A Knoxville-based nonprofit thrift chain is staking out territory in Chattanooga's crowded secondhand market. KARM Stores plans to open its first Chattanooga location near Hixson Pike, about 10 minutes from downtown, with a target opening of early 2027 and possibly sooner.
The retailer, the commercial arm of Knox Area Rescue Ministries, hasn't released the store's exact address because it's still finalizing the lease, according to Local 3 News. Per the outlet, the company says the goal is to open by early 2027, possibly sooner if things go smoothly. A separate report from WBIR notes a KARM spokesperson said the store's location and opening date will be announced in the coming weeks.
Before the thrift shop itself opens, Chattanooga shoppers and donors will see a smaller piece of the operation arrive first. A KARM Stores donation center is set to open along Hixson Pike within the next couple of weeks, the station's report states, and is in the final stages of renovation. Once the full retail location follows, the company expects it will likely employ more than 20 people.
A Nonprofit Model Built on Donations
KARM Stores directs 100 percent of its profits back to Knox Area Rescue Ministries, according to the organization's own site, karm.org. Those profits go toward meals, job training, life skills programs and healthcare for people in need across East Tennessee, per the same source. The nonprofit also offers free donation pickup for items too large to haul into a store, according to its donation guidelines page.
Those donated goods carry real weight for the ministry's broader mission. KARM stores account for more than a quarter of the ministry's annual budget, according to WBIR, which also reports that KARM provides up to 1,000 meals daily across Knox, Sevier and Blount counties. The retail stores fund the ministry's work serving people experiencing homelessness or addiction, according to WATE.
Why Chattanooga, and Why Now
KARM Stores has grown over the past 20 years to more than 25 retail stores in East Tennessee, Local 3 News reports, and the company describes Chattanooga as another major Tennessee city with a strong thrift scene. Josh Lively, KARM's director of marketing and communications, said the chain has been able to expand beyond Knoxville and the surrounding areas because of donor and customer support, according to WBIR. KARM Stores officials told the station the Chattanooga expansion will help meet needs and introduce the KARM Stores experience to new thrifters in Tennessee.
Chattanooga already has a crowded field of secondhand retailers for KARM to compete with. Tennessee's first-ever Savers store opened off Gunbarrel Road at the Hamilton View Shopping Center, according to WDEF, while America's Thrift Stores runs a location at 248 Northgate Mall Dr. #122 that sells clothing, household goods, electronics, books and furniture, per the retailer's own site, americasthrift.com. The city is also home to multiple nonprofit thrift stores, including those that take part in the annual Chattanooga Nonprofit Thrift Crawl, according to Local 3 News.
How KARM Has Grown Elsewhere
KARM's expansion pattern elsewhere in East Tennessee offers a glimpse of what Chattanooga might eventually see. The chain's Farragut location at Kingston Pike and Lovell Road spans more than 28,000 square feet and was the company's largest store at the time it opened, according to Knox News. More recently, a new Oak Ridge store that opened in November 2024 was about three times bigger than the chain's existing Oak Ridge Turnpike location and added a drive-through for donations, per the Oak Ridger.
Exactly how many stores KARM now operates depends on which count you use. The company's own site lists more than 25 stores and separately shows 32 addresses on its locations page, while WATE reported in 2025 that a newest Kingston Pike location was the chain's 26th store in the Knoxville area — figures that may reflect different dates or counting methods. What's consistent across every account is that the nonprofit keeps adding locations, and Chattanooga is next in line, with its own donation center arriving along Hixson Pike before the thrift store itself opens its doors.
