A massive Amazon warehouse is coming to one of South Jersey’s most storied plots of land. Hamilton Township is betting big that it’s worth the trade-off.
The Township Committee voted unanimously on Monday to approve a 29-year payment-in-lieu-of-taxes (PILOT) agreement with Amazon, clearing the way for a fulfillment center at the site of the former Atlantic City Race Course in Mays Landing, according to NJ.com.
The deal ends years of uncertainty for a property that’s sat idle since the racetrack closed in 2015.
The Deal
Under the agreement, Amazon will pay approximately $123 million over 29 years—a steep discount from the roughly $223 million it would have owed without the PILOT, according to Jim Maley, an attorney representing the township.
Of that total, $94.8 million goes directly to Hamilton Township, while the remaining $28.2 million is split between the local school district and Atlantic County. The township expects to net about $2.4 million in the program’s first year, with a 2.25% annual increase, while Atlantic County will receive 5% of the annual PILOT payments, the Press of Atlantic City reported.
Township officials say the numbers still represent a major win for taxpayers. “That’s not anything to what the township is receiving today,” Maley said, noting the property has been “a drain on the local economy” for more than 25 years. Committeewoman Thelma Witherspoon pointed to the broader cost of inaction, noting the township has lost $31 million in ratables due to nondevelopment.
What’s Being Built
Amazon has scaled back its original plans considerably.
The company initially proposed a 3 million-square-foot fulfillment center but has since revised the design to a roughly 1 million-square-foot, single-story warehouse that will rely on automated storage and retrieval technology—delaying the project by about six months. The facility will play a role in Amazon’s “middle mile” logistics, helping reroute packages using the company’s emerging robotic systems.
The project is expected to create 750 full-time jobs and 300 construction jobs, with construction lasting roughly 36 months. Amazon is expected to receive its building permit by September 30, with the facility targeted to open in 2028. The project focuses on the property’s stables—an area officials describe as the most contaminated part of the site—which is expected to rise in value to roughly $15 million once redevelopment is complete.
Community Pushback
Not everyone is on board. Several residents raised concerns during the public hearing, including questions about the deal’s length and whether Amazon will actually deliver good-paying jobs to locals. Keith Prince, who owns a 10-acre property near the race course, warned about the project’s potential impact on the Kirkwood-Cohansey aquifer, a critical local drinking water source.
Others raised concerns that the warehouse could eventually be converted into a data center. Mayor Carl Pitale addressed those fears directly, stating that any shift to a data center would void both the redevelopment agreement and the PILOT program entirely. “I want a company that is solid and that is not going to disappear in a couple of years,” Pitale said. “This is our best bet.”
As part of the arrangement, the township is also finalizing a separate $10 million community investment agreement, under which Amazon will fund a trust supporting workforce development, STEM education, technical training, and food security initiatives for residents.
The Track’s Deep History
The Atlantic City Race Course carries real history. Built in 1946 for about $3.6 million, the track was founded by Philadelphia socialite Jack Kelly—father of actress Grace Kelly. The track attracted a colorful list of investors over the years, including New Jersey icon Frank Sinatra, who was once a partial owner. It also hosted the Atlantic City Pop Festival, a landmark weekend of major musical acts in the 1960s.
At its peak, the racetrack employed 100 to 200 people full-time. But as Atlantic City’s casino industry grew, the horse racing business steadily declined, and the track closed for good in January 2015 after years of decline.
Amazon’s arrival marks a new chapter for the property. With it, 80 years of history is gone.
Tom is a lifelong New Jersey resident, Rutgers and FDU alumni and the publisher of The Digest.
