Irondale, Ala. – July 25, 2024 – The City of Irondale has secured its largest single economic development project to date: a $105 million Costco Wholesale warehouse and fuel station, planned for the southwest corner of Grants Mill Road and I-459, adjacent to the Mercedes-Benz dealership.
The project will feature a 152,000-square-foot warehouse, bringing 200–300 jobs to the city and an estimated $6–8 million annually in sales tax revenue. Irondale will become the smallest municipality in Alabama to host a Costco, marking a milestone in the city’s growth trajectory.
Mayor James D. Stewart Jr. praised the announcement as transformational:
“This is a defining moment for our city. Costco’s arrival shows that Irondale is open for business, ready for growth, and serious about attracting high-quality development.”
Incentives and Partnership
To win the project, Irondale approved a performance-based incentives package of up to $70 million, including a rebate of as much as 88% on non-educational city sales taxes. The deal ensures that while Costco benefits from initial support, the city will continue to collect significant long-term revenue.
City officials emphasized the cooperative effort that made the project possible.
“Costco is the type of premier partner that raises the bar for Irondale,” Stewart said. “We look forward to the jobs, the revenue, and the new opportunities this will bring for our residents.”
A Strategic Win for Irondale
The development positions Irondale as a regional shopping destination, drawing visitors and economic activity from surrounding Jefferson County communities. Costco’s decision to invest here follows years of growth planning and puts Irondale on the map alongside larger cities like Hoover and Montgomery that already host warehouses.
No official groundbreaking date has been set, but the city has up to 330 days to finalize development details, with construction expected to move quickly thereafter.
“This is about more than a store,” Mayor Stewart added. “It’s about momentum. Irondale is showing the region that we are building for the future.”
Source: al.com, “Costco moving into Jefferson County city, bringing $105 million warehouse,” July 25, 2024
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