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Is Amazon’s $2 Billion Inexpensive Housing Injection Sufficient?



Amazon is throwing $2 billion on the housing disaster in Seattle with its Housing Fairness Fund to protect and create over 20,000 affordable housing units. By this Fund, Amazon will supply below-market loans and grants to housing companions, public companies, and minority-led organizations to assist them construct a extra inclusive resolution to the reasonably priced housing disaster, which disproportionately impacts communities of coloration. Are they really making an attempt to repair the massive want for middle- and low-income housing and fight homelessness, or is that this additional monetary dedication merely a promoting level for future worker recruitment?

The Breakdown You Want To Know: Let’s keep in mind the underlying actuality of those massive housing pledges is that corporations like Amazon usually play a serious position in gentrification and displacement of native communities, CultureBanx reported. Amazon plans to spend money on Washington state’s Puget Sound area that encompasses Seattle, in addition to Arlington, Virginia and Nashville, Tennessee the place Amazon has opened fast-growing workplaces. The corporate employs greater than 75,000 folks within the Puget Sound area alone because of its headquarters within the state. Seattle and King County, which is the world the place Amazon is positioned faces a extreme lack of reasonably priced housing and a homelessness disaster. Some extent-in-time in 2020 survey tallied more than 11,000 homeless people in King County

Black folks signify 7% of King County’s inhabitants and have the best homeless price at 25%. These figures are a 23% over illustration for African Individuals in Seattle’s homeless sector, in keeping with the U.S. Division of Housing and City Improvement’s American Group Survey. For Latinos the numbers aren’t a lot better as they signify 10% of King County’s inhabitants and 15% of the homeless price.

It’s going to value rather a lot to get housing on observe in Seattle, and it might be argued that Amazon might do extra. To additional put this into perspective for you, the corporate’s complete $2 billion commitment towards affordable housing represents just 2.1% of its Q3 2020 income of $96 billion. Amazon has a market cap of $1.59 trillion {dollars} which didn’t occur in a single day, identical to the following housing disaster. 

Amazon has invested $185.5 million in below-market loans and grants to the King County Housing Authority to protect as much as 1,000 reasonably priced houses in Bellevue, WA.

Tech Tackling Housing: Amazon’s pledge, follows related commitments from Apple, Fb, and Google, all of which beforehand promised between $1 billion and $2.5 billion every to sort out related points plaguing the San Francisco Bay Space. Social media large Fb is following within the footsteps of different tech giants within the Bay Space, and introduced in 2019 a $1billion dedication to enhance California’s reasonably priced housing choices final yr. 

They dedicated $150 million of the $1 billion pledge for the event and building of reasonably priced housing, it will embrace housing for the homeless, one thing that’s desperately wanted. In 2017, the San Francisco Homeless Rely Survey discovered the variations between the town’s inhabitants and people experiencing homelessness had been vastly distinct, with African Individuals making up 34% in comparison with simply 6% of the overall inhabitants. 

What’s Subsequent: This funding from Amazon is best late than by no means, however solely time will inform how efficient will probably be for residents. A minimum of they received’t be alone of their effort to create extra housing choices, as Seattle introduced it might make investments $110 million into constructing almost 2,000 reasonably priced housing items within the metropolis. Additionally, Microsoft has dedicated $750 million to housing issues plaguing the larger Seattle space.

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