Great lot located at the foot of Signal Mountain. CHATTANOOGA, also called the Scenic City, sits on the banks of the Tennessee River and it is located between the Appalachian Mountains and the Cumberland Plateau. Chattanooga, home of the University of Tennessee at Chattanooga, is 120 miles from Atlanta, GA and from Knoxville, TN. Chattanooga is a centrally located region for commerce. Tennessee has no income tax. Climate is temperate and has four distinct seasons.