[16] With construction proposed to begin in June 1910, instead came the announcement that month that Smith would be willing to build to an unheard of 40-floors (35-story base, 5-story tower) on the condition that Seattle's city hall and civic center not be moved uptown from their property at 3rd Avenue and Yesler Way on the adjoining block.

With a steel-frame and concrete structure, the building would be clad in granite at the base, and the rest in gleaming white terra cotta that would, according to local media, "cast the rays of the sun in a blaze that should be seen 15 or 20 miles".

[19] The original permit, however, was delayed by concerns from the city about the ground soil conditions of the site and the use of wired safety glass on the windows, among other things.

[25] To celebrate the beginning of construction of the Smith Tower as well as the Lake Washington Ship Canal, Hoge Building and other major projects underway around Seattle, the city declared June 1 Progress and Prosperity Day and threw a parade to visit all these sites attended by delegations from all over Puget Sound.

[26] Although the winning contractors were chosen and notified by the end of June, the signing of contracts and beginning of construction now relied on the final settlement of L.C.

They would in turn contract the American Bridge Company to provide and assemble the nearly 5,000 tons of steel from their own foundry at Ambridge, Pennsylvania that would be required to build the Smith Tower's frame.

[31] Representatives from the Whitney-Steen Company arrived in Seattle in late October and set up their construction office on the 6th floor of the Smith-owned Pacific Block (which would later be known as the Smith Tower Annex).

[32] Most tenants vacated the old building by October 1 but many more insisted on remaining until the last possible moment and arrangements were made to excavate around them until the structural steel and other needed equipment was scheduled to arrive in February 1912 at which time construction would go into full swing.

[34] Excavation continued day and night throughout November and December 1911, only being stopped when the derrick used for removing spoils collapsed, narrowly missing several workers.

[35] As the 25-foot (7.6 m) deep foundation was being dug and retaining walls built, rigorous geological tests of the ground soil were being undertaken by supervising architect Thompson.

[36] Smith and Gaggin returned to Seattle in January 1912, where they would stay for several months to personally oversee construction of the building's base floors.

Smith would bring with him to Seattle a 6-foot-tall (1.8 m) oil painting of the building, used for advertising literature, where it would stand on display in a nearby business.

[32][37] From April to May 1912 while excavation of the foundation and retaining walls was wrapping up and while the contractors were still awaiting the delivery of the steel beams from Pennsylvania, further contracts were signed for building materials from local and national firms.

[41] By late July the first 40 carloads of steel for the tower's frame had arrived in the city, removing any lingering doubts of the project's reality among locals.

[42] The last of the 1,276 pilings were driven and the brick-lined reinforced concrete foundation was complete by the beginning of August and the steel frame began to rise rapidly out of the pit.

[48] Construction proceeded without delay and steelwork was completed the very next day, marked by the raising of the American flag from the highest point by the superintendent and several of his men, who after a photoshoot featuring various daredevil poses around the flagpole, accidentally dropped their camera off the building, destroying it and the film.

When CBRE stepped in, the building was 70 percent vacant, its rental income was not covering its operating expenses, and its value was assessed by the county to be less than half of its 2006 mortgage.

[6] In the spring of 2012 Smith Tower experienced a brief revitalization in the form of new companies moving into some of its empty floors including Portent, Inc., Aukema & Associates, Push Design, and Rialto Communications.

[59] In January 2015, Seattle-based real estate investment and operating company Unico Properties bought Smith Tower for $73.7 million.

Later that year, the new owners stopped the visitor tour and began remodeling the public areas, including the Chinese Room, which had been closed since 2014.

A new speakeasy-themed restaurant, with Prohibition era-inspired food and drink was built on the observatory floor, in the same space as the Chinese Room, which was permanently closed.

[60][61][65] The building was sold to Goldman Sachs in October 2018 as part of a $750 million package of Unico properties in Seattle and Denver.

[66] The building was put up for sale in 2023 and sold in August 2024 to GT Capital, investment firms, and several unnamed "prominent Seattle families".

The elevators were automated and modernized beginning in 2017, for faster service time and seismic safety, with new glass doors still allowing riders a view into the hallways and lobbies.

In 2012, Death Cab for Cutie frontman Benjamin Gibbard paid tribute to the Smith Tower in the song "Teardrop Windows".