The architect's drawing of the new Ashley store and KWF Clearance Center.

KNOXVILLE, Tenn. — Knoxville Wholesale Furniture has announced a three-pronged expansion strategy that, according to the company, could add $20 million in sales and significantly grow market share in its home market here.

The expansion, which coincides with the Knoxville Wholesale’s 30th anniversary, will include the opening of a second Ashley HomeStore, major expansion of the company’s distribution center and an extension of the Luxury Brands gallery at the flagship store that will grow the area to nearly half the total showroom space.

Tyler Harris, left, president, and Tim Harris, chairman

“These three areas of expansion will give us four great locations with more than 350,000 square feet of showroom in Knoxville,” said Tim Harris, chairman of Knoxville Wholesale Furniture. “We think this could put us on a path to add more than $20 million in sales and create an even stronger position in the Knoxville market. Our community will also benefit with the addition of 40 new jobs.”

Within its 122,000-square-foot flagship store the company will expand its Luxury Brands area to 52,000 square feet, more than 40% of the site’s total space. Harris identified the luxury segment as a major growth area for the company and one it has identified as an under-served segment in the market.

“We feel that there is a tremendous need and opportunity to give the people of East Tennessee the finest furniture available,” said Harris.

Brands selected for this area include: Hooker, Bernhardt, Vanguard, Huntington House, Universal, Bradington-Young, A.R.T. Furniture, Sam Moore, Carolina Custom Leather, Theodore Alexander, Paula Deen, Uttermost, Currey and Company, Regina Andrew, Barcalounger, Kincaid and Napa. In the outdoor segment, brands merchandised in the luxury brands area will include Castelle, Lane Venture, Coastal Living, Bernhardt and Sunset West.

“This area will be like some of the finest high-end stores in America. The difference being, we are going to stock everything that we show in our expanded distribution center,” said Harris. The luxury brands area will be completed by August of this year.

The company is also openings its second Ashley HomeStore in Knoxville, located adjacent to West Town Mall with visibility from the heavily trafficked US I-40. Housed in a 96,000-square-foot facility, the location will include a 62,000-square-foot Ashley HomeStore and a 34,000-square-foot clearance center.

“We have already begun repairs to the current building in preparation for a $5 million makeover,” said Harris. “This will give us more than 100,000 square feet of Ashley showroom space, and we plan to increase our advertising budget to take these two stores to the top.”

The grand opening for the new stores is slated for the first quarter of 2023.

The KWF Distribution Center “add-on” of 82,000 square feet, making it more than 200,000 square feet.

To support this growth, Knoxville Wholesale is adding 82,000 square feet to its distribution center, giving the company 200,000 square feet of racked space. According to Harris, the company’s ability to deliver when others could not has been a major competitive advantage during the pandemic.

“As you know we did not close at all during the pandemic,” Harris said. “The result was the best 22 months of business that we have ever had. We didn’t have to cancel our orders and then restart three or four months later. Our sales were great, but more importantly we had the inventory to deliver immediately to our customers. We were able not only to increase sales but have delivered sales of more than $61 million. This was more than a 21% growth rate in less than two years.”

Harris noted that the additional capacity will allow the company to offer same-day delivery, an increasingly popular option with today’s consumers.

I’m Bill McLoughlin, Editor in Chief at Furniture Today and Editorial Director for BridgeTower Media's Home Furnishings Division. In the more than 25 years I’ve covered retail I've seen tremendous changes in the way people shop and the way companies serve the consumer. My goal is to share that experience and the insights gained along the way. This is an industry made great by its people and I look forward to meeting and conversing with as many of you as I can. Your comments are always welcome and encouraged.

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