Costello's Ace Hardware

What Costello's Ace Hardware does

Costello's Ace Hardware is a family-owned independent operator of the Ace Hardware franchise, founded in 1976 by Vincent Costello in Deer Park, New York, and currently led by CEO Michael Costello. The company runs a multi-format retail portfolio of 52+ locations across six eastern states (New York, New Jersey, Maryland, Virginia, Pennsylvania, and Delaware), comprising traditional Ace Hardware stores, Costello's Hearth & Spa showrooms featuring fireplaces, stoves, and Bullfrog spas, and Benjamin Moore paint stores under the Suburban Paint & Decorating brand. Product depth spans hardware and fasteners, tools and power equipment (Craftsman, Milwaukee, EGO, STIHL), grilling (Weber, Traeger, Big Green Egg), lawn and garden, plumbing and electrical, paint, and a curated assortment of specialty items.

The business monetizes through three primary streams: in-store retail hardware sales, e-commerce via AceHardware.com with local delivery and buy-online-pick-up-in-store, and The Supply Place B2B program for contractors, property managers, and commercial accounts. Ancillary revenue comes from in-store services (key cutting, paint color matching, blade sharpening, screen repair, propane exchange, tool rental, job-site delivery) and, as of September 2025, a retail solar consultation partnership with Freedom Forever at select Mid-Atlantic locations. Pricing follows standard Ace retail pricing with a 10% senior discount and bulk pricing available to commercial buyers through The Supply Place.

The growth strategy is an explicit roll-up of the Mid-Atlantic: the company has stated a 2030 vision of 100 retail locations (versus 52 today), backed by both greenfield expansion (e.g., Abington, PA in October 2025) and acquisitions (Warrenville Paint and Hardware in April 2024, Rommel's Ace Home Centers announced September 2025, adding 11 stores and Delaware entry). Technology is conventional retail infrastructure with no disclosed proprietary systems, proprietary AI capabilities, patents, or third-party technology partnerships beyond the national Ace platform.

Name

Costello's Ace Hardware

Legal name

Costello's Ace Hardware

Website

https://costellosace.com

Company type

Private

Founded year

1976

Operating status

Operating

Headcount range

1,001–5,000 employees

Short description

Costello's Ace Hardware is a family-owned independent Ace Hardware franchisee operating 52+ retail locations across New York, New Jersey, Maryland, Virginia, Pennsylvania, and Delaware, selling hardware, tools, paint, hearth, spa, and lawn and garden products to homeowners, DIY consumers, and B2B commercial customers.

Ownership category

akta.pro rank

Product category

Hardware Retail

akta.pro primary industry

Construction, Hardware & MRO Supply Clubs (Trades/Contractors) (CRAEAEAG)

Keywords

• Retail hardware stores
• Home improvement supplies
• Benjamin Moore paint retail
• Hearth and spa showrooms
• Commercial B2B supply

Headquarters

HQ city

Deer Park

HQ country

United States

HQ region

North America

Offices16 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Supply Chain, Infrastructure, Marketing or Sales, Others

Revenue model

1. Retail Hardware Sales: Primary revenue stream from selling hardware, home improvement products, paint, tools, outdoor equipment, and related merchandise through retail store locations. The company operates three main store formats: traditional Ace Hardware stores, hearth and spa showrooms, and Benjamin Moore paint stores.
2. Home Services: Revenue from expanded home services including installation, delivery, and specialized services such as key cutting, paint color matching, and tool rental.
3. E-commerce: Online sales through AceHardware.com platform, with buy online and pick up in store or delivery options. Online sales grew over 20 percent.

Pricing tiers

Go-to-market motion1 record

Distribution channels4 records

Marketing channels6 records

Core offering

Costello's Ace Hardware is a family-owned independent Ace Hardware franchisee that sells hardware, home improvement products, paint, tools, grilling, lawn and garden supplies, hearth appliances, and hot tubs/spas through a network of 52 retail locations across five eastern U.S. states. The company operates three distinct store formats (traditional Ace Hardware stores, hearth and spa showrooms under the Costello's Hearth & Spa brand, and Benjamin Moore paint stores) and supplements retail with home services such as key cutting, paint color matching, delivery, installation, and tool rental, plus a dedicated B2B program (The Supply Place) for commercial customers.

Product overview

Costello's Ace Hardware operates a multi-format retail portfolio consisting of three main store formats: traditional Ace Hardware stores (the core business offering hardware, tools, fasteners, and general home improvement products), 16 hearth and spa showrooms (specialty locations featuring fireplaces, hot tubs, and swim spas under the Costello's Hearth & Spa brand), and Benjamin Moore paint stores (premium paint departments with color matching services). The company also offers home services including delivery, key cutting, blade sharpening, glass repair, propane exchange, and pool/spa water testing. A solar partnership with Freedom Forever provides in-store consultation services, while The Supply Place serves B2B customers with commercial accounts and bulk pricing. Products span multiple departments including tools (Craftsman, Milwaukee, EGO, STIHL), grilling (Weber, Traeger, Big Green Egg), lawn & garden (Jonathan Green, Scotts), paint (Benjamin Moore), and plumbing/electrical. The business operates 52+ locations across New York, Maryland, New Jersey, Virginia, Pennsylvania, and Delaware, with plans to expand to 75 stores by end of 2025 and 100 stores by 2030.

