The Big Book ECONOMIC DEVELOPMENT


The work begins F


ollowing Amazon.com Inc.’s November 2018 announce- ment that the online retail


giant would locate its $2.5 billion HQ2 East Coast headquarters in Arlington County, the company filled 2019 with hiring announce- ments, commercial real estate deals and a new push toward regional collaboration in Northern Virginia. Hiring for Amazon’s esti-


mated 25,000 HQ2 employees started in April 2019, and more than 600 workers were on board by early this year. Demolition to start construction on HQ2 started this January, and the e-tailer announced late last year it would give Arlington County $20 million to develop affordable housing. Washington, D.C. metro lead- ers have long decried the lack of workforce housing in the region, and costs are anticipated to rise as Amazon moves into town. To address these concerns,


Amazon and developer JBG Smith Properties promised a community benefits deal in their negotiation with the county for the construction of Metropolitan Park, its first office project in Pentagon City. The $20 million will go to Arlington’s Affordable Housing Investment Fund, which subsidizes residences for lower- income people. Amazon also inspired the


September launch of the North- ern Virginia Economic Develop- ment Alliance, which groups the 10 competitive regional counties


Photo by Stephen Gosling


Amazon.com Inc. had hired about 400 workers for its HQ2 East Coast headquarters by the start of 2020.


and cities into one organization to promote economic growth, transportation, education and affordable housing. NOVA EDA also will work with the Virginia Economic Development Partner- ship and other regional alliances. In Pittsylvania County


and Danville, VEDP and local economic development staff members scurried to land delivery van maker Morgan Olson LLC to fill an assembly line plant soon to be vacated by Swedish home-goods manufacturer Ikea. It was a major save, creating 703 positions — 400 more than Ikea, which shut down work in December. In February, Morgan Olson President and CEO Mike Ownbey upped that estimate to about 1,000 new jobs. The story was different in


Richmond, where the proposed $1.5 billion Navy Hill redevelop- ment project ran into public and


political resistance. Despite the backing of Dominion Energy President and CEO Tom Farrell, head of the NH District Corp., and Mayor Levar Stoney, Rich- mond City Council killed the project in early February. Several Council members expressed con- cern and an independent advisory board deemed the project too expensive and risky for the city. Nonetheless, it’s possible that


the project could go back to the drawing board, as City Council asked the mayor to seek compet- ing proposals for the redevelop- ment project. 2019 also was dominated by


discussions of casino and gaming projects proposed across the state, as the General Assembly consid- ered legislation that would open the commonwealth to a limited number of casinos — a potential boon for economically challenged localities and the state.


www.VirginiaBusiness.com VIRGINIA BUSINESS | 63


Amazon construction, hiring starts in Northern Virginia by Kate Andrews


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