Board approves financial terms for a Costco store in north Auburn

Published: Tuesday, Mar. 11, 2014 - 6:17 pm

The Placer County Board of Supervisors voted 4-1 on Tuesday to approve financial terms for an agreement that would bring a Costco store to the County Government Administrative Center in north Auburn, an unincorporated area.

Under the terms, the Washington-based warehouse retailer would pay the county $325,000 annually for the first decade, with 10 percent rent hikes every 10 years thereafter. The ground lease is for 20 years, with multiple options to extend. The county expects to net more than $20.5 million during the life of the initial lease. A separate, formal lease agreement will come later.

Supervisor Jim Holmes, who represents the area, hailed the vote as good news, noting that the project has been delayed for years. “People from Nevada City, Colfax and Meadow Vista already go to Roseville’s Costco to shop,” he said. “Let’s capture the money here locally.”

The county has exempted the project from a full environmental impact report, saying it’s not necessary. The proposed 148,000-square-foot warehouse would occupy 16 acres and include 750 parking spaces and a gas station. It is expected to generate considerable sales tax revenue for the county and create 165 jobs.

Auburn City Council members weighed in on the issue Monday, saying they disagreed with the county’s determination that the project should be exempted from the environmental review process. Auburn Interim City Manager Richard Ramirez showed up before the Board of Supervisors on Tuesday to emphasize the need for an environmental review.

“The lease is in fact an essential part of a larger project, a project that will have significant environmental impacts on the city of Auburn and will disrupt cultural resources,” Ramirez told supervisors in prepared remarks.


Call The Bee’s Richard Chang at (916) 321-1018. Follow him on Twitter @RichardYChang.

Read more articles by Richard Chang



Sacramento Bee Job listing powered by Careerbuilder.com
Quick Job Search
Sacramento Bee Jobs »
Buy
Used Cars
Dealer and private-party ads
Make:

Model:

Price Range:
to
Search within:
miles of ZIP

Advanced Search | 1982 & Older

TODAY'S CIRCULARS