Differentiator

Problem solved

Functional benefit

Brands

• Costello's Hearth & Spa: Specialized showrooms for hearth products including fireplaces, stoves, inserts, and hot tubs/spas.
• Simplifire Electric Only

Products and services

• Traditional Ace Hardware Stores Traditional retail hardware stores offering a wide variety of home improvement products including hardware, fasteners, tools, cleaning supplies, and general merchandise for homeowners and DIY consumers.
• Costello's Hearth & Spa Showrooms Specialty showrooms featuring fireplaces, hearth appliances, hot tubs, and swim spas. Includes stoves, inserts, and free-standing fireplaces available in wood, gas, pellet, and electric fuel types, plus Simplified Electric Only fireplaces.
• Benjamin Moore Paint Premium paint products including Regal Select Interior Paint available in Flat, Matte, Eggshell, Satin/Pearl, and Semi-Gloss finishes, supported by computerized paint color matching services.
• Hot Tub Showrooms Dedicated hot tub showrooms at select locations including Smithtown, Bellmore, Lincoln Park, Waldorf, and Fallston, featuring Bullfrog Spas with hydrotherapy and hydromassage jets and trained staff to help customers select the best model.
• The Supply Place (B2B) Business customer program offering bulk pricing, dedicated experts, access to Ace catalog (60,000+ items), commercial credit accounts, and specialized products including aquaphalt, climate control, door locks, fire safety, furnace filters, ice melt, ladders, paint contractor pricing, programmable keys and fobs, and property management supplies.
• Freedom Forever Solar Services In-store solar consultation services where Freedom Forever solar professionals provide guidance on system design, financing options, installation timelines, and the 25-year production guarantee for residential solar systems.
• Delivery Service Delivery service from local Costello's Ace stores, with orders placed through AceHardware.com and delivered by store associates, including job site delivery for contractor customers.
• Gift Cards Gift cards available at all Costello's Ace stores for any occasion.
• Tools & Power Equipment Department Complete selection of tools including Craftsman hand and power tools, Milwaukee Tool cordless and hand tools, EGO outdoor power equipment (snow blowers, chainsaws, leaf blowers), and STIHL equipment (chainsaws, blowers, trimmers).
• Grilling Department Wide variety of grills and grill accessories featuring Weber, Traeger Wood Pellet Grills, and Big Green Egg ceramic cookers with knowledgeable staff expertise.
• Lawn & Garden Department Lawn care products including Jonathan Green 4-Step lawn care programs, birding supplies, pest control products (Ortho Home Defense, Roundup), and garden accessories.
• Hearth Appliance Showrooms Specialized hearth showrooms at multiple locations featuring Simplifire electric fireplaces, stoves, inserts, and full fireplace installations with professional consultation.

Quantifiable outcome

• Over 20% online sales growth
• +2 more outcomes

Segments2 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

One partnership is on record.

• Freedom ForevercoreGTM or Marketing Partner · 26 September 2025Freedom Forever, one of the nation's largest residential solar installers, partnered with Costello's Ace Hardware to provide in-store solar consultation services at select locations in Maryland, New Jersey, Pennsylvania, and Virginia. Solar professionals are available to provide guidance on system design, financing options, installation timelines, and the company's 25-year production guarantee. The partnership aims to expand solar access by meeting homeowners in familiar retail settings.

Scale indicators8 records

Recent moves9 records

Expansion highlights6 records

Broad incumbents

• Menards: Third major US home improvement chain, privately held, focused on Midwest markets with strong hardware, lumber, and building materials assortment. Comparable as a regional/private big-box competitor.
• Ace Hardware Corporation: The national hardware retailer/cooperative that Costello's franchises under; operates the largest hardware co-op in the US and provides the e-commerce, brand, and distribution infrastructure (AceHardware.com) that Costello's leverages. Comparable as the umbrella peer for any independent Ace operator.
• Tractor Supply Company: US rural-lifestyle retailer serving homeowners, farmers, and outdoor enthusiasts with hardware, tools, lawn & garden, and seasonal categories. Comparable in product mix overlap (tools, outdoor equipment, paint, hardware) and customer profile (homeowners/DIY).
• Lowe's Companies: Second-largest US home improvement chain with similar product breadth and Pro/consumer segmentation. Comparable as a national big-box competitor vying for the same DIY and contractor customers.
• The Home Depot: The largest US home improvement retailer with broad assortment, competitive pricing, and national footprint. Comparable as the dominant big-box competitor across every product category Costello's carries.

Direct peers

• True Value Company: Another large US hardware cooperative/franchisor serving independent retailers with similar product mix, services, and small-town positioning. Comparable to Costello's as a competing cooperative member store base and brand identity.
• Do it Best Corp. US hardware and lumber cooperative serving thousands of independent member stores with comparable product assortment, B2B programs, and member-store operating model. Direct comparable as another co-op member-store base.
• Harbor Freight Tools: US specialty retailer of tools and hardware at value pricing, with 1,100+ stores nationwide. Comparable as a focused, lower-priced competitor in the tools and hardware categories that overlaps significantly with Costello's core assortment.
• Rommel's Ace Home Centers: Former independent Ace franchisee operating 11 Mid-Atlantic locations that was acquired by Costello's in September 2025. Direct comparable as a similarly sized multi-store independent Ace operator in adjacent geography.

Regional players

• Home Hardware Stores (Canada): Canadian hardware retailer/cooperative with similar dealer-owned model, local-store positioning, and product mix. Comparable as a similarly structured independent-dealer hardware chain operating primarily in a different geography.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/costello%27sacehardware
• Xx.com/costellosace
• Facebookfacebook.com/CostellosAceLincolnPark

Revenue estimate

Valuation estimate

Number of profiles

Profiles4 records

Subsidiaries2 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A1 record

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Costello's Ace Hardware