Starbucks ramps up Nashville expansion with $100M investment
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Starbucks released a rendering of the planned Peabody Union complex in Nashville. Photo: Courtesy of Starbucks
Starbucks announced plans Tuesday to invest $100 million and bring 2,000 jobs to Nashville as it builds a major corporate hub to anchor its Southeast expansion.
Why it matters: The coffee giant's corporate footprint in the city will be bigger than initially disclosed — and reflects Starbucks' "Back to Starbucks" turnaround strategy, including plans to open thousands of new coffeehouses in the coming years.
Driving the news: Starbucks expects to bring the jobs to Nashville over the next five years. They will include new roles, work brought in-house from contractors and some relocated teams.
- Roles will span supply chain, technology and broader support functions, with some teams — including in Starbucks Technology — moving from Seattle. Nashville will complement the company's global headquarters there.
- "We are positioning the company for sustained, long-term growth," chief partner officer Sara Kelly said in a letter to employees announcing the expansion.
Zoom in: Starbucks will open a temporary Nashville office in The Gulch in May before moving into a permanent space in the Peabody Union complex in 2027, where it will occupy an entire building.
- "Nashville gives us an opportunity to support that growth with great talent and proximity to our growing number of coffeehouses and suppliers across the Southeast," Starbucks CEO Brian Niccol said in a statement.
The big picture: Nashville is drawing major corporate offices as companies expand beyond traditional headquarters hubs.
- In-N-Out Burger is building a 100,000-square-foot corporate office in the area that is expected to open later this year. The Nashville site will oversee the West Coast burger chain's eastward expansion.
- Software company Oracle is developing a major campus on the East Bank of the Cumberland River. The company said it plans to bring its corporate headquarters to the area and create thousands of jobs.
Catch up quick: Starbucks said in March it would open a Nashville office to support growth in the Southeast.
- At the time, the company said it would house parts of its North American supply-chain operation, which would involve relocating some Seattle employees.
Between the lines: The Tennessee Department of Economic and Community Development collaborated with the Tennessee Valley Authority, the Nashville Area Chamber of Commerce and other agencies to bring Starbucks to Nashville.
- State officials did not initially provide details about corporate incentives involved in the plan.
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