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Amazon isn't coming to New York City - and it's a kick in the face for the people who bet big on property in Queens

Feb 14, 2019, 23:27 IST

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Madeline Stone / Business Insider

  • Amazon is no longer opening up a HQ2 in New York City, it announced on Thursday. 
  • One of the major concerns about Amazon's project was that it would cause prices to skyrocket in Long Island City.
  • Observers took to social media to speculate on what this move will mean for those who invested in Queens real estate in anticipation of the move.

Amazon revealed that it's abandoning its plans to construct a second headquarters in Long Island City.

It's a move that's sure to be a gut-punch for anyone who bought up Queens property in anticipation of HQ2 coming to town, as well as a major relief for residents concerned about soaring rents and snarled commutes.

On Thursday, the company put out a blog post announcing that it was scrapping the HQ2 project for New York: "We are disappointed to have reached this conclusion - we love New York, its incomparable dynamism, people, and culture - and particularly the community of Long Island City, where we have gotten to know so many optimistic, forward-leaning community leaders, small business owners, and residents."

Read more: AMAZON CANCELS NEW YORK HQ2

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Concerns about Amazon's impact on affordable housing in Queens swirled around the HQ2 announcement from the get-go. The move to scrap it comes after increased pressure from local politicians like New York City Council Speaker Corey Johnson, despite Gov. Andrew Cuomo's support of the company's plans. 

But Amazon's announcement also prompted questions about what this all means for anyone who dove into the Queens real estate market in anticipation of getting a major payoff thanks to Amazon.

After all, Amazon employees reportedly began snatching up apartments in New York City before the company's ultimate HQ2 game plan was even announced. The Wall Street Journal reported that real estate brokers in Queens were seeing record sales. For Amazon employees and real estate players banking on Amazon's move, the news is likely unwelcome.

Nonetheless, in an interview with The New York Business Journal, Ideal Properties founder Aleksandra Scepanovic said that New York City's real estate scene is awash in opportunities "with or without Amazon," meaning that prices could jump in areas like Long Island City anyways.

That didn't stop observers from taking to Twitter to speculate on who stands to lose out now that the online retail giant has backed off its New York City HQ2 plans:

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If you're an Amazon employee who planned to move to New York City or someone working in the Queens real estate business, we want to hear your perspective. Email us at retail@businessinsider.com.

NOW WATCH: Amazon will pay $0 in federal taxes this year - here's how the $793 billion company gets away with it

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