Costco to Anchor $2.8B Development Near D.C.
MCB Real Estate took over the long-dormant project in 2023
By Nick Trombola March 2, 2026 4:10 pm
reprints
Baltimore’s MCB Real Estate has secured its retail anchor tenant for a 280-acre, master-planned development just north of Washington, D.C.
MCB inked a 162,000-square-foot lease with Costco at Viva White Oak, the developer’s $2.8 billion mixed-use district near U.S. Route 29 and Cherry Hill Road in Silver Spring, Md. The project is approved for some 12 million square feet of development, including nearly 5,000 rental and for-sale housing units, as well as retail, hotel, and medical office space.
“Viva White Oak is positioned to become the region’s premier retail destination, anchored by brands that move markets” Drew Gorman, MCB principal, said in a statement. “This announcement shows that national retailers and regional anchors and high-performing restaurants know the value of this location, and that this project is a smart investment for long-term value.”
Viva White Oak was initially positioned as a public-private partnership between Montgomery County, Md., and Percontee affiliate Global LifeSci Development, which inked a general development agreement in 2016, though the project stalled in 2018. MCB — already developing the $1 billion Harborplace project in Baltimore — entered into a contract to take over development efforts for Viva White Oak in 2023, with Global LifeSci remaining a minority partner, per reports at the time.
A current construction timeline for the project, or when the new Costco location would be completed, were not immediately available. An MCB official said in a 2024 virtual briefing that the first phase of construction would be completed by the end of 2027.
In late February, the Montgomery County Council passed its first-ever tax increment financing (TIF) tied to Viva White Oak in support of the development. The county aims to use the TIF to direct future property tax revenues to fund public infrastructure, including roads, utilities and open spaces. A third-party analysis by MuniCap found that the TIF could yield up to $320 million toward the development.
Nick Trombola can be reached at ntrombola@commercialobserver.com.
