Amazon is temporarily shutting down two Florida warehouses, laying off 1,100-plus workers and spending $400 million to retrofit both facilities from scratch.
The tech titan expects renovation projects at the Homestead and Port St. Lucie warehouses to take two years to complete.
Earlier this month, Amazon shuttered operations at its 1.3-million-square-foot “TMB8” Homestead facility in Florida, where 616 employees were set to be laid off in two phases. The first batch of cuts took place July 2, while the second set will start Sept. 30.
Amazon also plans on closing its 1-million-square-foot “PBI3” facility in Port St. Lucie, effective Sept. 17, with 494 jobs expected to be cut. The staff reductions will start on the closure date, and then again on Dec. 17.
According to the Worker Adjustment and Rehabilitation Notification (WARN) notices filed in April and July, affected employees who accept internal transfer opportunities at Amazon prior to their separation date will not be laid off.
Both WARN notices indicated that the employee separations are expected to be permanent despite the tentative reopening of both facilities in 2028.
Amazon said about 300 employees had accepted transfers from the Homestead warehouse to other facilities.
The overwhelming majority of the 1,110 employees impacted across the two warehouses are fulfillment center associates who are responsible for picking, packing, stowing and preparing orders for shipment.
The Homestead site is an inbound cross-dock (IXD) facility designed to take in freight from ports and domestic suppliers before distributing products to fulfillment centers. As part of the project, Amazon will convert the site into a full-scale fulfillment center for an estimated $200 million.
Renovation at the Port Lucie warehouse is also expected to cost $200 million. That site hosts, stores and ships large and bulky items like kayaks, patio furniture, grills, gym equipment and other larger household goods. Like it TMB8 counterpart, the PBI3 building will be renovated into a sortable fulfillment center designed to handle smaller items.
Upon their completion, the new facilities are expected to employ roughly 1,000 people each, Amazon says.
Beyond the renovations, Amazon expects to further scale its warehouse footprint in Florida, prepping to build a new 1.1-million-square-foot facility in Fort Pierce that is expected to cost $240 million.
The project received unanimous approval from the Fort Pierce City Commission on May 4, is projected to create 745 permanent jobs and about 1,200 temporary jobs during construction. Construction is estimated to take be completed in September 2027 and a final certificate of occupancy is expected by March 2028.
Outside the Sunshine State, the online marketplace outlined plan earlier this month to build a nearly 250,000-square-foot, robotics-equipped sorting warehouse in Georgetown, Texas. The $48 million project is slated to break ground Aug. 24 and be completed by July 2027, according to the filing.
American Eagle rebuilds its own network with fifth fulfillment facility
As Amazon makes its renovations, American Eagle Outfitters (AEO) is further retooling its fulfillment network with a distribution hub in North Carolina.
The apparel retailer says the new distribution center, located in Salisbury, N.C., will cost $41 million and create more than 200 new full-time jobs. The 473,000-square-foot facility is expected to begin operations in early 2027.
AEO has revamped its supply chain operations over the past year, recently opening a new 512,000 West Coast facility in Goodyear, Ariz. in early May after winding down its Quiet Logistics business.
With Quiet Logistics, AEO operated as a third-party logistics (3PL) provider for other brands, but the company ended up exiting the industry after racking up millions in losses from the business. The retailer exited or sold off all six of the regional distribution centers it had operated as of Feb. 1, 2025.
Keith Glivic, senior vice president, global distribution and fulfillment at AEO Inc, called the distribution center a “key investment in AEO’s future growth.”
When the North Carolina site is completed, American Eagle will operate five distribution centers in North America.
The Todd Snyder and Hollister parent also owns distribution centers in Hazleton, Pa. and Ottawa, Kan. and leases its Canadian facility in Mississauga, Ontario.
“North Carolina offers the workforce, infrastructure and strategic location needed to continue powering our brands and connecting us to customers,” said Jay Schottenstein, executive chairman of the board and CEO of American Eagle Outfitters, in a statement. “We’re proud to have a presence in Rowan County and are excited about what this facility means for the long-term growth of our supply chain and distribution network.”
The annual average salary for approximately 70 skilled labor positions, such as management, maintenance and operations, will be $57,351.
For its investment, American Eagle will receive $150,000 in state tax incentives based on hiring 70 employees.
