Kress Building Renovations Have Continued in El Paso
The historic downtown property is undergoing a major $20 million restoration to revitalize the city center.
Updated on Oct. 5, 2026 in Commercial
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Franklin Mountain Investments has continued progress on the renovation of the historic Kress Building in Downtown El Paso. The project aims to bring new foot traffic and activity to the city center by transforming the site into a multi-use hub.
Why it matters
The massive overhaul seeks to boost the economic vitality of Downtown El Paso by repurposing an iconic 1938 landmark. It serves as a key initiative in the ongoing effort to attract residents and tourists to the heart of the city.
The Kress Building, which originally opened in 1938, is undergoing a renovation estimated to exceed $20 million. This includes $18.5 million in funding from Paul Foster and more than $2 million in incentives from the City of El Paso.
The players
Franklin Mountain Investments
This is a real estate investment firm that manages the renovation and currently owns the Kress Building.
Paul Foster
He is a prominent businessman who provided $18.5 million in funding to support the restoration of the building.
City of El Paso
This is the municipal government body that provided over $2 million in financial incentives for the project.
The details
The renovation plan features a spa, salon, food hall, and entertainment venue to serve the public. Developers have also proposed an underground tunnel to connect the building basement to the nearby Plaza Hotel.
Timeline
The Kress Building first opened as a department store in 1938.
Franklin Mountain Investments purchased the property in 2018.
The renovation deal was first announced in 2022.
Renovations remained underway in Downtown El Paso as of October 5, 2026.
Culture Shift
The project follows the nationwide urban historic building adaptive reuse trend by repurposing a legacy department store into a modern entertainment center. Such developments reflect a growing societal shift toward preserving historic architecture to anchor contemporary city living.
Residents can expect new dining, wellness, and entertainment options once the historic building opens to the public. The revitalization of this landmark is intended to increase the availability of leisure spaces within the downtown core.
The takeaway
Historic preservation can serve as a catalyst for local economic development when paired with modern commercial amenities. Investors and city planners frequently use these retrofits to stabilize neighborhoods and encourage long-term downtown engagement.
Further reading
Learn more about local business developments in the El Paso Commercial section.
Source note: This article includes information reported by KVIA.
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Should city governments provide financial incentives to private developers for local historic building renovations?
