Amazon to build two operations facilities in Hampton Roads
Amazon announced on Tuesday plans for two new, state-of-the-art operations facilities in Hampton Roads that will create 1,500 new jobs.
Amazon will establish a multi-story robotics fulfillment center in the City of Suffolk, creating 1,000 new jobs, as well as a 650,000-square-foot processing center in the City of Chesapeake, which will bring 500 new jobs, according to a news release from the office of Gov. Ralph Northam.
Both operations are anticipated to launch in 2021. Northam made the announcement at Old Dominion University’s Virginia Modeling, Analysis, and Simulation Center in Suffolk, where he was joined by local leaders and Amazon officials.
“Virginia has proven itself to be a prime destination with the business climate, infrastructure, global access, trained workforce, and talent pipeline that Amazon needs for its continued growth here,” Northam said. “With an existing workforce of more than 10,000 full-time employees across our Commonwealth, Amazon’s economic impact in Virginia cannot be overstated. We celebrate the addition of two new, high-tech facilities in Suffolk and Chesapeake that will positively benefit the entire Hampton Roads region.”
Amazon first launched its Virginia fulfillment operations in 2006 with a fulfillment center in Sterling. Since then, the company has grown its robust operations network to include more than 10 fulfillment and sortation centers and delivery stations in Ashland, Chester, Clear Brook (Frederick County), Petersburg (Dinwiddie County), Richmond, Springfield, and Sterling. In addition to the company’s Arlington headquarters, Amazon also has 13 Whole Foods Market locations across the state and three Prime Now Hubs in Virginia Beach, Richmond, and Springfield.
“Virginia is a great place for business, and Amazon is excited to continue its growth and investment with two new, state-of-the-art operations facilities in Chesapeake and Suffolk,” said Alicia Boler Davis, Amazon’s Vice President of Global Customer Fulfillment. “The Commonwealth and its incredible workforce have been vital to our ability to serve our incredible customers and provide great selection and super-fast Prime shipping speeds across the state and region.”
“Amazon is creating fulfillment and processing centers of the future, and we are proud that the Commonwealth is a thriving hub for the company’s supply chain,” said Secretary of Commerce and Trade Brian Ball. “The new operations in Suffolk and Chesapeake will utilize the Port of Virginia, which is a critical economic development driver for the region and the Commonwealth.”
Since 2010, Amazon has invested more than $34 billion in Virginia through its local fulfillment center and cloud infrastructure, research facilities, and compensation to thousands of employees.
Amazon’s investments in Virginia contributed an additional $11 billion into the economy and, using methodology developed by the U.S. Bureau of Economic Analysis, the company estimates its investments in the state have created an additional 40,000 indirect jobs on top of Amazon’s 10,000 direct hires.
The Virginia Economic Development Partnership worked with the City of Chesapeake, the City of Suffolk, the Hampton Roads Economic Development Alliance, and the Port of Virginia to secure the project for Virginia. Amazon is eligible to receive benefits from the Port of Virginia Economic and Infrastructure Development Zone Grant Program, and funding and services to support the company’s employee training activities will be provided through the Virginia Jobs Investment Program.
“The impact of Amazon’s arrival supports the City of Suffolk’s long-term vision and commitment to developing Northgate Commerce Park,” said Suffolk Mayor Linda T. Johnson. “We appreciate Amazon’s trust and investment in Suffolk, and we look forward to being part of the Amazon family.”
“The City of Chesapeake is extremely pleased to welcome Amazon to our ever-growing family of local, national, and international businesses,” said Chesapeake Mayor Rick West. “This new facility will serve as a key operations facility for Amazon’s fulfillment network in the state, just as Chesapeake serves as the hub of south Hampton Roads. With 500 new jobs, Amazon’s confidence in Chesapeake is clear, and we’re committed to helping them rise up and leverage all our city has to offer.”
“Amazon is making significant investments throughout Virginia that are helping to drive job growth, fuel the economy, and move cargo through The Port of Virginia,” said John F. Reinhart, CEO and Executive Director of the Virginia Port Authority. “This strategic move to build in Chesapeake and Suffolk allows Amazon to be near the Mid-Atlantic’s premier global gateway and capitalize on the investments the port is making in efficiency and capacity. We value Amazon’s decision and are looking forward to a long, collaborative, and beneficial relationship.”
“We are thrilled that Amazon has selected Chesapeake and Suffolk for its two newest fulfillment and processing facilities,” said Doug Smith, President and CEO of the Hampton Roads Economic Development Alliance. “This announcement is a big win for the 757 and further solidifies the Hampton Roads region as a premier location for distribution-related business investment. We appreciate the collaborative efforts of our many regional and state partners who worked together to secure this project for Virginia, and we look forward to Amazon’s continued growth and success in our region.”
“Hampton Roads is extremely excited about the massive economic impact that Amazon will bring to our region,” said Sen. Louise Lucas. “The 1,500 jobs will surely help a tremendous amount of families.”
“We are pleased to have Amazon in the City of Suffolk and the City of Chesapeake,” said Del. Clinton Jenkins. “The creation of new jobs with benefits, plus additional jobs in construction and services, is much appreciated. Suffolk has the diverse workforce and job training programs to meet Amazon’s employment needs. Amazon bringing jobs to Suffolk is an example of how the City benefits when Hampton Roads works together.”
“I am very excited to learn that Amazon will be investing in facilities in the Hampton Roads area, particularly the cities of Chesapeake and Suffolk, which are located in the 14th district,” said Sen. John Cosgrove. “The state-of-the-art robotic fulfillment center and processing center will create over 1,500 jobs. I am looking forward to working with Amazon as they continue to invest in the Commonwealth of Virginia.”
“I’m extremely proud that Hampton Roads continues to prosper as a base for commerce and trade in the Commonwealth,” said Del. Steve Heretick. “Amazon’s decision to locate a processing center with 500 new jobs reinforces our region’s identity as a statewide leader in meaningful economic development. I appreciate the hard work that Amazon, our communities, and the Administration have jointly committed to make this deal a reality.”