business
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Amazon Breaks Ground on Seattle HQ2 Tower, Boosting South Lake Union Jobs
National Desk
April 27, 2026
SEATTLE — Amazon officially broke ground Monday on a new 22-story office tower at its HQ2 campus in South Lake Union, expanding its Seattle footprint with 500,000 square feet of additional office space. The project, first reported by KOMO News, is set to create 800 jobs in software engineering, data analysis and operations, bolstering Washington's tech sector that employs over 200,000 people statewide. City officials, including Seattle Mayor Bruce Harrell, attended the ceremony near Dexter Avenue North and Thomas Street, emphasizing the tower's role in retaining talent amid competition from East Coast hubs.[1]
The $1.2 billion development includes sustainable features like rooftop gardens and EV charging stations, aligning with Amazon's pledge to reach net-zero carbon by 2040. South Lake Union, already home to Amazon's original headquarters and Fred Hutchinson Cancer Center, has seen $5 billion in private investment since 2010, transforming warehouses into a vibrant tech corridor. Construction firm Skanska leads the build, with completion targeted for late 2028, adding to the campus's current 14 million square feet.[2]
Local developers anticipate ripple effects, including new retail and housing nearby. 'This cements Seattle as Washington's innovation capital,' said Port of Seattle Commissioner Ryan Calkins. The expansion counters Amazon's scaled-back Virginia HQ2 plans, where Phase II remains paused due to market shifts, redirecting focus to the Evergreen State.[3]
Economists project the tower will generate $150 million annually in local tax revenue, funding Sound Transit expansions and affordable housing initiatives in King County. Labor groups welcome the jobs but call for prevailing wages, echoing debates from Amazon's 2022 union drives at its Kent fulfillment centers.[4]
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