The University of Texas at San Antonio plans to buy a cluster of buildings and a parking lot near the School of Data Science downtown from a company affiliated with GrayStreet Partners. The university building, called San Pedro I, is on the right.
Billy Calzada/staff photographer
The University of Texas, like San Antonio, wants to buy a cluster of dilapidated buildings and parking spaces next to its School of Data Science and National Security Collaboration Center as it seeks to expand its downtown holdings and attract more students for its technology programs there.
The university would purchase the 1.5-acre property along South Flores Street, between Nueva and Dolorosa streets, from a company affiliated with San Antonio firm GrayStreet Partners.
The UT Board of Regents is scheduled to vote Thursday morning on whether to authorize the acquisition, which encompasses buildings totaling 68,500 square feet, including one that was once Kallison’s Western Wear, and a 125-space parking garage.
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That fits with UTSA leaders’ goal of having 10,000 students living, attending classes and conducting research on the roughly 32 acres the university owns downtown by 2028, said Corrina Green, associate vice president of real estate, construction and planning. from UTSA.
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“Having the opportunity to acquire the remainder of that entire block was very attractive to us,” Green said. “It makes sense as a real estate transaction, but it really helps us with our goals as we look to expand our presence across all three of our downtown campuses.”
The university’s holdings in San Antonio’s urban core include its campus west of downtown; its southwest campus, close to the Central Library; and San Pedro I, the $90 million, 167,000-square-foot building that houses the School of Data Science and the National Security Collaboration Center.
Construction is underway on San Pedro II, a 180,000-square-foot, $131 million building also known as the Innovation, Entrepreneurship and Careers building, which will be used for research and business, computer engineering, hardware and software development and scientific programs. Completion is scheduled for October 2025 and opening to students in January 2026.
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UTSA also plans to add a college dedicated to artificial intelligence, cybersecurity, computing, data science and similar disciplines.
It’s unclear how much the university would pay for the GrayStreet property, which the Bexar Appraisal District values at $7.7 million. The price must not exceed fair market value as determined by an independent appraisal, the Board of Regents agenda states. Green said the price has not yet been determined.
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The buildings have a local historic designation, although as a state entity, UTSA is not subject to local jurisdictions. Green said the university is still researching and evaluating the buildings, which are in poor condition, and considering whether the facades could be preserved and maintained.
There are no immediate plans for the site, which UTSA plans to use for public parking for now, Green said. The transaction is expected to close in several months.
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GrayStreet managing partner Kevin Covey did not immediately respond to a query.
The company has sold some of its downtown holdings in recent years, including historic buildings along East Houston Street that it planned to convert into an office and retail center, as well as the Villita Assembly building that it planned to rehabilitate.
GrayStreet renovated the Light Building on Broadway, which is leased to tenants including the Express-News, the Air Force Software Development Squadron and Ford, Powell & Carson. The company also owns buildings along South Flores and West Nueva Streets and along Soledad Street, as well as parking lots.
GrayStreet planned to partner with Houston-based developer Midway on mixed-use developments on Broadway from Pearl and at the former Lone Star Brewery. The company sold much of the land near Pearl to Fulcrum Development, and a large project is still underway. GrayStreet is trying to sell the Lone Star website.
