Aug. 15, 2019

Scooter’s Coffee is headed to Madison.

Travis and Kristen Rhoades, who own six of the seven Scooter’s in Sioux Falls and one in Brandon, will lease space for the coffee shop in a retail center that will be built in the parking lot of Montgomery’s.

“We’ve had success in Brandon and smaller markets like that, under 10,000 people,” Travis Rhoades said. “There’s an appetite for that offering and product.”

Scooter’s, which will have seating inside and a drive-thru, will use one-third of the 6,000-square-foot building, Rhoades said.

Eric Sinclair, president of Montgomery’s, said a lease has been signed for the remaining space. He’s not ready to announce the tenant until a zoning change is made to accommodate the business.

“We have a large parking lot, and we don’t use most of it,” Sinclair said.

Sinclair said he hopes to have the retail center ready to open by the end of the year.

Montgomery’s also plans to develop extra parking lot space at its Watertown furniture store into a retail center with four buildings.

“It could take me years to get it done,” Sinclair said. “We just getting started and hope to get started on the first one this year.”

Developments in both cities will help drive traffic to the furniture stores, he said.

Scooter’s Coffee also is expanding to Vermillion. Rhoades and his wife plan to open a drive-thru kiosk there next year.

The Nebraska-based chain also has South Dakota locations in Yankton, Mitchell, Brookings, Watertown and Rapid City that are owned by other franchisees.