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Cabela’s Fails to Live Up to Promise

Gee. 

A few years ago, Washington County officials thought a $4 million lure, in the form of a subsidy to outdoor gear retailer Cabela’s, would help snare jobs and tax revenue.

But so far, this fish story is more like the one that got away.

After Cabela’s Inc. opened a huge store in Owatonna, Minn., the city of 23,000 lured a lot of nearby developments: a Comfort Inn and a Holiday Inn with an indoor water park; sit-down restaurants, including Famous Dave’s BBQ and Timber Lodge Steakhouse; and outlet stores such as Slumberland and Russell Stover candy.

But the Milwaukee-area Cabela’s has drawn few retailers since that 165,000-square-foot store opened in September 2006.

There’s a large Ashley Furniture store and a convenience store, which both opened in 2008, north of Cabela’s in the Washington County community of Richfield. There’s also a small strip center that, to date, has landed just two tenants: a Hallman Lindsay paint store and Peaceful Pets, which provides pet funeral services. Both opened last year.

That’s it. No hotels. No restaurants. No outlet stores.

I fought hard against the handout at the time (as did Doug Ziegler who is running for school board).  Since then Cabela’s did not create the jobs in its own business that it promised and has not been an engine for development.  Can the taxpayers get a refund?

Posted by Owen at 1021 hrs
Economy + Politics + Politics - Wisconsin

1. Since then Cabela’s did not create the jobs in its own business that it promised and has not been an engine for development.

   I could see holding them responsible for the internal jobs it promised that it did not create.  The fact that it hasn’t been an “engine for development” is a bit of a stretch.

   Posted by .(JavaScript must be enabled to view this email address) on January 31, 2010 at 1117 hrs
   
   
   

2. As I recall, the Hallman Lindsey paint store was a “relocate” from West Bend (in the center where Walgreens store is).  So that one isn’t really any gain.

   Posted by .(JavaScript must be enabled to view this email address) on January 31, 2010 at 1138 hrs
   
   
   

3. This is like the Pabst Farms development.  Lots of grand ideas not based in reality.  Take away questions…  with Meno Falls 10 minutes down the road with their Super 8 and Country Inn and the Hilton 5 minutes further, why would anyone even think of building a hotel by Cabela’s?  You could ask the same about restaurants with Meno Falls and Jackson/Slinger 10 minutes in the other directions up 41/45.

   I’m not familiar with Owatonna, MN, but I would bet they had a much different geographic proximity to other cities and developments.

   Posted by .(JavaScript must be enabled to view this email address) on January 31, 2010 at 1148 hrs
   
   
   

4. Was there any doubt this would happen when Cabela’s held their “job fair” in Brookfield?

   Posted by .(JavaScript must be enabled to view this email address) on January 31, 2010 at 1159 hrs
   
   
   

5. Doug Zieglar has been right a lot in the public debate about public use of $ and the interaction of business with out community

   -about the new hospital
   -about cabela’s
   -about the $ we could save in our school system

   he is a fiscal conservative- and a business man of impeccable standing for 40 years in the west Bend community

   which makes me wonder- why isn"t he being endorsed on this blog for the school board.

   your preferred candidates can’t match Doug in any area’s off community involvement-yet the Dynamic Duo get all the letters.

   Why is that?

   Posted by .(JavaScript must be enabled to view this email address) on January 31, 2010 at 1331 hrs
   
   
   

6. Mark Maley makes a very good point.  Doug has been great to this community and you endorse two guys with no experience and track record.  Randy Marquardt migh be ok, but Weigand is a moron.

   Posted by .(JavaScript must be enabled to view this email address) on January 31, 2010 at 1435 hrs
   
   
   

7. Um, I haven’t endorsed anyone.  I have said who I will probably support - pending getting to know all of the candidates - but I don’t do endorsements anymore.

   You guys need to back up a bit.

