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A second Walmart could be coming to Celina.
Celina City Council approved an economic development agreement with Wal-Mart Real Estate Business Trust at a July 14 council meeting.
The move comes less than three months after the city’s first Walmart opened off Preston Road on April 29.
The approach
In exchange for building a second store in Celina, Walmart is set to receive up to $5.1 million in incentives, according to the agreement.
To qualify for the incentive, Walmart must meet several criteria outlined in the economic development agreement.
Walmart must purchase an approximately 40-acre site in the northwest quadrant of Celina by Dec. 31, but the agreement does not specify when the store must be constructed.
The planned store will be at least 150,000 square feet and requires a minimum $25 million investment from Walmart, not including the cost of the land, according to the agreement.
Once the store is built, Walmart has to maintain at least 120 full-time employees for the duration of the agreement.
Breaking it down
The city of Celina and the Celina Economic Development Corp. will each give Walmart a 50% sales tax reimbursement grant for 10 years, according to the agreement
The city, which receives 1 cent on the dollar in sales tax, will cap its reimbursement at $3.4 million. The CEDC, which receives half a cent on the dollar in sales tax, will cap its reimbursement at $1.7 million.
The city and the CEDC are expected to break even on the development incentive after seven years of the store’s operation, CEDC Executive Director Anthony Satarino said.
Quote of note
City officials agreed to make an upfront investment to attract a second Walmart in the hopes that the store will generate sales tax revenue not only from Celina residents, but also from residents of nearby cities, they said.
“We’re going to build the best Walmart we can so every resident of Pilot Point comes and visits Celina and shops at Walmart,” Mayor Ryan Tubbs said. “That is definitely what we look for in securing these types of retailers inside of our boundaries, so that we cause sales tax leakage for our lovely neighbors.”
