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July 2004

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Wellington business ventures hit snags

By JoAn Bjarko
North Forty News

A predicted commercial boom in Wellington is taking longer than expected as plans for two new grocery stores fizzled and the owner of a new hardware store is still working on financing.

Partners behind a grocery venture on Wellington's west side are not giving up, however, and a hardware store could yet materialize along the interstate. The other grocer who wanted to open on the east side of Wellington, Larry Bean, has abandoned that plan.

Bean, the owner of L & I Family Market in Evans, wanted to open a second store at the Coal Creek Center on Sixth Street by leasing a building. "I just couldn't get the numbers to come together," Bean told the North Forty News. The grocery business is tough anyway, he explained, and the proposed lease was just too costly for him.

The independent grocer said he still thinks Wellington is a good location for a new store. "It has to be somebody better off financially than I am," he added.

Richard Seaworth, one of the partners in Wellington Groceries LLC, said their plan for Wellington Pointe fell apart when partner Richard Mooney decided to open a store in Pueblo instead. Groundbreaking for the Wellington store had been delayed, and the partners needed Mooney, who owns Overland Foods in LaPorte, for his expertise in the business.

Another partner, Anderson Construction president Doug Means, said they are continuing to talk with other grocers who may be interested in coming to the area. Means remains optimistic about the venture, noting that Wellington has waived permit fees and abated a future grocery store's town property taxes for five years.

Doug Andersen, who wants to build a hardware store along the Frontage Road east of I-25, said the town has approved his development plans, but he would need about $2 million just for infrastructure for the 40-acre site. The lot for the hardware store by itself is 3.5 acres.

"I can't balance on the back of a hardware store the cost of off-site improvements," he said.

Town administrator Larry Lorentzen said the town can approve development plans for single lots, but Andersen designed a multi-lot, commercial planned unit development. "You can't sell lots unless you have infrastructure to them," Lorentzen explained. That includes water, sewer, electricity, natural gas and roads.

Andersen, who is chairman of the volunteer Wellington Economic Development Association, said he is convinced more commercial ventures will locate in Wellington. "If I could get a hardware store out there, it would sell other people on the value of the location," he contended, noting that Wellington's market area has a population of about 8,000. "It's less expensive to buy land here than anywhere south of here."

Last December, Wellington received state approval of an expanded enterprise zone which gives qualifying businesses state tax credits. Andersen noted, however, that the credits won't help a new business until it is making a profit. The credits would help an established business that relocates to Wellington.

"I think we've done what we can," Lorentzen said about the town's efforts to attract business.

He noted the enterprise zone and the number of residential subdivisions that will provide customers for future businesses. The town also waives water and sewer tap fees and road impact fees on a case-by-case basis.

"We have a lot of people looking at things, but no requests for building permits," he said. The problem, he noted, is showing a commercial track record to financial institutions.

Andersen added that the volunteer WEDA members, who own businesses themselves, have little time to promote Wellington throughout the region. He would like the town to fund a paid employee who would work for WEDA.

"We're right on the cusp of seeing a lot of wonderful things," Andersen said.


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