TOWN OF MONTGOMERY – An excavator cleared trees in the woods, and construction equipment was dropped off through an access off Route 17K. After the $75.2 million Amazon warehouse had been granted a $20.5 million tax break Friday, site work started on Tuesday.
The arrival of Amazon in the Town of Montgomery has been hailed as an engine of economic growth and job creation. Local businesses and the residential real estate market are expected to benefit from the presence of the new neighbor.
The massive fulfillment center near the intersection of routes 17K and 747 is expected to employee more than 800 people within two years of completion and create 300 construction jobs. The salary range of jobs to be created is from $31,200 to $60,000.
At 1,010,880 square feet, it will be the biggest building in Orange County.
Town Supervisor Brian Maher said the warehouse will bring millions of dollars into the community, and the traffic that will be created by hundreds of construction workers over the next two years will benefit local businesses.
“They’ll buy food and get gas from local businesses. The disposable income from the activity will support the local community,” Maher said.
That sentiment was echoed by local business owners who are expecting a growth of the local economy and a boost in their businesses.
Sunil Kumar, manager of the nearby Valero gas station on Route 17K, expects more people to stop by and get food and gas during its 24-hour operation.
Randi Greene, who owns a bakery in the Village of Montgomery, said although the village business district may be too far away for lunch breaks, she hopes Amazon would utilize local businesses as much as possible for things like catering and landscaping. She also looks forward to seeing the company support school programs and fundraisers.
Although some residents expressed concerns over their property value during public hearings, local Realtor Larry Curasi said the overall property value in the town will stay consistent and is more likely to go up. The jobs will bring more people to the area, which means the demand for housing will get stronger, he said.
“Although it’s hard to see economic benefits right now, it will add value in the long-term,” Curasi said.
Maher reassured that the warehouse will have limited impact on residential properties because it is in a location that is not too close to many residential or high-density population areas.
Real estate agent Veronica Mugnano has seen more people, especially millennial families, that are attracted to the area by the sense of community and a reputable school district.
“People know each other in the community. It’s a good place to raise families,” Mugnano said.
However, the invisible impact of the project is uncertain. A study by Institute For Local Self-Reliance shows that while Amazon often paves its way into communities, and into taxpayer subsidies, with promises of all the people it will hire, the company destroys more jobs than it creates.
The company had created 146,000 jobs across the country, but displaced enough sales at brick-and-mortar stores to force the elimination of about 295,000 retail jobs by the end of 2015, according to the report.
Montgomery resident Don Berger expressed his concerns about potential water contamination when he pointed to a tributary of the Wallkill River that runs through the site.
“I’ll come here everyday to see what changes the development would bring to the area,” Berger said.
