ATX-SBK: Impact 11/7/2025

A new retail development—named Kyle City Limits—broke ground at 3933 Kyle Crossing on Oct 1.

Some details: The project is being developed in two phases by property owner Joseph Phillips—whose family has owned it since 1993. 

J.D. Sanford, the broker on the project, said in an email to Community Impact that the development will include an AutoZone and a Spec’s Wines, Spirits & Finer Food that Sanford said should open by Thanksgiving 2026.

Why it matters: Kyle City Limits will create at least 200 jobs and have 25,000 to 35,000 square feet of retail and restaurant space, according to a news release from Hays County Economic Development Partnership, or HCEDP—a nonprofit public-private partnership that serves the city of San Marcos, along with Hays and Caldwell counties.

“This project is about more than retail; it’s about legacy and community,” Phillips said in the release.

Buda residents now have a second Chick-fil-A location.

What they serve: The Georgia-based restaurant chain serves a variety of chicken-based dishes from nuggets and sandwiches to wraps and salads. The menu also features seasonal drinks and dishes, such as the Cherry Berry Frosted Lemonade.

Meet the owner: Reece Howard, who previously worked as a team member, owns both Buda Chick-fil-A spots—the first one located at 15500 I-35, Buda.

He said he was inspired to become a business owner by his father.

“I got to see the ups and downs of entrepreneurship ... seeing him live out his passion and joy of being a business owner,” Howard said.  

• 310 S. FM 1626, Buda

The air traffic control tower at Austin-Bergstrom International Airport is staffed at just 45% of its target, according to U.S. Rep. Lloyd Doggett.

The overview: Only 27 controllers are currently assigned to a tower that needs 60 to meet federal recommendations. The Federal Aviation Administration attributes nationwide shortages to disrupted hiring and training cycles. Controller turnover remains a top issue, according to FAA reports. While the FAA plans to hire 8,900 controllers by 2028, projected departures mean only a net gain of about 2,000. 

The local lens: Those gaps have raised safety concerns. Since late 2022, the FAA has recorded six near-miss incidents at ABIA. 
Local leaders warn that without faster staffing relief, reliability and safety could suffer as Austin’s aviation demand rises.

Quote of note: “These staffing-related disruptions are now systemic, recurring with increasing frequency and intensity. ... With record-setting passenger growth and a multi-billion-dollar expansion underway, AUS cannot meet its operational or safety commitments without immediate staffing relief,” ABIA CEO Ghizlane Badawi wrote in a letter to FAA administrators.

The Texas Department of Transportation will begin one of Austin’s largest underground construction projects in 2026—boring 6.5 miles of 22-foot-wide tunnels beneath I-35 to reduce flooding along the corridor.

Explained: As part of the I-35 Central project, the tunnels—large enough to fit a CapMetro bus—will stretch from 45th Street to Cesar Chavez Street before turning east toward U.S. 183 near Lady Bird Lake. Work will begin with excavation of nine drop shafts up to 200 feet deep, with the first tunnel boring machine starting near Airport Boulevard in 2026.

The $748 million project, led by contractor Sak & Shea, also includes a new pump station capable of treating 130,000 gallons of stormwater per minute. TxDOT says the system will improve water quality, lower the floodplain by roughly 350 acres and ease pressure on the Waller Creek tunnel.

Looking ahead: Construction will run around the clock through 2029. Nearby residents can expect some vibration and dust, though TxDOT plans to monitor and mitigate both throughout the project.