Elk Grove’s long-awaited Costco Wholesale store at the southeast corner of Elk Grove Boulevard and Bruceville Road is about five weeks away from its opening.
The company recently announced its plan to hold a grand opening on Sept. 27.
A grand opening, culminating with a ribbon cutting with Elk Grove Mayor Steve Ly and other local officials, will begin at 7:30 a.m. Doors will open at 8 a.m.
In a meeting with the Citizen this week, Rod Cargill, project manager for the 150,000-square-foot Costco store, guaranteed that the project will open on that day.
“One hundred percent,” he said. “They’re going to open that day. I guarantee it. Here’s the deal with Costco: I love building Costcos. They’re an awesome company to work for. We don’t miss an opening date. If we have to work 24-7 to make that happen, we’ll do it.”
Cargill mentioned that RMC Constructors has occupied the site since January, but due to weather, the project experienced delays.
“Before we could start really getting to work, it was about May,” he said.
As for the timeline of the construction, Cargill said that the first phase of paving would be completed on Aug. 15, and landscaping will be performed throughout next week.
Off-site preparations – beyond the construction fences – are scheduled for completion on Aug. 25.
Other projects include having the electricity turned on, the water system tested, and other final details of the building completed.
Cargill said that work on the site has been very efficient.
“Costco typically has a 110-day schedule, from the day we start digging footings until they’re running product out the front door,” he said. “Because this is a prevailing wage rate job, they allowed us to back it off to about 130 days. So, Costco is very efficient in their buildings.”
Cargill described the new Costco warehouse structure as a hybrid building with insulated wall panels. He referred to it as a metal building with a façade on the outside.
Those working with Cargill to meet the final construction deadline include five superintendents, an assistant, and about 110 laborers.
Altogether, RMC has built more than 80 Costco buildings, including the first Costco structure in Fresno.
Elk Grove’s Costco is expected to employ more than 200 people, and generate millions of dollars in sales tax revenue for the city.
Darrell Doan, the city’s economic development director, referred to the future Costco as a “critical sales tax driver.”
“We expect Costco to generate approximately $1 million a year in new sales taxes once the project is stabilized,” he said. “Obviously, sales tax is our largest General Fund revenue source. So, that will give us additional funds to do the work of government.”
Doan added that Elk Grove residents who currently shop at the Costco stores in south Sacramento and Lodi will benefit by shopping in a Costco store that will be more conveniently located. He also mentioned that with the opening of the Elk Grove store, both the south Sacramento and Lodi stores will remain in operation.
The addition of Costco in Elk Grove also furthers the city’s strategy of elevating its retail quantity and types.
Doan noted that having a Costco in Elk Grove will also help attract other large companies to the city.
“That sends a strong signal to the retail and commercial marketplace, and will help us attract other businesses,” he said.
Mayor Steve Ly told the Citizen that the road to Costco’s ultimate decision to open a store in Elk Grove began with talks about a decade ago.
The mayor also mentioned that during that time, Elk Grove nearly lost the project to south Sacramento’s Delta Shores shopping center.
“When I was elected mayor, I checked with the developer and Costco and asked, ‘So, what’s going on with this (project)?’” he said. “The response was ‘This is a dead deal.’
“That actually alarmed me and it forced me to pull the developer, the Costco folks, the broker together. We had an emergency meeting, and that’s what kind of rejuvenated this project. And the information I got was Costco was talking with the Delta Shores people.”
Ly commented on the upcoming opening of Elk Grove’s Costco store.
“I think it’s going to be pretty significant for the tax revenues and with that we can do things with it, other than having a patch of dirt where we get nothing out of it with that,” he said.
Those interested in obtaining a Costco membership prior to the opening of the Elk Grove store can register for a membership at 9245 Laguna Springs Drive, #200.