City Manager Updates Council on Mall Demolition Schedule
Hillsboro, Texas News – Courtesy of the Reporter Newspaper
City Manager Megan Henderson provided an update on progress at the outlet mall site during a regular meeting of the Hillsboro City Council Tuesday, March 18. Most of the site will be demolished in May ahead of new development coming to town.
Henderson said that Glaser Retail Partners continues to work with seven prospects considering the property, and the city hopes to make an announcement about the businesses coming to town in April or May.
Demolition of about 75% of the existing mall is currently planned for May. Henderson said that about 25% of the current buildings will stay standing and be reconfigured as part of the redevelopment project.
Before work begins at the site, the city is planning an event dubbed “Mallmageddon” for April 17-20, which will include a carnival, rage room, 90’s popup club and other activities that will be announced soon.
Two years ago, Glaser Retail Partners purchased the 43-acre mall property from its previous owner, Craig Realty Group, and the city then purchased just under 31 acres of that to hold for future development.
Under the first phase, the developer planned to establish well-known restaurant/retail brands along the 12 acres fronting Interstate 35.
Development of the rest of the property is expected to follow, and Glaser will have the right to repurchase some or all of the city-owned property when desired establishments are identified and recruited.
The city planned to hold half of its purchased property until development that is considered highly desired and beneficial to citizens is identified and recruited.
According to the development agreement, the city and developer are each responsible for demolition costs on their respective properties, but the developer will be reimbursed for these costs if project milestones are met or exceeded. For example, Henderson said that Glaser is committed to at least four businesses in the first phase and would have one-third of his demolition costs refunded if this goal is met. That percentage goes up by one-third for each additional business brought to the property.
“As a caveat, there are some equivalencies at play,” said Henderson. “For example, there’s one business that we can’t name, but if he brought them, they would count for two.”
Henderson said that she anticipates the developer will contract and pay for all of the demolition and be reimbursed by the city. “That puts them in control of all the timing and compromises with the demo contractor, which is good because they’re managing the end users and that whole process,” she said. An amendment to the development agreement is expected to go before the council in April to make this possible.
The city established a Tax Increment Reinvestment Zone (TIRZ) at the site in 2023 to support…
See the Thursday, March 27, paper edition of The Reporter Newspaper for the complete story.
A Message from the Hillsboro Area Chamber – If you have questions about the outlet mall demolition or redevelopment, please contact the Hillsboro, Texas City Government at 254-582-3271.
To access information about Mallmageddon, the Easter weekend schedule of events bidding farewell to the mall, please see the full lineup of events on the Hillsboro Area Chamber community calendar at this link. Dates and times for the carnival, rage room, and pop up experiences utilizing mall suites will be posted and continually updated leading up to the April 17th – 20th 2025 events.
The City has also set up a Mall Memories Facebook Group where locals and mall alum can share stories, photos and news leading up to Mallmageddon.
