CORPUS CHRISTI, Tx — Facing an ultimatum from Nueces County, the TIRZ #3 Board and Corpus Christi City Council on Tuesday approved an amendment that opens the door for up to $2 million in reimbursement for demolishing the historic 1914 courthouse—with no requirement for future redevelopment.
The county made clear: approve the funding mechanism or lose a key partner in downtown and North Beach revitalization efforts.
"If we don't get support for doing this, we're gonna withdraw from both the downtown TIRZ and the North Beach TIRZ," Nueces County Commissioner Mike Pusley told the board.
A Tax Increment Reinvestment Zone (TIRZ) is a financing tool that captures increased property tax revenues from development in a designated area and reinvests those funds back into that same area for public improvements and economic development. The City of Corpus Christi, Nueces County, and Del Mar College contribute 100% of incremental property tax increases within TIRZ #3 to fund downtown revitalization projects.
Losing the county's participation would mean a loss of nearly $9 million over 20 years.
Unlike previous TIRZ incentive programs that required development plans, the new "TIRZ Member Agency Reimbursement Program" allows government entities to seek reimbursement for demolition of publicly-owned buildings without any commitment to redevelop the property.
The county plans to demolish the courthouse, sell the vacant land, and return it to private ownership—putting it back on the tax rolls but with no guarantee of when or how it will be developed.
City Councilwoman Sylvia Campos questioned the logic of contributing $2 million when the demolition will happen regardless. "You're gonna do it anyway," she said. "That's not a sufficient or good enough reason for me."
County officials have attempted for nearly five decades to find a solution for the abandoned courthouse, which has stood vacant since 1977. Three attempts to sell the building with the structure intact failed, and renovation estimates have ballooned to $120 million—far beyond what's financially feasible.
Arlene Medrano, executive director of the Downtown Management District, said demolition is crucial for economic development. The courthouse obstructs views of the new $1 billion Harbor Bridge and serves as a prominent eyesore at the gateway to downtown.
"If you stand on Upper Broadway, Lower Broadway, and look towards the bridge, you do have one obstruction to your view. And that is the 1914 courthouse," Medrano said. The problem will become more acute when TxDOT demolishes the old overpasses later this year, making the deteriorating structure even more visible.
"From the DMD perspective, from downtown business owner perspective, and property owner, we do support the demolition of the courthouse, and we look forward to it getting on the tax rolls," she said.
Simply returning the property to private ownership will generate property tax revenue—currently, the government-owned site contributes nothing to tax rolls.
The Classical Revival courthouse, designed by Washington, D.C., architect Harvey L. Page and completed in 1914, was once the pride of Texas. It won the Arthur Everts Award for five consecutive years as "The Finest Courthouse and Grounds in the State of Texas."
But after 63 years of service, the building was abandoned in 1977. Multiple owners and restoration proposals—including conversions to a hotel, entertainment center, or university campus—all failed. In July 2025, the Texas Historical Commission removed the preservation easement, clearing the final hurdle for demolition.
The county has hired two engineering firms to develop demolition plans and must complete asbestos remediation before seeking demolition bids. Total costs are estimated between $3 million and $12 million.
Under the approved program, the county will receive no money until the demolition is complete, with reimbursement paid in three annual installments capped at $2 million. No payments will be made after TIRZ #3 expires in 2028.
"We are absolutely committed to getting this done," Pusley said.
