Amazon planning massive 107-foot tall automated fulfillment center in Niagara

Amazon plans to spend more than a half-billion dollars to develop a 3.1-million-square-foot distribution center in the Town of Niagara.

The $550 million price tag is 83% more than the $300 million estimated when the project was proposed in March.

The online retail behemoth plans to build a five-story building on 217 acres at 8995 Lockport Road, behind the Niagara Falls International Airport.

The updated cost was detailed in documents Amazon.com Services LLC of Seattle filed July 8 with the Niagara County Industrial Development Agency.

The increase is attributed to supply chain costs and a decision by Amazon to include $100 million in robotics equipment in the complex.

The project’s cost is topped only by the Buffalo Bills’ new stadium, which is expected to cost $1.4 billion.

Other information Amazon in the NCIDA application:

• Construction costs, including labor, will account for $450 million of the $550 million.

• Amazon has secured $473 million in bank financing and will spend $77 million of its own equity.

• The 107-foot tall building will have 55 loading docks, 414 truck parking stalls and 1,755 employee parking spaces.

• Amazon expects to hire 1,000 people, with average annual wages between $31,200 and $60,000.

• At least 300 construction workers will build the facility, though the work will be done in phases.

The NCIDA will begin its review of Amazon’s request for $26 million in sales tax breaks and $3.5 million in mortgage recording breaks July 13.

“We hope this completes their commitment to Niagara County,” said Andrea Klyczek, NCIDA associate director. A formal vote by the NCIDA will come in August. Construction is expected to start by late summer and take 18 to 24 months.

A formal vote by the NCIDA will come in August. Construction is expected to start by late summer and take 18 to 24 months.

JB2 Partners LLC of Atlanta will develop the building for Amazon.