The Starbucks coffeehouse at 2601 Dos Rios Dr. has closed its doors, but city officials do not anticipate an immediate impact on Grand Junction’s 2027 city budget. However, the closure is expected to amplify financial concerns for the Dos Rios subdivision in 2028, adding to existing budget troubles caused by slow business growth in the area.
The store, which opened in June 2025, was among 250 locations shuttered across North America earlier this month. Starbucks Chief Operating Officer Mike Grams announced the closures on October 6 in a blog post, explaining that the company identified locations where it did not believe it could "consistently deliver the experience we want" or see a path to acceptable financial performance. The Dos Rios location was one of nine in Colorado to close, according to Fort Collins-based newspaper the Coloradoan.
The Dos Rios district holds unique financial significance for Grand Junction taxpayers. City staff identified it as one of several “structural deficits” during 2027 budget talks, meaning municipal spending in the area currently exceeds tax revenues generated there. In 2019, the local government designated Dos Rios a General Improvement District (GID) and took on debt to finance early infrastructure. This GID status allowed for heightened taxes within the district, with city officials relying on business growth in the area to generate enough revenue to pay off the debt without using other tax dollars.
However, business growth has largely failed to materialize as expected. Last year, a developer informed City Council members that investments in Dos Rios “missed the window” before the arrival and spread of COVID-19, which disrupted supply chains and construction projects, with lingering effects on building prices.
Grand Junction’s latest 2027 budget draft reflects these challenges, including an $866,000 general fund subsidy allocated to cover the district’s debt payment. This subsidy is necessary due to a shortfall in cash collected from dedicated GID taxes.
Grand Junction Communications and Engagement Manager Kelsey Coleman stated in an email last week that the Starbucks closure was not expected to have a major impact on the 2027 budget, which uses funds collected in 2026. However, its implications for future years are less clear. Coleman explained that unless a new merchant occupies that building soon, the closure "will result in a reduction in sales tax revenues generated within the Dos Rios District.” She added that the overall financial impact would depend on sales activity from potential future businesses and property taxes generated from development within the district.
The exact sales tax contribution from the Dos Rios Starbucks property in 2026 is not public information, as city officials cannot disclose it under state law. However, at the General Improvement District’s last annual meeting in December 2025, the city projected the district's total revenue for 2026 at $14,581. According to the Mesa County GIS service, the property at 2601 Dos Rios Dr. contributed approximately $2,362 in GID-specific property taxes this year.
Spokespeople for May Riegler, a real estate developer partnered with the city in the area and owner of most of the land in the Dos Rios General Improvement District, did not immediately respond to requests for comments. A media representative for Starbucks noted the company had opened 60 new stores and planned 1,500 renovations in 2026, stating that the closures reflected locations where the company did not foresee delivering the expected customer experience or long-term performance. The company’s focus is on supporting affected "partners," offering transfer opportunities or severance.
