CORPUS CHRISTI, Texas — Corpus Christi City Council will vote Tuesday on extending a tax incentive agreement with La Palmera Mall by ten years to help fund the demolition of the former Macy's and make room for a Dick's House of Sport.
La Palmera's owner, Corpus Christi Retail Venture LP, is asking to extend its Chapter 380 agreement through 2045. The deal does not increase the original $15 million incentive cap approved in 2008. About $6.5 million has already been paid out, leaving roughly $8.47 million.
Under the agreement, the city reimburses the mall owner 70 percent of the increase in city ad valorem taxes and one percent sales tax above a 2007 base year.
Macy's left its La Palmera location in April 2026 as part of a nationwide closure of nearly 150 stores. City documents say the store had been in decline for years.
Dick's Sporting Goods wants to build a House of Sport on the site. The store would be 100,000 to 120,000 square feet and include an outdoor sports field, rock climbing wall, golf simulators, batting cages, a collectors clubhouse, and equipment services. The target opening is fall 2028.
Dick's already has five House of Sport locations in Texas. Corpus Christi would be the fourth new Texas location planned for 2028.
La Palmera would spend about $9 million on site preparation, including demolishing the Macy's building. Dick's would invest roughly $21 million in construction and buildout. La Palmera would also gain about 14,000 square feet of new retail space at the interior mall entrance to the Dick's store.
According to the city presentation, Dick's expects to triple annual visits at the location from 626,000 to more than 2 million and double revenue from about $20 million to $40 million. The store's employee count would grow from about 72 to 147.
La Palmera currently generates more than $3.3 million in sales tax and $730,000 in ad valorem taxes for the city. The mall has more than 100 tenants and between 2,500 and 3,000 employees.
Under the agreement, La Palmera must begin demolition of the Macy's building by January 1, 2030, and complete the new investment with a certificate of occupancy by June 1, 2032. If those deadlines are not met, the amendment is automatically voided and the original 2008 agreement stays in place.
Tuesday's vote is the first reading. A second reading is scheduled for September 15.
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