Grocery juggernaut Costco has its sights set on opening a Katy area store at the southwest intersection of Grand Parkway and I-10. The Houston City Council will vote at its meeting next week on granting the store $1 million in tax rebates as an incentive for it to build within Houston's extraterritorial jurisdiction.
City of Houston council member Stephen Costello said Costco was deciding between the Grand Parkway/I-10 location and a spot near Katy Mills Mall. The tax abatement was scheduled to receive a vote at today's city council meeting, but was tabled by a council member and rescheduled for next week. Costello said it will “probably pass,” and will give Houston an approximate $8 million payoff in sales tax revenue from the initial $1 million investment.
If Houston passes the abatement next week, more details regarding the store's construction timeline and launch date will become available.
The Grand Parkway/I-10 site is owned by developer Trammell Crow. Jeff Pate, with the company's Development and Investment Division, confirmed there are negotiations with a big-box tenant but could not release an official statement regarding Costco's commitment at this time.
A preliminary design of the development by Kerry Gilbert and Associates shows room for a large big-box tenant with numerous slots for smaller retailers and commercial tenants.
Representatives with Costco did not respond to interview requests.
Costco is celebrating the grand opening of its Sugar Land location—its fourth in Houston, at 17520 Hwy. 59, today.