Cabela's

[Pete]

It's just that I always hear about REI in the context of the activities (bicycling, Crossfit, Paleo diet) I read about and a great deal of this is centered in the Western third of the country so REI and Trader Joes automatically trigger "West Coast" in my brain. Just my perception based on being a life-long, land-locked Okie.

REI is based in Washington and the large majority of it's stores are in the Western U.S.

In California alone there are 28.

[Zuplar]

Can you take dogs into Cabelas? I've only been when out of town so I didn't know. Sometimes that's half the reason I go to Bass Pro, just to walk the dog indoors.

[Pete]

It's official:

It's True! Cabelas is coming to Chisholm Creek!

"Construction on the 80,000-square-foot store – Cabela’s first Oklahoma location – is scheduled to begin later this year and the company anticipates a fall 2015 opening. The store will be located in the newly planned Chisholm Creek development near the John Kilpatrick Turnpike at N. Western Avenue.

“Cabela’s couldn’t be more excited to announce our first Oklahoma location,” Millner said. “Customers across Oklahoma have been asking us to bring a Cabela’s store to the state for years and we look forward to bringing them the extraordinary Cabela’s experience.”

The store will employ approximately 180 full-time and part-time employees, with most coming from Oklahoma City and the surrounding area.

The building will be built in Cabela’s next-generation layout and feature a mountain replica, museum-quality wildlife displays, indoor archery range and archery teach room, deli, Gun Library, Fudge Shop and Bargain Cave. Additionally, it will offer a full-service boat shop and a comprehensive selection of Wildlife and Land Management products, including tractors, attachments and implements."

[UnFrSaKn]

Cabela's confirms store in northwest OKC | News OK

[zookeeper]

I thought this is the appropriate thread instead of the Chisholm Creek Development.

Does this look like a company that needs a $3.5 million tax break to do business in Oklahoma City?




Nothing like contributing our tax dollars to the compensation of this executive team.

[Pete]

Zoo, Ed is in your corner:


Game for OKC: Cabela’s picks site; incentive deal could be worth $3.5M
By: Brian Brus The Journal Record June 4, 2014

OKLAHOMA CITY – Cabela’s Inc. has announced that it intends to build an outdoor sporting goods store in north Oklahoma City. The news came one week after the City Council granted permission to the Economic Development Trust to negotiate development incentives.

Councilman Ed Shadid said the timing suggests negotiations were well underway before the trust was given approval, and that the incentives amount to corporate blackmail.

However, Brent Bryant, the city’s economic development program manager, said the nature of such negotiations requires discussion ahead of public announcements – in this case, city officials had been talking with Cabela’s representatives for two to three months. The package still under consideration is worth about $3.5 million in tax benefits over two years, based on sales performance, he said.

Cabela’s spokesman Nathan Borowski said the sports retail chain has been interested in the Oklahoma City metropolitan market for several years. The intended site for an 80,000-square-foot store is near the John Kilpatrick Turnpike at N. Western Avenue in the Chisholm Creek development area. The company has already scheduled construction to begin this year, with a fall 2015 opening anticipated.

Borowski said that, because of market competition, he couldn’t discuss the incentives until after a final deal is reached.

Shadid said that if the company already sees so much value in Oklahoma City, incentives are unnecessary.

“They were coming here regardless, and you don’t incentivize what’s already going to happen,” Shadid said. “They’re saying, ‘We want to come to Oklahoma City. We will be successful and profitable. But if we don’t get $3.5 million from you, we might go to Yukon or some other municipality.’ That’s blackmail to keep us from losing sales tax.”

According to the accountability policy resource center GoodJobsFirst.org, the Nebraska-based retailer has received at least 16 government incentive packages since 1995 worth millions of dollars. Rogers, Minnesota, for example, arranged a $3.5 million tax credit/rebate and grant in 2005. Sidney, Nebraska, provided $188,000 in tax increment financing in 2011, while neighboring North Platte, Nebraska, provided the same amount to Cabela’s catalog operations.

“That’s the business model, and they’ll keep using it unless we take a stand and say, no,” Shadid said. “It’s the only way you stop a bully.”

Cathy O’Connor, president and CEO of the Alliance for Economic Development of Oklahoma City, said Cabela’s did not reveal any other potential development sites, but that it was always assumed the city was in direct competition with its metro neighbors.

