Costco set to shut down popular location in Melbourne

Supermarket giant Costco is shutting down one of its popular locations, with frustrated shoppers calling it a major blow to the area.

Costco shuts down popular store. Picture: JOE RAEDLE / GETTY IMAGES NORTH AMERICA / Getty Images via AFP

Costco is closing one of its Melbourne locations, triggering concern among shoppers, but it’s not all bad news.

The major retailer is closing down its popular Docklands store, in Melbourne’s CBD, with social media users labelling the decision as “so sad”.

But the supermarket giant has confirmed the store will be relocating to a new location in Ardeer – 15km west of the city.

“Costco is continually looking to improve our members’ experience and bring great value,” Chris Tingman, Costco Country Manager, told news.com.au.

“Our focus is always to find the right location to meet our specifications so that we can ensure every warehouse is comprehensively stocked, offering a wide range of products and services of the best quality at the best possible price.”

Costco is shutting down a popular store. Picture: Kena Betancur/Getty Image

Mr Tingman added: “We are closing the Docklands warehouse and relocating to Ardeer. Costco is very excited to be a part of the wider Melbourne West community; we feel it is the perfect location for offering more convenience for our rapidly expanding membership base.

“We look forward to sharing our progress with our members as we work on the relocation. Any updates will be shared via social media and on our website.”

As reported by the Herald Sun, a staff member at the Docklands store told a shopper the move was due to council and state government changes which have seen the cost of operating skyrocket.

“Costco at the extreme end of Docklands is preparing to vacate due to the increasing in expenses due to Melbourne City Council and our state government,” a caller told 3aw radio station in Melbourne.

“Their outgoings apparently have gone up over 500 per cent in just over 10 years which has made it totally unaffordable.”

The caller told 3aw it was a “real blow” for people “who live sort of inner city because it’s going to be whoop-whoop if you want to go to Costco.”

Many fellow shoppers weren’t happy about the decision to relocate, labelling it the end of the Docklands precinct.

“This is so sad! It’s been our most shopped at Costco since opening. The location to the city is/was perfect for us. Hate the car park though! But still didn’t stop us going there,” one on social media said.

“It also brings in lots of people to the Docklands area so will be devastating for the shops and restaurants around the area. Such a pity!”

It is being closed as another store is opening in Ardeer. Picture: Glenn Campbell

Another added: “That is the death knell for Docklands. Only reason people still go there is for Costco.”

“Docklands is and will always be a white elephant, Costco might’ve bought a bit of life to it but not enough,” another said.

One added: “What! Oh no this sucks for people living inner city.”

“I thought the employee who told us it was closing was joking. Rent is crazy high. Makes sense. Also they pay parking of every person who shops there,” another said.

One Costco customer said: “Ardeer is good for me I just hope they don’t shut Docklands before Ardeer is ready.”

However, the acting Victorian Premier Ben Carroll said there were plans to revitalise the Docklands area, with Marvel stadium being at the centre of that, 7 News reported.

Costco is a wholesale retailer, meaning items can be bought in bulk. Picture: Ian Currie

The Docklands store was the first Costco to open in Australia, with construction beginning in 2008 before it officially opened in 2009.

It wasn’t until 2011, when the Auburn store opened, in Sydney’s west, that the chain expanded.

Last year, it was revealed plenty of savvy Aussie parents have been increasingly turning to Costco to help their families the tough times, but the popular chain doesn’t work like your ordinary grocery store.

Costco is unique because customers pay a $60 annual membership fee to shop there. The fee also entitles you to exclusive access to its competitively priced fuel stations.

While the idea of an upfront fee leaves plenty of shoppers feeling apprehensive, many Aussies are sharing online that the fee is very much worth it.

The difference between Costco and other grocery stores is that it is a wholesaler, so you buy items in bulk.

An Aussie mum recently took to Facebook to claim that by popping her “Costco cherry”, she saved over $500.