Jamestown, ND (KCSi-T.V. News) — The Jamestown City Council met in Special Session Wednesday (Oct 9, 2013) at 4-p.m., at City Hall, to discuss economic indicators in Jamestown. All members were present.
Areas of discussion included:
Areas of discussion included:
Receiving information concerning certain economic indicators in the Jamestown Trade Area.
Mayor Andersen said a developers agreement was signed concerning the site development plan, which includes a “retail leakage study,” in Jamestown.
She noted that some information may be confidential concerning dealing with businesses that may be looking to locate in Jamestown, but that the city will conduct business in public as much as possible. Developers on hand explained working with retailers in the upper midwest, with a home improvement “leakage” study, with Jamestown in need of a major home improvement store.
Real Estate Developer, Drew Snyder, President at Woodsonia Real Estate Group Inc, Omaha, Nebraska, the firm hired for the study said Jamestown is under served concerning home improvement stores, such as Lowes, Home Depot, and Menards.
He presented information on Jamestown and Stutsman County census data, showing stagnant growth. He said unemployment is low in the area, which can be a negative to retailers in terms of available workers to staff stores.
He pointed out that the recent Jamestown Taxable Sales was $251 million, of which $4.4 million was in home improvement sales, which he said is extremely low, or 1.8 percent, amounting to $88,000 in sales taxes, annually.
The Jamestown home improvement store sales “leakage” is about $56 million and $1.1 million in sales taxes.
The percentage is compared to Brookings, and Mitchell, South Dakota, and North Platte, Nebraska, comparable to Jamestown.
He defined a “trade area,” where an area generates most of its sales. He said a 50-mile radius of Jamestown is from where shoppers will come to Jamestown.
He said sales not captured, going to Bismarck or Fargo is 61% or about $510,000,000 is going out of town.
Snyder also said Woodsonia has reached a purchase agreement with Liechty Associates to purchase a 65-acre site west of the Buffalo Mall and south of U.S. Interstate 94
The interested home improvement store would require 20- acres and the balance could be used for other retailers and ancillary service providers. Those could include hotels restaurants and fashion stores.
Snyder said his company is still in negotiations with a home improvement retailer.
It was explained that with infrastructure, water and sewer is suitable, with improvements needed in the area of surrounding roads, including road extensions and adding a proposed roadway.
Snyder said the data has been presented to the big three home improvement stores.
Mayor Andersen said that potential contracts will be reviewed by the city and store officials. She said, one retailer, not named, has shown “significant interest,” in Jamestown. At one point in the meeting the area was referenced as “the Menard’s site.”
Snyder said the timeline is for an announcement in the first quarter of 2014 and an opening date for the actual retailer in early 2015.
The meeting was shown live on CSi 67 followed by replays.
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