RALEIGH – Amazon is still considering the Triangle for its huge HQ2 project, and downtown Raleigh is where the ecommerce giant is most likely to build what would be a massive complex if North Carolina’s capital is the winner, according to sources.
Several of the same sources also note that an announcement of Apple’s selection for a new campus is “imminent.”
North Carolina has been aggressively pursuing both economic development projects which promise billions of dollars in investments and as many as 60,000 jobs.
Winning the Apple project does not preclude the Triangle from being selected by Amazon, sources say.
The people familiar with the Apple and Amazon deal negotiations interviewed for this story insisted upon not being identified due to non-disclosure agreements or the fact they have not been authorized to discuss details of the projects.
Amazon has announced plans for a $5 billion investment that the Internet giant has said would create some 50,000 jobs over a decade-long process. The Triangle is one of the 20 finalists for that second headquarters announced by Amazon earlier this year. And numerous people say that there has been no indication that Amazon has dropped the Triangle from its shopping list.
In fact, a source said that a meeting between N.C. officials and Apple “went much better than anyone expected.” Amazon recently completed tours of each metro area listed as a finalist.
One Triangle developer pointed out that Amazon is expected to make a “cut” from 20 to a smaller list of finalists. Amazon has said its final choice will be announced this year.
Going “urban”
After considering several sites in the Triangle, including at least two in Raleigh and three in Research Triangle Park, Amazon has made it known that downtown Raleigh is its preference, a source told WRAL TechWire Wednesday.
“They want to go urban,” a source said.
That statement is supported by Arlington, Texas, officials who said recently that the city was no longer under consideration because Amazon wanted an “urban” site.
However, the site being considered is not the “prime” corridor plan offered by Raleigh developer John Kane, who is the driving force behind projects in North Hills as well as downtown, a person familiar with the matter said. Kane’s “prime” plan included a number of properties already available stretching from near Dix Park to North Hills along Capital Boulevard.
“Buildings would have to be built”
Details of the preferred site remain unclear, but a source noted: “Buildings would have to be built … there are virtually no vacancies downtown.”
Amazon has said that its project would require some 8 million square feet of office space.
“They could build in Raleigh just like they have in Seattle,” a source said.
Raleigh Chamber of Commerce and Wake County Economic Development officials have declined to comment on the Amazon talks although Chamber CEO Adrienne Cole told WRAL two weeks ago that Raleigh is still in the hunt and that if she were a betting woman she wouldn’t bet against the North Carolina capital.
North Carolina Department of Commerce officials have repeatedly declined to discuss either project.
Smedes York, chairman of the Research Triangle Foundation which oversees RTP, said Wednesday that he could not talk about either the Amazon or Apple projects. However, he said the Triangle was appealing to companies looking to expand because it is “dynamic” with strong universities, quality of life, educated workforce and recreational opportunities.
While Research Triangle Park could offer plenty of land, such as the 120-acre Park Center which is zoned for multi-use and could handle more than 6 million square feet of office space, Amazon apparently passed on the site. Close to RDU International Airport and Interstate 40, the Park offers little in urban amenities. The same limitations also apply to open land available at the south end of the Park as well as open office space at the former GlaxoSmithKline campus and IBM’s sprawling campus.
Apple talks continue
The Triangle and North Carolina are likely candidates for an Apple expansion plan that would involve a new office complex in and around the southern portion of Research Triangle Park with an initial operation being established in Cary, sources have told WRAL and WRAL TechWire.
Apple also is said to be considering a major investment in an existing data center complex in western North Carolina.
Northern Virginia has been reported by The Washington Post as a possible location for the Apple project as well.
Unlike Amazon, Apple, under the leadership of CEO Tim Cook, has kept its expansion search under wraps.
According to a source, a decision by Apple had been expected to be made by now but the timeline slipped due to the reworking of state tax incentives.
The Republican-led General Assembly recently revised incentives that could be used to lure Apple and Amazon but denied that the changes were made to accommodate a particular project.
Triangle region “strong”
At the Research Triangle Regional Partnership’s annual “State of the Region” event in Raleigh on Wednesday, the incoming chairman of the group, Keith Burns, said the Triangle was “strong.” While he only made a passing reference to Amazon and Apple, Burns added: “There will be lots of economic opportunities over the next year. We will win our share, maybe a few more.”
Ryan Combs, the CEO of the regional partnership, added: “We are ready to accommodate major employers.” He noted that the region, which includes 10 counties, has three “megasites” available for development. Those are in addition to RTP.
Combs did not mention either Apple or Amazon in his prepared remarks, and he declined to discuss either project when approached by a reporter after the event.
The Regional Partnership helped coordinate with various city and county governments as well as private and public sector entities the preparation of the Triangle’s original pitch to Amazon late last year.
