City of San Antonio Economic Development

The Culture of Business

CST Brands Celebrates Grand Opening of New Distribution Center in San Antonio Complex will serve as new company headquarters in 2016

SAN ANTONIO) — Fortune 500 company CST Brands (parent company of Corner Store) celebrated the grand opening of its new Corner Store Distribution Center on Tuesday, a 365,000 square foot warehouse that will serve as the main hub for distributing food and merchandise to approximately 600 Corner Stores in Texas.

Located at 19500 Bulverde Road, the warehouse is housed on a 77-acre campus with an additional 146,000 square feet of office space that will serve as the company’s future headquarters (CST Service Center) starting in 2016.

“We are happy to have found a new home in San Antonio that can grow with us as we expand our reach in Texas and across the U.S.,” said Kim Lubel President and CEO of CST Brands. “I am excited about our company’s future and we will continue to look for opportunities to grow.”

The purchase of the $43 million property was made possible with a city and county incentive package of tax abatement and cash grants worth $2 million. Under the incentive package, CST will invest in upgrades and retain 305 total jobs, 280 of them professional positions.  The company will also create and maintain an additional 100 jobs by 2019.

Moving the warehouse from its prior location in Schertz relocated 215 warehouse jobs to San Antonio, a number that will rise to 251 in 2015.  It’s also more than triple the size of the old facility, has 3 times the dock doors, 14 more tractors, 23 more trailers and uses leading edge technology for picking and shipping merchandise.

The CSDC differentiates CST from its competitors because it allows Corner Stores to maintain fresher inventories, makes them faster to market with new and trendy items, gives more control over food safety and quality, lowers the cost of goods by consolidating items onto one truck and enables food service and private label offerings.

In addition to the warehouse and office space, CST plans to build a prototype Corner Store that will serve as a testing ground for new products and provide space to train and develop Team Members.

“CST has been a tremendous corporate citizen and contributes to our city in many different ways, from jobs and economic development to volunteerism and charitable giving,” said Mayor Ivy Taylor at Tuesday’s ceremony.

District 10 City Councilman Mike Gallagher added, “The incentives package put together by the County and the City is a great example of how incentives can work to retain a great corporate headquarters and strengthen the community’s workforce in San Antonio. CST Brands will be a great addition to District 10 and I look forward to our continued partnership,” said Councilman Gallagher.

Steve Waters, general counsel/chief legal officer of USAA Real Estate Company and chairman of San Antonio’s Economic Development Foundation (EDF), echoed those sentiments and stressed the importance of the city, county and EDF working together to carry out an effective local business retention and expansion program.

“There are two words that sum up our determination to make this deal happen – Fortune 500,” Waters said. “Keeping and cultivating a company of this quality and magnitude only makes us a stronger city, and one that is more attractive to other companies looking to relocate to San Antonio.”

City Manager Sheryl Sculley agreed.

“The retention and expansion of the headquarters of a Fortune 500 company, such as CST Brands demonstrates that San Antonio is focused on the growth and expansion of local companies,” said Sculley. “The City played a role in CST’s decision to stay in San Antonio, but more importantly, the company acknowledged our talented workforce, great business environment and standard of living as other reasons to grow here.”

CST Brands, Inc. (NYSE: CST), a Fortune 500 Company, is one of the largest independent retailers of motor fuels and convenience merchandise in North America. Based in San Antonio, Texas, CST employs 13,500 Team Members at approximately 1,900 locations throughout the Southwestern United States, New York and Eastern Canada offering a broad array of convenience merchandise, beverages, snacks and fresh food. In the U.S., CST Corner Stores proudly sell fuel and signature products such as Fresh Choices baked and packaged goods, U Force energy and sport drinks, Cibolo Mountain coffee, FC Soda and Flavors2Go fountain drinks. In Canada, CST is the exclusive provider of Ultramar fuel and its Dépanneur du Coin and Corner Stores sell signature Transit Café coffee and pastries. CST also owns the general partner of CrossAmerica Partners LP, a wholesale distributor of fuels, that distributes fuel to over 1,100 locations across 23 states. For more information about CST, please visit cstbrands.com.

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This entry was posted on March 17, 2015 by in News Stories, Press Releases.

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