Holiday shopping numbers show Lawrence did better than most but still lagging expectations; heading off an American Eagle Outfitters rumor
This is the time of year where you are thinking about Valentine’s Day shopping. (Don’t mind that sudden noise. It is just the sound of 20,000 male cellphones trying to call a flower shop all at once.) But at Lawrence City Hall, they’re still thinking about the Christmas shopping season. New sales tax numbers are in that show Lawrence shoppers were merrier than most but still may not have been merry enough.
State revenue officials have sent January sales tax checks to cities across the state. Those checks are for sales taxes that actually were collected mostly in November — or in other words, the start of the holiday shopping season. (And yes, it was allowable to start early for Valentine’s Day too, although it will be great fun perusing the candy aisle of your favorite convenience store on Sunday.)
The sales tax numbers from the state show that sales tax collections were up 0.8 percent in Lawrence during that early holiday shopping season. The good news is that those numbers are better than those posted by many of the state’s other retail centers. The concerning news, though, is the city is betting on sales tax growth far greater than 0.8 percent for 2016. To meet its budget, the city needs to see sales tax growth closer to 5 percent.
Here’s a look at some of the numbers and how Lawrence stacks up to other area communities:
• Lawrence: up 0.8 percent
• Kansas City: down 1 percent
• Sedgwick County: down 0.8 percent
• Johnson County: up 0.9 percent
• Salina: down 4.8 percent
• Manhattan: down 3.8 percent
• Lenexa: down 4.3 percent
• Topeka: down 0.7 percent
• Overland Park: up 1.3 percent
• Olathe: up 0.2 percent
• City of Shawnee: up 23.5 percent
With the exception of Shawnee — where consumers there must shop ahead for both Valentine’s Day and Presidents Day — Lawrence’s numbers stack up well.(UPDATE: I’ve figured out the Shawnee numbers. The state’s report was incorrect in one regard. It did not note that Shawnee’s sales tax rate increased as part of street improvement program. So, sales taxes collections have increased, but that’s primarily because the rate has increased. The Journal-World’s sister publication, The Shawnee Dispatch, had an article on that recently.)
But as I noted earlier, Lawrence will need to see better months than this one, if it hopes to meet its aggressive sales tax projections for 2016. City officials are projecting a 5 percent sales tax growth. The city finished 2015 with a 4.7 percent sales tax growth. The city more typically has counted on 3 percent sales tax growth to make its budgets.
But as city officials have previously noted, 2016 will be the first full year of sales tax collections with both Dick’s Sporting Goods and Menards in town. There is a hope that the addition of those two big box retailers will keep some retail dollars in town that otherwise have been leaving the community. That seems to be a good bet, but what is less certain is whether the overall economy will hold up and put shoppers in a spending mood.
Traditionally, a drop in gasoline prices has been a good thing for Lawrence retailers. It is tough to say whether that will be the case this year.
In other news and notes from around town:
• Part of my exciting lifestyle involves watching the Douglas County land transfers that show which pieces of property have recently changed hands. I know some of you also watch those because we’ve found ourselves in the same lonely corner at cocktail parties. The most recent listing from the county courthouse may have an entry that catches your eye: A group called American Eagle Properties Inc. has bought land in the Bauer Farm shopping center development near Sixth and Wakarusa.
There’s of course a national retail chain called American Eagle Outfitters, but as I told my wife when she was warming up the forklift to make more room in the closet, I don’t think this deal is a sign that American Eagle Outfitters is coming to town.
Instead, I did a little bit of searching, and found that American Eagle Properties appears to be more of a run-of-the-mill land holding company owned by a Colorado investor. According to media reports, it looks like the operator of American Eagle Properties used to own a Colorado-based beer distributorship that had American Eagle in its name.
As for what may go on the vacant property, I haven’t heard of any plans yet. It may be that the property just changed hands for investment purposes, but I’ll keep my eyes open for signs of any new projects.
If you have driven by the Bauer Farm property lately, you probably noticed there is a large amount of dirt work underway near the corner of Sixth and Folks Road. As we’ve previously reported, an apartment complex is going in near that location. I also have word that a credit union is building near the corner as well. I’m still gathering some information about that project, and I also hope to soon have a rendering to share of what the new apartment complex will look like.






