Hobby Lobby Stores, a privately held national retail chain of arts and crafts stores, has signed a lease for the space formerly occupied by Kmart on Miller Hill in Duluth.

Construction and remodeling is underway on the 59,800 square-foot building, the company said in a Wednesday news release.

Hobby Lobby’s third store in Minnesota is projected to open in the first quarter of 2013, bringing about 35 – 50 jobs to the community paying $13 per hour for full time, and $9 per hour for part-time associates.

“We are excited to bring our family-oriented store to the Duluth crafting and home decor community,” said John Schumacher, assistant vice president of advertising.

Hobby Lobby Stores, Inc., headquartered in Oklahoma City, Okla, started as an outgrowth of Greco Products, a miniature picture frames company founded in a garage by David Green in 1970. Hobby Lobby currently has more than 520 stores that average 55,000 square feet. Departments include floral, fabric, needle art, custom framing, baskets, home accents, wearable art, arts and crafts, and jewelry, scrapbooking and paper crafting supplies.

Store hours are Monday through Saturday from 9 a.m. to 8 p.m., and all Hobby Lobby stores are closed on Sunday.

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