Hershorn/Getty Images

Amazon said it signed a new lease on Friday for 335,000 square feet of New York City's Hudson Yards neighborhood, the Wall Street Journal reports.

The big picture: Outrage from activists and local lawmakers and Rep. Alexandria Ocasio-Cortez over Amazon's now-canceled HQ2 has not curtailed Big Tech's massive physical expansion into New York.

Driving the news: Facebook is currently in talks to lease nearly 700,000 square feet of New York's iconic Farley Building, per WSJ, on top of a lease it signed in November for 1.5 million square feet in Hudson Yards.

  • The new lease would elevate Facebook to the top ranks of New York's largest corporate tenants, WSJ notes — alongside Bank of America and JPMorgan Chase.
  • Google said in 2018 that it hopes to start moving into Manhattan's Chelsea Market and Pier 57 by 2020, followed by establishing its 1.7 million-square-foot Google Hudson Square campus in 2022.

The bottom line: Amazon's new office space comes without any of the tax incentives offered as part of its New York HQ2 deal. Facebook signed its Hudson Yards lease without any direct local financial incentives or tax credits — but it is currently unknown what Facebook could get for moving into Farley Building, per WSJ.

Go deeper: After Amazon HQ2, Northern Virginia tries to build regional brand

Go deeper

New York learns a valuable lesson about subsidies

The westside of Manhattan, One World Trade Center and Hudson Yards. Photo: Gary Hershorn/Corbis via Getty Images

Without getting billions in tax write-offs or a signature helipad for CEO Jeff Bezos, Amazon announced it had signed a new lease for 335,000 square feet of real estate in the developing Hudson Yards neighborhood of Manhattan.

What's happening: The company said the building will be home to 1,500 employees, and represents "Amazon’s largest expansion in New York since the company stunned the city by abandoning plans to locate its second headquarters" there, WSJ's Keiko Morris reported Friday.

Go deeperArrowDec 9, 2019

WSJ: New York first proposed a larger tax incentive for Amazon's HQ2

Illustration: Lazaro Gamio/Axios

The initial offer for Amazon's now-canceled New York City HQ2 included $800 million more in tax credits and grants than its final $3 billion offer, the Wall Street Journal reports.

The big picture: Amazon is moving to New York City without the much-publicized HQ2 package. The company said in December it signed a new lease for 335,000 square feet in the city's Hudson Yards neighborhood.

Go deeperArrowJan 4, 2020

Amazon's year of turbulence

Illustration: Sarah Grillo/Axios

Amazon's 2019 was full of headline-grabbing moments — everything from political fights to new records for the company that have upended the way we shop.

The big picture: The tech giant's year started with a fight with New York City and ended with its biggest single sales day in history. And there were plenty of dramatic days in between.

Go deeperArrowDec 29, 2019