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Phase two of the e-commerce giant’s second headquarters, built in Arlington, Virginia, remains on pause.
Published May 25, 2023
The first phase of Amazon’s $2.5 billion second headquarters in Arlington, Virginia, has finished construction and is now open to the public, the company announced on May 22.
Metropolitan Park features two 22-story buildings and includes more than 2.1 million square feet of space, a 2.5-acre community park and 50,000 square feet for retail businesses, according to the release.
Phase One was developed by Bethesda, Maryland-based REIT JBG Smith and built by Bethesda-based contractor Clark Construction.
While Amazon is touting the completion of Metropolitan Park, it comes amid a tumultuous real estate climate for the conglomerate — the company has pulled back on the expansion of its fulfillment network, slowing down warehouse construction. The company also paused construction in five office towers in Bellevue, Washington, while holding off plans for a sixth.
HQ2’s future plans have also been affected — in March, the company announced it was holding off on Phase Two’s groundbreaking, known as PenPlace.
John Schoettler, Amazon’s vice president of Amazon’s global real estate and facilities, told Construction Dive in an email that the delay was a result of an abundance of space at Metropolitan Park.
“We’re always evaluating space plans to make sure they fit our business needs and to create a great experience for employees, and since Met Park will have space to accommodate more than 14,000 employees, we’ve decided to shift the groundbreaking of PenPlace (the second phase of HQ2) out a bit,” Schoettler said.
The company hasn’t announced Phase Two’s groundbreaking timeline, but it has until April 2025 to begin construction under its building permit, according to the Washington Post.