CLARKSVILLE, TN (CLARKSVILLE NOW) – Months of speculation can now be put to rest: Costco is planning to open a store in Clarksville as the anchor tenant for Freedom Farms, a 220-acre development between Governor’s Square Mall and Interstate 24.
The Clarksville-Montgomery County Economic Development Council confirmed the news to Clarksville Now, adding that the move is still pending Montgomery County Commission approval.
What is Freedom Farms?
Phase 1 of Freedom Farms includes 74 acres between Ted Crozier Sr. Boulevard and I-24. Costco will occupy 25 of those acres, the EDC said. The city and county will receive 100% of the sales tax generated from the surrounding commercial tenants on the remaining 200 acres.
The development will include both retail and residential parcels, with over 600 apartments and condominiums planned.
The developer, Oldacre McDonald, also plans to complete an extension of Spring Creek Parkway through their site and connect it with Ted Crozier Sr. Boulevard, taking on what was going to be a City of Clarksville expense.
Freedom Farms will be under construction in spring 2027, and Costco is expected to open in the spring of 2028. Additional co-tenants will be announced in the coming months.
What is Costco?
Costco is a membership-based warehouse club with hundreds of locations across 14 countries. Costco originated the warehouse club concept in 1976, and it has grown to become, in terms of sales, the second-largest global retailer and the largest operator of membership clubs worldwide. Membership costs $65 to $130 per year and includes a wide variety of discounts, access and exclusive deals.
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“With an average annual sales figure of $250 million, Costco is one of the most sought-after retailers in the nation,” the EDC said. “The Tennessee market consistently ranks among Costco’s best-performing regions, making this a strategic and impactful win for Clarksville.”
This will be the sixth Costco location in Middle Tennessee. There are five in the Nashville Metro area, including in Hendersonville, Murfreesboro and Brentwood.
Clarksville has been waiting a long time for a retailer of this caliber, said EDC President and CEO Buck Dellinger. “In knowing that Costco was a threshold regional retailer, we’ve worked diligently to remain competitive for this highly sought-after project with the hopes that it will bring in more desired businesses.”
Economic impact of Costco
Beyond the benefits in local shopping itself, Costco will have a major economic impact. The following figures from the EDC represent not only a financial windfall but also long-term benefits for the city, county and local school system through increased tax revenues and job creation.
- $55.2 million capital investment
- $250 million in estimated annual sales
- $6.2 million in annual sales tax revenue
- Clarksville-Montgomery County Schools will receive approximately $4.57 million annually
- Clarksville City Government will receive approximately $1.65 million annually
- 600 direct jobs and 201 indirect jobs
Those figures are for Costco alone and don’t include the dozens of other retailers the EDC is working to recruit to Freedom Farms.
‘Big win for our community’
Dellinger said Costco came thanks to “a strong collaboration and shared vision” of County Mayor Wes Golden, the County Commission, and the Industrial Development Board (IDB).
Golden called it a “big win for our community.”
“We are excited to welcome this leading retailer as the key anchor tenant of the Conference Center Complex in a new high-end retail development,” Golden said, referring to the adjacent convention center development planned along I-24 between Freedom Farms and Vanderbilt Clarksville Hospital.
”This project has been years in the making, made possible by strategic planning, collaboration, and a shared vision for growth,” Golden said. “Costco’s desire to open one of its limited number of new U.S. stores right here in Montgomery County is a prime example that our area continues to be an excellent destination for new companies and retailers to invest.”
Josh Ward, IDB executive director, said over 50,000 residents travel to Nashville to shop at Costco each year, which means Clarksville’s draw as a regional shopping destination will be amplified.
“Costco and the entire Freedom Farms development represent a generational project, bringing Nashville-level options right here to Montgomery County; enhancing our community today and shaping our city for years to come.”
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