Amazon.com Inc (AMZN.O) is halting the construction of six new office buildings in Nashville and Bellevue to reconsider the designs to accommodate hybrid work, the tech giant said on Friday.
The halting and delay of construction will not have an impact on Amazon’s hiring plans, a company spokesperson said, restating the company’s proposal to provide 5,000 jobs in Nashville and another 25,00 in Bellevue.
John Schoettler, vice president of Global Real Estate and Facilities at Amazon, stated:
“The pandemic has significantly changed the way people work … Our offices are long-term investments and we want to make sure that we design them in a way that meets our employees’ needs in the future.”
Separately, Bloomberg News reported on Friday that Amazon and Facebook parent Meta Platforms (META.O) have backed out on their office expansion plans in New York City.
Meta has decided not to occupy an additional 300,000 square feet of space at 770 Broadway, a building close to Astor Place where it is currently located and Amazon has decreased the amount of space it wanted to lease from JPMorgan Chase & Co at Hudson Yards, the report said.
A Meta spokesperson told Reuters without confirming or denying the report:
“There are often a number of reasons why we wouldn’t proceed with a particular deal, including office utilization. The past few years have brought new possibilities around the ways we connect and work. We remain firmly committed to New York and look forward to opening the Farley in the coming months.”
Amazon turned down a request to comment on the report.