Fort Hood’s presence in the Killeen-Temple MSA (Metropolitan Statistical Area) is irrefutable. With a military population of nearly 40,000 and a supported population of more than 367,000, virtually every aspect of the community and surrounding region is impacted by the installation.
Known as the Great Place, Fort Hood, like military installations across the community, strives to be a good neighbor to the civilian community it calls home and vice versa.
A Joint Land Use Study funded by the Department of Defense is underway to evaluate compatibility of development around Fort Hood with the post’s training missions and operations.
The City of Killeen is sponsoring the study and coordinating with the DOD and local government partners. The study is designed to enhance regional collaboration among local governments and Fort Hood and provide insights for future development.
As the largest single-site employer in the state, Fort Hood has an economic impact of $4⒋ 49 billion on Texas, according to the office of Texas Comptroller of Public Accounts Glenn Hegar.
In fact, Central Texas is a major force in the state’s economy, he told local leaders at a town hall meeting in October 2015 in Killeen.
The area also boasts a median resident age of 29 years, one of the youngest in the state, compared to the state’s median age of 3⒋ This youthful workforce and a consistently strong sales tax revenue are excellent economic indicators, Hegar suggested.
However, with planned military personnel cuts in the next two years, the region should expect more of these young people to be looking for employment in the local economy. A more diversified economy will decrease Greater Killeen’s dependence on government jobs and poise the area for continued growth, Hegar added.
This effort to seek more private investment goes hand-in-hand with the Killeen Economic Development Corporation’s work to attract and retain sustainable employers.
Elizabeth Blackstone, president of the Killeen Economic Development Corporation, said Killeen is poised for future growth, and leaders are prepared to attract more private investment that will generate new jobs and economic stability for the region.
“We know what Killeen has to offer and that is a stable, trained workforce, a prime location, excellent cost of living and a progressive mindset,” said Blackstone. “We can already see from the projects on the forefront now that Killeen is on the radar of real estate developers and corporate investors who only invest where they foresee staying for years to come.”
Clearly, the La Cascata Retail Village at Highway 190 and E. Stan Schlueter Loop is just such a project.
The 210-acre site will include 39 acres of master-planned pedestrian-friendly development with 360,000 square feet of destination retail. La Cascata is projected to produce substantial revenue for the city and more than 1,200 new jobs. It is transforming Killeen’s largest undeveloped continuous land tract into a retail mecca.
An annual payroll is sited at $2⒉ 5 million with the first-year capital investment topping $37 million and increasing to more than $55 million by year three. Retail sales are projected to exceed $96 million annually by year five.
In fact, high retail demand in the marketplace has driven the Retail Connection, La Cascata’s developers, to acquire an additional 30 acres to satify expected growth.
The project is intended to have high visibility and easy access just north of Highway 190, soon to be renamed Interstate 14, and west of Stonetree Drive in Killeen.
Interstate 14 opens the door for future investors who require close access to an interstate, said Phyllis Gogue, Vice President of Economic Development for the Greater Killeen Chamber of Commerce.
“It will help us meet the requirements when a company is looking to relocate or expand,” she said.
Killeen’s population has grown to more than 137,000 and is catching the attention of more private investment, said Michael Linnemann, President-Elect of the Fort Hood Area Association of Realtors and Board Member of the Greater Killeen Chamber of Commerce.
“This level of unprecedented growth doesn’t just happen by accident. National franchises don’t invest millions of dollars on a guess,” he said.
“Businesses like Gander Mountain don’t build new stores on state highways very often. The presence of an interstate in your city brings about a whole new level of economic development.”
The Wal-Mart Supercenter on Lowe’s Boulevard has been a mainstay in Killeen’s retail scene. Last April, a Wal-Mart Supercenter opened on W. Stan Schlueter Loop, with 300 employees hired for the store’s opening. A brand new Wal-Mart Neighborhood Market opened on E. Stan Schlueter in January, and an additional Wal-Mart Neighborhood Market is predicted to open this year on Clear Creek, evidence of a thriving retail market. Each Wal-Mart Supercenter is slated to create about 360 new jobs while each Neighborhood Market will create about 100 new jobs. Plans are on the drawing board for another Supercenter in the community.
Also on the horizon is the spring opening of the Carl R. Darnall Army Medical Center, a $900 million facility on post.
That level of growth is the result of the Killeen Economic Development Corporation and its partners, the City of Killeen, the Greater Killeen Chamber of Commerce and the Texas Increment Reinvestment Zone #2, developing incentive packages that entice ongoing private investment in the community, said John Crutchfi eld III, president and CEO of the Greater Killeen Chamber of Commerce.
“Our mission as a Chamber is to provide vision and leadership to create economic prosperity,” he said.
“Many factors are working in our favor in this region with Killeen and Fort Hood at the epicenter. We are proud of our heritage and of being home to one of the largest active duty military post in the United States. We also see ourselves as an economic marketplace where we can grow and be a community where people want to live and work for generations to come. It’s our objective to be sure that happens.”
Written by Lesly Rascoe, Vice President Business Development, Greater Killeen Chamber of Commerce
Published in the Greater Killeen Business Quarterly 2015 Economic Outlook & Fort Hood Guide