328,256-SF Industrial Development Will Deliver 30 Spec Suites for Small-Tenant Space In Hays County
August 12, 2026
AUSTIN – Transwestern Investments and Balcones Real Estate Group announce construction is underway on Kyle Commerce Center, a 328,256-square-foot Class A shallow bay industrial development at 278 Republic Drive in Kyle, Texas. The four-building project is being developed on behalf of a joint venture between Transwestern Investments and Balcones Real Estate Group.
Situated on 28 acres along the Austin-San Antonio corridor, Kyle Commerce Center is designed to address growing demand for high-quality, flexible industrial space serving smaller tenants in Hays County. The project will include 30 move-in ready spec suites ranging from approximately 4,500 to 20,800 square feet.
“Hays County continues to benefit from tremendous population and business growth, but the supply of modern industrial space designed for smaller users has not kept pace,” said William Duncan, Partner at Transwestern Investments. “Kyle Commerce Center gives us an opportunity to invest in a differentiated product with compelling supply-demand fundamentals in one of the fastest-growing counties in the country.”
Scheduled to deliver in 2027, Kyle Commerce Center will feature shallow bay buildings under 150 feet in depth, 28-foot clear heights and 180-foot truck courts. The property will also be within walking distance of the future Kyle Park retail center, providing convenient access to nearby amenities.
“Kyle Commerce Center is being purpose-built for a segment of the industrial market that has had relatively few new Class A options,” said Dax Benkendorfer, Partner at Balcones Real Estate Group. “By combining smaller suite sizes with the functionality and quality typically associated with larger industrial developments, we can offer tenants a product that supports their needs today while giving them room to grow.”
Balcones Real Estate Group will serve as developer, leasing agent and property manager for Kyle Commerce Center.
Images and renderings available for download here.
About Balcones Real Estate Group
Balcones Real Estate Group specializes in small bay and shallow bay ground up industrial development. Over the last five years, Balcones has acquired or built 36 shallow bay buildings across ~8 greater Austin MSA submarkets (26 of these buildings being Class A new construction) totaling 1,608,742 square feet.
About Transwestern
Transwestern is a vertically integrated commercial real estate firm dedicated to serving investors, partners and clients through expertise in investment, development, brokerage and property management. We own, lease and operate $64 billion1 in assets. Our experience spans diverse property types, including logistics, multifamily, retail, mixed-use, healthcare, office, data centers, hotel, sports & entertainment and life sciences. Across 35 offices nationwide, our team is united by a culture that cultivates agility, mutual trust and high performance. Learn more at transwestern.com.
1Includes all Transwestern enterprise assets and its RAUM as of April 1, 2026
This document does not constitute an offer, solicitation or recommendation to sell or an offer to buy any securities, investment products or investment advisory services. Any offer or solicitation will be made only pursuant to a confidential private placement memorandum and subscription documents (the “Offering Materials”) and will be subject to the terms and conditions contained in such Offering Materials.
Media Contact:
Montgomery Angel
(346) 232.8625
Montgomery.angel@transwestern.com
twmediarelations@transwestern.com
