Arlington County, Virginia, is proposing about $23 million in payouts to Amazon over 15 years to encourage the growth of the e-commerce giant once it sets up its second headquarters in Crystal City.
Under the terms of the proposed performance agreement, Arlington would draw the money from the transient occupancy tax, the money the county collects from hotel, motel and other lodging stays.
The annual payments would be tied to the floor space that Amazon occupies. Starting next year, Amazon would need to occupy just 64,000 square feet to obtain the grant.
But the target schedule anticipates significant growth each year for Amazon: 1,600,000 square feet in 2025 and finally rising to more than 6,000,000 square feet in 2035.
Related Stories
The proposed agreement also promises Amazon that the county will set aside half of the growth in incremental tax revenue in the area occupied by Amazon for up to 10 years to finance public infrastructure projects serving the Amazon facility.
The Arlington County Board is scheduled to vote on the performance plan at its March 16 meeting.
