Amazon.com expects to begin moving into its new office space inmid-2010, with full occupancy in 2011. The company said in an SECfiling that it will pay as much as $1.5 billion over 16 years tooccupy the full 1.6 million sf, and that is also has options foradditional space. An Amazon executive was not immediately availableThursday morning for further comment.

The developers are billionaire Paul Allen's real estateinvestment arm Vulcan Inc., which controls some 60 blocks in theSouth lake Union area, and Schnitzer West, a partnership SchnitzerInvestment Corp. of Portland, OR, and Dan Ivanoff of Seattle. Tohelp seal the deal, the City of Seattle approved increased buildingheights in the immediate area and the developers agreed tocontribute $6.4 million for affordable housing in the area.

Amazon.com's new headquarters will be anchored by three12-story, 160-foot high buildings on one-and-a-half blocks boundedby Terry and Boren avenues and John and Harrison streets. Thebuildings are known as Interurban Exchange II, IV and V.