City Planning Commission recommends Costco's 20 acre redevelopment plan for Jefferson Avenue

In a recent Planning Commission meeting held on May 21, 2025, Newport News officials discussed a significant redevelopment project that could reshape a portion of the city. Ferguson Enterprises, which has owned the property since 1996, vacated the site in 2021 when it moved to a new headquarters. The now-empty 20.23-acre site is set to be transformed into a Costco retail warehouse, featuring a 163,000 square-foot facility and a gasoline supply station with 16 pumps, accommodating up to 32 fueling stations.

The project aims to revitalize the area, which has seen the buildings remain vacant since Ferguson's departure. The remaining 12 acres of the property will be divided into two parcels for future sale, indicating potential for further development in the area.

As part of the redevelopment, a 30-foot landscape strip will be maintained along the street frontages to preserve mature trees and enhance the visual appeal of the site. A tree survey is required to ensure the protection of these trees, along with a 20-foot landscape buffer to screen the parking lot from view. The design and materials for the new structures will undergo review by the city’s planning director as part of the site plan process.

Traffic impact studies have indicated that the project will increase traffic in the area, prompting the need for improvements to be completed before a certificate of occupancy can be issued. The Planning Commission has recommended approval of a conditional use permit for the gasoline station, which includes 24 specific conditions aimed at minimizing visual impact and ensuring compliance with city planning standards.

This redevelopment project not only promises to bring new retail options to Newport News but also highlights the city’s commitment to thoughtful urban planning and community enhancement. As the project moves forward, residents can expect updates on the progress and any further developments related to the surrounding properties.