Southstar Acquires Former Lone Star Brewery for Redevelopment

Redeveloped Lone Star Brewery in San Antonio, Texas

San Antonio, Texas, January 20, 2026

Southstar, a developer based in New Braunfels, has acquired the 32-acre former Lone Star Brewery site in San Antonio. The plans aim to revitalize this historic landmark that has remained vacant for decades. This redevelopment is focused on creating a mixed-use environment that will incorporate residential, commercial, and recreational spaces, contributing to the area’s economic growth and honoring the site’s rich history.

Southstar Acquires Former Lone Star Brewery Site for Redevelopment

Aiming to Transform San Antonio’s Historic Landmark

San Antonio, Texas

In a significant move for San Antonio’s economy, Southstar, a New Braunfels-based developer, has officially acquired the 32-acre former Lone Star Brewery site. Announced on January 16, 2026, this acquisition aims to revitalize a property that has remained vacant for decades and represents a crucial step toward the redevelopment of this historic site.

This long-dormant brewery, established in 1940 and operational until 1996, has witnessed numerous failed redevelopment attempts. Southstar’s CEO, Thad Rutherford, has expressed a commitment to honor the site’s rich history while aligning it with the city’s future growth plans. This effort reflects the kind of entrepreneurial innovation that is essential for local economies, demonstrating that with the right vision, previously stalled properties can be transformed into vibrant community spaces.

History of the Lone Star Brewery

The Lone Star Brewery has been a significant landmark in San Antonio, contributing to the local economy and serving as one of its major employers before its closure in 1996. Since then, various redevelopment attempts, including an extensive $709 million mixed-use proposal, have faltered primarily due to challenges such as rising interest rates and construction costs. The commitment from Southstar brings renewed hope for transforming this iconic site into something that complements the modern landscape of the city.

Southstar’s Vision for Development

Southstar’s redevelopment plans are centered on creating a mixed-use environment that will include residential, commercial, and recreational spaces. The developer is keen on integrating this new project with ongoing public initiatives, such as VIA Metropolitan Transit’s transit-oriented development and the San Antonio River Authority’s improvements along the river. This integrated approach is expected to foster a cohesive and vibrant community, aligning with the broader objectives of urban development in San Antonio.

Significance of Revitalization

The revitalization of the Lone Star Brewery site is expected to serve as a catalyst for growth in the Southtown area, much like the successful transformation of the Pearl Brewery site, which has spurred regional economic growth. The previous successes in the Southtown area highlight the potential benefits of rejuvenating historically significant properties within the city, creating new job opportunities and enhancing the quality of life for residents.

Exploring Expansion Possibilities

In addition to redeveloping the main brewery site, Southstar is also exploring the acquisition of adjacent parcels. This expansion could further enhance the redevelopment area, allowing for a more comprehensive approach to urban development and ensuring that the new community space effectively meets the needs of San Antonio’s growing population. With the last assessed value of the property set at $18.6 million, there is substantial room for growth and improvement.

Anticipated Challenges and Community Support

While the vision for the redevelopment is strong, Southstar acknowledges that challenges remain. Rising construction costs, regulatory hurdles, and community engagement are all critical elements that will need to be addressed. However, the positive sentiment surrounding this acquisition signals strong local support. The involvement of the community and local businesses can foster a more resilient growth environment, which aligns with the city’s reduced regulation efforts to encourage economic vitality.

Conclusion

The acquisition of the former Lone Star Brewery site by Southstar marks an exciting chapter in San Antonio’s economic development story. As plans unfold for this major mixed-use redevelopment, local entrepreneurs and residents can look forward to a revitalized community that honors its industrial heritage while paving the way for modern urban living. Staying engaged with local economic initiatives and supporting developments like this can significantly contribute to the growth of San Antonio’s economy.

Frequently Asked Questions (FAQ)

What is the Lone Star Brewery site?

The Lone Star Brewery site is a 32-acre property in San Antonio, Texas, established in 1940 as a brewery. It ceased operations in 1996 and has remained vacant since then.

Who is Southstar?

Southstar is a New Braunfels-based developer known for revitalizing historic properties and integrating them into modern urban developments.

What are Southstar’s plans for the site?

Southstar plans to redevelop the former Lone Star Brewery site into a mixed-use development, aligning with ongoing public initiatives to create a vibrant community space.

What is the significance of the Lone Star Brewery site?

The site holds historical significance as a former brewery that was once a major employer in San Antonio, and its revitalization is seen as a catalyst for growth in the Southtown area.

What challenges have previous redevelopment efforts faced?

Previous redevelopment efforts faced challenges such as rising interest rates, construction costs, and environmental issues, leading to stalled projects.

How does this redevelopment align with city plans?

The redevelopment aligns with city plans by integrating with public initiatives like VIA Metropolitan Transit’s transit-oriented development and the San Antonio River Authority’s river improvements, aiming to create a cohesive urban space.

What is the current status of the property?

The property was last assessed at $18.6 million, and Southstar is exploring the acquisition of adjacent parcels to expand the redevelopment area further.

How does this redevelopment compare to the Pearl Brewery revitalization?

Similar to the Pearl Brewery revitalization, which transformed the area into a mixed-use campus, the Lone Star Brewery redevelopment aims to rejuvenate the Southtown area and spur regional growth.

What is the expected impact of this redevelopment?

The redevelopment is expected to preserve San Antonio’s industrial heritage while fostering modern urban development, contributing to the city’s growth and revitalization efforts.

Key Features of the Redevelopment

Feature Description
Property Size 32-acre site
Historical Significance Former Lone Star Brewery, operational from 1940 to 1996
Developer Southstar, New Braunfels-based developer
Redevelopment Plans Mixed-use development integrating with public initiatives
Adjacent Properties Exploring acquisition of nearby parcels to expand redevelopment
Assessment Value Last assessed at $18.6 million
Previous Redevelopment Attempts Multiple stalled projects due to various challenges
Comparable Redevelopment Similar to the revitalization of the Pearl Brewery site
Expected Impact Preserve industrial heritage while fostering urban development

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STAFF HERE SAN ANTONIO WRITER
Author: STAFF HERE SAN ANTONIO WRITER

The SAN ANTONIO STAFF WRITER represents the experienced team at HERESanAntonio.com, your go-to source for actionable local news and information in San Antonio, Bexar County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Fiesta San Antonio, San Antonio Stock Show & Rodeo, and Dia de los Muertos. Our coverage extends to key organizations like the Greater San Antonio Chamber of Commerce and United Way of San Antonio and Bexar County, plus leading businesses in retail, insurance, and energy that power the local economy such as H-E-B, USAA, and Valero Energy. As part of the broader HERE network, including HEREAustinTX.com, HERECollegeStation.com, HEREDallas.com, and HEREHouston.com, we provide comprehensive, credible insights into Texas's dynamic landscape.

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