Killeen, Texas, has long been recognized for its dynamic economic environment, significantly influenced by the presence of Fort Cavazos (formerly Fort Hood). This military installation employs nearly 60,000 individuals, including approximately 38,600 active-duty personnel, contributing an estimated $39 billion to the state’s economy. The base supports roughly 174,000 total jobs when accounting for indirect employment, defense contractors, and the broader supply chain.
Business Growth and Development
Beyond its military foundation, Killeen has experienced substantial business growth. Between April 1, 2025, and March 31, 2026, the city issued 278 certificates of occupancy, indicating a surge in new and expanding businesses across various sectors, including restaurants, retail stores, childcare centers, medical offices, and fitness facilities. Notably, 27% of these certificates were concentrated in the North Killeen Revitalization Area, a designated redevelopment zone offering incentives such as fee waivers, tax abatements, and utility improvements to encourage investment.
In downtown Killeen, the city’s participation in the Main Street America program has led to a more than 50% increase in foot traffic. This initiative has reduced vacancy rates from over 70% to just 18%, with over $15 million reinvested by local businesses. The area has welcomed numerous new establishments, added public art, and hosted festivals, contributing to the district’s revitalization.
Economic Indicators and Employment
The Killeen-Temple-Fort Hood metropolitan area has shown resilience in its employment figures. In March 2026, the region added 300 jobs, reflecting a positive trend in job creation. Over the past five years, the area has averaged about 212 new jobs per month, indicating steady economic growth.
Additionally, the Killeen Economic Development Corporation (KEDC) has been instrumental in attracting businesses to the area. A recent expansion by Z Modular in the Killeen Business Park is set to bring over 100 jobs to Bell County, with positions offering average salaries between $40,000 and $50,000.
Community Initiatives and Cultural Recognition
Killeen’s commitment to cultural and economic development is further exemplified by its designation as a Music Friendly Texas Certified Community by the Texas Music Office. This recognition underscores the city’s efforts to foster music-related economic development and job creation, enhancing its cultural landscape and supporting local artists and businesses.
Overall, Killeen’s economic landscape is characterized by a robust military presence, proactive business development strategies, and community-driven initiatives that collectively contribute to the city’s growth and prosperity.