Costco plans new store in Maltby

  • Eric Fetters / Herald Writer
  • Friday, January 2, 2004 9:00pm
  • Business

MALTBY — Costco is planning to build a new warehouse store and gas station near the junction of Highways 9 and 522 in south Snohomish County.

The 149,000-square-foot store, if approved by county officials, would be built on land that Costco began considering almost two years ago. The retailer filed applications for building permits just before Christmas.

The 15-acre site, southeast of the intersection of the two highways, previously hosted Fitz Auto Parts and a business park.

"We think this is a good deal for the community, a good deal for us and a good deal for Costco," said Don Fitzpatrick Jr., one of the involved property owners. "We think it’s going to be a real good location for them."

Todd Hirai, the other involved property owner, referred inquiries to Costco. Officials at the retailer’s headquarters in Issaquah could not be reached for comment Friday.

But Greg Stephens, who is part of an effort to incorporate the Maltby area, welcomed the new development.

"We think that it is indeed good news. It’s a very good economic thing for our area," said Stephens, vice president of the Maltby Neighborhood Alliance.

He said sales tax revenues from the store would be significant to the proposed new city of Maltby.

Rumors that Costco was looking to place a new store in Snohomish County were confirmed last year when Hirai and Fitzpatrick revealed that the retailer had negotiated to buy their property. At that time, however, Costco decided against building at that location, reportedly due to concerns over traffic.

Since then, the company has changed its mind and signed a lease with the landowners. That lease is contingent on Costco receiving approval for its plans from the county, Fitzpatrick said.

He added that he thinks the location will draw customers from an area extending past Snohomish and Monroe to the north and well into King County to the south.

Dick Outcalt, a partner in Outcalt &Johnson Retail Strategists of Seattle, said Costco usually does its homework before deciding where to build a store.

"They’re very good at their siting," Outcalt said. "They’ve had to close very few stores."

He added that Costco has room for expansion here. Even though the retail chain started in the Puget Sound area, it hasn’t over-saturated the market with too many stores.

"To the contrary, some of their stores with the highest sales per square foot are here," Outcalt said.

In Snohomish County, Costco has a general warehouse store in the Silver Lake area and a more business-oriented store along Highway 99 in Lynnwood. That latter location includes a fuel station.

Fitzpatrick owns nearly two-thirds of the acreage Costco would use. The most recent auto salvaging business there, Copart, has moved to Arlington. The adjoining land owned by Hirai and his family hosts the Norwood Complex business park.

Because the land is zoned for industrial use, Costco’s store would be allowed without a zone change, said Monica McLaughlin, a county planner handling the retailer’s application. The county will focus on whether there is enough capacity on roads in the area to accommodate traffic to and from the proposed store.

The public can submit written comments on that issue to the Snohomish County Department of Planning and Development Services until Jan. 21.

If approved, Costco might be able to start building the new store later this year, although the company’s hasn’t revealed a timetable. The value of the project is estimated at $7 million, not including a large retaining wall and other improvements to the land, according to the building permit applications.

Reporter Eric Fetters: 425-339-3453 or fetters@heraldnet.com.

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