Construction of the Shops at Mercedes, a $52.8 million shopping center being built in the Rio Grande Valley, has advanced significantly since Mercedes city leaders gathered at the site with Merit Construction for a groundbreaking ceremony last July. In December, crews poured foundations at the site. And as of Monday, May 18, all four walls of the 250,000-square-foot plaza have been stood up, with crews now working on customizing the facades of individual storefronts and finishing out the interiors. The plaza’s parking lot has also been paved over, with spaces set aside for future landscaping. Site prep for an additional 7 acres of space in front of the plaza — facing the freeway — is also complete.
The Shops at Mercedes plaza is being built on the northeast corner of Mile 1 1/2 East Road and the westbound Interstate 2 frontage road. The site lies directly across the street from the Rio Grande Valley Premium Outlets, a Simon Property Group-owned outdoor shopping plaza that boasts about 140 different retailers and eateries. The sprawling outlets are a prime shopping destination for shoppers crossing the U.S.–Mexico border from nearby Reynosa and Matamoros, Mexico.
It’s a bustling and fast-growing retail corridor located on the east side of the Mid-Valley town that boasts a population of less than 17,000 people. Nonetheless, tiny Mercedes packs a powerful punch. Of Hidalgo County’s 22 municipalities, Mercedes’ shopping outlets generate the sixth-highest sales tax revenues, according to Place 4 Mercedes City Commissioner Ruben J. Saldaña. City leaders expect the Shops at Mercedes — which Mayor Oscar Montoya once characterized as “a transformational moment for our city” — to help the city’s economic output to continue to grow.
Though construction of the Shops at Mercedes remains ongoing, a number of big-name retailers have already committed to leasing floor space at the Shops at Mercedes. That includes a Ross Dress for Less, dd’s DISCOUNTS, Burlington, Marshalls, Boot Barn and a Rack Room Shoes. And at least three other tenants have shown interest in leasing the pad sites in the as-yet-undeveloped 7.2 acres of land that lie in front of the plaza, according to schematics released by the project developer.