Bryant said Cabela’s representatives addressed Oklahoma City officials with a site in mind only after lengthy market research of the metro area. He called the incentives a significant factor in choosing Oklahoma City.

“I’m happy that they’re coming to our city limits,” Bryant said. “It helps us expand our sales tax base, which helps us pay for public services.”

The company now operates 56 stores across North America and has announced plans to open an additional 21 over the next two years. In addition to Oklahoma City, this week Cabela’s announced plans to open stores in Huntsville, Alabama, and Woodbury, New York.

The Oklahoma City store will be built with design elements that include museum-quality wildlife displays, an indoor archery range, deli, fudge shop, and full-service boat shop. Inventory at the site will be weighted to reflect catalog sales from consumers in the market, Borowski said. The store will employ about 180 people.

Borowski said the next nearest Cabela’s shop is in Wichita, Kansas.

Shadid said he’s afraid the company will cannibalize sales from other sports retailers in the city rather than generate new sales by drawing consumers from farther away.

[kevinpate]

I understand the points of why offer the incentives. the answer is not complicated.
True, it would appear the store is coming to the metro anyway.
So the only remaining question is, does OKC want a Cabela's in OKC, or does OKC want a Cabela's in Norman, Moore, MWC, Yukon or Edmond.
I don't doubt for one second if OKC had said no, another nearby city would have stepped up, and then sent out thank you cards to OKC for making that decision.

[Pete]

The City has also been working on incentives for Costco.

When they decide to come to OKC, you can bet millions more will be paid out.

[bluedogok]

I know the Cabela's stores in Buda, Texas (South Austin) and Lone Tree and Thornton, Colorado (Denver) all have been built with incentives, I think the one on I-35W in North Texas was built with incentives as well. With large, destination type stores that is just a fact of life in the business climate of today.

[BoulderSooner]

Incentives will be paid back in year 1 and this is a huge sales tax generator. This is a no brainer.

[zookeeper]

Pete, Thanks for posting the article from the Journal Record. I'm no fan of Ed Shadid. I made that point perfectly clear when he was running for mayor. However, I'm glad to see his seeing through this kind of thing and taking a stand. Love him or hate him, he makes some good points about this issue.

BoulderSooner, It's not a no-brainer if you consider the purpose of municipal government. It's not to pay bribes to corporate fat cats who know they can get away with it, because the people accept it. If you saw their executive compensation I posted earlier, it's not a matter of "need", it's a matter of greed and generating higher profits off the backs of municipalities who stupidly go along with this nonsense.

Simple question. Do any of you not agree that they do this only because they can? Is there anybody here who really thinks Cabela's needs this tax break? If it's the former, then it's immoral, unethical, and the people should not so easily throw up their arms and say, "it's done everywhere." So what? It needs to stop everywhere.

[kevinpate]

It needs to stop everywhere.

No disagreement. So does murder, political and other graft, racism, and a host of other things that do no benefit mankind. Trouble is, mankind is flawed at its core. So as noted before, is a city illing to stand and say nope, no more, knowing full well its surrounding neighbors will gladly write the a check today, for the long term benefits to come for years and years after.

[mugofbeer]

Well, Zookeep, you can wish and hlpe but its not going to stop. Personally, I see this as nothing more than an investment - just like Bricktown was an Investment. Its paid off in spdes and, hopefully, Cabella's will pay off, too.

[jn1780]

There's is always going to be that one city/individual who tries to sweeten the pot and provide incentives to get a major retailer to come to their city regardless of whether they believed that company actually needed the money or not. (Because all people are "Flawed" like Kevin said).

They do this because one of the roles of the city government is to promote commerce. The city basically has a big pile of cash set of side for incentives that says "Come and get it if you think your worthy".

[bluedogok]

No disagreement. So does murder, political and other graft, racism, and a host of other things that do no benefit mankind. Trouble is, mankind is flawed at its core. So as noted before, is a city illing to stand and say nope, no more, knowing full well its surrounding neighbors will gladly write the a check today, for the long term benefits to come for years and years after.

Yep, Ikea located in Round Rock, Frisco and Centennial because of incentives. Dallas said wait a minute to Jerry Jones and the City of Arlington stepped in with bonds for a quarter of the financing for Cowboys Stadium which are being paid back back ahead of schedule. It is not something new, it has been going on in business for a long, long time.

