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Fort Henry Mall Is Trading Storefronts for a Night Out

"The mall of our youth, the nostalgia malls, or like I say that you had a lot of interior retail, those days are past us there at the mall," John Mulherin of Hull Property Group told WJHL in September. "But that doesn't mean that the property is not viable."

Hull owns Fort Henry Mall, so this was the landlord speaking plainly. Mulherin said the mall's future is "big box, it's going to be entertainment, it's going to be restaurants and it's going to be outdoors." If you live in Kingsport, that changes what the building at 2101 Fort Henry Drive is for. The plan is to merge the empty storefronts into a few large venues that stay busy after dark. One of those venues has already opened, and the second will take apart a whole row of shops to fit.

Fifteen Shops Become One Tenant

On September 1, the Kingsport Economic Development Board announced that Tiebreakers is coming to the mall. It will be a 55,000-square-foot space on the first floor with a full arcade, bowling, laser tag and a separate restaurant. The restaurant will go into the vacant restaurant space on the theater side of the mall.

The construction work shows what the plan really is. Mulherin told the board that Hull has to "take 15 small shop spaces that are configured for small shops. They all have their own fire suppression system, electrical panel, plumbing, HVAC. We've got to disassemble every bit of that and come back and rebuild it."

Those 15 storefronts were the old mall: a phone store next to a candle shop next to a pretzel stand. Hull isn't hunting for 15 new small tenants. It is taking out the walls and the separate systems that made each space a shop and putting one venue in their place. Mulherin said Tiebreakers will push the mall above 50% occupancy.

Tiebreakers isn't new to the area. Its first location is in Johnson City, and founder and CEO Eric Hensley said the Kingsport venue will be "bigger and bolder," built to "draw guests back even if they've already visited us in Johnson City." The company also plans to keep expanding the Johnson City location. Steven Bower, Kingsport's economic development director, called Tiebreakers "the biggest regional player in family entertainment" and said the project "fills one of the largest gaps in the market."

The Theater Went First

In his announcement, Hensley credited "the momentum IMAX has already brought to Fort Henry Mall." That momentum showed up this summer.

NCG Kingsport & IMAX officially opened on July 17, 2026. The IMAX auditorium has 225 luxury reclining seats, a screen more than 70 feet wide and 40 feet tall, and a 4K laser projection system. At the ribbon cutting, Economic Development Board chair Craig Denison said Kingsport has a 50-mile exclusionary radius for this type of theater. That makes it a regional draw, not just a nicer screen for the neighborhood. He also said the project had taken "almost three years." NCG CEO Jeff Geiger said IMAX showings of Christopher Nolan's "The Odyssey" sold out locally from opening day through that Monday.

Next came the rest of the building. The theater closed for a full remodel that started Monday, August 17, and NCG planned to reopen for evening shows on Friday, August 28, if construction stayed on schedule. The planned work included:

  • A remodeled lobby, with the point of sale moved to the left as you walk in and the bar on the right
  • A full-service bar
  • Self-serve popcorn
  • Bigger food and drink menus
  • Reclining luxury seats in every auditorium

The upgrade grew along the way. A 2024 plan called for upgrading about half of the theater's seats. The August plan put reclining luxury seats in every auditorium. NCG's Kingsport page is listing current showtimes again. NCG didn't plan a formal grand reopening, so your first look at the new lobby will probably just be the next movie you see there.

The theater and Tiebreakers make a pair. A bar, recliners and a giant screen on one side of the building, and bowling, laser tag and a restaurant on the same side, add up to a full evening. A store can't keep someone in the building for an evening.

Who Pays for the Rebuild

Pulling out the plumbing and electrical in 15 storefronts costs real money, and three parties are splitting it. Under the development agreement the Economic Development Board approved:

  • City of Kingsport / KEDB: up to $1.7 million for demolition and buildout, paid over 10 years. The city also gets 15,000 square feet of the mall for its own use.
  • Hull Property Group: about $3.4 million for the same demolition and buildout.
  • Tiebreakers: about $4 million for its fit-out, furniture, fixtures and equipment.

That comes to about $9.1 million, and the city's share is a little under a fifth. The projections presented to the board estimated $6 million a year in sales, around 100 jobs and $133,000 a year in local option sales tax. If the city pays the full $1.7 million evenly over 10 years, that's about $170,000 a year. So the projected sales tax from Tiebreakers alone would cover most of the city's annual payment, before counting any extra spending at the theater next door or the 15,000 square feet the city keeps.

Mulherin has described the city partnership as a model. He told WJHL the project could become an example of "how do you redevelop a struggling mall in a small community, and using the investment and the co-investment with the municipality."

Fewer Storefronts, Bigger Tenants

The shift has been underway for longer than the theater news suggests. Here is how the mall has changed over the past 18 months:

  1. April 25, 2025: Rural King opened in the former JCPenney.
  2. June 6, 2025: The Kingsport Public Library cut the ribbon on a temporary branch inside the mall. As of October 3, 2026, the library's homepage still listed it as open at the mall.
  3. May 10, 2026: Kay Jewelers closed its mall store after more than 20 years.
  4. July 17, 2026: NCG Kingsport & IMAX opened.
  5. August 17–28, 2026: NCG's full remodel.
  6. September 1, 2026: Tiebreakers announced.

When the Times-News covered Kay's closing in May, it also listed other stores that had left over the previous two years: Cell World, Bath & Body Works, LensCrafters, Auntie Anne's, Claire's, Ruffles in the Mud, rue21, Appalachian Honey Boutique and FYE. Mulherin's description of the problem fits that list: "there's not enough tenants, too much space."

The tenants that did arrive are a farm and home store in an old department store anchor, a library branch and a renovated theater. All three are big spaces you make a trip for, which is the mix Hull says it's after.

The Next Few Months, and What Isn't Decided

Mulherin said interior demolition for Tiebreakers could start around October or November. If it does, you may see construction barriers along part of the first floor this fall and winter. The target opening is late spring 2027, and the deadline is set by the school calendar. "When school gets out, they want to be open, so we have to hustle," Mulherin said. That's a target, not a finished building, and it leaves about nine months to rebuild 15 storefronts.

The outside of the property is less settled. Eggs Up Grill, New York Butcher Shoppe and a third business were announced earlier for a restaurant outparcel. Hull later said that outparcel might move to make room for a possibly larger use on the former Sears parcel. A 2024 report mentioned a grocery store or a smaller warehouse club as options for the Sears site. No later announcement has named a tenant. In May 2026, Hull said it had interest in the outparcels but none had come through yet. In September, Mulherin said Hull was in preliminary talks with other businesses.

For now, the evening plan at Fort Henry Mall is a movie in a recliner, plus whatever the new lobby bar and menu offer. If the schedule holds, bowling and laser tag are expected by next summer. The breakfast spot, butcher shop and any new anchor are still only plans. You can follow other changes around town on Kim's Kingsport neighborhood page, including the new stop on the Greenbelt.

If you live near Fort Henry Drive and want to know where your home stands while the mall changes around you, Kim Leonard TN can help. Start with an instant home valuation, then call Kim to talk about what's changing on your side of town.

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