By Moses Leos III

After four years and several attempts, the owner of 47 acres of land along Interstate 35 near Yarrington Road has ended his drive to develop a truck stop in Kyle. 

According to a city of Kyle press release, collaboration among Kyle, San Marcos, Hays County and the Greater San Marcos Partnership led to an agreement between Kyle and PGI Investment, LLC to develop the property without a truck stop. 

By a 6-0 vote Tuesday, the Kyle City Council directed city staff to work on a Chapter 380 agreement that includes Catalyst Commercial and Gateway Planning to assist with development. 

“We believe we now have a common vision to move forward that addresses the economic development needs of the Kyle community and the desires of the property owners,” Kyle Mayor Todd Webster said in a statement. 

The agreement allows for a 10,000 square foot convenience store with an eight pump gas station to be placed on two acres of property. The convenience store would be owned and operated by PGI. 

Additional development could include office space, hotels, restaurants and retail shopping. But Webster said neither a truck stop nor a sexually oriented business (SOB) would be allowed for development. 

Webster said in a statement that the city and PGI are discussing what type of development “comes to fruition” at the location. 

Helping will be Catalyst and Gateway, which will design a conceptual plan that is part of the “Sustainable Kyle Initiative,” City Manager Scott Sellers said in a statement. 

Rezoning of the property would be done once the conceptual plan is completed. 

“There’s commitment to do high quality development and PGI is interested in doing that too,” Webster said. 

The plan also calls for extending a wastewater line to the area. Sellers said the city estimates spending $900,000 to $1 million to extend a wastewater line, which was done through a partnership with San Marcos. Sellers said the extension would postpone the need for an $2 million lift station by five to seven years. 

That $2 million is part of an estimated $6 million plan to bring wastewater service to the I-35 Corridor south of Center Street, according to Assistant Kyle City Manager James Earp. He added that Kyle would recoup capital investment dollars through recovery fees as more businesses are developed on the PGI and surrounding properties.

The agreement brings an end to a four year saga that centered around PGI’s desire to bring a truck stop to Kyle. Previous plans led to an outpouring of opposition from nearby neighbors, including residents of the Blanco Vista subdivision. 

In February, PGI sought to rezone the land from Agricultural (AG) to Warehouse (W), which was denied by the Kyle Planning and Zoning Commission. 

Webster said talks about the agreement began roughly two months ago. He said conversations with San Marcos were “in good faith” and were “in a nature to problem solve.” 

“I wasn’t about to throw away an opportunity to develop a key piece of property. We can’t afford to do that,” Webster said. 

San Marcos Mayor Daniel Guerrero said during meetings with Kyle and Hays County, they “stressed the investment in this area” and the need to make “this gateway to our community an area we can all be proud to showcase.” 

“This agreement is a step in the right direction, and an affirmation in the power of regional planning and cooperation,” Guerrero said. 

Hays County Precinct No. 4 Commissioner Ray Whisenant was pleased with the new agreement, saying it offers “an attractive and viable business plan for that property.” 

Adriana Cruz, president of the GSMP, said the plan will provide “highly beneficial” information that will guide the development into a “fruitful economic hotspot.” 

“I do think it creates a platform for future conversation and future collaboration,” Webster said.