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H-E-B to build Palmhurst store

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Posted: Thursday, March 7, 2013 7:28 am

PALMHURST — Ramiro Rodriguez Jr. believes the grocer’s slogan, “Here everything’s better,” will ring true when the chain builds a new supermarket in his city.

The Palmhurst mayor said he is excited San Antonio-based grocery chain H-E-B will soon build a store on the corner of Highway 107 and Three Mile Line.

The company is set to break ground next week on the 96,000-square-foot store and complete construction by late fall, H-E-B spokeswoman Linda Tovar said in an email.

Construction plans for the store posted online show that it will include a gas station and car wash. According to architectural filings with the Texas Department of Licensing and Regulation, construction will cost more than $6 million.

Rodriguez said the grocer was interested in coming to Palmhurst because the city does not charge property taxes and already had a water line set up on the lot.

The city of Palmhurst also offered H-E-B a 380 agreement, which means the city will provide a municipal sales tax rebate to the grocer for the next 10 years. But as Rodriguez noted, H-E-B mostly sells nontaxable food products, so the company wouldn’t bring much sales tax revenue to the city anyway.

"We're just happy that they're coming to begin with,” he said. “The people are too. It is initiating some competition with the Walmart.”

The Walmart, located across the street from the H-E-B location, open in 2005. It has spurred growth in the area and brought sales tax revenue to the small city.

Several restaurants and smaller retailers have popped up around the Walmart, most recently a Chinese restaurant, a nail salon and an insurance agency, Rodriguez said.

H-E-B has 18 stores in Hidalgo County. The closest one to the new Palmhurst store is about three miles south on Conway Avenue in Mission.

“H-E-B has proudly served the Rio Grande Valley for 85 years, and we always look for ways to better serve our customers,” Tovar wrote in an email. “The new City of Palmhurst location further reinforces our commitment to this region, and to this community.”


Gail Burkhardt covers Mission, western Hidalgo County and Starr County for The Monitor. She can be reached at gburkhardt@themonitor.com and (956) 683-4462 or on Twitter, @GailBurkhardt.

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