Amazon is planning to open a major fulfillment center in Clay, New York.
Ryan McMahon, executive of Onondaga County, announced on Monday that the retail and cloud giant is the tenant of a massive warehouse and distribution center currently under construction. Amazon (AMZN) - Get Report shares rose 0.68% on Monday to $2,426.26.
The forthcoming facility was described as a state-of-the-art warehouse, and the second largest building of its kind in the world, according to Syracuse.com. About 1,000 full-time employees will work alongside robots at the Clay fulfillment center.
The facility will span 11 acres, 3.8 million square feet and five floors, and is expected to be completed in the fall of 2021. Amazon is slated to receive $70.8 million in tax breaks over 15 years for the facility. Amazon famously was set to receive billions of dollars in tax breaks to locate one of its second headquarters in Long Island City, New York, in exchange for creating at least 25,000 new jobs, but eventually decided to pull its plans after the ensuing community and political opposition to the plan and tax breaks.
Amazon currently has 110 fulfillment centers in operation in North America, and 175 worldwide.
In response to higher demand for home shipping, the company is hiring 175,000 workers and plans to reinvest most or all of its second quarter profits into its pandemic response, including hiring, testing and other safety measures.
Amazon shares are up 28% year to date.