ESCONDIDO, Calif. — Costco was set to take over the lease at the old Sears building at the North County Mall, but now they’re pulling out of the deal.
“I think that it would’ve been so amazing to have had a Costco there, like it would’ve been so convenient,” said Escondido resident, Gia Badaracco Smart. “It would’ve been like 10 minutes from my house.”
Costco lovers are disappointed to hear the news that the big box retailer will no longer be moving into the North County Mall.
Some shoppers were disappointed.
“I was actually really looking forward to that,” said Kassandra Garcia, who lives close to the mall.
Costco Wholesale has withdrawn from an agreement approved by the Escondido City Council last year that would’ve moved the retail giant into the vacant Sears building.
“It gives the vibe that our city is, like we’re not moving, we’re not progressing, so I would, so we would love to see something go in there that could really serve our community,” said Badaracco Smart.
Transformco, the parent company for Sears, owns the lease rights to the city-owned property. Costco was planning to purchase the lease from them to renovate the old building and make extensive improvements, including the addition of a gas station, but for reasons unknown, they’re pulling out.
Some were disappointed the deal fell through. “I did, I was disappointed to hear that,” said Taylor Macgray, who lives in Escondido. “I just was excited for us to have a new store in the area.”
A spokesperson for the city told CBS 8, “The company has asked the City of Escondido to stop working on the development application submitted. All fees were paid by Costco, and City Staff had been working on the application and was prepared to bring the project forward to the Planning Commission.”
So for now, the building at North County Mall remains vacant.
“It has been empty, I haven’t seen anything go in it,” said Macgray. “I’m kind of sad for our mall because I’d like to see more business there.”
Transformco owns the lease rights through 2041, and it’s unclear now what they have planned for the site. The North County Mall is home to over 90 businesses, including shops and restaurants.
“I hope that it becomes something that would be beneficial for our community,” said Macgray.
CBS 8 reached out to Costco for comment, as well as Transformco, and neither of them responded.
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