When Jeff Cheney was first elected to Frisco City Council, he held his victory party at Bonnie Ruth’s, a restaurant at The Shops at Starwood. The shops, located at Lebanon Road and the Dallas North Tollway, have since been a regular stop for Cheney’s family, he said.

Now with The Shops at Starwood expanding, he said the development will be a “nice bookend” on the northern end of Frisco’s $5 Billion Mile.

The Shops at Starwood broke ground June 26 on the third phase of its community commercial development.

“All of these projects on the $5 Billion Mile are exciting,” he said. “They are going to bring a lot of things to the city. [The Shops at Starwood expansion] is going to be another cherry on the top of that pie.”

The expansion, which is expected to open at the beginning of 2016, will include more than 26,000 square feet of restaurant and retail space and more than 11,000 square feet of executive office space.

The Shops at Starwood, a 10-year-old development, is fully leased and includes small chains, such as Smashburger, and local businesses, such as Panache at Home.

Rob Exline, The Shops at Starwood leasing agent, said there are no contracts yet, but he has received several letters of intent for leasing at the new phase.

Real estate company Whitestone REIT obtained the development in 2011 and has since planned the development through the vision of a community center business model, Whitestone Chief Operating Officer John Dee said. This model calls for a mix of local, regional and national tenants.

Dee said Whitestone developed the business model after noticing a shift in consumer behavior that led to a higher percentage of people shopping online. The model works by providing local consumers a unique shopping and dining experience close to their homes, he said.

“All of these projects on the $5 Billion Mile are exciting. They are going to bring a lot of things to the city. [The Shops at Starwood expansion] is going to be another cherry on the top of that pie.”

—Jeff Cheney, Frisco City Council member

“Our tenants’ success is paramount to us,” Dee said. “We form a partnership. In our community center model, it works as a partnership so that we’re bringing customers to their businesses, and they’re feeding their customers with unique products and services.”

Tony Felker, Frisco Chamber of Commerce president, said with the large developments under construction in the $5 Billion Mile, The Shops at Starwood’s concept helps connect small businesses with nearby residents and helps support larger businesses.

Felker said 80 percent of the business community is made up of small businesses, like what is found at The Shops of Starwood. This makes up the majority of the local workforce, he said.

“At the end of the day, it’s also small business that makes a difference in the community,” Felker said.

Cheney said The Shops at Starwood also serves an important role in serving Frisco residents.

“Our residents are kind of tired of the chains,” he said. “They want more unique experiences and more destination-type dining.”

Exline said he is looking to continue a similar mix of businesses in Phase 3 seen in the first two phases by drawing traditional retail, unique restaurants and boutiques.

He said shoppers like The Shops at Starwood’s one-of-a-kind stores.

“It’s not like going into one of your chain stores,” Exline said about the development’s businesses. “It’s kind of like a nice, small community in a big city.”