The `Buzz’ In Mercedes Leading To Growth

Fred Gonzalez knew 2023 would be a watershed year of economic growth and development for Mercedes.

It has gone even better than Gonzalez, the president of the local chamber predicted, and he had lofty expectations. The Gateway Travel Center and its related developments on Mile 2 E Road and Expressway 83 were just a few months from opening in early 2023.

“That was a game changer,’’ Gonzalez said of the travel center, which has quickly become a transportation hub in the heart of the Rio Grande Valley. “It totally changed the landscape of Mercedes.’’

Gonzalez and other community leaders forecasted that the development of Gateway by Victron Energy Inc., one of the nation’s premier fuel distribution companies, would spur newfound interest in Mercedes. Gonzalez, who is also the president of the Mercedes Economic Development Board, recounted the comments made by a big national retailer that they would never open a store in his city.

That same company, he said, is now scouting the area for possible sites to build a store. In economic development, not every lead or even what appears to be strong interest will eventually lead to success and the construction of a new store, restaurant, or industrial project. It can take years to land a major project, but Gonzalez is confident in saying Mercedes is on the cusp of seeing even more growth unfold through this year and into 2024.

“There’s a lot of buzz about Mercedes right now,’’ he said.

Listing Accomplishments

The list is lengthy as to new businesses and developments in the city thus far in 2023.

They include:

• The opening of a Starbucks café just west of the Rio Grande Valley Premium Outlets mall.
• The opening of a Chick-fil-A and Wendy’s restaurant as part of the travel center development.
• Four new retail stores have opened at the outlet mall.
• The city’s first McDonalds is under construction and will be completed in the coming months.
• Three national restaurant chains are expected to announce by year’s end that they are opening new locations in Mercedes.
• The city and EDC are getting closer to announcing major new developments along Mercedes’ expressway corridor.
• On the municipal front, the city’s police department headquarters is undergoing a major remodeling and the county completed major drainage projects to alleviate longstanding flooding problems in Mercedes.

It’s plenty to take in and consider but nonetheless exciting for a community that longed for economic growth and is now seeing it happen – and quickly.

“We’ll always reach out,’’ Gonzalez said of recruiting efforts. “Now they (companies) are calling us. They’re actually coming to us.’’

More Opportunities

A driving factor in economic development across the Valley is available land along the expressway.

The McAllen/Pharr area has become saturated in that regard and next-door neighbor Weslaco is beginning to see much of its expressway corridor fill up as well. The view is now eastward and Mercedes is in the right place at the right time.

“Weslaco is starting to run out of available land (along expressway),’’ Gonzalez said. “For us, being in the Mid-Valley, it’s huge for us. We have the land availability and the growth that’s drawing interest.’’

The challenge now is to secure the promising deals and prospects. Given the EDC’s and chamber’s recent gains, it wouldn’t be surprising to see what Gonzalez is forecasting in a new update.

“More eateries, new stores, and amusements,’’ he said.

• Ricardo D. Cavazos
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