finance
Billings Projects Open Doors for Retailers and Housing Operators
Developments on Zoo Drive, South Frontage Road and downtown sites are creating space for stores, bottling operations and apartment conversions that local operators can fill.
How we reported this
A $40 million AC Hotel Billings is rising at the former Rockman Building site with 140 rooms and a rooftop bar slated for summer 2027 completion. Nearby, the Old Billings Hardware Building conversion into 24 housing units plus commercial space begins in the first quarter of 2026 under city-approved Tax Increment Financing and finishes by summer 2027. These two projects, plus a 300,000-square-foot Coca-Cola bottling plant on South Frontage Road and a Tractor Supply Co. store behind the Costco on Zoo Drive, mark the largest wave of commercial construction in Billings in recent years.
Downtown Conversions Create Housing and Retail Space
The Old Billings Hardware Building reuse and the AC Hotel both target downtown foot traffic. The hardware conversion adds ground-floor commercial square footage that can house new tenants once work starts next year. The seven-story Marriott will bring 140 guest rooms and a rooftop bar that can draw visitors to nearby retailers. City records show the Tax Increment Financing package for the hardware project was approved to speed the shift from vacant industrial space to mixed-use occupancy by summer 2027.
Developers already positioned on these sites stand to capture early lease income. Retail operators seeking downtown visibility can track the hardware building timeline for available storefronts once construction begins in the first quarter of 2026.
West End and Industrial Sites Draw National Tenants
The new Tractor Supply Co. store on Zoo Drive sits directly behind the existing Costco, giving the retailer immediate access to West End shoppers already traveling that corridor. The 300,000-square-foot Coca-Cola distribution facility on South Frontage Road is scheduled to reach full occupancy between June and August 2026. Both projects place national chains in high-traffic zones where local suppliers and service firms can secure contracts for deliveries, maintenance and staffing.
The Futurity Tower, a 12-story mass timber building that will become the fourth-tallest structure in Montana, adds further retail and housing inventory once complete. Its location downtown extends the same opportunity pattern already visible at the hardware and hotel sites.
Businesses evaluating expansion can review the listed project timelines on city planning documents and contact property managers for the South Frontage Road and Zoo Drive sites to discuss available vendor or sublease space ahead of the 2026 occupancy windows.
This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.