Draper was willing to pay the $2.8 million because it sees the IKEA store as an investment with ripple effects throughout the city's economy. Many of the infrastructure upgrades are part of Draper's master transportation, and development plans for the site and would have happened regardless, but IKEA's interest accelerated the process, Baird said.

He estimated that Draper's cut of sales tax from IKEA and the retailers that will fill out the 40 acres would be in the "high six-figure range," and his conservative estimate of total revenue from IKEA — money spent in the store, surrounding stores, restaurants, hotels, etc. — was $1.25 million. However, he said the city had not commissioned a formal study on the economic impact.

"Look at that paycheck," Baird said. "That's why it's so enticing, but that's also why every city is pursuing these guys."

Draper also took steps during its yearlong courtship that swayed IKEA, including passing an ordinance that changed zoning at the site before the retailer decided upon the city. That ordinance created a commercial special district Oct. 4, roughly two months before IKEA announced its plans to build.

Within days of signing the development agreement with IKEA, the city issued a request for proposals from contractors to build the road, which will cut across the northern part of the parcel to connect Galena Park Boulevard (approximately 13300 South) with Pony Express Road. The city wants to build the road this winter so that IKEA can start construction in the spring to hit its target of opening in spring 2007. IKEA closed on the property this week, Roth said.

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E-mail: kswinyard@desnews.com