In the work presented here, we explore the upcycling of polyethylene terephthalate (PET) that was derived from water bottles. The material was granulated and extruded into a filament compatible with fused filament fabrication (FFF) additive manufacturing platforms. Three iterations of PET combined with a thermoplastic elastomer, styrene ethylene butylene styrene with a maleic anhydride graft (SEBS-g-MA), were made with 5, 10, and 20% by mass elastomer content. The elastomer and specific mass percentages were chosen based on prior successes involving acrylonitrile butadiene styrene (ABS), in which the maleic anhydride graft enabled compatibility between different materials. The rheological properties of PET and the PET/SEBS blends were characterized by the melt flow index and dynamic mechanical analysis. The addition of SEBS-g-MA did not have a significant impact on mechanical properties, as determined by tensile and impact testing, where all test specimens were manufactured by FFF. Delamination of the tensile specimens convoluted the ability to discern differences in the mechanical properties, particularly % elongation. Annealing of the specimens enabled the observation of the effect of elastomer content on the mechanical properties, particularly in the case of impact testing, where the impact strength increased with the increase in SEBS content. However, annealing led to shrinkage of the specimens, detracting from the realized benefits of the thermal process. Scanning electron microscopy of spent tensile specimens revealed that, in the non-annealed condition, SEBS formed nodules that would detach from the PET matrix during the tensile test, indicating that a robust bond was not present. The addition of SEBS-g-MA did allow for shape memory property characterization, where deformation of tensile specimens occurred at room temperature. Specimens from the 20% by mass elastomer content sample group exhibited a shape fixation ratio on the order of 99% and a shape recovery ratio on the order of 80%. This work demonstrates a potential waste reduction strategy to tackle the problem of polymer waste by upcycling discarded plastic into a feedstock material for additive manufacturing with shape memory properties.