Costco enthusiasts in California have expressed delight following the wholesale giant's announcement regarding its inaugural standalone gas station. The facility is scheduled to commence operations in Mission Viejo, located near Anaheim, in June 2026, with access restricted solely to Costco members.
A Strategic Location with Logistical Concerns
The new Costco gas station will occupy the premises previously held by a now-closed Bed Bath & Beyond at 25732 El Paseo in Mission Viejo. However, some patrons have voiced apprehensions about potential traffic complications. Observations on social media platforms highlight that the shopping center, which also houses a Best Buy, features a single entrance and exit, described as confusing. One Reddit user remarked that envisioning queues for fuel at this site seems challenging.
Expansion Plans and Revenue Significance
Concurrently, Costco has outlined intentions to establish a second standalone gas station in Honolulu, Hawaii, situated less than a mile from its bustling Iwilei location, with a provisional opening slated for 2027. The company's fuel operations constitute a substantial portion of its overall net sales, accounting for 10 percent of total revenue in 2025 through its 747 global petrol stations.
Neil Saunders of GlobalData commented that the standalone gas station concept could prove viable due to Costco's exceptionally popular low fuel prices. He noted that the Orange County site aims to address demand that cannot be accommodated at existing store-attached stations, suggesting potential for replication in other areas if successful.
Member Benefits and Market Context
Costco's gasoline is typically priced 10 to 30 cents cheaper per gallon compared to competitors, as reported by US News. In June 2025, the retailer announced extended operating hours nationwide, with stations open from 6am to 10pm on weekdays, and from 6am to 8:30pm on Saturdays and 7:30pm on Sundays.
On social media, members have welcomed the Mission Viejo addition, with some hoping it will exert downward pressure on local fuel prices, which are perceived as premium in Orange County. Others humorously compared the standalone gas station to a hypothetical Costco hotdog restaurant, referencing the iconic $1.50 hot dog and soda combo that has maintained its price since the 1980s.
Broader Economic and Competitive Landscape
The introduction of gas-only locations occurs against a backdrop of escalating fuel prices nationwide, influenced by geopolitical tensions such as the conflict between the US and Iran. According to AAA, the national average gasoline price reached $3.54 per gallon on March 10, marking a 6-cent increase from the previous day.
Despite these challenges, Costco continues to thrive, with its stock price tripling over the past five years, while competitors like Target have seen declines of over 50 percent. Walmart's total valuation has also surged beyond $1 trillion. Currently, Costco operates approximately 920 locations across the United States, with the Mission Viejo gas station set to become its first standalone fuel outlet.
