Developers have been working for more than a year on the pending revamp of Cullman Shopping Center, and now they’ve locked down the first new tenant.

Dick’s Sporting Goods has executed a lease for a “custom designed” retail store that will anchor the upcoming expansion of the center, which is owned by Birmingham-based developer Merchants Retail Partners (MRP). Officials say the store will be “the first of its kind” as part of a new effort to specialize locations to fit the local market.

“Having a first-in-class retailer like Dick’s Sporting Goods choose Cullman to reveal their latest store prototype will certainly generate excitement and lead the way for additional retailers who will follow in their footsteps,” MRP Development Partner Tim Gully said.

Dick’s is a national sporting goods retailer with more than 500 locations. The stores offer a wide variety of merchandise, including sporting goods equipment, footwear and clothing.

Cullman Mayor Max Townson said the announcement is the result of hard work on both sides — with the city involved as part of its first-ever tax-sharing agreement — and noted he’s anxious to see the project completed.

“Congratulations to the city council and everyone who has worked on this, because it’s been a drawn out process, and I’m glad to see it coming to fruition,” he said. “I think the citizens of Cullman will be proud of this development once it’s all completely finished. I think everybody has been anticipating some announcement, since we went into the agreement in September, and people are anxious to know what’s coming. When they’re finished, that center will look brand new.”

Along with the new addition, officials confirmed many existing tenants such as Belk and Shoe Dept. have extended their commitment to the redevelopment project, which will increase total square footage to more than 325,000 sq. feet of retail space. The company is also planning a full-scale renovation of the existing facilities to bring it up-to-date and in line with the aesthetics of the expansion.

The plan is to fully renovate and restore the existing facilities, then expand the development with new construction on the back side behind the vacant Food World location. Merchants Retail Partners is also reportedly eyeing some new, outparcel restaurants or businesses as part of the project.

The 50-year-old, U.S. Highway 31 development is currently anchored by major tenants Belk, JC Penney and Books-A-Million. Along with new retailers such as Dick’s, the company is also working to attract a new, high-end grocer to replace the shuttered Food World.

According to Cullman Economic Development Agency statistics, the project could create approximately 600 full- and part-time jobs once it is at full size.

Merchants Retail Partners manages several large-scale developments across the southeast, including the Tiger Town retail development in Opelika. Tiger Town is anchored by big box tenants such as Bed Bath and Beyond, Dick’s Sporting Goods, Kohl’s and Target.

“Our tagline for this project is ‘Be Inspired’, which is exactly how we feel about Cullman,” Merchants Retail Partners Principal Bill Leitner said.

In addition to representing a major reinvestment in the north Cullman property, the Cullman Shopping Center project also marks the city’s first-ever foray into a retail tax-sharing agreement as part of the recruitment incentive package.

The council agreed to a tax-sharing agreement with MRP last year worth up-to $6 million. Under the deal, businesses in the development will still pay sales tax, though the city will pay back some of those funds for a set period of time. The deal only affects city sales tax (1.75 percent) and does not include education taxes.

Current estimates show those amounts would total approximately $276,000 paid back via a portion of existing sales tax the first three years, with as much as $800,000 produced (and split) in the subsequent seven years from new development. The city also approved $1.8 million in infrastructure upgrades for the project earlier this year.

The Dick’s announcement also satisfies one of two contract requirements, by executing a lease with a national retail tenant for a space in excess of 33,000 square feet in less than 12 months from the agreement. The second requirement is to execute a lease with a national food chain operator in excess of 40,000 square feet.