Search for Amazon’s Second HQ: Is Bigger Better?
Key criteria identified by Amazon in its Request for Proposal (RFP) suggests that the retail giant will look for a large metro city with the ability to meet Amazon’s need for office space.
According to the RFP, the proposed investment by Amazon in its new HQ2 project is expected to generate billions of dollars in new investments in the area’s economy and tens of thousands of new jobs. Bidding metro areas must have 500,000 square feet of space available by 2019, as well as the capability or proximity with other potential HQ2 sites for collective capacity for up to 8 million square feet beyond 2027.
Denver’s mid-size market may be attractive thanks to its cost of occupancy and housing and given that unemployment in Denver is close to 2 percent — by far the lowest of any large metro in the country — Amazon would have to rely heavily on net migration to fuel its growth.
TOP CONTENDERS FOR AMAZON HQ2 include six of the nation’s 10 largest cities showed up in the top 10 markets, which are listed in order as follows based on the CoStar Market Analytics ranking:
- San Francisco-East Bay
- San Jose-South Bay
- Washington, DC
- Dallas/Fort Worth
- New York-NNJ