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Amazon is downsizing its distribution centers to take advantage of the New York market. The company’s 855,000-square-foot logistics center on Staten Island is 20% smaller than Amazon’s average warehouses, but includes twice the number of robots to human employees and can manage 50% more inventory than its typical fulfillment centers. This allows Amazon to build in New York City—an urban fulfillment model it is replicating in other cities. It’s not the first to do so—in November 2018, Walmart inaugurated a 200,000-square-foot Bronx warehouse for Jet.com fulfillment.

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