Amazon (AMZN), the leading tech and e-commerce company, is actively searching for a financial partner to support its ambitious $15 billion initiative aimed at constructing approximately 80 new warehouses throughout the United States. This expansion targets both urban centers and rural regions, as reported by Bloomberg.

Details of the Expansion

The forthcoming warehouses will primarily serve as delivery hubs for the company’s fleet of vans and trucks. Additionally, some facilities are expected to function as multi-story fulfillment centers equipped with advanced robotic technologies.

According to Amazon officials, while the company plans to fund several of these projects directly, it will also lease many of the facilities for terms ranging from 15 to 25 years.

Impact of Trade Policies

Recently, Amazon requested proposals from potential capital partners for this expansion just as President Donald Trump announced imposing strict tariffs on certain global goods. Although Trump later paused these tariffs for most countries, the future of Amazon’s expansion could still be influenced by these trade policies, which are likely to elevate shipping and freight costs, potentially leading to increased consumer prices.

Recent Financial Moves

This news follows Preylock Real Estate Holdings’ successful acquisition of a $1.1 billion loan package to refinance a group of Amazon warehouses located across ten states. This package includes 12 warehouses covering a combined area of 8.9 million square feet, all currently leased to Amazon with an average agreement of about 14 years, as detailed by the Commercial Observer.

A Shift in Strategy

The current plan marks a significant turnaround from Amazon’s prior approach, which included definitive steps to reduce its industrial footprint. In 2022 alone, the company made the decision to close, cancel, or postpone the construction of 49 delivery sites, totaling over 50 million square feet. Furthermore, Amazon announced the closure of all seven of its warehouses in Quebec, Canada, opting instead to collaborate with third-party delivery services.