The Hamilton Spectator

Hamilton joins scramble to court business behemoth Amazon.com

Can city offer tax breaks to compete with U.S. jurisdicti­ons

- MATTHEW VAN DONGEN mvandongen@thespec.com 905-526-3241 | @Mattatthes­pec

Hamilton is joining the queue of cities scrambling to court internet retail giant Amazon.com as it seeks a host for a corporate headquarte­rs.

The business behemoth has announced it will consider proposals from cities and upper-level government­s in United States and Canada to host a $5-billion “HQ2” — a second headquarte­rs in addition to its existing Seattle location — expected to eventually house 50,000 employees.

Major metropolit­an cities in Canada including Toronto, Vancouver and Ottawa have already expressed interest in landing the massive employer.

Hamilton is also forming a team led by the office of city manager Chris Murray in the hopes of submitting a proposal before the Oct. 19 deadline, Mayor Fred Eisenberge­r told councillor­s in an update Friday.

The mayor said he has contacted the province to indicate the city’s interest and added he is “already fielding offers of help from local external stakeholde­rs,” including pri- vate businesses and public agencies.

“The benefits in terms of jobs and economic developmen­t are self-evident and unpreceden­ted,” he said. “Although detailed analysis is required, a quick read indicates Hamilton meets many of the criteria Amazon has establishe­d.”

Those criteria include location in a large metropolit­an area, proximity to mass transit and rail, highways and an internatio­nal airport.

Coun. Sam Merulla argued the city’s cheaper land — including a large swath of property around the airport controvers­ially dedicated for new industry and business ex- pansion — makes it a “far superior” candidate compared with busy Toronto.

“There is highway access, we have the largest (Ontario) port, we have an airport where they can control their own destiny,” said Merulla, who had also separately mused about bringing up an Amazon bid at council next week. “Why wouldn’t we try for it?” The city team is meeting Monday to further discuss a bid and dissect Amazon criteria.

Whether Hamilton or any other Canadian city would be able to offer tax breaks or other incentives needed to compete with U.S. jurisdic- tions is one of many outstandin­g questions.

Amazon has indicated it is seeking to locate in a metro area, with an internatio­nal airport and large, well-educated workforce. Hamilton proper has fewer than 600,000 people, but it increasing­ly wellconnec­ted via transit to the broader GTA.

Hamilton’s privately run internatio­nal airport has struggled to become a passenger destinatio­n over the years, but has seen success as a cargo hub.

 ?? ELAINE THOMPSON, THE ASSOCIATED PRESS ?? Constructi­on of three large, glass-covered domes as part of an expansion of the Amazon campus in Seattle.
ELAINE THOMPSON, THE ASSOCIATED PRESS Constructi­on of three large, glass-covered domes as part of an expansion of the Amazon campus in Seattle.

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