Amazon appears to be spurning Nashville for its highly anticipated second headquarters, likely choosing New York City, Dallas or Virginia's Crystal City, the Wall Street Journal reports, and Nashville leaders are already mourning the missed opportunity.

"I'm disappointed," said Nashville Technology Council CEO Brian Moyer, who did not confirm the news or elaborate on Nashville's standing with Amazon. "The fact we hit the top 20, the finalists, was a win for Nashville and we are already seeing that play out. It has elevated us in a big way and for that I'm very pleased."

The Wall Street Journal reported Monday that Amazon, based in Seattle, plans to split its second headquarters, citing a person familiar with the matter. The decision to go to two places was to ensure recruitment for tech talent and to ease issues related to housing and transit. A separate Wall Street Journal story, published Sunday, said Amazon was in late-stage discussions with Crystal City in Virginia, Dallas and New York City, also citing people familiar with the matter.

The Journal report said talks with other cities, including Nashville, "appear to have cooled."

The second headquarters was forecast to bring 50,000 people and yield a $5 billion investment over the next 20 years. Amazon received bids from 238 cities.

Moyer said an Amazon presence would have elevated the depth of tech talent in Nashville, bringing more highly-skilled individuals to the area.

"Nashville is a desirable destination for people to come to now," Moyer said. "You lay on top of that an Amazon and I think it would have accelerated visibility to recruit people."

Bert Mathews, a developer and partner at Colliers International, said Nashville should take this as a learning experience.

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Transit considered

“It was not so long ago that we would not have made a list like that of the top 20 places that Amazon would consider,” Matthews said. “I think there’s a lot of consolation in that. I would be interested to see how transit-oriented and walkable the locations they pick are. What characteristics do they have that we don’t? Let’s learn from it and figure out how to win the next one.”

Jo Ann Graves, CEO of the Transit Alliance of Middle Tennessee, said the failure to establish a large scale transit system in Nashville "absolutely" hurt the recruitment process. In its initial announcement about its search for a second headquarters, Amazon said it prioritized cities with mass transits options.

"Hopefully the people of Middle Tennessee will realize the value and importance of a regional system if we want to keep and sustain our way of life," Graves said. "I'm always disappointed when we lose a company that is a game changer. Amazon is game changer."

Some Nashville leaders had expressed concerns surrounding the prospect of 50,000 new workers in the region and the impact that would have on traffic, schools and housing costs.

On social media, some Nashville residents welcomed Nashville's demoted status. Nashvillian Daniel Ryan wrote on Twitter: "Thank goodness, honestly. There's plenty of work to do on the development that IS coming here. Focus on steady, sustainable growth and quality of life issues for those of us already here. We couldn't fit the @amazon fish in our boat even if we had it on the line."

Because of growth concerns, Mathews commended the reported decision to split the massive second headquarters.

“I think for any city to have absorbed that many new employees – even over an amount of time – would have been difficult,” Mathews said. “I think it’s wise the way they’re dividing it up the way they are.”

Metro Nashville and Nashville Area Chamber of Commerce officials declined to comment.

Reach Jamie McGee at 615-259-8071 and on Twitter @JamieMcGee_.