Major Texas Retail Project: Joint Venture Advances

In Austin, Two Houston developers have teamed up on a major retail project in progress along the I-35 corridor between Austin and San Marcos.

Transwestern Investments and NewQuest have formed a joint venture and started construction on Kyle Park, the retail portion of a 101-acre multi-use development in Kyle, Texas. The multiphase development, located about 20 miles south of Austin at the northeast corner of I-35 and Bebee Road in Hays County, will also include multifamily and hotel uses.

Kyle Park, a regional lifestyle center totaling 412,588 sq ft, will be at the center of the project. It will tie into the Vybe Kyle, a citywide trail network of over 50 miles of golf cart trails and sidewalks. Transwestern Development is planning a future multifamily phase.

“This property presented a rare opportunity to comprehensively address the evolving demands of one of the fastest-growing regions in the United States,” said William Duncan, Partner at Transwestern Investments. “NewQuest has been instrumental in bringing the retail vision to life, and we see tremendous long-term potential in this corridor along I-35 as Kyle continues to attract new residents, businesses and investment.”

NewQuest will manage development, leasing, and property management of Kyle Park while newly reported JV partner Transwestern Investments will serve as the capital partner and co-sponsor.

Site of Kyle Park, a multi-use development of NewQuest in Hays County. NewQuest courtesy photo.

Among the larger tenants, Kyle Park is set to include Dick’s Sporting Goods, Burlington, HomeGoods, ULTA Beauty, TJ Maxx, Barnes & Noble, Boot Barn, and EOS Fitness. At least 15 pad sites are planned along I-35. Spaces are slated to be turned over to retailers in late 2027.

Nearby, Transwestern Investments and Balcones Real Estate Group recently started work on Kyle Commerce Center, an adjacent 328,256-SF shallow bay industrial development at 278 Republic Drive. The four-building service center will offer 30 move-in-ready suites ranging from 4,500 to 20,800 sq ft. Delivery is scheduled for 2027.

Houston-based Transwestern is a vertically integrated commercial real estate firm dedicated to serving investors, partners and clients through expertise in investment, development, brokerage and property management. Founded in 1978, Transwestern has 35 offices nationwide.