H-E-B Plans $100M Investment in Downtown San Antonio

H-E-B has put a $100-million headquarters expansion on the drawing board. The move would double its downtown San Antonio workforce by 2030 and transform the area just north of the historic King William neighborhood. The master plan includes a grocery store, to be called Flores Market, at South Flores Street and César E. Chávez Boulevard, according to San Antonio Express-News.

The retailer previously said that store wouldn't happen without a $1-million incentive the city put on the table, the company now no longer is seeking the cash. It has also increased the size of the proposed market, from no more than 8,000 square feet to 10,000 square feet. The company, however, still wants to see the controversial closure of South Main Avenue, the newspaper reported.

Chief Operating Officer Craig Boyan unveiled H-E-B's master plan in an exclusive interview with the San Antonio Express-News.

Years in the making, it includes several mixed-use buildings, new public spaces and a pedestrian and bike trail along South Flores between Chávez and Arsenal Street. The redevelopment would encompass nearly 27 acres. "Our proposal is much more than just a downtown store," Boyan said. "We think that we can help make South Flores and the San Pedro Creek a great street and a great redevelopment area in the city, perhaps like another Southtown."

The first phase of H-E-B's plan includes a culinary school and test kitchen, renovation of its 1601 Nogalitos St. location, the downtown store and a connected gas station. It also includes construction of a 24-foot pedestrian and bike path, which, like Flores Market, could be completed within a year of city approval. It will cost approximately $40 million.

The second phase, with an estimated price tag of $60 million to $80 million, spans over the next decade and would add green space near San Pedro Creek, some mixed-use buildings just north of the culinary center and a new office building, perhaps with underground parking, the news outlet reported.