Scheels, a North Dakota-based sporting goods retailer, is looking to open its first location in the Denver metro area.
The company is under contract for 14.4 acres at 700 W. Mineral Ave. in Littleton, where city leaders are set to vote on whether to provide tax incentives for the project that would extend for decades.
The proposed store would be part of Mineral Place, a retail and apartment development on 68 acres where a 680,000-square-foot office complex once stood. Costco has already committed to the site.
The project is being developed by Republic Investment Group, owned by Grant Nelson. He bought the site in December 2024 for $50 million and immediately resold portions of it to Costco ($5.8 million) and an apartment developer ($17.1 million).
Nelson, who didn’t respond to a request for comment on Monday, is now trying to reach a deal with Scheels.
Littleton staff describe Scheels in city documents as “a highly desirable retail destination that produces a high sales volume and creates significant sales tax revenue and brings hundreds of jobs to each location they operate.”
“As a result, new locations are coveted, competitive and often result in municipalities competing with incentive packages to be the next chosen location,” the documents prepared for city council state.
Littleton’s proposed incentives, which go before the city council this week, would give Scheels 54.67% of the sales tax the store generates over the next 30 years.
Nelson’s firm, meanwhile, would get another 5.33% of the sales tax until it receives $25 million. Thatap because Republic would be giving 14.36 acres to Scheels and building out the store’s parking lot and landscaping. The sales tax cut is intended to reimburse Republic for those costs, according to Littleton.
“The estimated cost of the land and improvements is approximately a $20 million value which are not entirely covered by the current bonding for the development and will necessitate the Developer to reissue bonds (modify debt) when they are first able in 2029,” city documents state.
Scheels would be responsible for constructing its building, according to Littleton. The store would be 300,000 square feet across two levels and cost at least $100 million, the city estimates.
“This Agreement poses no risk to the City, as there are no up-front funds being provided to the Applicant,” the documents state.
Littleton would get 40% of the store’s sales tax revenue until the deals expire. The city estimates the store would generate $135 million in revenue in its first full year and $200 million by year 10.
Scheels has 35 stores in 16 states. That includes Colorado, where the company has stores in Colorado Springs and Johnstown, both about an hour from Littleton.
The Colorado Springs store features a 65-foot indoor Ferris wheel and a 16,000-square-foot saltwater acquarium.
If the incentives are approved, Scheels expects to begin construction in the first quarter of 2027 and open in early 2029, according to Littleton.
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