DRENNER & GOLDEN
When Target, J.C. Penney and Bealls open their new stores in March at a new retail center down the road, more than 165,000 square feet of the 200,000-square-foot Springtown Shopping Center will be empty. The rest will surely follow.
“If we’re 80 percent vacant, we’re really 100 percent vacant because no one is going to stay in a center that’s basically empty,” said Steve Metcalfe of Drenner & Golden Stuart Wolff, an Austin-based real estate law firm representing the properties’ owners.
The developers want to remake the property as Springtown Entertainment Center anchored by a movie theater with a bowling alley, sports bar and restaurants. The alternative is marketing the facility as a hub of second-tier discount retailers such as dollar stores, Metcalfe said.
Metcalfe did not mention tenant names but renderings he presented to the city council last week show a Third Base sports bar and an Alamo Drafthouse, a dinner-and-drinks cinema that has been looking at San Marcos properties for some time, including the former Gordo’s bar downtown.
To make the transformation happen, the developers say they need an economic development incentive package from the city that would forgive 80 percent of sales tax generated by the facility for 20 years. Even with the subsidy, the facility would still generate more than $16 million over the term in the form of property taxes and fees related to the redevelopment, Metcalfe said.
In addition, Metcalfe said the developers will need conditional use permits to serve alcohol, parking and sign variances to the city’s land development code.
The city council referred to the proposal to the economic development board for a recommendation.
— BRAD ROLLINSEmail | Print