P. Terry’s Burger Stand’s location at 5701 North I-35 in North Austin, Texas on Saturday, Dec. 13, 2025.
Aaron E. Martinez/Austin American-Statesman
P. Terry’s Burger Stand co-owner Patrick Terry announced on Wednesday that the Austin-based chain’s location at Capital Plaza will close in late June.
P. Terry’s Burger Stand will close its flagship location at Capital Plaza in later this month as Interstate 35 construction progresses through Central Austin, the chain’s co-owner Patrick Terry announced Wednesday
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“I am really sad to let you know that at the end of this month, June 28, (is) our last day at this location due to the expansion of I-35,” Terry said in a social media video. “It is a really sad day for the P. Terry’s family. We have been so proud to be here. We think this building is iconic.”
This is a difficult post for us to share.
Due to TxDOT’s I-35 expansion project, our Cap Plaza location will close on 6/28.
We’re so thankful to every guest who stopped by over the years. Visit us nearby at Koenig or Tech Ridge. ❤️ pic.twitter.com/36ODIUX5SY
— P. Terry’s (@pterrys) June 17, 2026
“But, we must go, and there is not anything we can do about it,” Terry added.
The Austin-based chain built the flagship location at U.S. 290 and Interstate 35 roughly 10 years ago. The location stands out for its unique architecture, featuring a long, slanted triangular roof with the restaurant’s body resting at the base.
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“We’re sick about it,” Terry told the Statesman in a phone interview Wednesday morning. He lauded the work of Austin-based architect Michael Hsu and his team on the site, describing it as “architectural perfection.”
The location stands out for its slanted triangular roof, with the restaurant’s body resting at the base.
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“We created a location that was perfect for out-of-town visitors, and it also created a location that was kind of a food desert for people over in that part of Austin, and so it became wildly successful,” Terry said. “We hate it because we’re having a hard time filling the void in that area. We’re Austinites; this is our home. Before we set out for San Antonio and Houston, we wanted a location for most every part of Austin.”
While Terry and fellow co-founder Kathy Terry are “upset,” they understand there is nothing they can do about the closure.
I-35 project will reshape Capital Plaza area
The restaurant is adjacent to the Texas Department of Transportation’s Capital Express Central project, one of three major projects to completely rebuild I-35 through Austin. TxDOT spokesman Brad Wheelis confirmed the agency acquired the P. Terry’s property at 5701 N. Interstate 35 for the expansion project.
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Before TxDOT acquired it, the property was co-owned by Russell Thurman and the estate of Dawn H. Shackelford, who leased the space to
P. Terry’s. It was last appraised at $1.36 million, according to Travis Central Appraisal District records.
Thurman said TxDOT purchased the property through condemnation after negotiating with the families’ attorneys. The department also condemned the parking lot of Taquerias Arandinas and an adjacent vacant building, which the families also owned, Thurman said.
Construction on the University segment from U.S. 290 East to Martin Luther King Jr. Boulevard — where the properties are located — is set to kick off in 2027 and last until 2033, barring major weather delays.
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Crews will reconstruct major interchanges and remove the upper decks along the corridor. The main lanes of the interstate will be lowered below ground level and two HOV lanes will be added in each direction. The segment of road has ranked among the most congested in Texas in recent years, according to state traffic studies.
Terry advised customers who frequented the location to visit the chain’s locations at Koenig Lane or Tech Ridge.