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MUD to bring single, multi-family, commercial lots to U.S. 290
City Council, during its Nov. 12 meeting, advanced plans for a major mixed-use development expected to bring substantial growth and opportunity along U.S. 290.
Counci l members held the first of two required public hearings and passed several resolutions surrounding a strategic partnership agreement with the Elgin Gateway Municipal Uti lity Dist r ict, which lies within the city’s extra territorial jurisdiction.
“This is a standard agreement that the city has made with various developments that allows the city to do a limited annexation; so that although the property may be outside the city limits, the city still gets to collect sales tax from any businesses that are built in that location,” said City Manager Tom Mattis.
Concept plans for the $500 million project span 242 acres and feature 770 single-family homes, 15 acres of multi-family housing, 200,000 square feet of retail space and 150,000 square feet of industrial space.
Developers have committed to building a commercial spec building along the highway before residential construction begins going vertical, ensuring that commercial activity takes priority and addressing past issues where homes were built without corresponding infrastructure or business development, according to Mattis.
“This is a true mixeduse project with signif icant commercial elements in addition to residential,” Mattis added, noting that the project differs from other MUDs authorized by the council, which often emphasize retail or residential development with minor commercial components.
The development’s location along U.S. 290 is expected to attract a broader range of businesses and support economic growth, according to the council.
In addition to expanding the city’s ETJ limits, the agreement includes similar public benefits to other recent MUD partnerships, such as a two-acre site for public safety facilities, a park system open to the publ ic and contributions to Elgin Independent School District.
Developers will contribute $200 per lot, with the potential to include a new school site if deemed beneficial by the district.
“I think that the district is going to look at any development to see whether it fits the growing demographic needs,” Al Rodriguez said, council member and Elgin ISD communications executive director. “The district is constantly watching those numbers and where the growth is at, and if this becomes a possibility, they’ll certainly look into it.”
City staff emphasized that multifamily housing within the project will be governed by city code, ensuring better oversight compared to county regulations.
Plans have been reviewed by individual city departments, and adjustments will be made as the project progresses, according to the city manager.
While the council expressed optimism about the development’s potential, members raised concerns about the traffic impacts on U.S. 290 and Texas 90. Mattis acknowledged the challenges but underscored the importance of the agreement.
“I think in Texas today, these development agreements are the best thing the city can do; it’s the best vehicle through which we have any control,” Mattis said.
The Elgin Gateway MUD is anticipated to take anywhere from 10 to 15 years to complete, with additional public hearings and updates expected as the project moves forward.
This was the only regular council meeting scheduled for November, outside of a special executive session.
“I think in Texas today, these development agreements are the best thing the city can do; it’s the best vehicle through which we have any control.”
— City Manager Tom Mattis
