Costco to Open First Standalone Gas Station in California, Plans Second in Hawaii

Costco is constructing its first standalone gas station in Mission Viejo, California, expected to open in late June, and a second in Honolulu, Hawaii, by 2027. The 17,000-square-foot California facility will have 40 pumps and is designed to drive membership growth by attracting customers with cheaper gas prices. Analysts suggest this initiative could enhance Costco's value proposition, despite gas being a low-margin business. Membership growth is crucial for Costco's operating profits, but new member additions have slowed.

Published Mar 28, 2026

Costco is building its first standalone, members-only gas station in Mission Viejo, California, with 40 pumps and a planned opening in late June. A second location is under construction in Honolulu, Hawaii, set to be completed by 2027.

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This initiative aims to attract new members by offering cheaper gas, as Costco's prices are approximately 20 to 30 cents lower per gallon compared to competitors. The gas stations currently contribute about 10% of Costco's net sales.

Analysts view this move as a potential driver for membership growth, essential for Costco's profitability, despite the low margins associated with fuel sales. They expect the concept could provide incremental visits from non-warehouse shoppers, although aggressive expansion is unlikely.