H-E-B is encountering opposition as it seeks to open its first store within Dallas city limits. The Texas-based grocery chain has proposed a 127,000-square-foot store on nearly 10 acres at Interstate 635 and Hillcrest Road. H-E-B purchased the site earlier this year, generating enthusiasm among shoppers who have traveled significant distances to shop at the grocer’s other locations.
The project requires a zoning change from low-rise commercial to regional retail, which would permit a building up to 70 feet tall and greater lot coverage. This proposal has drawn criticism from some neighbors who say the development does not fit with the character of the area.
Supporters argue that an H-E-B store would address a lack of retail options in North Dallas. Some residents praised the company’s reputation for civic engagement and suggested that concerns about increased traffic were overstated.
However, homeowner groups are organizing against the plan. The Hillcrest Forest Neighborhood Association has circulated petitions and described the store as “out of character” for the neighborhood. The association also warned that it could add 6,000 more cars to an already congested intersection.
This kind of community resistance reflects a broader pattern in North Dallas, where affluent neighborhoods have previously delayed or halted large developments due to similar concerns. For example, plans for redeveloping Pepper Square faced setbacks over local objections.
Some opponents have suggested H-E-B consider relocating its planned store to another site two miles away at Valley View mall, which is already zoned for retail use and covers a much larger area than the current proposal.
Mabrie Jackson, public affairs director for H-E-B, stated that since January, “the company has met with neighbors since January and is committed to being ‘a good neighbor.’” The request for rezoning will be reviewed by the Dallas City Plan Commission before going to the Dallas City Council. Even if approved soon, construction may not begin immediately; 2028 is considered the earliest possible opening date.
Since entering Dallas-Fort Worth in 2022, H-E-B’s expansion has prompted competitors like Walmart, Kroger, and Tom Thumb to increase their investments in North Texas. Recently Kroger announced plans for four new stores in North Texas as part of its ongoing competition with H-E-B (https://therealdeal.com/texas/dallas/2025/08/14/kroger-eyes-dfw-turf-war-with-grocery-heavyweight-h-e-b-in-160m-play/).
H-E-B also recently expanded its real estate holdings in North Texas by adding 95 acres (https://therealdeal.com/texas/dallas/2025/07/22/h-e-b-adds-95-acres-to-its-north-texas-real-estate-portfolio/) as part of its growth strategy in the region.
