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H-E-B Commits to Growth in Austin Area

Texas-based grocer plans to build new stores, renovate existing locations and support community initiatives
Marian Zboraj, Progressive Grocer
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H-E-B recently opened the doors to its third store in Pflugerville, located in the east side of Austin.

While there’s been plenty of talk of H-E-B growth in the popular DFW metroplex, the Texas-based grocer is also making major strides in the state’s capital with plans to build new stores and renovate existing locations. 

This year, H-E-B has announced 12 projects for the greater Austin area. Half of those involve plans for new stores, while the others are renovation projects, efforts that position the retailer to serve even more Texans and improve the shopping experience for existing customers, all while adding over 4,000 jobs to the local economy.

Most recently, the retailer released its plans for a new H-E-B at McKinney Falls Parkway and William Cannon, a project that will support growth in East Austin. 

With the addition of the McKinney Falls store, H-E-B is moving into an underserved area that’s seeing a surge in population growth. Planning for the McKinney Falls store is still underway. Construction is slated to start next year, and the store is expected to open late 2027. 

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Also in the city’s East Side, H-E-B recently opened the doors to its third location in Pflugerville, a store that includes the first True Texas BBQ location for the city. In October, H-E-B started construction on a 106,000-square-foot store in Manor, which is expected to open in late 2025. Major renovations and expansion were recently completed at the Tech Ridge H-E-B at Parmer Lane and I-35, and the retailer has plans to update and expand the Ed Bluestein H‑E‑B, a project estimated to start in 2026.

Outside the Eastern Crescent, H-E-B has plans for store renovations in Kyle, Bastrop, and other locations in the greater Austin area. Additional store openings also are on the books for Georgetown and San Marcos, locations set to open in 2025 and 2026, respectively. 

On Dec. 4, H-E-B’s new South Congress store will officially open. At over 145,000 square feet, the multi-level store will include a ground level with indoor and outdoor dining, a second level with a large assortment of products, and three levels of above-ground parking with more than 500 spaces.

H-E-B continues to evaluate sites across the city. This includes Del Valle, where H-E-B anticipates that the property the retailer has owned for several years will be sold back to the developer, who has expressed their intent to exercise their re-purchase option on the land. H-E-B says it remains committed to supporting this community despite the sale.

The food retailer is also committed to investing in nonprofits and communities around Austin. One critical issue is housing affordability, as the rapid rise in housing costs now puts Austin’s median home price as one of the most expensive in Texas. 

To help combat the issue, H-E-B has committed $1 million to support Austin Habitat for Humanity in their efforts to build two affordable housing communities in east Austin.

“At H-E-B, we’re always looking for ways to invest in our stores and the community. This level of investment takes years of planning, and we are incredibly excited to continue providing the greater Austin area with stores that are new, expanded and remodeled,” said Cathy Harm, H-E-B SVP, Central Texas Region. “As we look for ways to serve even more Texans, we also remain committed to support those in need and uplift our communities where we operate and beyond.” 

Near the retailer’s planned store at McKinney Falls, part of the Austin Habitat for Humanity donation will support the nonprofit’s project at Persimmon Point. Currently under construction, the affordable housing project will include 126 units. South of H-E-B’s Manor store, the gift will also support the organization’s Whisper Valley affordable housing project, which will initially consist of nearly 50 single-family homes. 

Over the past five years, H-E-B has committed nearly $50 million to support Austin-area nonprofits in various capacities, including many organizations that support efforts in Austin’s Eastern Crescent.

H-E-B, with sales of $43 billion, operates more than 435 stores in Texas and Mexico. Based in San Antonio, the multi-format retailer employs over 160,000 associates and serves millions of customers in more than 300 communities. H-E-B is No. 15 on The PG 100, Progressive Grocer’s 2024 list of the top food and consumables retailers in North America.

H-E-B's Austin Area Store Plan 

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