Southeastern Company has announced the start of construction on a $100 million apartment complex at 3300 Montrose Boulevard in Houston, on the former site of the well-known “Disco Kroger” grocery store. The project, named Artis Montrose, is a seven-story development expected to be completed by late 2027, according to the Houston Chronicle.
The lot has remained vacant since the closure and demolition of the Kroger store in 2021. The new building will bring 300 additional housing units to Montrose, an area recognized for its historic character and recent growth in mixed-use and multifamily developments.
Southeastern Company, based in Georgia, delayed the project for about two years due to rising interest rates and to allow time for the Houston market to stabilize. During the pandemic, apartment construction increased in the Montrose-River Oaks area but has since slowed. According to CoStar data, no new multifamily projects have started in this district so far this year, marking the first time this has happened since 2009.
The previous surge in supply led to stagnant rent growth within Montrose, with average rents holding steady at $2,024 for three consecutive years, also according to CoStar.
Southeastern has not yet determined rental prices for Artis Montrose. The complex will offer studio to two-bedroom apartments ranging from 550 to 1,600 square feet. Amenities will include 14,000 square feet of interior communal space and a 20,000-square-foot outdoor courtyard featuring a pool, garden, event lawn, and fire pit.
The redevelopment marks a significant change for the location, which was once home to “Disco Kroger,” a grocery store that operated around the clock and was known for its lively late-night atmosphere and role as a gathering place during Houston’s Pride celebrations.
