The next wave of retail and office growth at LaCenterra at Cinco Ranch is set to open near the end of the year, featuring the Greater Houston area's fourth Trader Joe's as a retail anchor and regional draw for shoppers.

"We are excited about the continued growth of LaCenterra," said Woody Mann, president of Houston-based developer Vista Equities. "We are grateful for the support of the Katy community and look forward to continuing to provide it with a wide variety of shopping, dining and entertainment options for years to come."

Vista broke ground Nov. 18 on the two-story, 73,000-square-foot combination office and retail space, and an accompanying parking garage. The company expects the project to be completed this fall.

This third of four planned phases of development for LaCenterra includes a roughly equal amount of retail and Class A commercial office space, at about 37,000 and 36,000 square feet respectively.

Overseeing Phase III is Houston-based Hoar Construction, the company that served as the general contractor of LaCenterra's first phase eight years ago.

Phases I and II currently contain about 300,000 square feet in a "main street" style development.

Trader Joe's

Thus far, the sole tenant announced for Phase III is its anchor, a roughly 12,500-square-foot Trader Joe's location.

A spokesperson for the Monrovia, Calif.-based specialty grocery said the company expects the location to be open by the end of 2014. The company describes its stores as a unique neighborhood grocery store with food and beverages ranging from the everyday to the exotic.

While the next phase of LaCenterra will bring many benefits to Katy, city sales tax revenue will not be among them.

"The city limits are smaller than people think," Katy Finance Director Byron Hebert said. "LaCenterra is not in the city limits, but anything in the greater Katy area that attracts people can have a positive effect in the city."

For a city that draws just more than half its revenue from sales tax, anything that brings shoppers nearby is a welcomed addition, he said.

"The amphitheater will continue to attract people from out of town—people who might also go to the mall," he said, referring to Katy Mills, the largest sales tax generator within city limits.

"Any positive growth we have in the area is positive for the city," Hebert said.

On the horizon

The outdoor amphitheater and park, which opened last summer, was part of Phase II of LaCenterra. Phase I officially opened on March 1, 2007.

Now, several future projects show promise for continuing to shape the area. Lance LaCour, president of the Katy Area Economic Development Council, said his organization is working with LaCenterra to recruit office space tenants for the remaining phase of the development.

A timeline for Phase IV has not yet been announced. Plans call for a five-story, Class A office building, which may break ground as soon as spring of 2014. This year will also likely see the announcement of a 271-unit luxury, mid-rise apartment complex planned for the same area, according to the development company. No additional details have been released yet on that project.