What’s happening with Midtown KC Costco? Nobody’s sure, but city’s taking action
Nobody at City Hall can say for sure what Costco plans to do with its Midtown store.
But after weeks of rumors, whispers and unanswered questions, the city decided it couldn’t afford to just wait and see.
On Thursday, the Kansas City Council approved a resolution directing the city manager and the city’s economic development agencies to initiate talks with Costco with the aim of keeping the store at 241 Linwood Boulevard operating in its current form — or to secure a replacement store of similar size and offerings.
For about a month, shoppers and employees have circulated the same theory: that the Midtown Costco could convert into a Costco Business Center, a format geared toward restaurants and small businesses rather than everyday retail customers. Costco has not confirmed the speculation and did not respond to a request for comment from The Star last week. Managers and employees, according to customers who asked, have privately acknowledged hearing the same rumors but said they have not received official notice.
A Business Center conversion would likely mean the loss of familiar features such as the food court, bakery and optical services. Some shoppers have also raised questions about alcohol sales, which in Missouri must be purchased through licensed distributors.
City Hall to act on Costco
Mayor Quinton Lucas and Councilwoman Melissa Patterson-Hazley co-sponsored the resolution, which has the stated goal of crafting outreach “to retain the current store in substantial form or a store of similar or increased offerings, services, and size at 241 Linwood Boulevard.”
“I felt this was an urgent issue,” Patterson-Hazley said. “A lot of people from all corners of the city shop at that Costco. It would be potentially devastating if they leave or significantly change it.”
Patterson Hazley said a business-focused warehouse could also alter the area in less obvious ways.
“A Restaurant Depot-type of store, which is what it sounds like a business center would be, would bring a lot more trucks and change traffic patterns in the area,” she said.
Councilmember Crispin Rea, whose district includes the Costco site, echoed that concern.
“If they’re changing to operate like a warehouse that serves a different purpose, that’s something that the city would need to understand before anything happens,” Rea said. “If they’re exploring a change of use that impacts traffic, parking or the surrounding area, that requires dialogue with the city.”
The Linwood Boulevard Costco
The Costco opened in 2001 under the Glover Plan, a Midtown tax increment financing district near 31st Street and Gillham Road that also brought a Home Depot to the site.
Roughly 30 acres of housing were cleared for the project, with tax increment financing helping replace the neighborhood with one of the city’s first suburban-style big-box retail developments near downtown. It was the first Costco in the Kansas City area.
Rea said he has asked city staff to review the original TIF agreement to determine whether Costco’s public financing was contingent on operating the store in a particular way.
“We’re trying to understand their obligations under that agreement and whether there’s something we should hold them to,” Rea said. “Aside from that, I would hope to appeal to Costco as good Midtown business owners. A lot of people rely on them.”
This story was originally published January 15, 2026 at 4:30 PM.
