Downtown Kingman to get retail boost
KINGMAN – Dollar General was issued a building permit in December for construction of a new 7,500-square-foot building at 525 W. Beale St., a welcome addition for the downtown area in dire need of retail stores selling general merchandise and food items.
The permit was issued to DG Fenn Construction of Phoenix for a total fee of $12,237 and building valuation of $495,000.
Calls to Dollar General and DG Fenn for further details, including a timeline for construction, were not returned.
Based in Goodlettsville, Tennessee, Dollar General operates more than 13,000 stores in 43 states, including three in Kingman. The store sells food, cleaning supplies, health and beauty products, limited clothing, housewares and other frequently used items.
Jim McErlean, building official for the city of Kingman, said grading has begun on the 50,433-square-foot lot, and the storefront will be similar to the Dollar General on Stockton Hill Road. It’s a metal building with a 21-foot height.
The lot was acquired from Kingman Unified School District, and has been split into smaller parcels, McErlean said
“It’ll definitely fill a vacant lot and give people downtown someplace to go,” he said. “Certainly it will attract more traffic. It sounds like it’s going to be good for downtown. People have to go up on the hill (Stockton Hill Road) to Safeway or go to Circle K.”
In its third-quarter earnings report, Dollar General said it plans to open about 1,000 new stores in fiscal 2017, and plans to remodel or relocate 900 stores, increasing square footage by about 7.5 percent.
The company reported net income of $235 million, or 84 cents a share, for the third quarter, compared with $253 million, or 86 cents a share, in third quarter 2015.
The “challenging retail environment” contributed to weakness in same-store sales and financial performance, Dollar General Chief Executive Officer Todd Vasos said in a company statement.
The company is focused on driving traffic in stores and controlling factors that can be controlled, many of which are macroeconomic and transitory in nature, he said.
“We continue to believe that our business model is strong given our value proposition to our customers,” Vasos said. “We are investing in accelerated new store growth with excellent returns, as well as the infrastructure to support this growth, while continuing to return cash to shareholders.”