H-E-B is advancing a major expansion of its San Antonio distribution campus with plans for a new refrigerated warehouse investment of $175 million. The facility will rise at 711 South Foster Road on the company’s existing campus, next to an approximately two-million-square-foot warehouse and manufacturing plant that already supports the grocer’s regional operations.
The planned refrigerated building is expected to span roughly 675,000 square feet. According to the timeline outlined in planning documents, construction is scheduled to begin at the end of August, with completion targeted for March 2028. In addition to cold-storage and distribution space, the project will incorporate a two-story administration component along with remote shipping and receiving offices and nearby maintenance areas to support day-to-day operations.
The new cold-storage investment is part of a broader round of capital spending at the South Foster Road campus. State records filed earlier in the month indicate that H-E-B is also moving forward with an estimated $125 million bakery production facility on the same San Antonio site. That bakery building is planned at roughly 356,354 square feet, with construction expected to begin in early July and conclude by September 2028, further deepening the campus’s role as a regional manufacturing and distribution hub.
H-E-B is pursuing public support for the expansion and has applied for an incentive package from Bexar County valued at about $15 million. Local officials are evaluating the request in the context of the company’s ongoing investment and job creation at the site.
If the overall expansion program at the campus proceeds as described, H-E-B’s local workforce associated with the complex would grow to more than 2,600 employees. The company’s cumulative investment in the San Antonio campus would then surpass $1 billion, reflecting a long-term commitment to expanding its logistics and production footprint in the area.
