Amazon Halts Construction on Its Massive New HQ2 Near DC

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Amazon has halted construction on its second headquarters near Washington DC, as the internet retail giant cuts costs and makes the biggest job cuts in its history.

The indefinite pause affects the second construction phase of the massive complex, known as HQ2, that Amazon is building in Arlington, Virginia, the company said. Friday.

The first phase of the project, two office towers known as Parque Metropolitano, is due to be ready in June and will be able to house some 14,000 workers.

The delay affects a larger development planned across the street, called PenPlace, which consists of three 22-story office towers and a 350-foot architectural masterpiece known as Helix.

Amazon’s headquarters are in Seattle, and plans for the HQ2 campus outside the nation’s capital were announced in 2018.

Amazon has halted construction on its second headquarters near Washington DC as the internet retail giant cuts costs. The Helix (above) is one of the planned buildings on hold

The first phase of the project, two office towers known as Parque Metropolitano (above), will be completed in June and will be able to house around 14,000 workers.

The first phase of the project, two office towers known as Parque Metropolitano (above), will be completed in June and will be able to house around 14,000 workers.

“We are always evaluating space plans to make sure they fit our business needs and create a great employee experience, and since Met Park will have space to accommodate more than 14,000 employees, we have decided to shift innovation from PenPlace (the second phase of HQ2), said John Schoettler, Amazon’s head of real estate.

He said the company has already hired more than 8,000 employees and will welcome them to the nearly completed Met Park campus when it opens in June.

Amazon has committed to spending $2.5 billion and hiring about 25,000 workers at the Arlington site by 2030.

The construction delay would not mean any job losses, Amazon said Bloombergwho first reported the pause in construction.

But with Amazon indefinitely delaying the opening of PenPlace, which had been an imminent target for earlier this year, it could cause headaches for local vendors who had bet on the company’s rapid expansion.

The Met Park complex is a 2.1 million square foot development consisting of two 22-story office buildings.

Amazon says it will include more than 50,000 square feet of retail space for local small businesses and a 700-person meetinghouse that will be available to local community groups.

Amazon has committed to spending $2.5 billion and hiring about 25,000 workers at the Arlington site by 2030. CEO Andy Jassy is seen above

Amazon has committed to spending $2.5 billion and hiring about 25,000 workers at the Arlington site by 2030. CEO Andy Jassy is seen above

Skyscrapers are banned in the District of Columbia, and Amazon's planned buildings will be among the tallest in neighboring Arlington County.

Skyscrapers are banned in the District of Columbia, and Amazon’s planned buildings will be among the tallest in neighboring Arlington County.

Evan Regan-Levine, Executive Vice President of the Investment Group at JBG SMITH, shows future plans to develop the National Landing area, including the construction of HQ2

Evan Regan-Levine, Executive Vice President of the Investment Group at JBG SMITH, shows future plans to develop the National Landing area, including the construction of HQ2

Amazon has announced layoffs totaling 18,000 jobs since last year.  In the image: the ten technology companies with the most layoffs since March 2020

Amazon has announced layoffs totaling 18,000 jobs since last year. In the image: the ten technology companies with the most layoffs since March 2020

Earlier this year, Amazon announced it was cutting more than 18,000 positions as part of a previously disclosed workforce reduction.

In 2018, after a lengthy competition, Amazon announced that Northern Virginia would house its second headquarters known as ‘HQ2’ and would eventually employ more than 25,000 employees.

The Northern Virginia site is near the Pentagon and directly across the Potomac River from the US capital.

Initially, the plan also called for HQ2 to be split between the Virginia site and Long Island City in Queens, New York.

However, the Queens plan was scrapped after a furious backlash from local activists and union leaders, who opposed the $3 billion in government incentives involved in the project.

Amazon announced plans in February 2021 for a striking Helix tower to anchor the second phase of its redevelopment plans in Virginia.

The HQ2 campus, seen in the renderings, will also include a separate park, as well as a community high school and retail space, if it is ever completed.

The HQ2 campus, seen in the renderings, will also include a separate park, as well as a community high school and retail space, if it is ever completed.

Amazon says Forest Plaza will provide a densely planted landscape with accessible pathways, seating nooks, and long views to the south.  Its construction is currently on hold.

Amazon says Forest Plaza will provide a densely planted landscape with accessible pathways, seating nooks, and long views to the south. Its construction is currently on hold.

The HQ2 campus will also include a separate park, as well as a community high school and retail space.

Amazon has claimed that Helix will have its own artist-in-residence, as well as a gathering space for the staff who work there.

The Helix features a spiral walk around its exterior, complete with trees, and will allow visitors to follow a winding exterior ramp around the edge of the building to its top.

Skyscrapers are banned in the District of Columbia, and Amazon’s planned buildings will be among the tallest in neighboring Arlington County.

From some vantage points, Helix will dominate the region’s skyline like no other structure other than the Washington Monument.