CarMax, one of the nation's largest used car retailers, broke ground Monday on a superstore near Hamilton Place mall.
The $15 million to $25 million facility is expected to open by early 2012, according to the company.
Company spokeswoman Elia C. Imler said the store will have a 36,000-square-foot showroom on an eight-acre site on Overnite Drive.
It is expected to employ between 50 and 75 employees.
CarMax operates 103 used car superstores in 49 metropolitan areas.
Chattanooga-based Krystal has broken ground on a restaurant on South Broad Street.
The store across the street from an existing Krystal, will be more convenient for workers traveling Broad to downtown jobs, and it will be larger than the current store that has an older design.
It's part of an expansion in Chattanooga the company began in July 2010 with the construction of a restaurant on Amnicola Highway.
Other restaurants under way include locations in East Brainerd and Cleveland, Tenn., officials have said.
The construction boomlet follows a 10-year period when the company built no restaurants in the city.