What you need to know:
- Plans to construct a Costco complex in Westgate Mall have been approved
- Construction will last around two years
- Plans have been made to attempt to reduce traffic around the area due to Costco’s prescience
On Oct. 22, the San José City Council met to vote on the possible opening of a Costco near the Westgate Shopping Center in West San José. The meeting resulted in the approval of the Westgate Costco, and construction is expected to start soon. This decision was made amid heavy debate from residents over whether or not the store should be built. Some voiced concerns over increased sound and traffic for residents in the Westgate area, while others supported the business, believing that the increased foot traffic would boost other businesses in the mall.
Costco first submitted its architectural plans for construction on Nov. 17, 2021, and has since submitted five additional plans and revisions. However, it was not until Sept. 25 that the San José Planning Commission recommended that the San José City Council approve the retail giant’s plans after it certified the environmental impact of the company.
Costco has allocated around $60 million to this new location. Plans right now include the demolition of three buildings in Westgate, totaling an area of 188,265 square feet. Stores such as Ethan Allen, Goodwill, Bikram Yoga San José and the now-closed Smart & Final are in the area to be demolished. They will be replaced with a 165,148-square-foot building to encompass the storefront, which will contain the main warehouse and an accompanying tire center and rooftop parking.
“I believe Costco will be a much better alternative to supermarkets,” senior Hao Gu said. “Costco’s items are always so cheap and I think Costco can make the general mall area much more developed.”
Along with the new store, Costco will hire approximately 300 employees, and sales are projected to bring around 2 million dollars of annual tax revenue. Traffic to the mall is also expected to increase heavily.
Residents have long been ambivalent about the project. Some residents welcome the new opening, seeing Costco as a way to revive the less-frequented center after the closing of JCPenney and Orchard Supply Hardware. They also appreciate Costco’s accessibility compared to the current nearest location in Sunnyvale, 5.9 miles away. Other community members worry about the project, citing a lack of traffic safety studies and the need for an urban village development instead of a big-box warehouse.
“I’ve been a Costco member for many decades,” said Marc Pawliger, co-founder of Save West Valley!, a local group against the installation of the Westgate Costco. “We understand that the Costco will be a great way to increase the tax base and that San José is a very development-friendly city, so it’s hard for City Council members to be against the project. But Westgate is not the right area. The Costco will be way too oversized in an undersized neighborhood and safety concerns naturally arise.”
Westgate is extremely close to residential areas and local schools, like Prospect High School and Country Lane Elementary School, which have a history of traffic congestion and pedestrians. Residents cited that the size of the Costco would inconvenience the residential area while also endangering pedestrians. Some Prospect and Country Lane community members also expressed concerns about what increased traffic would mean for local students.
“The Costco will be really good for getting groceries,” Prospect senior Roderick Ma said. “Costco has cheap prices and the food court could be a good way for students to eat. However, I do see how the traffic would get worse, and parents won’t have a good time picking up and dropping their kids off at school.”
On the other hand, Westgate businesses such as Bikram Yoga and Dave’s Hot Chicken argued that Costco would increase the flow of customers to other businesses in the area, revitalizing the monthly decline in visitors.
At the Oct. 22 meeting, a Costco representative, residents, local business owners and Save West Valley! members voiced their opinions on the proposed Costco. The meeting allowed residents to voice their criticism and Costco to adjust plans accordingly. Adjustments include reducing the size of the warehouse near Graves Avenue and including rooftop parking to alleviate traffic concerns. After several nuanced discussions, the council eventually voted 8-0 in favor of the opening of Costco.
The construction of Costco will take two years and must adhere to the City Council’s memorandum addressing residential concerns. Costco must also provide a daily volume comparison of the pre- and post-opening traffic within 12 months of opening to see how the general area’s traffic can be improved. Other requirements include a physical gate on the Graves driveway to reduce traffic flow between 9 p.m. and 6 a.m. every day, and a 6-foot wall in place of the current 4-foot wall along Graves Avenue to reduce disturbance to the nearby community.
