The building purchase near Hemisfair clears a major hurdle for the $1.3B downtown sports and entertainment district.
SAN ANTONIO — The San Antonio City Council voted Thursday to approve the purchase of a federal office building and surrounding lots for $30 million, advancing plans for a new downtown sports and entertainment district anchored by a $1.3 billion Spurs arena.
The property at 727 East Cesar E. Chavez Blvd. will be acquired using funds provided by the Spurs, city officials said. The roughly 5.7-acre site is expected to house residences, businesses and office space as part of the mixed-use development tied to the team’s future Hemisfair home.
The vote marks a significant step for Project Marvel, a sweeping initiative that includes the new Spurs arena and a planned Missions baseball stadium. City leaders say the projects will reshape the heart of San Antonio over the coming years.
“We all recognize this is a generational investment, but also a wonderful opportunity,” Mayor Gina Ortiz Jones said earlier this week. “Downtown can be much more of a strategic economic engine than it currently is. Now is our opportunity to shape that.”
Plans for the Spurs’ new arena gained momentum after Bexar County voters approved a funding framework in November. The team has committed at least $500 million toward construction, in addition to covering the $30 million land purchase and estimated $120,000 in closing costs.
City officials are also eyeing the former Institute of Texan Cultures site, a 13-acre parcel still owned by UTSA. San Antonio holds the exclusive first option to buy the land and hopes to finalize an acquisition by year’s end. The estimated price is $60 million, though appraisals are pending.
Negotiations on design, community benefits and economic development are expected to continue throughout 2026, with the city aiming to complete substantive agreements by Dec. 31.
Other projects the city is considering as part of the downtown sports district project include:
Expanding the Gonzalez Convention Center
Previously identified as a priority component of Project Marvel in order to remain competitive with other cities sprucing up their own conventions facilities, San Antonio officials hope to present an updated feasibility study on the venture to council by September.
“We want to look at market analysis again, we want to make sure we’ve got our space requirements right, we want to look at accessibility to the park,” Gorzell said.
Reimagining the Alamodome
Plans to bring the Alamodome into the 21st century have always been considered a latter-phase project of the sports and entertainment district. City officials are sticking to that, saying the “reimagining” of San Antonio’s biggest venue – home to UTSA football, the Final Four when it visits San Antonio and major concerts – will likely hit full throttle a decade from now.
In the meantime, officials say they will prioritize ensuring the Alamodome receives the “operational capital” it needs to continue drawing in big crowds and headlining events.
Building a land bridge
As city officials put it, the plan to build a walkable, ecofriendly land bridge over Interstate 37 along the eastern edge of downtown is “unlikely at this point in time.” It had previously been considered a key Project Marvel element to reconnect downtown with the east side.
At the same time, officials said they still want to explore connectivity options, an opportunity afforded to the city through a $2.96 million federal grant. Alternatives to a land bridge that could come to fruition: new sidewalks, bike paths or a pedestrian bridge.
“We have until the end of this calendar year, Dec. 31, to spend it,” Gorzell said, adding the grant’s total available funds could go up to $3.7 million.
Councilwoman Phyllis Viagran, who referred to the land bridge as a personal priority in Project Marvel discussions, said she wants walkability to remain at the forefront. She also said she didn’t want the sports and entertainment district to overwhelmingly dominate city staff’s time in 2026.
“We have got projects in different district around this city,” Viagran said. “I do not want this to be the only show we discuss in B-sessions and executive sessions.”
Building a new Missions baseball stadium
The baseball stadium expected to go up near Fox Tech High School in the northwest corner of downtown is on a “more definitive timeline,” per city officials. The San Antonio Missions, the Double-A affiliate for the San Diego Padres, want to be in their new home by spring 2028.
It’s expected to cost $160 million to build.
City officials plan to have a financial framework presented to council members in June, with details on the city and county funding portions of the stadium completed by July.
What about parking?
Parking is also in the spotlight for not only city leaders but San Antonians wondering where they can leave their car while enjoying the downtown district to come.
City Council was briefed last summer on a potential laundry list of changes to accommodate for what would be a huge influx in visitors, including a new parking garage, a modernized intersection by the Alamodome to cut down on traffic, a new highway on-ramp to I-37, and more park-and-ride opportunities on public transit.
All that would require calling an infrastructure bond election. The city hopes to hire a consultant to provide a more detailed look at what’s possible this year.
Councilwoman Sukh Kaur, whose district includes downtown, said addressing parking needs to be a priority.
“The amount of times I hear, ‘Oh, there’s no place to park,’ but we have so many surface parking lots, it’s insane that we don’t really even need them,” Kaur said, suggesting an online tool allowing residents to see all available parking. “We want to build a downtown where our residents want to come down to as well and don’t feel it a burden.”