Fiscal 2023 DIF Account

The Future Of Worcester Airport Is Amazon!!

Before we get into Worcester Airport and Amazon, there are two housekeeping issues:


Polar Park

We had to take a break on this, but nothing has changed.   

The cost overruns continue at Polar Park and we still expect at least a $15,000,000 overrun announcement soon.  Also wonder, if the PawSox will pay their second of two annual payments of $2,000,000 this  month.   Remember, they never paid their first one last December???? 

How is that Phase I development coming along??   


Worcester Airport Passenger Service

For months we complained about the scheduling and overall plan for ORH, way before COVID.   

  1. JetBlue to NYC returned way too late at night and we need a 2nd midday turn to NYC.
  2. Although the Florida loads were good in the 80% range, we needer the bigger Airbus (150 seats) and earlier departure time to really make this route a success.
  3. One turn to Detroit with Delta and the one turn to Philadelphia with American never had a chance at success.

The emphasis was more on being able to say we had three major carriers flying out of Worcester, versus making Worcester an true reliever airport to Boston.   As a result the loads were horrible (except for JetBlue to Florida), but we were told the airlines were happy with Worcester Airport.   

Now everyone blames COVID for these airlines departing.  Truth is we never had a good strategy, the loads were horrible and it was an easy decision for these airlines to pull out of Worcester, when COVID wreaked havoc on the airline industry.  

If we had good loads, things would have different.  

Now what for Worcester Airport???


AMAZON

That's right Amazon!!!  Two huge investments into Worcester by Amazon over the past couple of months:

  1. Greendale Mall
  2. Warehouse on Goddard Drive in the Airport Industrial Park right next to Worcester Airport

Overnight these two investments will make Amazon one of the top 5? taxpayers in the City of Worcester.   

Are you noticing a trend??

  • Sam's Club uses the facility off Route 146 as their new fulfillment Center
  • CSX Railyards 
  • UPS facilities
  • FedEx facilities

With our central location and easy highway access, Worcester is becoming a destination for freight and distribution.   

What does this have to do with Worcester Airport??


Prime Air

Amazon has their own fleet.  Check out this recent column and this one part:

 

 Amazon.com’s Prime Air fleet will grow to about 200 planes — up from 42 now — in the next seven or eight years, creating an air cargo service that could rival UPS Inc., according to a study.

  • 200 planes!!! 
  • 2 major warehouses in Worcester
  • 1 right next to the airport
  • Empty airport with CAT III landing system 

 This is the future for Worcester Airport!!!!!!

 

 

Red Carpet

This is great news for Worcester, especially.    The question is will we roll out the "read carpet" like we did for the PawSox or will we treat them the same way they New York did????

 Remember these headlines??


Amazon on Thursday canceled its plans to build an expansive corporate campus in New York City after facing an unexpectedly fierce backlash from lawmakers, progressive activists and union leaders


 



 

 




Comments

David Z. said…
If the “red carpet” includes a TIF, count me out. And if you read the piece in today’s paper regarding the Milford Amazon location, it’s going to be an even bigger nightmare if they build at the former Greendale Mall.

They are “promising” 75-100 jobs in Worcester with most at $15/hour. And you can bet these jobs will be eliminated as soon as they can figure out how to pick orders with “robots”. They’re already trying out delivering orders via drones.

Common Sense said…
Got to add Dedham and Norwood to the sites of new centers. My employer is providing security to both. There is really no other option for the Greendale Mall site. The only other thing I heard as an alternative was the City making it a new DPW garage site. I've been turned off of TIFs since the City gave Mr. Fletcher a TIF for his market complex. He claimed he couldn't make the project a go without one yet a week after he got it he helped purchase a $3 million lot with a buddy. He’s probably going to build a parking garage there and charge $10 an hour to park. He also gets tons of free PR from the T&G. It seems like every other day they do an article promoting his project. It would have been nice if they gave the same free PR to the Worcester Airport when it had flights.
Anonymous said…
Unfortunately Amazon is the future of retail, and this proposal is most likely the highest and best use of the property. Since they have the capital and they are by no means a "start up" no TIF should even be considered.
With regards to your other posts, the Worcester Red Sox and their $2 million payment to the City I have heard that the WRA paid the Worcester Red Sox $1 million in November. You want to talk about rolling out the red carpet. The Worcester Red Sox got the carpet and the checkbook.
Amazon should and will come but someone needs to ensure it is not at the taxpayers expense which happens all too often when the City gets involved with development projects. The City is more than willing to give away your tax dollars, it is easy because it is not theirs.
One final comment, City Councilor Bergman, as well as Colorio, Mero-Carlson and Russelll, should be commended for obtaining some tax relief this year.
Anonymous said…
The huge commercial split tax rate is to blame for TIFs, not developers.

I for one do not begrudge Fletcher for the TIF. That parcel is generating a huge amount more in taxes than the pothole filled dirt patch that was there. All of the vendors in the market have a livelihood and their employees have jobs. They pay meals and income taxes and all of the dozens and dozens of fees that the city heaps on businesses.

I do begrudge a city that forces its small businesses to pay more than twice the tax rate that residents, who use all of the city services, do.
City councilors know that this will ruin the city eventually, but are so scared to be voted out of a paying job that provides free health care for life that they cave, every time.

People complain that the old manufacturing jobs left the city. If you owned a factory you could move a mere few miles and escape this lunacy. Oh wait, many just did and more will follow.

This commercial tax rate is a scam anyway, this is why the city needs to give TIFs. No one can afford the tax rate that the council hoodwinks them residents with. Many can get away with not paying it so no one knows what the real tax rate is.

The council depends on residents continuing to be suckers .
Anonymous said…
Never understood this "need" for 150 passenger aircraft. Frankly, I enjoy 2 across seating and competing with only 100 people trying to get through TSA. Embraer 190 is a good plane is is quite good at 1500 mile legs.
Anonymous said…
I agree with Anonymous' last comment. The 190 is a good plane and I really hope there is room for not only Amazon prime planes as well as ticketed passengers. I have been singing the praises of Worc Airport for the last 4-5 years here in Southeastern MA as a viable alternative to Boston or Providence. Here' hoping...
Bill Randell said…
The Embraer 190 has not been a good plane for Jetblue and they are replacing them. The 150 seat Airbus would have been a more reliable plane and would have been able to offer lower ticket prices.

Anonymous said…
Good prediction, Bill!