Land being cleared in Kingwood for new HEB-anchored development
Contractors are busy clearing and grading a 54-acre plot of land at the corner of Northpark Drive and Hwy. 59, which has been drawing interest from curious residents, according to Melissa Neslund with Stratus Properties.
The land is being cleared to make way for a new multi-use development called Kingwood Place that will include about 41,000-square-feet of commercial space, six retail pads and 11 acres of residential space, on which 300 multi-family units are planned.
The development’s centerpiece, however, is a new 103,000-square-foot H-E-B.
“Our contractors are getting a lot of folks stopping by, and all they’re asking about is the H-E-B,” Neslund said.
Stratus Properties announced the Kingwood Place development in August, estimating a total project investment of about $50 million, although projections may be subject to change.
Neslund was joined by representatives from the Big Red Dog engineering firm and H-E-B to present project updates to officials from the Lake Houston Redevelopment Authority — a subsidiary of Tax Increment Reinvestment Zone 10, during the meeting Sept. 27 at the Kingwood Community Center.
Stratus intends to seek a reimbursement agreement with LHRA/TIRZ10 for some of the project’s construction costs. The development falls within the TIRZ10 boundary, making Kingwood Place a potential generator of future revenue for LHRA/TIRZ10, which gets its revenue from property tax increments.
Neslund said Kingwood Place has gotten a lot of interest from businesses seeking to possibly lease a pad site. H-E-B has secured a ground lease, and Neslund said Stratus is currently negotiating a lease with Chase Bank for a 3,500-square-foot pad.
The Kingwood Place site plan shows the inclusion of a 2.55-acre storm water pond.
“We’re over-detaining,” Neslund said. “We’re providing detention for our entire project. …The pond is sized to accommodate the full build-out of the site.”
Plans for the Kingwood Place development also include improvements to public utilities and the roadway that interacts with the development site.
Northpark Drive east of Hwy. 59 will receive median adjustments, lane widening and left turn lanes.
A traffic signal will be installed on Northpark Drive at the intersection of the frontage road, which will be relocated to intersect with Northpark Drive further north and east of its current location. Another traffic signal will be installed at the intersection of Northpark Drive and Rock Creek Drive.
One of the biggest items is the extension of Rock Creek Drive from Northpark to the feeder road.
“It’s 60-foot right-of-way, city road sections, sidewalks on each side — the whole nine yards,” Neslund said.
A public waterline and second public waterline as back-up in case of a fire, will be installed to serve the development.
According to a timeline provided at the LHRA/TIRZ10 meeting, Stratus plans to advertise for public roadway improvement project bids from late September through early October. A pre-bid meeting is scheduled for Oct. 1 and they anticipate the contract will be awarded Oct. 19.
Actual construction work may start at the beginning of November, with a projected substantial completion date of Aug. 2019.
Although H-E-B senior due diligence manager Justin Rose was reluctant to provide a projected store opening date so early on in the project’s process, he did say that the new H-E-B is anticipated to open in 2019.
“Assuming we don’t have too many problems, we’ll hopefully be serving that portion of Kingwood sometime in 2019, so we’re looking forward to adding another store into the market here for you all and continuing to serve this community,” Rose said.