Leander partners on proposed $1 billion development
featuring full-service hotel and 4-acre crystalline lagoon

LEANDER, TEXAS —

On Thursday, Mayor Troy Hill announced the city’s partnership with Leander Springs
LLC to develop Leander Springs, a 78-acre mixed use project with retail, restaurants, entertainment,
hospitality, office, and residential components located at the southwest corner of FM 2243 and 183A.
Expectations are that a fully developed Leander Springs could be valued at $1 billion.

As part of an economic development agreement with Leander Springs LLC, the city approved up to $22
million in performance-based tax incentives for the project, which promises to construct a 4-acre
crystalline lagoon powered by Crystal Lagoons® technology and surrounded by 10 acres of boardwalk
and related amenities. The Public Access LagoonTM will serve as the centerpiece for more than one
million square feet of commercial development including a full-service hotel and conference center
currently planned for the property.

“This dynamic mixed-use development is a game changer for our community,” said Hill.
“Leander Springs has a phased approach that will bring in much needed commercial
development at the beginning of the project while incorporating residential uses in a
proportional manner.”

In addition to commercial development, up to 1,600 units of multifamily residential development is
proposed for the project. A phasing plan was incorporated into the city’s agreement to require
commercial uses to be constructed proportionally with residential uses.

“Our conservative approach in the Leander Springs agreement helps make this project
feasible for the developers while serving as a low risk opportunity for the city,” said City
Manager Rick Beverlin. “The deal allows us to immediately share in the economic
benefits on a property that should provide excellent returns if developed to its best and
highest use.”

Leander Springs LLC will qualify for tax rebate payments on the project once certain commercial
development milestones are achieved, and only tax dollars generated from new commercial properties
qualify. Because rebates are restricted to new development, existing public funds will not be used to
finance the project.

Project milestones:
Leander Springs LLC is eligible to receive rebates from the city on property taxes, sales taxes, and hotel
occupancy taxes collected as Leander Springs develops. Some examples include:
• Phase 1 property and sales tax rebates – Leander Springs must have 35,000 square feet of
commercial development and the crystalline lagoon completed by Dec. 31, 2023. No more than
400 multi-family residential units may be developed during Phase 1.
• Phase 2 property and sales tax rebates – Leander Springs must have 100,000 square feet of
commercial development within five years of receiving the first certificate of occupancy for
developments under Phase 1. No more than 250 multi-family residential units may be
developed during Phase 2.
• Additional property and sales tax rebates – Leander Springs must have 100,000 square feet of
commercial development for every additional 250 multi-family residential units developed.

Next steps for Leander Springs
Proposed zoning for Leander Springs will be presented to the city’s planning and zoning commission on
Oct. 22. Leander City Council will make a final determination during the first and second readings of the
zoning request on Nov. 19 and Dec. 3, respectively.