Dick’s Sporting Goods

Madison Properties, which manages Coleman Marketplace, said Dick’s Sporting Goods will not renew its lease when it expires Jan. 31. The store will close at that location. It is not known whether the store will open at another location in the city. 

It looks like Coleman Marketplace will take another hit next month when Dick’s Sporting Goods closes.

The company has sent the shopping center’s management company its notice that it will not renew its lease, according to a representative with New York-based Madison Properties, which manages Coleman Marketplace.

Dick’s lease expires Jan. 31. Unless Dick’s and Madison Properties can come to an agreement, Dick’s will close next month.

“We’re still trying to work things out with them,” said Madison’s director of leasing Ariel Levy.

“This was a financial decision on Dick’s part,” Levy said. “It was based on their sales.”

He said he did not know whether Dick’s will re-open in another location in Danville.

“There is no truth whatsoever to us raising their rent,” Levy said, addressing rumors.

Dick’s Sporting Goods’ corporate headquarters did not respond to numerous voicemails and emails sent last week and Tuesday. A manager at the Danville store who declined to be identified would not comment for this story.

Just last week, Petco at Coleman Marketplace told the Danville Register & Bee it was closing Jan. 12. Dick’s will join a growing list of big-box retailers that have closed in the city, including Sears, Kmart, and Toys ‘R’ Us.

“It’s a shame,” Reidsville, North Carolina, resident Marlene Pegram said in the parking lot in front of Dick’s Tuesday. “That’s the only one close by.”

She and her husband, Tony, shop at Dick’s in Danville about every couple of months.

“We always come here instead of going to Greensboro,” Marlene said.

Ringgold resident Magin Sparks said the store’s prices are high, but it has items other retailers don’t carry.

“They … have things you can’t find at other places,” Sparks said. “I heard Dunham’s was putting them out of business.”

Dunham’s Sports is another sporting goods store located in Danville Mall.

City Manager Ken Larking said, “It’s unfortunate that Dick’s has decided to close their location in Danville.”

Larking added that the city prefers competition among retailers for more value for customers.

Dick’s Sporting Goods has been at Coleman Marketplace since June 2010.

Levy said Madison is negotiating with a retailer to fill the space when Dick’s leaves it empty. The management company also is trying to persuade Petco to stay at its location, he added.

“We’re very upset,” Levy said of Dick’s leaving Coleman Marketplace. “We tried our best to keep them there.”

Sales have lagged at Dick’s Sporting Goods Inc. nationwide. Sales online and at its stores declined by 3.9 percent for the three-month period that ended Nov. 3, The Wall Street Journal reported Nov. 28. The decrease was driven by weakness in the company’s hunting and electronics departments, according to the article.

Levy said several other big-box tenants at Coleman Marketplace are performing strongly.

In the case of Dick’s, the Danville area may not be a big enough market to support both Dunham’s and Dick’s, or both Petco and Pet Smart, he said.

Dick’s Sporting Goods was founded in 1948 and is based in Pittsburgh, Pennsylvania. As of Aug. 4, the company has 729 locations across the United States, according to its website.

John Crane reports for the Danville Register & Bee. Contact him at jcrane@registerbee.com or (434) 791-7987.

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