A long-vacant Kmart on Auburn Boulevard is getting a jolt of electric life. An e-bike and powersports retailer has bought the sprawling former big-box store at 8501 Auburn Boulevard in Citrus Heights for $4.45 million, clearing the way for a much larger showroom and service hub along the city’s main retail drag. The owners, who currently sell ATVs and electric bicycles, plan to relocate into the cavernous space early next year, closing the book on months of “what now?” speculation after earlier redevelopment ideas fizzled.
According to the Sacramento Business Journal, the buyers paid about $4.45 million for the property and told the paper they expect to move into the larger retail space in early 2027. The Business Journal reports that the owners already run a powersports and e-bike shop and intend to use the Auburn Boulevard site to boost both sales and service capacity. That outlet also notes that earlier concepts for a church and a community movie theater never advanced, leaving the former Kmart sitting empty and available for a buyer with a different vision.
Property details and listing history
A commercial listing for 8501 Auburn Boulevard pegs the building at roughly 60,034 square feet and shows the property hitting the market in September 2025, according to a LoopNet posting. The listing carried an asking price north of $5 million, which means the final sale came in below the original price target. With its size and footprint, the former Kmart is geared more toward a single anchor-style tenant than a row of small in-line shops, making an all-in-one retailer a logical fit.
City projects and what to expect
The timing of the deal lines up with major corridor upgrades in Citrus Heights, including the Auburn Boulevard Complete Streets Phase 2 effort and a Gateway Activation Project focused on better pedestrian and bicycle connections along Auburn Boulevard and smoother intersection operations. The City of Citrus Heights says those plans call for new bike infrastructure, pedestrian improvements and intersection enhancements that could change how shoppers and service customers reach the former Kmart site. Any exterior facelift or shift in use at the property will still have to go through the city’s permitting process and tenant-improvement review.
The retailer told the Sacramento Business Journal it expects to be operating at the Auburn Boulevard address early next year, although a firm opening day and permit schedule have not yet surfaced. Representatives for the buyer did not immediately respond to the Business Journal’s follow-up questions, so the next public clue that the old Kmart is officially going electric will likely show up in planning and building-permit filings.
