ONE hundred staff will be recruited for the first Kmart store in the Cairns CBD this year.

The multi-million dollar store will take over the Bi-Lo supermarket space next to Coles on the second level of the Cairns Central shopping centre.

Retailers are thrilled with the new arrival, saying it will draw more resident shoppers than tourists to the shopping centre.

A Kmart spokeswoman said the 4219sqm outlet would sell all Kmart categories, including apparel for men, women and children, toys, health and beauty, homewares, stationery and sporting goods.

She said the selling area would cover 3420sqm and feature the new look showcased at its Mt Sheridan Plaza venue.

"Kmart's new design layout will be implemented providing a shopping experience that allows customers to easily find what they need with wide aisles and colourful graphic displays clearly indicating each area," she said.

"The recruitment process has started and about 100 team members will be employed with a mixture of full time, part time and casual."

She said the store was expected to open in the second half of 2014.

A Cairns Central spokeswoman said the centre was pleased that Kmart was adding to their brands. It will compete against arch-rival Target, which is immediately below on the ground floor.

Celine Chen of nearby Healthy care Massage said Kmart would be good for business.

"We are happy to see Kmart arrive and hope it will be soon," she said.

Mr Meats owner Rob Cronin said it was "fantastic".

"It will bring more everyday people locals, instead of tourists to the shopping centre," he said.

"It is one of the few stores that will attract locals."

Kmart's opening also will be welcomed by customers who have been forced to travel to Mt Sheridan or Smithfield following the closure of its outlet at the former Westcourt Plaza shopping centre after 25 years in 2008.

The Cairns Central store is the second new Kmart business in the region since a $6 million outlet opened at Mt Sheridan Plaza shopping centre 18 months ago.

The Mt Sheridan outlet is larger, 5300sqm, with more than 140 staff, as well as a tyre and auto service centre.

