South San Antonio Landing New dd's Discounts in Old Kmart-Turned-Big Lots Site

A 32,546-square-foot retail suite on San Antonio's South Side that has sat empty since Big Lots pulled out is now slated to become a new dd's Discounts, with an estimated $1.4 million tenant improvement project planned for 2902 Goliad Road, Suite 116. The renovation and alteration project is privately funded and located on private property, according to filings that lay out a construction timeline still more than a year away.

The project, first detailed by WhatNow, is registered with the Texas Department of Licensing and Regulation under project number TABS2026028787. Construction is set to begin on June 1, 2027, with targeted completion by September 1, 2027, per the filing. The work includes new interior finishes, new entry and exit doors, and minor exterior modifications, though no opening date for the store has been announced.

Kevin Costa is listed as the tenant on the filing, while Pleasanton Partners LP is named as the property owner. MCG Architecture is the design firm behind the project, with Blair Baker listed as the registered architect.

A Big-Box Building With Decades of History

The space has a retail lineage stretching back more than four decades. The building at 2902 Goliad Road originally opened on August 21, 1980, as a 101,500-square-foot Kmart store, according to Bluepages Wiki. That Kmart closed in April 2003, and the structure was later subdivided into multiple retail suites, setting the stage for the space's next chapter as a Big Lots location.

Big Lots occupied the suite until the company's bankruptcy liquidation forced a wave of nationwide store closures in December 2024, a list that included the San Antonio location, per Community Impact. The property sits in the City Base commercial district near the Highway 37 and SE Military Drive interchange, a retail corridor that serves shoppers across Southeast San Antonio, as reported by Coming Soon Texas.

Discount Retail Keeps Filling Vacant Big-Box Spaces

The San Antonio project fits a pattern playing out across the country, as off-price chains like Ross Stores and dd's Discounts have driven a significant share of brick-and-mortar retail expansion by moving into big-box spaces left behind by bankrupt or downsizing retailers, according to Fox Business. San Antonio already counts nine operational dd's Discounts locations as of August 2026, placing the city among the chain's top metropolitan markets nationwide, per data from Agenty.

Texas overall now houses more than 80 dd's Discounts locations, making it one of the chain's two core growth markets alongside California, according to Fashion United. Ross Stores executive leadership reaffirmed in March 2026 a long-term national target of reaching 700 dd's Discounts stores alongside 2,900 Ross Dress for Less locations.

Corporate Growth Fuels Local Expansion

The San Antonio filing comes as parent company Ross Stores reports strong financial momentum. The retailer posted a 13% increase in total sales and a 10% gain in comparable-store sales during its second quarter of fiscal 2026, growth the company attributed largely to shoppers seeking off-price retail options, according to a release distributed via PR Newswire. Ross Stores opened 47 new locations in that quarter alone, including 12 dd's Discounts stores, and has since raised its full-year expansion plan to 115 new stores nationwide.

Launched by Ross Stores in 2004, dd's Discounts targets moderate-income households with first-quality apparel, footwear, and home goods priced 20% to 70% below regular department store prices. The chain's continued buildout in Texas follows a similar move reported by a store planned near Houston's Astrodome, where an $850,000 renovation filing marked another Texas expansion for the chain.

Exactly what will happen to the Goliad Road space between now and the June 2027 construction start remains unclear, and it is not known whether any interim tenant will occupy the suite before the buildout begins. For now, the filing offers South Side shoppers a firm timeline pointing toward a new discount retail option inside a building that has cycled through big-box tenants since 1980.