Buc-ee’s wins $4.2M sales tax subsidy for San Marcos development 

Must invest $50M into construction of 74K sf store and provide well-paying jobs in heart of Austin-San Antonio megaregion

Buc-ee’s Wins $4.2M Tax Subsidy for San Marcos Store
Buc-ee’s founder Arch “Beaver” Aplin (Getty)

Buc-ee’s is headed for a rapidly growing town in the middle of the Austin-San Antonio megaregion. 

The beloved Texas-based convenience store chain, headed by Beaver Aplin, secured a $4.2 million incentive package from the city of San Marcos and Hays County, the Houston Business Journal reported

Lake Jackson-based Buc-ee’s, known for its massive travel centers, agreed to build a $50 million, 74,000-square-foot store on a 22-acre site along the southbound frontage of Interstate 35, just south of Yarrington Road. 

It must provide 175 full-time jobs, with an average salary just under $44,000, benefits including three weeks of paid vacation and a retirement plan, as part of the agreement. The store is expected to hire as many as 225 employees with jobs starting at $18 an hour.

In exchange, Buc-ee’s will get a 15-year, 50 percent sales tax rebate from the city and county. The agreement mandates sustainable building practices and adherence to construction timelines — starting by March 31, 2025, and completing construction within 18 months. 

“We still have some work to do before closing on the property, but the City’s show of support is certainly a huge step in the right direction,” Stan Beard, director of real estate and development at Buc-ee’s, told the outlet. 

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Despite the tax rebates, the project is anticipated to yield substantial returns, with projected tax revenues of $24.3 million over the incentive period, the outlet said. It’s also projected to add $7 million in annual payroll through job creation.

The proposed store will feature 120 gas pumps and accommodate 100 to 175 electric vehicle charging stations. 

Local incentives are part of Buc-ee’s growth strategy, the outlet said. The company received a deal worth millions in 2022 to expand its store in the Central Texas town of Luling, the outlet said. It also received $8.1 million in tax subsidies for a store in Denton,  $4.5 million in Amarillo and $8.5 million in Springfield, Missouri, the outlet previously reported.

With nearly 50 locations spanning multiple states, the company is planning locations in Virginia, Louisiana, Mississippi, Wisconsin, Colorado, North Carolina and Ohio.

—Quinn Donoghue 

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