This is an archived article and the information in the article may be outdated. Please look at the time stamp on the story to see when it was last updated.

MERRIAM, Kan. — Merriam’s city council rejected plans to redevelop the former Kmart building into a new grocery store.

Drake Development of Overland Park submitted plans to the city to create a $118 million mixed-use project that would include a grocery store, restaurant and housing. The proposed development would have provided the city with its first grocery store since Hen House closed three years ago.

Drake requested approximately $26 million in tax incentives to support the development.

Following an executive session Monday, the city council decided not to proceed with the proposed development. The city sent FOX4 this statement: 

“We remain excited about the recent interest to develop the Kmart location and the possibility of bringing new business to Merriam. We recognize there are site challenges at the location that will likely need a public/private partnership. We’ve been willing partners in those conversations. But, it remains a City priority to not only help our businesses thrive and be successful but also to protect the long-term financial interests of our Merriam taxpayers. The City is eager to take advantage of any opportunity where those priorities align. Unfortunately, we’ve been unable to strike an appropriate balance with the current proposal.”

No formal vote was taken on the proposed project. The former Kmart building has been vacant since January 2013.