H-E-B moves ahead with plans for first Dallas proper store

Construction of H-E-B store could begin at corner of I-635 and Hillcrest Rd early next year.

DALLAS — Read this story and more North Texas business news from our content partners at the Dallas Business Journal.

Construction on the first H-E-B store in Dallas proper could begin early next year, moving the beloved grocery giant’s ongoing expansion in North Texas into the urban core.

Planning documents filed with the state indicate that construction on a 131,420-square-foot H-E-B store could begin in March 2027. The property will feature a 361,995-square-foot parking structure once it’s delivered in September 2028. Work on the new location is estimated to cost about $52 million. 

The upcoming store at southeast corner of I-635 and Hillcrest Road represents the San Antonio-based grocer’s first official location in Dallas proper, although it also operates several of its lower-priced Joe V’s Smart Shop concepts and its Central Market chain across the city and the region. The new location is the latest in the explosive expansion implemented by H-E-B across the Metroplex since 2022. 

New locations from the grocer often further drive traffic and development activity towards a site. Cody Gibbs, director of market analytics for Dallas-Fort Worth at CoStar, previously estimated vacancies around new H-E-B stores to be roughly 2.8%, slightly more than half the broader market rate. These locations are surrounded with approximately 2.8 million square feet of non-H-E-B space, 13% of which has been built out since 2020.   

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