E-commerce giant Amazon.com Inc. (AMZN, Financial) announced the 20 finalists for the location of its second North American headquarters on Thursday, narrowing the list from 238 potential candidates across the U.S., Canada and Mexico.
Amazon evaluated each city’s proposal based on criteria outlined in a September press release, voicing a preferece for metropolitan areas with at least 1 million people that have a stable, business-friendly environment.
“Thank you to all 238 communities that submitted proposals. Getting from 238 to 20 was very tough – all the proposals showed tremendous enthusiasm and creativity,” Holly Sullivan, an executive with Amazon Public Policy, said. “Through this process we learned about many new communities across North America that we will consider as locations for future infrastructure investment and job creation.”
In alphabetical order, the companies moving on to the next step in the process are:
- Atlanta
- Austin, Texas
- Boston
- Chicago
- Columbus, Ohio
- Dallas
- Denver
- Indianapolis
- Los Angeles
- Miami
- Montgomery County, Maryland
- Nashville, Tennessee
- Newark, New Jersey
- New York
- Northern Virginia, Virginia
- Philadelphia
- Pittsburgh
- Raleigh, North Carolina
- Toronto
- Washington D.C.
Over the next several months, Amazon will work with each candidate city to more deeply examine each proposal, request additional information and "evaluate the feasibility of a future partnership."
Amazon emphasized that the new location, dubbed Amazon HQ2, will not serve as a satellite office, but rather a completely operational headquarters. The company plans to invest over $5 billion in this new location and hire as many as 50,000 employees. In addition, the construction and continual operation of the site will generate additional jobs and further investments in the community.
Amazon expects to make its final decision later this year.
Following the announcement, Amazon’s shares rose 0.30% on Thursday morning to $1,298.36. GuruFocus estimates the stock has gained 9% year to date.
Disclosure: I do not own any stocks mentioned.
