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Axios: Downtown Seattle is perking up, new report shows

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This story was originally published by Axios on April 17, 2025.

By Christine Clarridge

Foot traffic is up, hotel demand rising and workers are returning to offices, a new report shows, signs that downtown Seattle is slowly inching back to life after years of remote work, quiet streets and shuttered storefronts.

Why it matters: Downtowns are cities’ economic engines, and their health affects everything from transit ridership and small business survival to the city’s tax base, Branden Born, an associate professor and chair of the Department of Urban Design and Planning at the University of Washington, told Axios.

  • But Seattle has been one of the slower big cities to rebound from the pandemic, making this month’s updated numbers from the Downtown Seattle Association (DSA) a key indicator of the city’s momentum.

By the numbers: According to the DSA report, downtown averaged 101,000 daily workers in March, the highest level since March 2020, and a 12% jump over last year, in part due to return-to-office mandates.

  • The city saw more than 2.5 million unique visitors last month, or 92% of pre-pandemic levels.
  • Hotel room demand reached 93% of what it was in March 2019, with 326,000 rooms sold.
  • Local visitors — those living within 10 miles — actually exceeded 2019 levels, hitting 104%, per the report.

What’s happening: Those numbers are expected to continue rising with big ticket events and seasonal draws.

  • Sakura-Con, Seattle’s long-running anime and Japanese pop culture convention, returns this weekend and is expected to draw 35,000 attendees to the Seattle Convention Center and generate an estimated $19.4 million in economic impact, per DSA.
  • Cruise season is also ramping up, with nearly 300 ship visits expected to bring $900 million in local economic impact.

What they’re saying: The return of people is making downtown dynamic and lively all week long, said the city’s Office of Economic Development’s deputy director, Alicia Teel.

  • The change is electric, Jodi Davis of design consulting company Jodi Co. in Pioneer Square, told Axios.
  • “The city felt dark and almost ominous during the pandemic — even on sunny days,” she said. “But now, with the energy from the waterfront project permeating the city, it’s hopping and better than ever.”

Yes, but: Office space vacancy remains a major concern, with Seattle sitting on one of highest downtown commercial vacancy rates in the U.S.

What we’re watching: City Council President Sara Nelson told Axios that while the DSA numbers are “excellent,” the city can’t let up.

  • She plans to convene stakeholder discussions soon on how to support downtown retail and ensure it remains a place “where people want to work, live, visit and play.”