Southstar Proposes $575 Million Lone Star Brewery Revival

The plan aims to transform the historic San Antonio site into a residential and commercial district.

Updated on Oct. 28, 2026 in Beer

Screen-print poster illustration of a weathered brick industrial building with an arched entrance, evoking the redevelopment of a historic site.
Southstar has proposed a $575 million redevelopment of San Antonio’s historic Lone Star Brewery complex, transforming the site into residential and commercial space. AI Illustration. Upload story photo >

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Southstar has unveiled a $575 million redevelopment plan for the historic Lone Star Brewery complex in San Antonio. The massive project spans 57 acres along the San Antonio River and includes housing, a hotel, and significant retail space.

Why it matters

The proposal seeks to revitalize a derelict industrial landmark by integrating modern housing and amenities into the historic fabric of the Mission Road power plant and original brewhouse. Success depends on securing millions in public infrastructure funding to support the site.

The 57-acre site is slated to house 1,500 rental and single-family units, 174,370 square feet of retail, and a 157-room hotel. The project also designates 15 acres for public plazas, parks, and trails.

The players

Southstar

This New Braunfels-based development company acquired the former brewery complex in early 2026.

The details

The development plan preserves historic structures like the Lone Star brewhouse and the Mission Road power plant while adding extensive modern living and dining options. Developers aim to finance the required public infrastructure upgrades through a combination of tax increment reinvestment zone funding and a municipal management district.

Timeline

  1. Southstar acquired the Lone Star complex in January 2026.

  2. The redevelopment plans were presented at a board meeting on October 28, 2026.

  3. The developer projects that the site will generate $340 million in new tax revenue through 2050.

Culture Shift

This project reflects the broader urban trend of adaptive reuse, where developers transform legacy industrial zones into mixed-use lifestyle hubs. It aligns with historical precedents of using Tax Increment Reinvestment Zone funding to bridge the gap between private investment and public infrastructure needs.

Residents can anticipate significant construction activity along the San Antonio River as the project progresses through the approval process. If approved, the site will eventually introduce thousands of new housing units and expanded retail space to the local neighborhood.

The takeaway

The transformation of the Lone Star Brewery serves as a case study for how developers approach the renovation of sprawling historic sites. Local stakeholders should monitor upcoming City Council sessions to see how the requested infrastructure funding affects the project timeline.

Further reading

Learn more about the local industry at San Antonio Beer.

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Do you support using public tax funds to finance large-scale private redevelopment projects in your area?