(The Center Square) – Starbucks is staying in Seattle even as the coffee giant plans to open a corporate office in Nashville later this year as part of expanding its operations in the Southeast.
That means some jobs in Seattle connected to direct and indirect sourcing operations will be relocated to Tennessee, according to Starbucks. The specific number of jobs impacted was not disclosed, although The Wall Street Journal recently reported that “dozens” of supply-chain employees will relocate from the company’s Seattle headquarters to the new location.
Affected employees are being offered the option and support for moving to Nashville, according to the company.
Starbucks’ North America and Global Support headquarters remain in Seattle, Lori Torgerson, director of corporate communications at Starbucks, emailed The Center Square.
Starbucks announced Tuesday, along with Tennessee officials, that it plans on locating its southeast corporate office in Nashville.
“Looking ahead, Starbucks has great ambitions to grow even further across North America,” said Mike Grams, chief operating officer for Starbucks, in a news release from the Tennessee Department of Economics & Community Development. “With these growth plans, we see Nashville, Tennessee, as an ideal location to open an office and establish a more strategic presence in the Southeast region of the U.S. The city offers a deep, talented and growing workforce, making it a desirable location for us.”
Tennessee Gov. Bill Lee welcomed the world’s largest multinational coffeehouse chain and roaster.
“Companies across the nation recognize that Tennessee’s strong values and fiscally-conservative approach are good for business, and we are proud to welcome another Fortune 500 company like Starbucks to our state,” he said.
The announcement has caused some jitters in the Seattle area.
Steve Murch, Seattle tech entrepreneur and investor, wrote on X: “Starbucks announced a major investment in Nashville today, a signal that they may move HQ’s in the near future. Rumor suggests Starbucks billionaire Howard Shultz ($3-4B) has also re-domiciled out of WA.”
Seattle-based radio talk show host Ari Hoffman, also on X, asked, “Does this mean they are leaving Seattle?”
Majority party Democrats in Washington are pushing a 9.9% income tax on annual personal income exceeding $1 million. Supporters of the “millionaire’s tax,” including Gov. Bob Ferguson, argue it is a necessary step to reform a regressive tax system and fund services, while opponents, including business leaders and Republicans, argue it will harm the state’s economic competitiveness.
In late 2025, Starbucks announced significant restructuring, resulting in nearly 1,000 layoffs in Washington, primarily affecting the Seattle and Kent areas. These cuts include closing 31 locations in Washington, such as the Seattle Reserve Roastery, impacting hundreds of workers. The layoffs are part of a national, $1 billion restructuring effort by the company.
Earlier this year, Grams outlined Starbucks’ growthy strategy during Starbucks Coffee Company Investor Day.
“And even with our scale, the U.S. coffeehouse opportunity for Starbucks is big and broad,” he said. “By fiscal 2028, we expect to ramp up to build 400 net new coffeehouses across our U.S. company-operated business. And we’re going to do [it] with discipline and pace. Today we see up to 5,000 new coffeehouse opportunities, which will ensure we maintain and grow our market share, particularly in the central U.S., the South and parts of the Northeast.”
Seattle/King County reporter Randy Diamond contributed to this story.
