The estimated total value of the development at full build-out is set to be close to $1 billion, Tannos said.
What we know
The project is still early in the city’s standard development process, Tannos confirmed. Mayor Matthew “Doc” Dantzer said the proposed town center has not yet been brought to the Planning & Zoning Commission or Magnolia City Council.
“Magnolia is a place with strong community roots; any development that wants to contribute to that vision is welcome to bring forward their plans,” Dantzer said. “We have development codes and plans in place to guide this growth, and all plans are reviewed in a public forum for the public to attend. As the sun rises and sets, there are going to be new development announcements in a town with this much growth.”
Located behind Magnolia City Hall near Buddy Riley Boulevard, the development will include a mix of residential, commercial and civic elements, Tannos said.
“We’re trying to take our time and make sure we do everything in partnership and not in competition or not adversarially with the city’s engineers,” Tannos said.
A closer look
Tannos described the project as a master-planned community designed to support local growth and infrastructure.
“We’re not going to come up there and put 10-story glass buildings,” Tannos said. “We want this to be a community-friendly development ... not just slap whatever on the ground that just goes vertical into the sky.”
Tannos said the proposed site plan includes:
- 187 single-family homesites
- Multifamily spaces
- Condominium spaces
- Retail spaces
- Office buildings
- Hospitality, entertainment and walkable waterfront shopping areas
- Two parking garages
- A potential convention center
- Three public-access lakes
- Over 30 acres of public green space to be donated back to the city
“I cannot discuss any of the LOIs currently,” Tannos said. “But I can tell you that there are national retail, national hospitality brands and a lot of national business brands.”
Tannos also said the development will prevent certain businesses.
“We’re restricting any uses that would not be considered community friendly,” Tannos said. “So you’re not going to see a smoke shop or a tattoo parlor or anything remotely questionable.”
The developer said they are potentially looking at $75 million to $80 million of infrastructure and utilities.
“That’s a very big subject in Magnolia, because water and utility capacity are big concerns,” Tannos said.
Major takeaways
Since 2020, Magnolia’s city property tax rate has decreased steadily—from $0.4529 per $100 valuation in 2020 to $0.2509 in 2024, a change Rachel Steele, executive director of Magnolia Economic Development Corp., said is because of the addition of over 25 new businesses.
“Mixed-use developments, versus 100% residential developments, generate economic opportunity for the city,” Steele said. “That includes lowering the municipal property tax rate, creating local jobs and attracting new businesses.”
Dantzer said the city’s population has more than doubled since 2020.
Tannos said he hopes to break ground as early as the first quarter of 2026, pending city approval, with completion in 12 to 14 months after.
“That’s a huge influx of new property taxes for the city,” Tannos said. “All that business is just really going to help drop the municipal tax rate.”
