MINNEAPOLIMEDIA NEWS | Costco Pays $5.5 Million for Former TGI Fridays Site, Advancing Coon Rapids Expansion

Costco Wholesale has completed its $5.5 million purchase of the former TGI Fridays property at 12519 Riverdale Boulevard in Coon Rapids, advancing a previously approved plan to relocate and double the capacity of its fuel facility. The project calls for 20 fuel pumps, space to queue as many as 84 vehicles, 128 additional parking spaces and traffic-circulation changes intended to reduce congestion near Northdale Boulevard.

COON RAPIDS, MN (August 5, 2026)

Costco Wholesale has completed its $5.5 million acquisition of the former TGI Fridays property at Riverdale Village, giving the retailer control of the site needed to relocate and substantially expand its congested Coon Rapids fuel facility.

The 2.54-acre property is located at 12519 Riverdale Boulevard NW, immediately adjacent to Costco’s existing warehouse at 12547 Riverdale Boulevard NW.

A certificate of real estate value identifies Costco Wholesale Corporation as the buyer and NADG/SG Riverdale Village LP as the seller. The deed was recorded July 14, 2026, with a reported purchase price of $5.5 million.

The completed transaction represents a new milestone for a redevelopment plan approved by the Coon Rapids City Council in 2025.

Project Previously Received City Approval

The Coon Rapids City Council previously approved a planned unit development allowing Costco to combine the properties, demolish the vacant restaurant and relocate its fuel operation.

MinneapoliMedia reported that approval in September 2025, after the Coon Rapids Planning Commission recommended the project on a 6-1 vote.

The planned unit development was necessary because a gas station is not ordinarily permitted under the regional shopping district zoning governing Riverdale Village.

The approval was subject to multiple conditions, including required development and site-security agreements and compliance with city engineering, fire-safety and environmental requirements.

Costco’s acquisition does not mean construction will begin immediately. A public construction schedule has not been announced, and the company must complete the remaining permitting, engineering and development requirements before work proceeds.

Fuel Capacity Would Double

Costco plans to move the fuel facility from the northeast portion of its existing property near Northdale Boulevard to the southwest portion of the combined site, closer to Riverdale Boulevard and Main Street.

The present facility has 10 pumps serving up to 20 vehicles simultaneously.

The replacement station is designed with 20 pumps capable of serving as many as 40 vehicles at one time.

Plans also provide queuing space for approximately 84 vehicles, nearly twice the reported capacity of the existing arrangement.

The larger queuing area is intended to keep vehicles waiting for fuel within the Costco property instead of allowing lines to interfere with neighboring drive aisles or traffic near Northdale Boulevard.

Parking Expansion Planned

The former TGI Fridays building is expected to be demolished as part of the redevelopment.

Removing the restaurant and incorporating the property into the Costco site would allow the retailer to add approximately 128 parking spaces to the 672 spaces currently serving the warehouse.

The project would increase total parking capacity to approximately 800 spaces.

The redesign is intended to create greater separation between vehicles entering the warehouse parking lot and those waiting to use the fuel station.

Traffic Changes Target Longstanding Congestion

Traffic congestion surrounding Costco has been a recurring concern in the Riverdale Village commercial district.

The existing fuel station’s location near Northdale Boulevard can create conflicts among vehicles entering the site, leaving the fuel area, searching for parking or moving between neighboring businesses.

Costco representatives previously told city officials that the existing configuration creates confusion for traffic arriving from Northdale Boulevard.

The redevelopment calls for a dedicated right-turn access point from Riverdale Boulevard and changes to internal drive aisles and circulation patterns.

The effectiveness of those changes will depend on final engineering, customer driving behavior and traffic volumes after the expanded station opens.

The project is intended to reduce congestion within the shopping center, but doubling fueling capacity could also attract additional vehicles. City officials will consequently need to monitor conditions at Riverdale Boulevard, Main Street and nearby commercial entrances after construction is completed.

Environmental Review Required

The existing fuel equipment must be properly decommissioned when the new station is ready to replace it.

That process will require removal or closure of applicable underground infrastructure and soil testing before the former fueling area can be backfilled or converted to another use.

Costco must satisfy state and local environmental requirements governing fuel-storage systems, demolition and site preparation.

The existing fuel station is expected to remain operational during construction, allowing Costco members to continue purchasing fuel while the replacement facility is being built.

A New Development, Not a New Approval

The City Council’s approval occurred in 2025 and should not be presented as a recent council action.

The July 2026 property acquisition is the new development. By completing the $5.5 million purchase, Costco has secured the land required to move the project from municipal approval toward demolition, permitting and eventual construction.

No opening date for the expanded fuel facility has been announced.

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