Costco lawsuit dropped; building of East Bay warehouse planned this summer

Costco lawsuit dropped; building of East Bay warehouse planned this summer

BRENTWOOD — Costco is now coming to Brentwood after a prominent local development firm withdrew a lawsuit against the city of Brentwood which stalled the project for almost a year.

The move will pave the way for a new Costco store and gasoline station in northwestern Brentwood, with construction beginning as early as this summer, according to city officials.

“The city is extremely pleased with the court decision, and the voluntary decision of dismissal to help Costco move forward,” Brentwood City Manager Tim Ogden said. “When Costco will open up is the most-asked question I get from residents, and we’re eager to see it move forward now.”

After the Brentwood Planning Commission approved the proposed store last June, attorneys for Albert D. Seeno III’s West Coast Builders appealed to the City Council, arguing that the environmental documents the city used for the project were outdated and the proposal should have been denied or at least undergone deeper environmental review.

The attorneys, in their letter, said that the proposed warehouse, tire shop and gas station will have environmental effects that were never previously studied. They claimed the proposed gas station and improvements to the parcel were “likely to cause environmental damage or substantially and unavoidably injure fish or wildlife or their habitat, as well as create potential public health hazards.”

Brentwood senior planner Jennifer Hagen, however, has said the project was consistent with the city’s general plan, specific plan and the land use designations for the site, did not require additional environmental review and met all development standards. The council on July 25 denied the developer’s appeal, unanimously approving the 154,582-square-foot warehouse south of Lone Tree Plaza.

West Coast Builders, which plans to construct 266 homes south of the proposed Costco site, then last August filed a lawsuit jointly with another Seeno company, Discovery Builders against the city for what they said were violations of the California Environmental Quality Act and the city’s general plan.

On May 9, Contra Costa Judge Charles S. Treat dismissed Discovery Builders’ claim, finding that it did not challenge the city’s actions before the planning commission and council and had no standing to bring a claim. Weeks later, on May 22, West Coast Builders voluntarily asked the judge to dismiss their side of the lawsuit.

Attorneys for the Seeno companies could not immediately be reached for comment.

Ogden said this week that Costco plans to close escrow on the property next month and pull permits for work in July. With a 100-day timeline from start to finish, Costco expects to be open by “the first of the year,” he said.

Pari Holliday, Costco’s real estate development director, has said the warehouse would bring “significant job opportunities,” including some 250 to 300 warehouse jobs, as well as donating one percent of its revenue to local charities.

The Costco warehouse project will be built on two vacant parcels, with nearly 20 acres being developed. The warehouse would include a bakery, pharmacy, optical center, hearing aid testing center, food court, alcohol sales, tire sales and an installation center and a fuel station at the site east of Heidorn Ranch Road near the Antioch border.

Arcadia Development Co. of San Jose plans to build a Costco warehouse and gas station in Brentwood at the Lone Tree Plaza just south of the Antioch border. (Judith Prieve/Bay Area News Goup)