Dillard's Internet Fulfillment Center for Maumelle Will Employ 'Over 300'

by Arkansas Business Staff  on Wednesday, Dec. 22, 2010 9:58 am  

A view of the 852,000-SF center from Google Maps.

Leasing and Tax Incentives

On Monday, the Maumelle City Council approved a 30-year, $42 million bond issue to purchase and renovate the 852,000-SF building at 600 Carnahan Drive for The Higbee Co., a subsidiary that Dillard's owns.

Maumelle's bond issue will allow the city to purchase the property and building from Target and lease it to Dillard's.

Tuesday night, the Pulaski County Quorum Court approved a resolution endorsing the Dillard's center to receive state tax credits under the Consolidated Incentive Act of 2003. The resolution said Dillard's plans a capital investment in the facility of about $41.5 million.

Watson told ArkansasBusiness.com news partner Today's THV that the deal has been in the works for the last four months.

"There is no city tax dollars being used," Watson said in a report available here. "It will all come back to the Higbee company to the bond holders to pay for the purchase of the building and renovations of the building."

As of Jan. 30, Dillard's had six distribution centers, including a 400,000-SF center in Mabelvale. Other centers were in Gilbert, Ariz.; Valdosta, Ga.; Olathe, Kan.; Salisbury, N.C.; and Fort Worth, Texas. In all, it had about 2.6 million-SF of distribution space.

Publicly traded department store chain Dillard's (NYSE: DDS) purchased the Higbee department store chain in 1989. Higbee's had a dozen department stores in Ohio that were later rebranded as Dillard's stores.

 

 

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