Orlando

Kissimmee Wrecking Ghost Kmart For 630 New Apartments And Sportsplex

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Published on March 11, 2026
Kissimmee Wrecking Ghost Kmart For 630 New Apartments And SportsplexSource: Google Street View

The long-empty Kmart and Big Lots on West Vine Street are finally coming down, as Kissimmee crews move in to clear roughly 22 acres for a major mixed-use makeover. In place of the dead retail stretch, the city is planning about 630 apartments, more than 51,000 square feet of new shops and restaurants, and a 73,400-square-foot indoor sports facility that leaders hope will become a neighborhood hangout, not just a drive-by landmark.

Demolition is already rolling, with city crews starting to knock down the old buildings this week. Economic Development Director David Rodriguez told MyNews13 the tear-out is expected to take 30 to 60 days and said the city wants the redevelopment to be a “catalyst for the entire corridor.”

What the plan would deliver

The city tapped Vine Street Redevelopment LLC, a partnership between CapStrata and Hedrick Brothers Development, as the proposed master developer for the overhaul. According to the City of Kissimmee, early plans call for roughly 630 residential units, over 51,000 square feet of retail space, and an approximately 73,400-square-foot indoor sportsplex on the 22-acre site. “This redevelopment sends a clear message: Kissimmee is open for business,” Mayor Jackie Espinosa said in a city statement.

Local businesses hope construction will bring customers

Nearby businesses are quietly rooting for the dust and noise to pay off. Jennifer Enriquez, a manager at Kiosko's Mexican Antojitos and Sweets just down the street, told MyNews13 the redevelopment would bring in more customers and could even help the restaurant grow its menu and footprint.

How demolition was authorized

The Kissimmee City Commission previously cleared the way by authorizing staff to negotiate a master development agreement and separately approving a piggyback demolition contract that uses the City of Orlando's cooperative purchasing agreement. That setup allows Cross Construction Services to handle the building removal, fencing, and debris work. Local reporting on the commission vote details optional add-ons such as slab removal and asbestos surveys, with a full-option demolition estimate near $561,000, according to Citizen Portal.

Next steps and timeline

City staff will now work out a Master Development Agreement with Vine Street Redevelopment LLC that will spell out project phasing, construction milestones, and any affordable housing commitments. As outlined by the City of Kissimmee, the goal is for the project to reshape the Vine Street corridor and draw in more private investment as new buildings start to rise.

Orlando-Real Estate & Development