Construction has begun on a new facility at Richardson's Harley Davidson, Prospect.
Tasmanian Motorcycle Warehouse will be renamed House of Motorcycles and a new expansion warehouse will be erected on the site.
Richardson's Harley Davidson marketing and events manager Lindelle Banks said with the growth of the business in the past three years meant it was time to expand facilities.
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"The new store will be absolutely magnificent. It will be a state of the art design, modern, spacious, organised and very customer focused," she said.
"We are all excited about the new chapter ... and [we] still have many other chapters to write with our growing business, we are very grateful that the Tasmanian community has supported us over the last 45 years."
The Tasmanian Motorcycle Warehouse has operated on its Prospect site since 1976.
The new building is being constructed alongside the complex and will be connected via an airbridge.
It will feature a mezzanine overlooking the retail space below, customer lounge, bike workshop with a storage space for customer motorbikes.
The total size of the new building will be 1308 square metres.
"House of Motorcycles will house Tasmania's largest and most comprehensive range of motorcycles covering Cruiser's, Sports Bikes, Farm Bikes ATVs UTVs, Dirt Bikes, Scramble Bikes, Trail Bikes, Adventure Tours plus a massive range of quality pre-owned bikes," Ms Banks said.
The new site is expected to be complete by June or July 2020.