January 31, 2026
Smyrna, Tn, USA
Business Tennessee Business

Oregon Can’t Compete: Dutch Bros Picks Phoenix Hub to Reach Tennessee, Texas Markets

A beloved Oregon brand is leaving home. Dutch Bros, the drive-thru coffee chain that became a cultural phenomenon across the Pacific Northwest, announced Wednesday it will relocate its corporate headquarters from Grants Pass to Arizona, according to The Oregonian.
For many Oregonians who grew up with Dutch Bros’ signature colorful energy drinks, the move feels deeply personal. The company expanded from its southern Oregon roots into a nationwide presence—what insiders call the “Dutch Mafia”—while maintaining its home base in the small city where it all began.
Dutch Brothers Coffee new Smyrna location 540 Enon Springs Rd
The relocation is particularly symbolic as Oregon works to rebuild the economic momentum it lost during the pandemic years.
“The governor is always disappointed when the headquarters of a homegrown business leaves the state,” said Roxy Mayer, press secretary to Gov. Tina Kotek. “She is proud of the success Dutch Bros has had here, and at the end of the day their growth is an indicator of that success.”

A Billion-Dollar Brand
Dutch Bros has grown into a Wall Street heavyweight valued at nearly $12 billion—second only to Nike among Oregon companies. The chain celebrated opening its 1,000th location earlier this year, with stores now reaching as far as Daytona Beach, Florida. Long-term plans call for 7,000 locations nationwide.
That explosive growth drove the decision to relocate. When Dutch Bros opened new offices near Phoenix last year and began transferring executives, company officials explained they needed proximity to their fastest-expanding markets in states like Texas and Tennessee. Despite co-founder and chairman Travis Boersma still living in Grants Pass, the small town increasingly felt disconnected from the company’s national ambitions.

Political Fallout
The departure sparked reactions from Oregon political leaders, with some seeing it as symptomatic of larger challenges.
“Dutch Bros has been a fixture in our community for a long time,” said Sen. Noah Robinson, a Republican representing parts of Josephine County. He suggested Oregon’s business climate may have played a role, pointing to issues like homelessness and crime in Grants Pass. Other Republicans cited the state’s tax policies.
Dutch Bros kept its explanation simple: consolidating leadership in one location would improve operations.
“Bringing more people together will allow us to better serve our customers and crews across the country,” the company stated. “With these changes, the Phoenix office will become our official HQ.”

The Reality Behind the Move
Two employees—one current, one former—familiar with the company’s strategy said Oregon likely couldn’t have changed the outcome. Speaking anonymously because they weren’t authorized to comment publicly, they explained Dutch Bros needed a major metropolitan area with abundant corporate neighbors, including restaurant chains, plus a major airport hub.

They also suggested Oregon officials hadn’t been particularly engaged with Dutch Bros as it grew in a small city far from the Willamette Valley’s political center.
Business Oregon, the state’s economic development agency, pushed back on that characterization Thursday.
“Our staff have been to their facilities, including the roasting operations which serves the growing Dutch Bros markets,” said spokesperson Nathan Buehler. “The company has acknowledged for some time that their business expansion path is to the south and east with expanding services in the new location.”
Buehler noted Oregon offers various incentives for growing businesses, but acknowledged their limitations.
“Incentives and resources fit a variety of important needs for retention, expansion, and recruitment opportunities,” he said, “but can’t offset a business’ particular unique business strategy and circumstances.”
Though the Grants Pass headquarters never employed more than a few hundred people, Dutch Bros’ departure represents a significant loss to the small city—and to Oregon’s identity as a state that nurtures homegrown success stories.​​​​​​​​​​​​​​​​
This article is based on reporting from The Oregonian.

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