Sugar Land City Council voted Feb. 18 to move forward with acquiring the roughly 40-acre district. The $50 million acquisition aims to preserve and develop the area into a mixed-use space, although an exact plan for the district hasn’t been determined.
City Council approved the purchase of the land for no more than $35 million, while an additional $15 million will be used to:
- Preserve the Char House
- Improve the city’s utility system, streets and drainage infrastructure
- Other professional services
What’s happening?
The site, located north of Hwy. 90A and east of Ulrich Street, has sat vacant for over two decades amid multiple failed private revitalization efforts. This was caused by barriers including land acquisition and cost in the private market, Rodriguez said.
The most recent proposal in December 2022 by Houston-based Puma Development included a $1 billion mixed-use project featuring retail, entertainment, offices and housing. After the project stalled in August due to “financial and market challenges,” city officials have said Puma is no longer part of the future development and new plans for the site must be formed.
“The Char House represents our beginnings as a company town. Preserving the district honors our past while creating new opportunities for the future,” Rodriguez said.
Digging deeper
The city’s efforts will be funded by a certificate of obligation, which will be paid for using revenue designated for economic development including the $0.25 sales tax collected by the Sugar Land Development Corp. and the Sugar Land 4B Corp., Rodriguez said. No property tax revenue will be used.
In honor of the anniversary, the nonprofit is partnering with the city and various sponsors to host an anniversary celebration July 13 from 2-7 p.m. at Talyard Brewing Co. featuring raffles, live music and a cornhole tournament.
“We want to bring the community together, through sharing history, stories and in preparing for the future of Sugar Land,” Lytle said.
The background
According to Sugar Land officials, the property has had an extensive history serving first as the headquarters for Imperial Sugar.
- June 2003: Imperial Sugar Refinery closes
- March 2011: Johnson Development enters contract for Char House renovations
- July 2016: Johnson Development sells 27 acres to Imperial Market developers
- November 2018: Imperial Market developers transfer land ownership to Hunton Group
- December 2022: Puma Development announces plans to create a $1 billion mixed-use district
- August 2024: Puma project stalls
- February 2025: Sugar Land City Council approves plan for Imperial Historic District purchase
- April 2025: Sale of Imperial Historic District
- May 2025: Expected closing for Imperial Historic District
“We recognize the importance of making investments that honor our past and support our community’s growth," Zimmerman said in a Feb. 18 news release.
Why it matters
As the city reaches build-out, with only 4% of land left undeveloped, city officials said they have prioritized redevelopment of key sites such as the Imperial Historic District and the former Fluor Corp. campus. City officials have said the Imperial Historic District is the No. 1 priority as the city works to create mixed-use spaces.
However, resident Peter Jacob, principal of real estate development business Rubicon Realty Group, said during the Feb. 18 City Council meeting that he didn’t agree with the city purchasing the entire historic district. He instead urged the city to focus on just preserving the Char House, citing struggles of developing mixed-use sites and claiming the property wasn’t a good fit for that purpose.
“The city should keep in mind it is there to help the development and redevelopment of commercial sites and not become the developer,” he said.
Looking ahead
Following closing in May, city officials will begin “mothballing” preservation efforts for the Char House including structurally securing the building, preventing vandalism and providing interior ventilation to control long-term deterioration of an unoccupied building, according to the project website.
The city will then begin its search for a private development partner, who will help create the historic district into a mixed-use site, Rodriguez said. City officials said they aim to begin negotiations on a Master Development Agreement by the end of this year, according to the project website. The process will include community input and site planning.
If progress continues as expected, infrastructure work could begin as early as 2027, Rodriguez said.
