EXCLUSIVE: Massive Amazon Project Faces Critical Vote Next Month

SLATE HILL—The $607-million proposal to build a 3.2-million-square-foot Amazon distribution facility here has cleared a key hurdle and is likely facing a critical vote in early October that will determine its fate.

The Wawayanda Planning Board held a public hearing on Sept. 10 on a height exemption to the existing project’s amended site plan. A number of residents and non-residents argued against approval of Scannell Development’s requested height exemption while representatives of the building trades and business groups, including the Orange County Partnership, testified in favor of the needed height exemption to its site plan. The Planning Board eventually closed the public hearing, which signals a vote on the project’s site plan application and height exemption could come at the Planning Board’s next scheduled meeting on Wednesday, Oct. 8.

On June 12, the Town of Wawayanda’s Zoning Board of Appeals voted unanimously (4-0) to reject a needed height variance for the Amazon project. While some observers indicated the project was killed by the ZBA, neither Amazon nor Scannell officially withdrew the project. Instead, Scannell officials told the Wawayanda Planning Board last month (Aug. 13) that Town Code 195-13 specifically allows for a project to be granted a height exemption if its fire-fighting capacity is sufficient and if its property buffers are greater than required. See https://realestateindepth.com/breaking-news-its-back-massive-amazon-distribution-project-reemerges-seeking-height-exemption/

Matt Boone, development manager of Indianapolis, IN-based Scannell Properties, testified before the Planning Board last month that the project meets both exemption requirements and that its fire suppression system had recently been approved by the Department of State. In terms of setbacks, Boone noted that the project offers setbacks that are anywhere between 650% to 2,000% greater than the setback requirements by the town. The Planning Board later granted the request for the Sept. 10 public hearing and a referral for the height matter to be reviewed by the Orange County Planning Department. Boone reiterated those points to the Planning Board at the Sept. 10th session.

The Scannell project, also known as “Project Bluebird,” had already received a favorable negative declaration by the Planning Board on June 11 on its requested special use permit, but the project failed to garner the necessary height variance (from 35 feet to approximately 66 feet) from the ZBA the following night to allow it to proceed any further.

The controversial project proposed by a partnership of Scannell Properties and Amazon Services, LLC, is considered to be among the largest ever private investment ventures in Orange County. The plan calls for the construction of a five-story, 3.2-million-square-foot Amazon robotic fulfillment/distribution center in Slate Hill. Each floor (two below grade and three above grade) would total approximately 600,000 square feet. The project is also under review by the Orange County Industrial Development Agency for possible financial incentives.

Real Estate In-Depth has also learned that Scannell Development and the property owner Aden Slate Hill, LLC filed an Article 78 proceeding on July 24 in New York State Supreme Court in Orange County against the Town of Wawayanda and the town’s Zoning Board of Appeals and is seeking to have the ZBA’s denial vote annulled and have the court compel the ZBA to approve Scannell’s height variance. Among its charges contained in the lawsuit, Scannell noted that the ZBA previously approved a similar height variance to Competitive Power Ventures (CPV) energy plant.

The Town of Wawayanda and ZBA have denied allegations contained in Scannell’s Article 78 proceeding and are seeking to have the court dismiss the litigation against both the Town of Wawayanda and its ZBA.

Back in 2023, Scannell and Amazon secured approvals for a 900,000-square-foot warehouse at the 22 McBride Road site, but eventually submitted a much larger proposal. The 100-acre property is currently an active quarry.