Story is updated to add statements from the city of College Station that an estimated $900,000 of infrastructure improvements is not an incentive.
The College Station city council agrees to give Costco $1.3 million dollars in incentives to build and open a store by the end of 2023.
The package submitted by economic development director Natalie Ruiz is based on four incentives.
One involves the 19 acres of land Costco is buying from the city. 20 years ago, the city council bought the land for 23 cents a square foot. Costco is buying the land for $4.50 a square foot. That is $813,000 dollars under the appraised value.
Costco will be reimbursed up to $300,000 dollars in city fees and will receive $183,000 at the closing of the land purchase.
WTAW News initially reported the total amount of incentives was nearly $2.2 million dollars. That’s after the council also agreed to the city spending an estimated $900,000 in drainage improvements benefiting Costco and future developments. City officials tell WTAW News that is not an incentive. According to a city statement, “The infrastructure is a regional detention pond that will serve both lots. Now that one property is developing, the time is right for us to take care of our side of that infrastructure.” Officials say the city is “only paying for the infrastructure that serves our remaining acreage.” And College Station’s economic development manager Aubrey Nettles tells WTAW News: “This isn’t a Costco incentive, this is a development necessity. We would be participating in this infrastructure regardless of who purchased the property. It is shared infrastructure that benefits the 57 regional acres and since we are going to retain 28 acres, we will pay our proportionate share.”
Click HERE to read and download Costco’s land purchase from the city of College Station.
Click below to hear comments from Natalie Ruiz during the April 22, 2021 College Station city council meeting.