It’s being called “The Amazon Effect,” and it has everyone in the Northern Virginia, Southern Maryland, and Washington, DC areas speculating on what’s going to happen next. If you’re unaware of what the Amazon Effect is – Amazon has recently announced that it’ll be building headquarters in two new locations: New York City and Crystal City in Arlington, Virginia. Whether you’re a homeowner, investor, renter, or someone who’s a potential buyer in these areas, you know that there will be some residual effect on transportation, traffic, school availability, and home prices. We asked some of our in-house real estate experts what they think about the Amazon Effect and, as expected, reactions were varied. Here’s what they had to say.
The Hype Alone Will Have an Effect
C21 Redwood Frederick agent, Bo Clevenger, notes, “Northern Virginia is full of high-tech companies already. Realistically this is just a drop in the bucket, and it should have only a minimal impact to the area, BUT there is so much hype associated with Amazon and the HQ East that there will be unfathomed results blamed/tied to the move.”
Russ Conners, Executive Vice President and Managing Broker of our Reston office, agrees with Bo:
“The impact will be mostly on residual real estate speculation and the hype over the Amazon name. We have a job surplus locally, so it will not make as big a splash as it would in other areas where tech jobs are in shorter supply. For example, ExxonMobil left Northern Virginia with the same number of employees and the impact was not directly noticeable.