Southeastern Company has begun construction on a $100 million apartment complex at 3300 Montrose Boulevard in Houston, on the former site of the “Disco Kroger” grocery store. The new development, named Artis Montrose, is planned as a seven-story building and is expected to open in late 2027, according to a report from the Houston Chronicle.
The lot has remained vacant since Kroger closed and demolished its store in 2021. The project will bring 300 additional housing units to Montrose, a neighborhood that has seen a rise in mixed-use and multifamily developments in recent years.
Construction was delayed by Southeastern for about two years due to rising interest rates and a slowdown in the Houston housing market. During the pandemic, apartment construction increased in the Montrose-River Oaks area, but activity has since decreased. According to CoStar data, no new multifamily projects have started in the district this year, marking the first time this has happened since 2009.
The influx of new apartments in previous years has led to stagnant rent growth in Montrose. The average rent has remained at $2,024 for three consecutive years, based on information from CoStar.
Southeastern has not yet determined rental prices for Artis Montrose. The complex will offer a range of units from studios to two-bedroom apartments, with sizes between 550 and 1,600 square feet. Amenities will include 14,000 square feet of interior space and a 20,000-square-foot outdoor courtyard featuring a pool, garden, event lawn, and fire pit.
The “Disco Kroger” was known for its late-night crowds and played a role as a community hub, especially during Houston’s Pride celebrations. The new apartments are intended to revitalize the location and provide new housing options for the area.
