Amazon Awaits Approval to Launch Operations in Dorado Puerto Rico

Amazon’s first distribution center in Puerto Rico remains in limbo as the company awaits a critical use permit from local authorities, delaying the facility’s planned opening in Dorado.

The $130 million logistics hub, located in the Maguayo industrial sector of Dorado, completed construction months ago but cannot begin operations until the Puerto Rico Planning Board issues the final permit, according to statements from municipal and company officials.

Permit Delay Halts August Launch

Dorado Mayor Aníbal José Torres confirmed in late March that Amazon had pushed back its targeted start date from November 2025 to August 2026, citing outstanding infrastructure work and permit processing. While the 100,000-square-foot warehouse is structurally complete, road improvements near the site—including widening the access route from Highway José de Diego—remain unfinished.

“They have fulfilled all their permitting requirements, but the geometric upgrades to the surrounding roads are still pending,” Torres told Primera Hora. “Until we clarify how to manage the traffic impact, they cannot begin operations.” The mayor added that negotiations with Amazon over the roadwork timeline are ongoing, with construction crews expected to mobilize in early May.

Economic Impact in Question

The Dorado facility was announced in August 2024 as a cornerstone of Amazon’s expansion in the Caribbean, with projections of 100 full- and part-time jobs plus 200 driver positions through the company’s Delivery Service Partners program. Governor Pedro Pierluisi hailed the project as a sign of Puerto Rico’s economic recovery, emphasizing its potential to serve markets beyond the island, including the U.S. Virgin Islands and other Caribbean nations.

However, the delay has raised concerns among local businesses and job seekers. A November 2024 survey by Arteaga & Arteaga found that 81% of Puerto Rican consumers were aware of the upcoming warehouse, but 54.5% mistakenly believed it would allow in-person retail purchases—a misconception the firm attributed to limited public understanding of distribution centers. The study also revealed that 72% of respondents expected faster delivery times as the primary benefit, aligning with Amazon’s stated goal of improving logistics efficiency across the island.

Regulatory Hurdles and Infrastructure Challenges

The permit holdup underscores broader tensions between rapid corporate expansion and Puerto Rico’s infrastructure capacity. Amazon’s vice president of public policy, Ashleigh De La Torre, previously called the island the “ideal place” for business, citing its strategic location and economic incentives. Yet the Dorado project has faced repeated delays, first from construction timelines and now from regulatory approvals.

Local officials have not specified a new target date for the permit’s issuance, but Torres suggested that roadwork could extend the timeline further. “This is a complex process,” he said. “We’re working closely with Amazon to ensure the infrastructure can support their operations without disrupting the community.”

Regional Ambitions on Hold

The Dorado center was designed to function as more than a local fulfillment hub. Amazon has indicated plans to leverage the facility as a regional distribution node, potentially accelerating deliveries to neighboring islands. Industry analysts note that Puerto Rico’s tax incentives and logistical advantages make it an attractive base for companies targeting the Caribbean and Latin American markets.

For now, however, those ambitions remain on hold. Amazon has not commented publicly on the permit delay, and the Planning Board has not provided a timeline for its decision. The company’s silence has fueled speculation about whether the project will proceed as planned or face further setbacks.

What Comes Next

If approved, the Dorado center would mark Amazon’s first physical presence in Puerto Rico, following years of reliance on third-party logistics providers for island deliveries. The facility’s opening could also pressure local retailers to adapt to faster shipping expectations, a trend already observed in mainland markets where Amazon operates.

For Dorado, the project represents a double-edged sword: a potential economic boost tempered by the challenges of integrating a major corporate operation into the municipality’s infrastructure. As one local business owner told El Vocero, “We’re excited about the jobs, but we also need to make sure our roads and services can handle the change.”

Until the permit is issued, Amazon’s Puerto Rico expansion remains in a state of uncertainty, with stakeholders across the island watching closely for the next development.