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The movement toward positive psychology has uncovered the important role that positivity plays in both individual and organizational success. Given that work teams are becoming increasingly embedded in organizational structures, it is surprising that few researchers have investigated positivity at the team level. The present study examines the emergence of team level positive psychological capacities and their relationship with team outcomes (e.g., cohesion, cooperation, coordination, and conflict and team satisfaction) during two team sessions. Results from 101 teams suggest that team optimism is an important predictor of team outcomes when teams are newly formed, whereas team resilience and team efficacy show greater explanatory power after several team interactions. Implications of the findings are discussed, as well as possible avenues for additional research.