KOMO 4: Starbucks to keep Seattle HQ, add new Nashville base as tax and store debates swirl

This story was originally published by KOMO 4 on April 21, 2026.

By Chris Daniels

SEATTLE — Is a double shot across a bow?

Coffee giant Starbucks says it will, after months of rumors, open a new headquarters office in Nashville.

The company announced Tuesday that it is a $100 million investment expected to create 2,000 jobs.

At a press conference in Nashville, Tennessee Gov. Bill Lee called the move “an announcement that they’ll all be envious of,” pointing to the state’s business climate and workforce.

“When a company like Starbucks decides to make this kind of an investment into our community, our people are going to benefit from that,” Lee said.

Starbucks CEO Brian Niccol labeled the move as an expansion, rather than any sort of relocation from the company’s longtime home of Seattle.

“We’re establishing really a strategic presence,” Niccol said. “It sets us up for our next chapter of growth.”

He added that Nashville’s workforce and business environment were key factors. “You’ve created a really strong business climate, a skilled workforce, and conditions that are conducive to us being able to expand our footprint,” Niccol said.

But the announcement came after months of perceived internal grumbling over the direction of Seattle and Washington State.

Local real estate sources suggest Starbucks was kicking the tires on space in Bellevue, not long after Seattle Mayor Katie Wilson appeared during a labor protest outside a company store.

Starbucks also closed its two high-performing roasteries in SoDo and Capitol Hill. Multiple other Seattle stores were closed, and that was before the State legislature and Governor signed off on a new Millionaire’s Tax and business and occupation taxes, too.

Wallet Hub recently reported that Washington had the 25th largest tax burden of all 50 states in the country, and Tennessee was third from the bottom.

Nashville has gained a reputation in recent years for its business-friendly environment, and Seattle-based Amazon already has an office there with more than 3,000 employees.

In Seattle, officials emphasized the company’s ongoing importance to the local economy.

Seattle City Council President Joy Hollingsworth said Starbucks remains central to the city’s business ecosystem.

“They’re Seattle. They’re local,” Hollingsworth said. “We want to do whatever we can to make sure that businesses on all levels, small businesses, mom-and-pops, big businesses are all part of this big ecosystem.”

She added that businesses are essential to funding public services and maintaining economic stability.

“Businesses on all levels are a part of our future,” Hollingsworth said. “We rely on those businesses being successful to make sure that our healthy economy is going, especially our government programs, our roads, our parks.”

Hollingsworth also defended Seattle’s broader business climate, urging a focus on outcomes rather than taxes alone.

“Oftentimes we hear people talk about taxes, but we don’t hear them talk about outcomes,” she said. “We want to make sure this is a business-friendly climate that supports our government programs and delivers positive outcomes.”

She pointed to local challenges as well, including efforts to reactivate a vacant Starbucks location on Capitol Hill.

“We want positive impacts with our businesses for our community,” Hollingsworth said. “Right now it’s sitting empty — that’s not an option.”

In a statement, Seattle Mayor Katie Wilson’s office underscored the company’s enduring ties to the city.

“Starbucks is a core part of Seattle’s identity. We’re proud to be home to its first store, its headquarters, and so many of the workers who make the company what it is,” the statement said.

“We’re focused on maintaining a strong partnership with leadership and with employees, so Starbucks continues to succeed in the city where it all began.”

Downtown Seattle Association President and CEO Jon Scholes said the expansion highlights growing competition among cities for jobs and investment.

“Starbucks is an important employer in Seattle and has had an indelible impact on our city’s identity and economy,” Scholes said. “Seattle is operating in a competitive landscape with cities vying for employers and jobs, and we must do everything we can to ensure companies locate and grow here.”

He added that recent job trends should prompt a shift in approach.

“Over the last three years, Seattle has shed thousands of jobs while other cities in the region and across the country experience job growth,” Scholes said. “City leaders must accept this reality and commit to a more competitive and welcoming approach to further economic opportunity and prosperity.”

Despite the expansion, Starbucks leadership said Seattle will remain its global headquarters, maintaining a dual presence as the company grows nationally.

“The opportunity to have our global headquarters in Seattle and a headquarters here in Nashville is really exciting,” Niccol said.

Washington Governor Bob Ferguson’s schedule last week included a meeting with Niccol, and his office suggested Niccol invited the governor out for a coffee tasting and to sit down to chat. Ferguson’s spokesperson Brionna Aho wrote “They had a good conversation.