NEWARK, NJ (CBS) — New Jersey is now committed to $5 billion in tax incentives in an effort to lure Amazon’s planned second corporate headquarters to Newark.
Will that make the Garden State’s bid successful?
That $5 billion is the lion’s share of a $7 billion tax break package that could lure 30,000 to 50,000 jobs to wherever HQ2 winds up.
Lyneir Richardson, with the Rutgers Business School in Newark, calls it a “beauty contest” involving over 200 bids from across North America (including Philadelphia and Camden), many of them far less discussed in public.
He suggests Newark might have a bit of an advantage, given Amazon already has a major presence there.
“That’s Audible.com, and they have been a leading both corporate citizen and pro-active in Newark’s revitalization. So there’s some good precedent for Amazon seeing Newark as a possible home,” Richardson told KYW Newsradio.
Gov. Chris Christie has signed a measure guaranteeing the state’s commitment, but what about his successor, Phil Murphy?
“Once the new governor is briefed and really understands, I believe it’s something the new governor would support because of all the economic benefit developments over time,” Richardson added.
Amazon expects to make its decision sometime this year.