Amazon to Bring New Distribution Center to Florida

Amazon to Bring New Distribution Center to Florida

SEATTLE, WA – Amazon seems to be making 2017 a year of major growth, as the company looks to simultaneously launch new segments business in addition to growing its current footprint. The online retailer announced that it will be bringing a new 800,000-square-foot distribution center to Jacksonville, Florida. 

Akash Chauhan, Vice President of North American Operations, Amazon“Becoming a member of the Jacksonville community is very exciting for us as we grow our presence in Florida,” said Akash Chauhan, Vice President of North American Operations at Amazon. “We’re proud to be creating more than 1,500 full-time jobs to join the thousands we currently employ across the state. We look forward to continue building relationships in the community to make Jacksonville home.” 

Florida Times-Union reported that this announcement brings the end to years of secret negotiations between Amazon, the city of Jacksonville, and the state of Florida. The project was previously codenamed Project Rex.

Jacksonville, FL

The online retailer will be investing more than $200 million into the project between needed equipment, land, and real estate improvements. Key negotiator in the deal, Jerry Mallot, President of JAX USA Partnership and EVP of Jax Chamber, stated that facility’s actual size will be bigger than its 800,000-square-feet. 

Jerry Mallot, President of JAX USA Partnership & EVP of Jax Chamber“It’s going to be a 2.4 million-square-foot building. It’s a got a footprint of 800,000-square-feet but it’s multilevel in its character,” Mallot stated, according to Florida Times-Union.

Amazon has already broken ground on the project, with site preparation on the distribution center’s 170-acre plot just north of Interstate 295. Mallot stated that Amazon’s goal is have the new facility open before the 2017 holiday season, with a projected finish to construction aimed for late summer or early fall of 2017. 

Jacksonville has given Amazon $13.4 million in incentives through the state’s tax-refund program. The city will also rebate around $10 million over 12 years through its Recaptured Enhanced Value Grant program, and commit $300,000 from its share of a Qualified Target Industry (QTI) Tax Refund. The latter of which will provide tax refunds in exchange for “high-wage” jobs being created. Florida is providing Amazon with another $1.2 million in QTI refunds. 

This project is just the latest in Amazon’s stream of announcements. The online retailer has also announced the launch of a new private label, the development of an Uber-like trucking app, and new small grocery store format called Amazon Go.

As retailers across the board continue to aim for the head of the curve with new innovations, count on AndNowUKnow for the latest.