Amazon inks huge deal for 975K sf warehouse

Amazon’s industrial footprint in New York City is officially Bigfoot-sized.

The e-commerce giant secured a 975,000-square-foot warehouse at the Matrix Global Logistics Park in Staten Island, Crain’s reported. It was the largest industrial deal of the past quarter, according to a CBRE report that did not identify the tenant.

Amazon has already leased two other warehouses on the site near Goethals Bridge, bringing its capacity there to nearly 2.3 million square feet. Ikea is also a tenant at the complex, having leased a 975,000-square-foot warehouse.

Since losing its proposed HQ2 in Long Island City in 2019, Amazon has been on a tear through New York City’s property market. On the office side, the company leased 335,000 square feet of office space from SL Green near Hudson Yards and bought the Lord & Taylor building on Fifth Avenue from WeWork for $1 billion.

It’s also picked up a significant amount of industrial space, leasing a Bronx warehouse spanning more than 200,000 square feet last year. It also reportedly signed a lease on RXR Realty’s massive vertical warehouse in Maspeth.

Leasing activity in the industrial sector has seen an uptick in demand as home-bound shoppers make more of their purchases online, according to CBRE. E-commerce companies have dominated new leases signed in that sector.

Industrial tenants inked deals for 1.6 million square feet of space in the five boroughs during the third quarter of the year, a nearly 71 percent increase over the same time last year, according to CBRE. [Crain’s] — Orion Jones