Edmonton City Council has officially approved the construction of a new Costco location on the city's south side, marking a significant expansion for the retail giant in Alberta's capital. The decision, reached during a council meeting on May 26, 2026, paves the way for a 150,000-square-foot warehouse store on a parcel of land near the intersection of 91 Street and 23 Avenue.
Project Details and Timeline
The new Costco will be built on a 12-hectare site that has been zoned for commercial use. According to city planners, the development will include a gas station, a tire center, and ample parking to accommodate the anticipated high volume of shoppers. Construction is expected to begin in early 2027, with the store projected to open by late 2027 or early 2028.
Costco representatives stated that the new location will create approximately 300 full-time equivalent jobs during the construction phase and an additional 200 permanent positions once operational. The company has also committed to sourcing local products and services where possible, benefiting the regional economy.
Community and Economic Impact
Council members highlighted the economic benefits of the project, including increased tax revenue and job creation. The south side of Edmonton has experienced rapid residential growth in recent years, and the new Costco is expected to serve a growing population that currently lacks easy access to a warehouse club. Local business owners expressed mixed reactions, with some welcoming the increased foot traffic while others voiced concerns about competition with existing retailers.
Traffic impact studies were conducted, and Costco has agreed to contribute to road upgrades and intersection improvements to mitigate congestion. The city will also require the company to implement sustainable building practices, including energy-efficient lighting and heating systems, as part of its green building policy.
Public Reaction and Next Steps
The approval followed a public hearing where several residents spoke in favor of the project, citing convenience and job opportunities. A few opposed the development, citing potential noise and traffic issues. Councilor Jane Smith, who represents the ward, noted that the project includes buffer zones and landscaping to address neighborhood concerns.
With the council's green light, Costco will now proceed with detailed design and permit applications. The company plans to engage with the community through open houses and informational sessions as the project moves forward.