   Posted by Owen on January 31, 2010 at 1502 hrs
   
   
   

8. The paint store is another fine example of a company once again fleeing West Bend. If a company folds one can understand, but most relocate to an area within 10 miles.
   City hall toots its horn over the large residential growth, but that gets you expanded city services, we need to be out there networking dragging in business.
   We need new direction and somebody that has a clue how to do business in this century, community development is not about waiting for your phone to ring.

   Posted by .(JavaScript must be enabled to view this email address) on January 31, 2010 at 1502 hrs
   
   
   

9. BTW, Mark.  I agree with Ziegler on all three of those issues.  Do I get any credit?

   Posted by Owen on January 31, 2010 at 1507 hrs
   
   
   

10. Owatonna is 60 miles south of Minneapolis and has been developed as something of a destination for southern MN shopping.  I can’t imagine that model would apply as well to a suburban area.  I wonder how much that has impacted their success (or lack thereof) in Richfield.

    Posted by Joey on January 31, 2010 at 1628 hrs
    
    
    

11. It just goes to show that tax breaks in high-tax areas (which Washington County became to pay for Cabela’s subsidy) do not have a multiplying effect.

    Posted by steveegg on January 31, 2010 at 1724 hrs
    
    
    

12. Was it supposed to happen by magic or was someone suppose to follow up to develop it. Where was Washington County Development (people) efforts when 4 million was spent on this?

    Posted by .(JavaScript must be enabled to view this email address) on January 31, 2010 at 1918 hrs
    
    
    

13. Nobody on the county board had a personal financial interest so why would they get involved.
    We know a sleek new modern art museum is going to be built in West Bend, but they allow an old farmhouse to be moved next to it, the same area we spent millions knocking down old buildings. Developers will not risk millions on poor city planning.

    Posted by .(JavaScript must be enabled to view this email address) on January 31, 2010 at 2025 hrs
    
    
    

14. Owatonna also already had a very large and well trafficked outlet mall before Cabellas built there that served as a draw from the southern Twin Cities area and from northern Iowa. The development of the (rather small) water park came after the success of Cabellas.

    While I’m not familiar with the actual numbers, I’m willing to bet that the opening of the Cabellas store in Rogers, MN (just northwest of Minneapolis on I94) has negatively impacted the Owatonna volume. Still, given the number of Iowa plates on boat trailers in northern Minnesota and Wisconsin, I’m willing to bet that the Owatonna store does good business.

    Posted by .(JavaScript must be enabled to view this email address) on February 01, 2010 at 0057 hrs
    
    
    

15. When you say who you are going to vote for you are endorsing them.  You can split hairs and say that an endorsement is defined in such and such a way, but that won’t pass the smell test.  By saying that you will vote for someone and not for others you have taken a position.

    Posted by .(JavaScript must be enabled to view this email address) on February 01, 2010 at 1058 hrs
    
    
    

16. I’ve never understood why tax subsidies for business were so popular with conservatives who were going to pay for them. I do understand why those who are collecting the subsidy like them.

    Posted by .(JavaScript must be enabled to view this email address) on February 01, 2010 at 1242 hrs
    
    
    

17. “I’ve never understood why tax subsidies for business were so popular with conservatives who were going to pay for them.”

    I don’t like them, but given our tax climate in Wisconsin they seem to be a necessary evil.  Our standard rates are not attractive.  Without these incentives, we’d be in even worse shape.  The problem is the unthinking people who are usually left in charge of making the decision of when to use the incentives.  I love Cabela’s products (Sorry Gander), but I really don’t understand how someone could be so flipping stupid as to that that store at that location was going to cause a development surge.  I brain dead monkey should have been able to realize that this location was not far enough away from existing retail areas to cause new development.

    Posted by .(JavaScript must be enabled to view this email address) on February 01, 2010 at 1922 hrs
    
    
    

18. They have to have much further study about this and I don’t know if they can get the refund, depends.
    HOA management minnesota

    Posted by julian on February 25, 2010 at 1630 hrs
    
    
    

19. Before venturing to a big business, it must have feasibility studies.
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    Posted by jeen on March 02, 2010 at 0640 hrs
    
    
    

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