Whether it should happen or not, is a different discussion.

[Dubya61]

I've always bought the idea that "it's paid back shortly", but how is it paid back and what is lost?
More specifically, what is Cabelas getting from us (and/or what are we losing with this deal), and how do we see a return on that investment?

[Zuplar]

So I can tell that several people were concerned about the dog policy, looks like they don't allow them, according to their website.

https://cabelas.custhelp.com/app/ans...WTlUMkUzV2w%3D

I feel as though this is bad policy as their main competitor, Bass Pro, allows them. I can't tell you how many times I went to Bass Pro simple because I had the dog with me, and decided to browse because I was looking for something to do. I know I'm not the only one, on the weekends at Bass Pro there are always several dogs in the store. Oh well, this means the only times I'll ever go is if I am specifically looking for something that Bass Pro doesn't have.

[Richard at Remax]

As a person with dog allergies, Thank you Cabela's.

[Soonerman]

So I can tell that several people were concerned about the dog policy, looks like they don't allow them, according to their website.

https://cabelas.custhelp.com/app/ans...WTlUMkUzV2w%3D

I feel as though this is bad policy as their main competitor, Bass Pro, allows them. I can't tell you how many times I went to Bass Pro simple because I had the dog with me, and decided to browse because I was looking for something to do. I know I'm not the only one, on the weekends at Bass Pro there are always several dogs in the store. Oh well, this means the only times I'll ever go is if I am specifically looking for something that Bass Pro doesn't have.

I believe Academy allows dogs in their stores. At least they did when I worked there.

[Plutonic Panda]

We're officially on their website as coming soon.

Retail Stores : Cabela's

[GaryOKC6]

Well, Zookeep, you can wish and hlpe but its not going to stop. Personally, I see this as nothing more than an investment - just like Bricktown was an Investment. Its paid off in spdes and, hopefully, Cabella's will pay off, too.

you are absolutely right. Cabela's will pay off. Some cities do it more than others. Lets take Moore for example. They were struggling and along came Warren Theatre. Warren first approached Norman. Norman handed Warren a huge stack of paper and said "fill this out and we will get back with you". Warren then went to Moore who threw their arms around them and said "what can we do to get you here" Today there is a huge retail mixture around the Warren and that huge sucking sound that you hear is sales tax dollars being sucked from OKC and Norman. OKC has come around as well. Edmond has a high demographic dollar value group who will bring their money to Cabela's. The fact is that cities live and die by sales tax and in this case OKC will be on the receiving end with this great addition to CC.

[FritterGirl]

Is there much of a difference between Bass Pro and Cabela's in terms of their merchandise? Seems like the same ole guns, fishing and hunting gear store. We had an outdoor store (can't remember the name) on Memorial west of Penn where the Gold's is now, but it did't last long. I'm more of an REI-type of girl myself so would hope we could add that into our retail mix.


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[Pete]

^

From what I understand, Cabela's is slightly more upscale, particularly with it's own brand of clothing. Bass Pro is more heavily slanted towards fishing, while Cabela's is more hunting / outdoors.

But neither are much like REI, apart from having a pretty big camping selection.

[FritterGirl]

Keep in mind that Gander Mountain has already made public announcements about planning to come to OKC and I've heard from good sources REI is looking, too.

REI is the absolute bomb; almost a cult-like following. Their new CEO is from Stillwater and an OSU and OU Law grad.

Missed this post. Now THIS sounds promising!

^

From what I understand, Cabela's is slightly more upscale, particularly with it's own brand of clothing. Bass Pro is more heavily slanted towards fishing, while Cabela's is more hunting / outdoors.

But neither are much like REI, apart from having a pretty big camping selection.

I've never felt Bass Pro has had much in the way of camping, even in their headquarters store in Springfield. And much of what they did have was pretty pricey, even for brands I've used before. Wasn't really impressed.

[Pete]

Frittergirl, I seriously doubt Cabela's will hold much more interest for you than Bass Pro. Frankly, I went into the BP in Bricktown once and never returned. Just not my kind of place.

REI on the otherhand is a whole different breed of cat. And for that reason, I think they would do great in OKC and provide the market something different.