In a move that hitches its wagon to the rapid expansion of Kyle, Texas, Hays Co Bar-B-Que is relocating from its original San Marcos digs to a boomtown whose population has been blossoming faster than a Hill Country wildflower. The 17-year institution has bagged a $500,000 incentive package, unanimously approved by the Kyle City Council on September 3, as it shifts into a former tire shop at 505 S. Old Highway 81. According to an article from the KXAN, city officials are lining up their chips, betting on this project to spur further growth in Kyle's downtown area.
Michael and Asenette Hernandez, the owners of the barbecue joint that has consistently sizzled its way onto Texas Monthly Magazine's list of top 50 BBQ joints, have taken a gamble not just to shift but to transform their operation. The restaurant's new incarnation will be a multi-phase buildout with an initial 2,000-square-foot eatery and an accompanying 1,500-square-foot outdoor space, complete with a playscape and walk-up bar, Michael Hernandez described in a statement obtained by the Austin Business Journal.
As part of the economic development agreement, dubbed "Project Ember," Kyle is carving out financial incentives including a 50% sales and property tax rebate for three years and a one-time $400,000 grant aimed at bolstering property improvements. This strategic partnership underscores the sheer velocity of growth in Kyle, which saw its population explode from approximately 5,000 in 2000 to over 63,000 today. This demographic upsurge marks it as the second-fastest-growing city in the United States of its size. Notably, Hays Co Bar-B-Que brings in about $3 million a year in gross sales, according to Michael Hernandez’s comments in the Austin Business Journal.
But it's not just brisket and ribs that are on the menu. As the Hernandez family seeks to scale back and carve out more time for their personal lives, they also plan to lease space to other local eateries and retailers, signaling a blossoming food hall-like community. “We see the benefit all the way around, not just for us but for the community, the city of Kyle and the surrounding areas,” Hernandez shared with excitement in an Austin Business Journal interview.