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Target going even smaller with small-format stores, boosts grocery pickups

Downtown Denver's Target is a roughly 30,000-square foot, two-story urban store on the 16th St. Mall — much larger than one of the proposed "mini" stores.

DENVER — Target Corp.'s small-format stores have been one its biggest wins in recent years, letting the retailer push into neighborhoods where it wouldn't otherwise be able to compete. In the coming year, Target plans to go even smaller, introducing a store of about 6,000 square feet, half the size of its smallest location so far.

Minneapolis-based Target (NYSE: TGT) announced the smaller-format plan at the company's investor day on Tuesday, one of several strategies executives touted as the retailer looks to keep growing in a rapidly changing retail landscape.

> In the video above from March 1, Ed Sealover with the Denver Business Journal talks about the weeks biggest Colorado business stories.

Target plans to sign a lease for the super-small location — 6,000 square feet is about as big a mid-sized gas station store — in an undisclosed market this year and open it in 2021. The company also plans another three dozen small-format stores of various sizes (they currently range from about 13,000 square feet to 40,000, which is still one-third the size of a regular Target) in sites around the country. Locations include the Las Vegas strip, the University of Iowa and outside Walt Disney World in Orlando.

Target had previously announced the Orlando store (as part of its broader deal to add Disney mini-stores to some of its locations), and colleges have been a big source of growth for the company since it unveiled its current small-format concept near the University of Minnesota in 2014.

Downtown Denver's Target is a roughly 30,000-square foot, two-story urban store on the 16th St. Mall — much larger than one of the proposed "mini" stores.

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