SUGAR LAND, TX—Houston‐based developer Vista Equities Group has broken ground on a major expansion of University Commons, a new retail and lifestyle gateway to Sugar Land's Telfair community off Interstate 69. Encompassing 108,000 square feet, phase II of University Commons will occupy a 12.8-acre site directly across University Boulevard from the 155,000-square-foot first phase, which is 95% leased and 90% open. Delivery of phase II is anticipated for tenant build out in December 2018.

Houston's Arch-Con Construction is the general contractor for the addition, designed by Dallas firm O'Brien Architects. Brad Ryan and Geoff Bracken of Capital Retail Properties are overseeing leasing for both phases. A future third phase is also planned.

Sprouts Farmers Market will anchor phase II with a 30,000-square-foot location featuring an outdoor patio to showcase fresh fruit and produce. Another first for Sugar Land is the center's facade. While meeting the city's design standards, it integrates wood, stone and color accents. Special approval was secured for this departure from the area's predominantly red brick retail construction.

“Given our success with an engaging food and beverage mix in the first phase, and dynamic patio activation opportunities in phase II, we are actively seeking quality local and national restaurant operators,” according to Vista Equities Group's Patty Bender. “We also feel the demographics of the area make University Commons ideal for medical offices and other beauty services in addition to retailers.”

Adding to the urban pedestrian-oriented environment will be a covered walkway–an entry focal point for the center and Telfair. Throughout the project, wide walkways will be enhanced with plantings, benches and bike racks.

Leases for another 20,000 square feet are signed and in negotiation for categories including nail and spa, deli, tutoring, smoothies, pet supplies and home furnishings.

“We're thrilled to be moving forward on this major expansion of University Commons, ideally situated at the gateway to the 2,000-acre Telfair master planned community in Sugar Land,” Bender tells GlobeSt.com. “Designed with lifestyle in mind and anchored by Sprouts Farmers Market, we see the development serving as an area destination with unique restaurants and retail shops, plus a truly walkable environment enhanced by a landscaped grotto, covered walkways, and extensive patios and public areas.”

Phase I of University Commons is anchored by a 50,000-square-foot Burlington that debuted last spring. A 20,000-square-foot Michaels is slated to unveil before mid-year along with remaining buildouts. Other businesses that have already launched include CVS, The Tile Shop and a range of popular restaurants, such as Kula Revolving Sushi Bar, CoCo Crêpes, Waffles & Coffee, NOLA Poboys and endcap 85°C Bakery Café, a Taiwanese import concept featuring unique Asian pastry, breads, cookies and cakes plus a proprietary blend sea salt coffee.

“We've been extremely encouraged by the leasing activity at University Commons. The development not only offers tenants and guests a unique ambience, but also great synergy with nearby retailers like adjacent Costco, as well as business and leisure destinations spanning from the Houston Museum of Natural Science at Sugar Land to Smart Financial Centre and University of Houston Sugar Land,” said Capital Retail Properties' Brad Ryan.