Hard to believe it, but it looks like those meddling socialists have outwitted the shrewdest business minds of the region.
It appears that Amazon, having its smash and grab tax abatement scheme railroaded, has been building out its presence in New York City anyway. Without a dime of subsidies or so much as even one greased palm.
And to rub salt in the wound, it was recently revealed that there was another $800 million in sweeteners in addition to the original $2.5 billion in subsidies offered, including having the State pay a portion of Amazon’s employees’ salaries. You read that right.
It also offered the use of Governor’s Island for use as a “retreat” for Amazon workers. It’s amazing how these public officials could be so easily manipulated just to get a trophy they could boast about in their election advertising that would have cost us all billions, and let a company that pays no Federal taxes loot our own citizens even further.
Since the Great Long Island City Flameout, Amazon has leased 335,000 sq. ft. at Hudson Yards from S.L. Green. It leased 450,000 sq. ft. of warehouse space in Staten Island.
It also took 300,000 square feet in Glendale, Queens, taking over space from the Metropolitan Museum of Art. And after all the rumors, it appears Amazon is going forward with buying the landmark Lord & Taylor building located on 5th Avenue, for about $1.1 billion.
Amazon is now hiring in the New York region at a faster clip than Google and Apple combined, and both of those companies already have a sizable presence in the City, without any incentives.
It’s one hell of a story and a “teachable moment.” Elected officials chasing this bright shiny object in order to boast of having claimed such a glorious prize (at YOUR expense, of course) and it turns out we never had to lift a finger.
As I said before: Amazon needs New York more than New York needs Amazon.
As you may recall, our former County Executive, who is awaiting sentencing – no doubt an early beneficiary of our liberalized bail reform laws – offered, along with the encouragement of the shadowy Long Island Association, an incentive package consisting of decades of property and sales tax abatements, in a place that was no way suited for such an influx of personnel in a county whose citizens detest development.
Fortunately, Amazon didn’t take Nassau up on that foolish gambit, but it exposes how hollow the business community’s condescending view is, that we need to bribe billionaires or they won’t toss us any crumbs.
And so, those pesky lefties have proven to be shrewder business people than the moneyed class. They out-negotiated one of the most powerful organizations in the nation by just walking away.
School boards, take note. That’s all it takes to win. They always come back to the table.
Donald Davret
Roslyn
