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Costco’s withdrawal roils Asheville, spurs regional recruitment efforts

Costco’s withdrawal roils Asheville, spurs regional recruitment efforts

After Costco withdrew plans for a warehouse in the Enka-Candler area, Canton Mayor Zeb Smathers urged the company to consider Canton. Photo: Saga Communications/828newsNOW


ASHEVILLE, N.C. (828newsNOW) — News that Costco has withdrawn plans for a new store in the Enka-Candler area drew swift reaction Thursday, with residents voicing frustration and elected officials in neighboring communities publicly courting the retail giant.

The proposal called for a 160,000-square-foot warehouse, a 32-pump fuel station and a tire center at Enka Commerce Park. The development would have occupied about 39.6 acres at 264 and 274 Enka Heritage Parkway and 1455 Sand Hill Road.

As disappointment spread on social media, leaders in nearby towns extended invitations.

“Hello from Canton NC (just a few minutes from Asheville NC). Sorry it didn’t work out there, but would love to talk!” Zeb Smathers, mayor of Canton, wrote in a Facebook post addressed to Costco.

In an interview Friday, Smathers said he was personally disappointed the Asheville project fell through.

“Here’s the thing — truly, I’m heartbroken, and especially my wife is, about the project in Asheville falling apart. I wish it would have happened,” Smathers said. “But my board and I are very passionate about recruiting businesses, large and small.”

Smathers said he has already contacted Costco representatives and plans to continue outreach.

“I’ve heard time and time again people wanting Costco in Canton,” he said. “When I saw that news, I called. I put a call in. I’m going to continue to work the phones just to see what they need. I’ve got a few sites in mind that may work, and we would love to have Costco.”

He acknowledged attracting the retailer would be a challenge.

“It’s a long shot, it is what it is, but you never know,” Smathers said. “We’ve had a very positive viral response.”

The withdrawal has also sparked broader debate about economic development in Asheville, including how the city balances growth, infrastructure demands and neighborhood concerns.

In a letter to the Asheville City Council, resident Gary Woods called the decision “a significant setback” and urged city leaders to re-evaluate their role in the outcome and consider ways to re-engage the company.

“Asheville can least afford to lose meaningful economic opportunities,” Woods wrote, citing recent economic challenges and storm recovery efforts.

Kim Roney, a member of the Asheville City Council, said she has supported bringing Costco to the area for more than a decade and has reached out to the company, city staff and the state Department of Transportation to better understand what led to the withdrawal.

“I’ll keep working on it until we get them here,” Roney said in a social media post.

A key issue appears to be traffic impacts along Smokey Park Highway, a major east-west corridor serving the Enka-Candler area.

In a statement to Asheville Watchdog, the North Carolina Department of Transportation said it was “shocked and surprised” by Costco’s decision to withdraw its zoning application.

Tim Anderson, division engineer in the agency’s Asheville office, said the department had invited the company to discuss traffic mitigation options. According to the department, Smokey Park Highway currently carries about 29,000 vehicles per day, and a new Costco could have added an estimated 16,000 daily trips.

Esther Manheimer told Asheville Watchdog that the transportation agency had required what she described as “fairly significant” improvements to Smokey Park Highway, which may have contributed to the company’s decision.

The project had been proposed for property in the Enka Commerce Park area of Candler, just west of Asheville’s city limits.

The debate has spilled into neighboring Henderson County as well. Jennifer Hensley, a mayoral candidate in Hendersonville, publicly invited the retailer to consider locating there, calling the county “a great place to call home.”

828newsNOW has reached out to Hendersonville officials for comment but has not yet received a response.

Costco has not publicly detailed its reasons for withdrawing the application. The move leaves unanswered questions about whether the retailer will pursue another site in Buncombe County or elsewhere in western North Carolina.

For now, what began as a proposed warehouse store has evolved into a broader conversation about infrastructure, regulation and the region’s appetite for large-scale development.

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