City Planning Commission recommends approval for Costco gas station at Jefferson Avenue

The Newport News Planning Commission convened on July 10, 2025, to discuss significant developments concerning the conditional use permit for a proposed Costco retail warehouse and gasoline supply station. The meeting focused on the implications of the project for the local community and infrastructure.

The primary agenda item was the conditional use permit (CUP) CU2025Tech003, which would allow Costco to operate a 163,000 square foot retail warehouse and a gasoline supply station with 32 fueling stations on a 20.23-acre site. The property, currently zoned M-1 Light Industrial, has been vacant since Ferguson Enterprises relocated in 2021. The proposed development aims to revitalize the area while adhering to the city’s comprehensive plan, "1 City 1 Future 2040."

Key discussions included the necessity of a conditional use permit for the fueling station, as the zoning ordinance requires it for such establishments. The commission reviewed a traffic impact analysis (TIA) prepared by Kittelson and Associates, which was deemed acceptable by both the city and the Virginia Department of Transportation. The analysis indicated that traffic counts would increase but recommended improvements to ensure the infrastructure could handle the additional load without degrading service levels.

The proposed site plan includes a 20-foot transitional buffer between industrial and mixed-use areas, along with landscape strips along Jefferson Avenue and Bland Boulevard to enhance visual appeal and mitigate impact. The commission emphasized the importance of preserving mature trees and ensuring adequate landscaping to provide natural screening for the new warehouse and parking areas.

During the public hearing, representatives from Costco presented their plans, highlighting enhancements made to the landscape design since the previous work session. They assured the commission that the gas pumps would only be available to Costco members, and traffic queuing would be managed within the parking lot to prevent overflow onto public streets.

Commissioner Williams raised concerns about existing traffic conditions on Jefferson Avenue, particularly with the anticipated increase in traffic due to the new Costco location, alongside other developments in the area. He stressed the need for ongoing commitment to infrastructure improvements, including the proposed Denbigh Boulevard interchange, to accommodate the expected traffic flow.

After thorough discussion, the commission voted to recommend approval of the conditional use permit with 24 specified conditions, including requirements for a detailed site plan and traffic improvements to be completed before occupancy. The meeting concluded with a consensus on the project's potential benefits for the community, provided that traffic and environmental concerns are adequately addressed.