Mar 4, 2026

Costco Signs 162K SF Lease at 280-Acre Viva White Oak, Powering MCB’s $2.8B Montgomery County Megadevelopment

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2 min read

Key Points

Costco anchors Viva White Oak with 162,000 SF lease
$2.8B master plan calls for 5,000 units and 3M SF of retail and office
Montgomery County approves special tax district unlocking up to $420M TIF

A 162,000 SF Anchor Lands at 12345 Prosperity Drive

Costco has signed a 162,000 square foot lease at Viva White Oak, the 280 acre mixed use project led by MCB Real Estate in Montgomery County. The wholesale giant will anchor what is planned as one of the region’s largest redevelopment efforts. The project sits next to the Food and Drug Administration campus, positioning it at the center of a federal employment hub.

What Costco’s Commitment Means for Retail Leasing Velocity

Costco already operates three locations within a 10 mile radius. Its decision to expand again in the corridor signals confidence in long term consumer demand. For MCB, landing a national credit tenant of this scale validates the retail component and strengthens the project’s leasing narrative for additional anchors and restaurants. Large format retail commitments often act as de-risking catalysts for lenders and equity partners evaluating phased master planned projects.

What the $420M TIF Means for Capital Stack Execution

The Montgomery County Council recently approved a special development district, paving the way for the county’s first tax increment financing deal. MCB could receive up to $420 million in TIF funding toward the $2.8 billion project. The county still must issue the bonds, with a vote expected this summer. For investors, public financing participation reduces upfront infrastructure burden and supports long-term feasibility for a multi phase buildout.

What 5,000 Residential Units and 3M SF Mean for White Oak’s Evolution

The master plan calls for 5,000 residential units and approximately 3 million square feet of retail and office space, with a focus on life sciences. MCB took control of the project in 2023 after earlier plans dating back to 2011 stalled under prior leadership. In 2024, the developer submitted a sketch plan outlining more than 12 million square feet of potential development. For Montgomery County, Viva White Oak represents a shift from underutilized land to a life sciences-driven mixed-use district anchored by institutional tenants and national retail. With Costco now committed and TIF momentum building, Viva White Oak moves closer to transforming one of the region’s largest redevelopment sites into a long term economic engine.

#Retail #Mixed Use #Development Site

Published: Mar 4, 2026Last updated: March 4, 2026