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New $250 million mixed-use development in Kyle given approval to move forward

Newquest Properties, a Houston-based developer, has been greenlit to develop the project called Vybe Park.

AUSTIN, Texas — A Houston-based developer has been greenlit to proceed with a new $250 million project in Kyle.

Newquest Properties received approval from the Kyle City Council and the Hays County Commissioners Court on Dec. 19 to proceed with the development of the 101-acre Vybe Park on Bebee Road, just east of I-35 in Kyle.

In addition to the $250 million received for development, the company was also given an estimated $41 million in incentives to assist with the project.

According to the Austin Business Journal, Newquest, operating as Home Asset Inc. at the time, provided the initial details of the project in August. The plans included space for big box retailers, restaurants, multifamily living, communal gathering and additional amenities. The company and City of Kyle then began been working on agreements to proceed with the project, including formulating a development agreement, securing land annexation and zoning, establishing a tax increment zone and securing incentives.

RELATED: New mixed-used development aims to improve quality of life for residents in Kyle

As part of the agreement, developers plan to build approximately 450,000 square feet of retail space on 72 acres, and a total of 426 one-, two- or three-bedroom units on the remaining 29 acres, according to ABJ.

The development is expected to create at least 800 full-time jobs and generate at least $2.5 million in sales taxes and $1 million in property taxes on an annual basis.

RELATED: Alternative route to I-35 in San Marcos now open

Boomtown is KVUE's series covering the explosive growth in Central Texas. For more Boomtown stories, head to KVUE.com/Boomtown.

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