SAN ANTONIO – One of the three high-profile developments planned for Hemisfair’s next phase is no longer moving forward.
Local developer AREA Real Estate terminated its agreement with the Hemisfair Park Area Redevelopment Corp. (HPARC) to build a 17-story mixed-income apartment tower on the complex earlier this year, a Hemisfair spokesperson confirmed to the Business Journal. AREA had been aiming to break ground on the 200-unit project in 2025.
Hemisfair CEO Andres Andujar said in a statement to the Business Journal that a flurry of factors contributed to the cancellation.
“The challenges with finance, design and construction are impacting project viability around the nation,” Andujar said. “Hemisfair is optimistic about the opportunity to reconsider this critical site as its value is increasing with the emergence of impressive projects in the district and beyond.”
AREA’s project was slated to rise in a parcel south of Zachry Corp.’s Monarch hotel being built at the corner of South Alamo Street and East Market Street.
Alternative uses for parcel, known as D5, are currently being explored, Andujar added.
“We are channeling our creativity into exploring options for park-enhancing developments, and to work with the city of San Antonio to keep the Hemisfair vision moving forward,” he said. “Our commitment to progress for the Hemisfair District remains unwavering, and we are confident that the organization’s resilience and adaptability will help navigate this situation successfully.”
The developments front Hemisfair’s Civic Park, which had its first phase unveiled to the public in September 2023. The Monarch broke ground that November, and another mixed-use building fronting East Market Street from Post Lake Capital Partners is scheduled to turn dirt in the fourth quarter of 2024.
AREA Principal David Adelman declined to comment for this story.
Read more of this story, and other stories like it, in the San Antonio Business Journal.
Editor’s note: This story was published through a partnership between KSAT and the San Antonio Business Journal.