The $40 million riverfront hotel will provide direct access to the Guadalupe River in New Braunfels, Texas.
Courtesy of Arch-Con Corporation
The stretch of Interstate 35 between San Antonio and Austin is undergoing a major transformation as population growth drives a wave of new retail, hospitality, residential and industrial projects. Once-vacant land is becoming home to some of Central Texas’ biggest developments, reshaping communities from Schertz to Kyle.
The corridor’s location between two of the state’s largest metro areas has made it a magnet for national brands, employers and developers. From a new Buc-ee’s and H-E-B in San Marcos to the expanding Mayfair community, a newly opened Costco and a riverfront hotel in New Braunfels, these projects are changing the landscape along one of Texas’ busiest highways.
Article continues below this ad
Here’s a look at some of the biggest developments underway or completed across Schertz, New Braunfels, San Marcos and Kyle.
A “Coming Soon” sign and newly installed Buc-ee’s branding greet drivers along I-35 as the San Marcos travel center nears completion ahead of its anticipated August debut.
Taylor Kamnetz/MySA
Buc-ee’s nears finish line in San Marcos
One of the most anticipated projects along I-35 is entering its final stretch. Construction crews are putting the finishing touches on San Marcos’ first Buc-ee’s travel center, where the chain’s iconic beaver logo is now mounted and much of the exterior is complete.
Article continues below this ad
The $47.2 million development at I-35 and Yarrington Road is scheduled to open Aug. 12 and will feature more than 100 fueling positions, electric vehicle chargers and a roughly 74,000-square-foot convenience store.
Once open, the location is expected to employ nearly 200 workers and will join Buc-ee’s New Braunfels location, creating one of the shortest distances between the company’s Texas travel centers.
The front-facing facade of the new San Marcos H-E-B takes shape on June 5, 2026, with signage now visible along the busy I-35 corridor.
Nicholas Hernandez/MySA
New H-E-B takes shape along growing San Marcos corridor
Another major project rising along I-35 is San Marcos’ newest H-E-B, where construction has advanced to the point that the grocer’s signature signage is visible from the highway.
Article continues below this ad
The 114,000-square-foot store near the San Marcos Premium Outlets is slated to open in fall 2026 and will become the city’s third H-E-B and first location east of I-35.
The store will include curbside pickup, home delivery, a pharmacy drive-thru, fuel station and San Marcos’ first True Texas BBQ restaurant. Positioned near one of the region’s busiest retail areas, the store is expected to serve residents, commuters, outlet shoppers and travelers moving between Austin and San Antonio.
Recent photos of Schertz Station in Texas. Construction on the development will continue through 2026.
Courtesy of Merit CRE
Schertz Station continues to grow as new businesses, including the upcoming Portillo’s, take shape along the I-35 corridor.
Nicholas Hernandez/MySA
Schertz Station grows with new restaurants and industrial expansion
Schertz Station is continuing to emerge as a major commercial hub along I-35, adding national restaurants while preparing for future expansion.
Article continues below this ad
The mixed-use development recently welcomed Chicago-based Portillo’s, marking the chain’s first San Antonio-area location. Other tenants include CAVA, Chipotle Mexican Grill and Dave’s Hot Chicken.
New state filings show the next phase could add more than 200,000 square feet of industrial space. Two planned shell buildings along Sunrise Way are expected to begin construction in May 2026 and finish in spring 2027, further expanding the development’s role as a business and employment center.
DICK’s Sporting Goods and Bootbarn are planning a combined $32 million investment in Kyle, a fast-growing Texas suburb near Austin and San Antonio, a June 2026 filing shows. This conceptual rendering shows Kyle Park, a proposed 101-acre mixed-use development planned to include retail, residential, and open-space components.
Courtesy of NewQuest Properties
Kyle city officials and NewQuest Properties representatives participate in the official groundbreaking for Kyle Park, a 101-acre mixed-use development planned along Interstate 35 in the Austin-area town.
Nicholas Hernandez/MySA
Kyle Park brings massive retail hub to I-35
Further north, Kyle Park is moving from long-term plans into active construction. The 101-acre mixed-use development near I-35 and Bebee Road is expected to become one of the region’s largest retail and lifestyle destinations.
Article continues below this ad
Developed by NewQuest Properties, the project will include more than 400,000 square feet of commercial space and more than 400 multifamily units. Confirmed tenants include Dick’s Sporting Goods, TJ Maxx, HomeGoods, Burlington, Barnes & Noble, Boot Barn, BJ’s Brewhouse, Dave’s Hot Chicken, Raising Cane’s and Potbelly.
Recent state filings show additional commercial buildings are moving forward, including a 237,000-square-foot shell building designed for future tenants. City officials estimate the project could create more than 800 jobs and strengthen Kyle’s role as a regional shopping destination.
Construction crews continue work on the eight-story, $40 million SpringHill Suites by Marriott project along I-35 in New Braunfels, Texas, on February 12, 2026.
Nicholas Hernandez/MySA
SpringHill Suites riverfront hotel reaches construction milestone in New Braunfels
Another major hospitality project is taking shape along I-35 in New Braunfels, where the future SpringHill Suites New Braunfels River Village recently topped out along the Guadalupe River. The eight-story, 150-room hotel is expected to open in early 2027.
Article continues below this ad
Developed by Oldham Goodwin, the 150,000-square-foot riverfront hotel will feature suites with water views, a resort-style pool, event space, fitness center and direct river access. The property will also include Paloma Suerte, a Tex-Mex restaurant from Fort Worth chef Tim Love.
With 700 feet of riverfrontage and a connection to the neighboring Courtyard by Marriott New Braunfels River Village, the hotel will add another major hospitality destination to a city that already draws millions of visitors to attractions like Schlitterbahn, Gruene, and Wurstfest.
New Braunfels Walmart Distribution Center.
Google Maps
Walmart invests $8M into New Braunfels distribution center
While many new I-35 projects are bringing restaurants, shopping and hotels to the corridor, Walmart is investing in the infrastructure that keeps the region’s growing retail network moving.
Article continues below this ad
The retail giant plans to spend $8 million upgrading nearly 97,000 square feet inside its New Braunfels distribution center near I-35, according to state filings. The warehouse renovation will include new material-handling equipment, electrical upgrades, fire suppression improvements and compressed-air system updates, with construction expected to run through September 2027.
Shoppers browse aisles inside the New Braunfels Costco on May 15 during the opening day rush.
Nicholas Hernandez/MySA
Gas pumps at Costco Wholesale in New Braunfels, Texas on May 11, 2026. The Costco warehouse is set to open on May 15, 2026 in New Braunfels.
Nicholas Hernandez/MySA
Costco opens as major retail anchor for New Braunfels’ Mayfair development
One of the biggest retail additions along the I-35 corridor is now open, as New Braunfels welcomed its first Costco warehouse after years of anticipation. The 152,000-square-foot store opened in May 2026 at the Mayfair development, drawing hundreds of shoppers who lined up overnight for a first look inside the new warehouse.
Article continues below this ad
The opening marked a major milestone for Mayfair, a 1,900-acre master-planned community planned to include thousands of homes, commercial space, schools and other amenities. The Costco location employs about 240 workers and features a gas station, pharmacy, bakery, food court and thousands of products, creating a new retail destination for residents who previously traveled to nearby cities to shop.