SAN ANTONIO — The gateway to rapidly growing Austin and the Hill Country, San Antonio is a prime target for a new market.

McAllen-based Abasto Corp., the owner of the McAllen Produce Terminal Market, has been eyeing the city for a second terminal market and wholesale produce consolidation facility for the past couple of years, said Carlos Zambito, McAllen market manager.

“We’re still in the planning stages,” Zambito said.

“We still need to talk to cities and governments about tax abatements, but hopefully, if everything goes according to schedule, we will probably break ground later this year or early next year.”

The San Antonio Wholesale Produce Market, as it is to be called, is modeled after other Abasto properties, including the McAllen Produce Terminal Market and Abasto’s four Mexican locations, said Natalia Botello, business development manager for Abasto Properties.

Current designs include 180 warehouses that are 3,000 square feet each.

“We’re going for the most modern design — and by modern we don’t mean expensive,” Botello said.

“We want to have the most efficient operation cost-wise.”

Botello said the market hopes to attract a wide variety of tenants in five areas:

  • Companies based in San Antonio that already have warehouses in the city and are looking for a new facility;

  • Mexican customers looking for a foothold in Texas markets;

  • National companies with warehouses in the area that wish to have a newer facility;

  • Texas companies that serve other cities in the state looking for a new distribution hub in San Antonio; and

  • Companies looking for a consolidation facility for product being re-routed elsewhere in the country.

Zambito said San Antonio is a good option for companies to get a foothold in Texas.

“It services a pretty large area of Texas,” he said. “We see a pretty good potential.”

“We would like businesses from the San Antonio area that are already familiar with the market,” he said.

“We’d also like to bring in new businesses that want to grow and compete in that market. There are some Mexican companies that might try to bring their business to expand to the rest of the state.”

Zambito said this is an ideal opportunity for businesses in the Rio Grande Valley to make a move north.

Botello said the company already is making arrangements with tenants.

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