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L&M Fleet opens $50 million Grand Rapids distribution center

More growth is on the horizon for the family-owned sporting goods company, which also recently launched its 13th retail location in Michigan.

The black and red exterior of L&M Fleet Supply's new distribution center from a snowy parking lot.
The new 200,000-square-foot L&M Fleet Supply distribution center is located at 1200 US-169, in the industrial park of Grand Rapids, Minn., as seen on Thursday, Feb. 6.
Contributed / L&M Fleet Supply

GRAND RAPIDS — L&M Fleet Supply’s new $50 million distribution center is on track to open in March. A grand opening celebration took place Thursday, Feb. 6.

The family-owned sporting goods company announced plans to build a new facility in the city’s industrial park in August 2023 before breaking ground in May 2024.

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“We worked really closely with the city and the local government officials and entities to help land this project here,” said L&M Fleet Supply Executive Vice President David Cowan. “This building sets a precedent that we can build and grow here in Itasca County.”

After considering alternate locations for its distribution center, the decision was made to lay roots in the area where the company was founded. The project served as a bit of economic redemption to the region after on its proposed $400 million Cohasset mill project in 2023.

In the of the Eveleth-based economic development agency’s publication, The Ranger, Iron Range Resources and Rehabilitation Commissioner Ida Rukavina said, "The new facility underscores the strength of the region’s economy and why businesses are choosing to invest and expand here — whether that be businesses in the retail sector like L&M Fleet Supply or businesses in the manufacturing and clean energy sector."

The St. Paul-based Rethos Places Reimagined has been involved with community projects in the Lincoln Park neighborhood.

L&M projects to add 35-50 jobs within three to five years of opening, per its direct loan agreement with IRRR. This adds to the 80-85 existing jobs at its LaPrairie, Minnesota, location, where L&M Fleet’s soon-to-be remodeled headquarters will continue to operate.

The remainder of the old building will likely be leased as industrial warehouse space. “There's a big need for that here in the county,” Cowan said.

Minneapolis-based Ryan Companies was hired as the general contractor for the project, which was completed on time, with construction costs coming in under budget, according to Cowan. L&M Fleet Supply received its Certificate of Occupancy for its new distribution center Jan. 21.

Ryan Companies was founded in Hibbing and used many local contractors and businesses during the build. About 26% of the project was done by local contractors or tradespeople, with much of the specialized work coming from Twin Cities companies.

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At the project’s peak, there were over 120 contracted workers on the site, Cowan estimated.

The entities seek to expand footprint of education, training and clinical care delivery across Minnesota.

Outbound docks increased from the seven at the LaPrarie site to 22 docks in Grand Rapids. This accommodates a dedicated dock for each L&M Fleet Supply store, with room to grow.

“We do have plans to continue to add stores,” Cowan said. “No sites have been publicly identified at this point, but we do have a list of potential locations that we're looking at. We continue to focus on using data and metrics to determine where it would be best to put a new store.”

The privately held company recently opened its 13th store in Marquette, Michigan. Other existing L&M Fleet stores are also on the docket for a remodel once the company gains its footing following its most recent projects, Cowan hinted.

Work is underway as products will be transferred to the new warehouse starting Feb. 12. L&M stores will begin seeing deliveries from the Grand Rapids center by Feb. 17.

Brielle Bredsten is a business and health care industry reporter for the Duluth News Tribune.

Send her story tips, feedback or just say hi at bbredsten@duluthnews.com.
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