As the San Antonio area continues to emerge from the economic crisis spurred by the COVID-19 pandemic, Hill Country Village, Hollywood Park and Shavano Park report increasing or stabilizing sales tax revenues, which local government and business leaders said reflect a continuing influx of new businesses, such as charcuterie board and box shop Graze Craze, as well as Pockets Billiards, Wings & Beer.
Hill Country Village and Shavano Park saw increases in their sales tax revenues from fiscal year 2018-19 to FY 2021-22 of 0.43% and 8.84%, respectively. While Hollywood Park reported a 23.25% decrease in that same period, but officials project a 9.7% boost in sales tax revenue from FY 2021-22 to FY 2022-23.
Cynthia Ellison, an executive with commercial real estate firm REOC San Antonio, which handles leasing at Hollywood Park’s Galleria Oaks—where Pockets and Graze Craze are located— said the shopping center is 90% leased. At least one more restaurant is slated to open there in early 2023.
Ellison agreed with city officials and business owners interviewed by Community Impact that the three smaller cities remain attractive to businesses largely because of their amenities and their instant accessibility to major corridors.
“I’ve had a lot of activity [at Galleria Oaks], like most any other place in the area. It’s a well-located retail center, a straight shot to downtown, and all the desired demographics are here,” Ellison said.
After seeing sales tax revenues fluctuate before and after the height of the pandemic, local leaders said they are glad to see increasing sales tax revenues help pad their respective total tax bases, which in turn support various city services.
Hill Country Village stabilizes
Hill Country Village officials project the city will collect $939,000 in sales tax revenue in FY 2022-23—a 0.427% increase over the $935,000 the city collected in FY 2021-22. Projected FY 2022-23 revenue exceeds the city’s prepandemic sales revenue totals.
Merchants, such as Vintage Wine Bar and Speciality Foods, Webby Dance Co., COREssentials, and Casa Chocolates all have opened at The Alley on Bitters since the start of 2020.
Mayor Gabriel Durand-Hollis called Hill Country Village a business-friendly environment where the town’s economic development corporation works with the city to use available resources to spur local economic development.
As an example, Durand-Hollis said when Hill Country Village annexed The Alley on Bitters retail center from unincorporated Bexar County in the late 2000s, the city refunded 33% of monthly sales tax revenue collected at the boutique shopping center to the center’s operators from September 2006-February 2010.
Durand-Hollis said, in exchange, the owners agreed to fund the extension of public infrastructure to the property to better serve tenants there.
“We encourage our businesses to prosper and let them know we can help with permitting or whatever we can to assist them,” Durand-Hollis said.
Neil Viers, a buyer at Bjorn’s, a 47-year-old family-owned audio/video store on US 281 south of Galleria Oaks, said Bjorn’s has a positive relationship with Hill Country Village, specifically the police department, which has offered security at past events.
Viers also said COVID-19—and the internet’s evolution—reduced foot traffic at the physical store and prompted the retailer to change how it does business.
“We are still growing,” Viers said. “We’re now less traditional retail and more online, where people shop on our site, order a product or consult us for help. We’re doing quicker pivots.”
Hill Country Village Economic Development Corporation board President Doug Boom said his town’s business district is doing well overall.
“The business are recovering nicely. It appears occupancy of retail space is up. There are a couple of new businesses and, we even have a new refurbished McDonald's,” Boom said. “We really do not have any specific plans or initiatives to bring in more business. We seem to be doing well for now.”
Hollywood Park adds merchants
Hill Country Village’s northern neighbor, Hollywood Park, has seen at least four new businesses open in Galleria Oaks since October 2021, including Graze Craze and Pockets.
Graze Craze—a franchise chain offering customizable charcuterie boards and boxes—and Pockets Billiards Wings & Beer, had grand openings Oct. 31 and Nov. 8, respectively.
Graze Craze owner and operator Ricardo Gutierrez Jr. said he wanted to apply his love for cooking and 12 years of experience running local restaurants toward owning a small business with his wife, Helen Garcia.
The couple said their location benefits from Hollywood Park’s city services, nearby major roads and small-town spirit.
“We’re not just business owners; we’re neighbors, too,” Gutierrez said. “We’re working hard to let the community know we’re open for business and that we provide quality food with excellent service.”
Pockets General Manager Giovanni Serrano said his company is promoting the new pool hall by talking with fellow merchants, distributing fliers, and posting on social media about dining options, party rooms, and free pool for minors with an adult from noon-9 p.m.
“We want families to come out with their kids, sit down, shoot some pool, play some darts or just eat. We felt Pockets could do well here, where there’s a tight family, community feel,” Serrano said.
Delaine Hall, Hollywood Park Economic Development Corporation board president, said the EDC promotes Hollywood Park businesses through social media posts and urging local, qualifying merchants to secure free time on rotating digital billboards.
Hall said the EDC is developing packets that will inform new residents about local businesses and help connect people renting the city’s Voigt Center with local vendors that can provide products or services.
Hollywood Park projects collecting $625,000 in sales tax revenue in FY 2022-23, a rise from $569,732 received in FY 2021-22 yet still lower than the $742,328 tallied in FY 2020-21.
“[Sales tax revenues] were a little slower during COVID[-19], but we’re getting past that,” Hall said.
Mayor Sean Moore said Hollywood Park’s business district is bouncing back from the pandemic.
“As a city, we’re making sure patrons in places, like Galleria Oaks, are safe and feel comfortable. The EDC is available to assist businesses, and we’re working more closely with property managers to maximize [commercial] space,” he said.
Shavano Park’s opportunities
West of Hollywood Park, officials said local developer Denton Communities/Bitterblue Group is growing Shavano Park’s business opportunities by either marketing existing business spaces or preplanning new ones.
The city of Shavano Park projects $702,000 in sales tax revenue in FY 2022-23—a $57,000 hike over the FY 2021-22 figure of $645,000 that city staff attributed largely to rising online sales.
While Shavano Park has more office and professional spaces than retail centers and has no economic development corporation, City Manager Bill Hill said the city has had no issue accommodating new merchants and looks forward to seeing more businesses join existing retailers, such as Starbucks, Whataburger, Walmart and Merit Coffee.
“We have zoned and annexed everything possible, and the developer Denton/Bitterblue owns those pieces of land. All the city can do is collaborate with them so that development is successful,” Hill said.
At their City Council briefing Aug. 22, Bitterblue Founder/Managing Broker Daryl Lange said his firm is developing retail and medical office spaces across six tracts of land—measuring 19-plus acres altogether—surrounding the Walmart Neighborhood Market between Lockhill-Selma and DeZavala roads and Indian Woods Drive.
“We’re getting more activity [around the Walmart Neighborhood Market] than we have seen in the last few years,” Lange said.
Lange said commercial development is envisioned for nearly 3 acres southwest of the Loop 1604/Northwest Military Highway intersection, behind the Shavano Park Tennis Center, and for three adjacent tracts measuring fewer than 7 acres total.
Near Shavano Park’s Huntington luxury home neighborhood, Denton/Bitterblue is marketing its 50,256-square-foot Huntington West office building and at several small plots around the Napier Park office village, and is eying an adjacent 2.52-acre lot for commercial development.
Additionally, Denton/Bitterblue is pre-planning a 22-acre commercial tract fronting Loop 1604 further east of Pond Hill Road.
“This is a wishlist-type item and economics are going to play a role if it gets off the ground or not,” Lange said of the 22-acre tract.
