H-E-B is eyeing its East Side site on Foster Road in San Antonio for a massive expansion that could reshape its local supply chain and add hundreds of full-time jobs. The grocer has flagged the property east of Loop 410 and north of Rigsby Avenue as a potential spot for a roughly $700 million project, with construction possibly starting later this year and facilities coming online as soon as 2028.
The retailer says the plan is not set in stone, but the numbers on the table are big: about 720 jobs by 2028 and more than 1,200 full-time positions across the next decade if the full scope moves forward. H-E-B bought the Foster Road tract in 2018 and has already poured significant money into the location, so this would be a continuation and scaling of prior investments.
Early project outlines point to a mix of manufacturing and logistics work: a modern bakery, a refrigerated warehouse, a new transportation building and an enlargement of the existing manufacturing plant. That combination would beef up capacity for items that need temperature control and speed the movement of goods from plant to shelf, which is central to any grocery chain’s efficiency.
H-E-B described the effort as potentially its largest manufacturing and supply-chain investment yet, and said the Foster Road option could become one of the biggest industrial commitments in the San Antonio area. “The project will be the company’s largest investment in its manufacturing and supply-chain division and, if the retailer moves forward with developing its plans at the Foster Road location, it will be among the largest industrial investments in the San Antonio area,” the company said in a statement.
Leadership framed the expansion as both an economic boost and a strategic move to better serve customers across Texas. “While we are still developing our plans, this will be a major investment for H-E-B that will create jobs and better position us to serve even more Texans,” H-E-B Chief Supply Chain Officer Carson Landsgard said in a news release.
The Foster Road property spans more than 870 acres, giving H-E-B room to stage a multi-year buildout rather than squeeze into a tight urban parcel. Since acquiring the site, the company has invested north of $445 million there, including a warehouse and a manufacturing plant that together exceed two million square feet in size, so the new project would expand an already large footprint.
Local officials and employers will likely watch timing and permitting closely because of the jobs and tax base such a development promises. Construction jobs alone would arrive during the build phase, followed by ongoing roles in baking, refrigeration operations, transportation logistics and plant management that help anchor the neighborhood’s economy.
H-E-B still has choices to make about exact facilities, phasing and the final design, and the company emphasized that the Foster Road site is a potential location rather than a done deal. If everything moves forward, the phased openings beginning in 2028 could shift the regional supply landscape and give the grocer more control over production and distribution closer to San Antonio customers.
