San Marcos is making a significant push into the aerospace and defense sectors, with the city purchasing nearly 200 acres from the U.S. Department of Labor to extend the runway at San Marcos Regional Airport. The move, discussed by economic development director Helen Ramirez on The Building Texas Show, is part of a broader strategy to position the city as a hub for aerospace intelligence and manufacturing, rather than rocket launches.
Ramirez emphasized that San Marcos is not chasing a spaceport but focusing on the ecosystem that supports aerospace intelligence. "We are looking at that future of space. It is not necessarily launching rockets," she said. "You can have it in Starbase, SpaceX, but that's not what we're looking for. But we can be part of the intelligence of creating that ecosystem." She cited Hawthorne, California—home to Raytheon, Boeing, and Northrop Grumman—as a model for the type of aerospace industry Central Texas can build.
The runway extension, funded by FAA and Texas Aviation grants, will enhance the airport's capacity to serve existing tenants like Berry Aviation, now owned by publicly traded Bristow Group (NYSE: VTOL). The airport already hosts over 18 tenants, including US Aviation, which trains active-duty Air Force cadets. This infrastructure upgrade is critical for attracting larger aerospace and defense companies that require longer runways for their operations.
Adjacent to the airport, the 2,000-acre TriTexas mega site is ready for development with regional detention and utilities already in place, even before a single tenant has signed. This rail-served site represents one of the largest industrial opportunities in the region, and its proximity to the airport creates a seamless integration for aerospace and manufacturing businesses.
The city's efforts are already yielding results. A survey conducted by Ramirez's office of 98 companies found that over 90% reported stable or growing business, with about 40% actively expanding. Epic Piping is adding 100 employees, Amazon continues to grow its footprint, and Collins Aerospace, which also operates in California, told Ramirez that business is better in San Marcos. Nabaco, a Texas State University spinout that went through a Rice University accelerator, now operates in Spain and still hires Texas State grad students. Texas State is also adding a hospitality program tied to a new 130-key boutique hotel downtown, on land the university donated, with a minimum-wage requirement tied to inflation written into the incentive deal.
Star Park, Texas State's incubator, is home to the Innovation Corridor Defense Accelerator, run with Starburst Aerospace and the Hays Caldwell Economic Development Partnership. This accelerator further strengthens the region's aerospace and defense ecosystem by supporting startups and fostering innovation.
The implications of these developments are profound for San Marcos and the broader Central Texas region. By diversifying its economy beyond traditional sectors, San Marcos is positioning itself as a key player in the aerospace and defense industries. The runway extension and TriTexas mega site could attract significant investment and create high-quality jobs, boosting the local economy and enhancing the region's competitiveness. Moreover, the city's proactive approach to economic development, as exemplified by Ramirez's staff having direct access to permitting software and providing real-time answers to businesses like Texas Building Supply—on track for roughly $40 million a year in sales tax with no incentive package—demonstrates a business-friendly environment that can spur growth.
As San Marcos continues to invest in infrastructure and cultivate partnerships with industry and academia, it is laying the groundwork for a future as a center for aerospace intelligence and advanced manufacturing. This strategic move not only capitalizes on existing assets but also aligns with broader trends in the aerospace and defense sectors, which are increasingly seeking locations with robust infrastructure, skilled workforces, and supportive local governments.
