Amazon is moving forward with another massive logistics investment in upstate New York, beginning construction on a large new warehouse facility in the Capital Region, according to a report.
The company has started work on what is expected to be a 3.2 million-square-foot distribution center in Montgomery County, located in the town of Florida near Exit 27 on the New York State Thruway, the Albany Business Review reported. The project is expected to carry a total cost of $621 million.
The publication reported Amazon paid $13.5 million for 143 acres tied to the project. The Montgomery County Industrial Development Agency told the Business Review the company will receive a package of incentives including $30 million in tax exemptions, plus an estimated $44.9 million in real property tax exemptions over 15 years.
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Construction is already underway after starting in late December, according to the IDA. The work is expected to wrap up in late 2027 or early 2028, and the project is projected to employ nearly 400 construction workers during the build.
Earlier reports have suggested the facility could be about 4.5 stories tall and employ at least 750 workers, running operations across three shifts per day. Amazon is also expected to bring on hundreds of additional part-time and seasonal workers, according to the Business Review.
Once complete, the facility would serve as a high-capacity distribution hub to support regional delivery operations and supply chain demand across upstate New York.
The distribution center is expected to lean on automation, using robotic storage systems instead of traditional warehouse racking. Under that model, orders would be picked, packed and shipped around the clock, operating 24 hours a day, seven days a week, with shipments moving out to local delivery centers.
Amazon already operates a similar large-scale site in the town of Clay near Syracuse. That facility — which opened in 2022 — is five stories and totals 3.8 million square feet, using robotics alongside human labor.
The new distribution center is expected to be located just outside Amsterdam, roughly 35 miles from Albany, on Route 5S. It will also sit close to an existing major logistics facility — a 1.9 million-square-foot Target distribution center — and will be located less than 2 miles from the Thruway’s Amsterdam exit.
The region’s existing transportation access and nearby industrial footprint make the location a strategic fit for another major distribution build.
Amazon jobs tied to the new facility are expected to be posted closer to the building’s opening. Available positions will be listed at Amazon.com when recruitment begins.
Originally reported by Geoff Herbert in Syracuse.
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