Maumelle is getting a boost to its economy. The Higbee company, which is part of Dillards is taking over the old Target distribution center that closed last year.
Dillards and the Maumelle Chamber of Commerce are keeping very tight lipped, since it will officially be announced tomorrow. But the mayor says this will not just benefit Maumelle, but all of Central Arkansas.
It's been a slow real estate year for Crye-Leike Maumelle realtor Donna Dail.
"It's been down 10 percent," says Donna Dail.
But she hopes things will improve once Dillards moves into the Target building, that laid off 500 workers last year.
"If ten people buy, it will make a huge difference in percentages," says Dail.
Mayor Mike Watson says this has been in the works for the last four months. The city recently issued a $42 million bond to Higbee a company in Dillards.
"There is no city tax dollars being used. It will all come back to the Higbee company to the bond holders to pay for the purchase of the building and renovations of the building," says Watson.
The mayor and his staff cannot say much because they signed a confidentiality agreement with the company. But that's common practice according to Arkansas Business Internet Editor Lance Turner.
"Just in case any last minute snags take place, you've already promoted the deal and now it's not going to happen and they are trying to avoid that," says Turner.
With the new high school opening and new businesses close to the area, Watson says it's great news for the city.
"I think it will benefit restaurants in Maumelle and other stores so they can do shopping," says Watson.
A source close to Arkansas Business says the Dillards distribution center will employ up to 400 people.
The governor will make a formal announcement Wednesday at 10 a.m. at the community center.