Macon-Bibb approves agreement for up to $30 million in Costco bond financing
The warehouse and gas station will be built at New Forsyth Road and Wesleyan Drive, with Costco guaranteeing at least 175 full-time jobs.
MACON, Georgia (41NBC/WMGT) – Macon-Bibb commissioners approved an agreement Tuesday supporting up to $30 million in financing for a new Costco, including road improvements and financial assistance to the company.
The warehouse club and gas station will be built at New Forsyth Road and Wesleyan Drive, according to a county news release. Costco has guaranteed at least 175 full-time jobs, with the potential for nearly 300 total jobs, the county says.
The resolution requests that the Macon-Bibb County Industrial Authority issue revenue bonds for the project. The Industrial Authority and Bibb County School District previously approved their participation in the same financing arrangement. The approvals concern a single borrowing limit of up to $30 million.
According to the agenda documents, bond proceeds would cover infrastructure improvements, part of a financial assistance grant to Costco and financing costs.
The contract attached to the resolution sets a $7 million limit on infrastructure costs financed with the bond proceeds. It also identifies an Industrial Authority grant of up to $29.5 million to Costco, payable in installments, with a portion funded through the bond.
Planned road work includes intersection improvements, traffic signals, turn lanes and deceleration lanes along New Forsyth Road, Bass Road, Wesleyan Drive and Riverside Drive.
The county says Costco’s payments in lieu of taxes, known as PILOT payments, and sales tax revenue generated by the store will repay the bonds. Its news release says funding will not come out of the existing general fund budgets of the county, school district or Industrial Authority.
Under the agreement, the county commits to making payments sufficient to cover the bond’s principal, interest and related fees, including if anticipated revenues fall short.
The resolution allows the county to use legally available funds, including special purpose local option sales tax revenue. It requires the county to exercise its taxing authority if those revenues are insufficient, subject to legal limitations. The contract backs that payment commitment with the county’s full faith and credit.
Those provisions were outlined in 41NBC’s previous reporting on the financing proposal.
The agenda documents also describe a separate Industrial Authority bond estimated at $60 million to finance the acquisition and installation of the Costco development. That bond would be backed solely by Costco’s credit. The county repayment commitment applies to the financing of up to $30 million for infrastructure, financial assistance and related costs.
Under the PILOT agreement, the county would receive 75% of Costco’s payments, the school district would receive 20% and the Industrial Authority would receive 5%.
The county says the store is expected to attract shoppers across the region, generating additional sales tax revenue that could help reduce property taxes and support roads and educational facilities.
Planning and Zoning approved the development in June. Plans called for a 158,000-square-foot warehouse and a fuel center with 32 fueling positions.
41NBC previously reported an expected summer 2027 opening. The county’s latest release did not provide an updated construction or opening timeline.
