I big +1 for Chattanooga, which bills itself as "America's Scenic City," and understandably so.
I've traveled all over the United States and never found a city with Chattanooga's "small-town manners, big-town nightlife and weekend life" charm. Add to that the fact that it is nestled between the Appalachian Mountains and Cumberland Plateau, and you have some absolutely beautiful scenery.
Chattanooga is also an interesting mish-mash of conservative and progressive. It's a hard thing to describe unless you visit. Overall, I would describe this part of the state as very pro-gun. I've even open-carried in downtown Chattanooga (around—but not in—such attractions as The Tennessee Aquarium and IMAX 3D Theatre) and never had a problem. Crime in Chattanooga doesn't seem to be too big a problem (I live in a suburb where I really don't need to lock my doors), though there are definitely parts of the city that aren't as safe as others.
Chattanooga is also very easy to get to. It sits where I-75, I-24, and I-59 all come together. Atlanta is a 1.5 hour drive. Knoxville is 1 hour, Nashville and Birmingham about 2 hours.
The only major issues I have with Tennessee's carry laws is that we can't carry in parks or restaurants that serve alcohol. The parks clause is in the process of being changed in the state legislature as I write this. Hopefully the restaurant prohibition will follow.
On the other hand, Tennessee does have a "safe harbor" provision on the books, which basically states that if you use a firearm to justifiably defend yourself from a deadly threat, you can't be prosecuted by the state even if you had a gun in an off-limits area (park, bar, school, etc.). Take from that what you will.
I highly recommend Tennessee to anyone who wants to live in a Free State. Give the eastern parts of the state a serious look. In my neck of the woods, we're solid Red. The state gets Bluer as you go west. Plus, eastern Tennessee is where all the beauty is (sorry all you Memphis dwellers, but it's true!).