Pizza Shack will open a new location in Montgomery next year, expanding both its business and its rapport with the community.

The pizzeria will be the third location for the 30-year-old family business—which was founded in Willis in 1985—and will offer outdoor seating, a full bar and a party room. The new restaurant will also house BabyCakes cupcake shop and Pizza Shack’s catering company, Danello’s. Both businesses are headquartered at the existing Pizza Shack in Montgomery.

“We will be building a new, beautiful restaurant down there,” Pizza Shack owner John Simmons said. “We have been doing business the same way for the last 30 years, and we hope to continue doing business the same way for the next 30 years. It will be nice to have everything in one spot.”

The restaurant specializes in East Coast cuisine with a variety of pizza, pasta, sandwiches, meat and fish entrees that can be paired with red and white wines from local winery Cork This! Winery.

To keep the new location within Montgomery city limits, City Council annexed the 9.45-acre tract of land for the commercial development into the city’s jurisdiction during its June 23 meeting. The annexation became effective June 25, City Administrator Jack Yates said.

The property lies north of Hwy. 105 between Lone Star Parkway and Stewart Creek Road.

“It’s at the tail end of Montgomery city limits, so that is why [the city] wanted to annex the land,” Simmons said. “We hope to break ground sometime in the next couple of months. God willing, we hope to be done [with construction] by May.”

Following annexation the city is responsible for providing water and sewer utilities to the property. Yates estimates utility enhancements cost about $400,000, however $325,000 will be paid through a Texas Capital Fund grant from the Texas Department of Agriculture. The remaining $75,000 will be funded by the Montgomery Economic Development Corporation, he said.

While providing utilities and first responder services uses local funding, Yates said the annexation will benefit the city through sales tax revenue generated by the development.

“The commercial development of the land will provide sales tax revenue to the city much beyond the cost of providing police protection and other city services to the area,” Yates said.

Additional businesses that will reside on the annexed property have not been revealed. No other annexations are currently under consideration by the city, Yates said.