H-E-B Expands to Montgomery: A Game-Changer for the Growing Community

By CNN Newsource

Published March 12, 2025 9:57 am

By Francis Page, Jr.

March 12, 2025 (Houston Style Magazine) — Montgomery, Texas, is on the brink of a major transformation, and leading the charge is none other than H-E-B, Texas’ beloved grocery powerhouse. With groundbreaking slated for August 2025, the highly anticipated 127,186-square-foot store is expected to redefine grocery shopping in the city while fueling economic growth in one of the fastest-expanding regions near Lake Conroe.

A Bold Investment in Montgomery’s Future The estimated $30 million project, located at the southeastern corner of State Highway 105 and FM 2854, is more than just another grocery store—it’s a catalyst for growth. H-E-B LP, which has owned the 16.75-acre site since 2014, has carefully planned this development to meet the rising demand of Montgomery’s growing population. As Montgomery Mayor Sara Countryman explains, the project required extensive planning, including a feasibility study to ensure the infrastructure, such as water and sewer lines, could support such an ambitious expansion. Initially appraised at $4.38 million, the property’s value is projected to soar to $12 million once H-E-B opens its doors. Additionally, the development is expected to generate $11,000 per year in debt service revenue and over $34,500 annually in operations and maintenance revenue, reinforcing the city’s economic foundation.

H-E-B vs. the Competition: A New Grocery Battle Begins While Montgomery residents eagerly anticipate their new shopping destination, local competitors are preparing for a shift in the grocery landscape. The new H-E-B site sits catty-corner to a Kroger, one of its fiercest rivals in the Houston metro area. The grocery battle intensifies with Brookshire Brothers just down the road, and some fear the impact on smaller, locally owned businesses. “When Home Depot arrived last October, it had a significant impact on long-standing local businesses like Jim’s Hardware, Ace Hardware, and McCoy’s Building Supply,” Mayor Countryman noted. “We anticipate a similar effect when H-E-B arrives, especially on Kroger and Brookshire Brothers.”

Montgomery: A City on the Rise Beyond groceries, Montgomery is undergoing a broader transformation. With a population of just over 3,000 residents, the city is strategically managing its growth to ensure sustainable development. Unlike neighboring Magnolia and Conroe, which have implemented development moratoriums due to water shortages, Montgomery has proactively expanded its water infrastructure to support new businesses and residents. Additionally, H-E-B has already sold an adjacent 12.7 acres to SR 105 LLC, a subsidiary of Houston-based Williamsburg Enterprises, which plans to develop a future retail center next to the store—further positioning Montgomery as a retail hub for the region.

H-E-B’s Unstoppable Growth in Texas H-E-B’s Montgomery expansion is part of its rapid growth strategy across the Houston area. Recent milestones include: • Bridgeland (Cypress, TX): Opened a 128,000-square-foot store in October 2024 as part of a 23-acre urban core development. • Lago Mar (Texas City, TX): Acquired 15 acres in December 2024 for a future store near the Lagoon attraction. • Waller County Distribution Campus: Purchased 500 acres to develop a massive distribution hub that will enhance supply chain efficiency across Texas. With sales exceeding $46 billion, H-E-B continues to dominate the grocery landscape, operating over 435 stores in Texas and Mexico. The Montgomery store is poised to become another jewel in the company’s ever-expanding empire.

What’s Next for Montgomery and H-E-B? As Montgomery prepares for this landmark addition, local businesses and residents are bracing for the impact. Some see H-E-B as a beacon of progress, bringing job opportunities, increased property values, and a modern shopping experience, while others worry about its effect on existing stores. Regardless, one thing is certain: Montgomery is growing, and H-E-B is leading the way. Houston Style Magazine readers, the countdown has begun—2025 will mark a new era for Montgomery’s retail scene, and H-E-B will be at the heart of it all.

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Jo-Carolyn Goode
editorial@stylemagazine.com
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