Taylor Morrison Opens Lots in Castle Rock's Dawson Trails Near New Costco

Taylor Morrison has opened lots for sale in Dawson Trails, the 2,000-acre master-planned community taking shape on Castle Rock's south end, just as construction crews are actively building the Costco that anchors the project's commercial vision.

The Dawson Trails site sits west of Interstate 25 and south of Territorial Road, where developer Westside Investment Partners has secured approval for 5,850 homes alongside 3.2 million square feet of commercial space, including restaurants, grocers, and a medical campus. Taylor Morrison's entry as a builder brings one of the country's most recognized homebuilders into a project that Castle Rock officials have called a generational reshaping of the town's southern edge.

The Costco under construction nearby is the development's commercial flagship. The store will span 160,000 square feet with 880 parking spaces and a fuel center specifically designed to handle the queuing load that typically backs up at high-volume Costco fuel stations. Castle Rock committed $10 million in incentives to secure the retailer, projecting the store will return $4 million to $6 million in annual town sales tax revenue, which town officials estimate would make it the single-largest sales tax generator in Castle Rock's history.

The town has linked Costco's opening to the completion of a new full-movement interchange at Interstate 25 and Crystal Valley Parkway, with both targeted for late 2026 to spring 2027. That interchange is critical infrastructure for Dawson Trails, which sits largely inaccessible without it. Once the ramp opens, the development's roughly three miles of I-25 frontage will connect directly to the regional highway network.

Castle Rock's Town Council approved the first Dawson Trails neighborhood in January 2025, greenlighting more than 200 single-family homes and 15 acres of open space. The Castle Rock Planning Commission followed in May 2025 with a unanimous 5-0 vote to recommend approval of Filing 2, a 256-lot neighborhood spanning 53 acres that also dedicates 43.5 acres of public open space and 11.4 acres of private park. The phased structure means builders like Taylor Morrison are moving in at the early stages of what planners expect to be a multi-decade buildout, with the full Dawson Trails build projected to stretch into 2040.

Douglas County has watched residential development outpace commercial amenities in communities like Crystal Valley for years, leaving residents to drive north to Lone Tree for bulk shopping. The Dawson Trails Costco was explicitly shaped as a solution to that gap, with at least one Castle Rock resident telling CBS Colorado she refuses to make the Lone Tree drive. For buyers now touring Taylor Morrison's lots off Crystal Valley Parkway, the warehouse store may open before their homes do.