Artis Montrose Apartments Replace Disco Kroger
Artis Montrose: $100M apartments replace Disco Kroger
Southeastern Development is moving forward with a seven-story, $100 million apartment project at 3300 Montrose Boulevard — the former site of Houston’s famed “Disco Kroger.” The Artis Montrose complex will bring 300 units and significant amenities to the heart of Montrose, with delivery expected in late 2027 after a multi-year pause.
Project overview
Artis Montrose will rise on the vacant lot at the corner of Montrose and Lovett Boulevards where Kroger stood until the store closed and was demolished in 2021. The building will offer studios through two-bedrooms ranging from about 550 to 1,600 square feet, roughly 14,000 square feet of interior amenity space and a 20,000-square-foot outdoor courtyard with a pool, garden, event lawn and fire pit. Construction resumes after the developer delayed the start to wait out higher interest rates and a softer rental market.
Key facts
- Address: 3300 Montrose Boulevard
- Developer: Southeastern Development (Georgia-based)
- Size: Seven stories, ~300 units
- Unit mix: Studios to two-bedrooms (550–1,600 sq ft)
- Amenities: 14,000 sq ft interior amenities; 20,000 sq ft outdoor courtyard with pool and event lawn
- Estimated opening: Late 2027
Why the pause mattered
Southeastern put the project on hold for about two years when interest rates spiked and new apartment supply flooded the Montrose-River Oaks submarket. The pandemic prompted a wave of multifamily construction in the area, and when those units delivered, rent growth slowed. According to market trackers, average rent in Montrose has held near $2,024 for several years, reflecting weaker pricing power for new product in the near term.
Market implications for Montrose
Adding 300 units to a neighborhood already experiencing a delivery surge raises near-term absorption questions. That said, Montrose remains an active urban neighborhood with strong demand drivers: nightlife, restaurants, proximity to downtown and a high walkability profile that appeals to renters. The new product’s success will depend on competitive pricing, lease-up speed and whether the project positions itself as amenity-forward to attract renters currently in other new developments.
| Site then | Artis Montrose (now) |
|---|---|
| Disco Kroger — 24/7 grocery, neighborhood nightlife hub | 300-unit mid-rise with large courtyard, pool and amenities |
| Demolished in 2021; lot remained vacant | Construction resumed; delivery targeted late 2027 |
| Local cultural touchpoint for late-night crowds and Pride | Residential reuse aims to reactivate site with daily foot traffic |
What to watch next
- Rents and concessions: Southeastern hasn’t announced rents. Watch initial pricing and any lease-up incentives; they’ll set a tone for surrounding buildings.
- Construction milestones: Track permits, groundbreaking updates and framing progress toward the late‑2027 delivery date.
- Submarket absorption: New leasing velocity across Montrose-River Oaks will show whether demand still outpaces supply or if rents remain flat.
- Neighborhood impact: Monitor ground-floor use (retail or services), parking plans, and public-space activation to see how the project reconnects with Montrose’s street life.
Local context and community notes
Locals remember the “Disco Kroger” as a late-night cultural hub, especially for Houston’s LGBTQ community and Pride celebrations. The apartment project signals a shift from a 24/7 public destination to private residential use, which changes how the corner will serve the neighborhood. For residents who value nightlife and retail access, the new building may bring daytime vitality but reduce late-night public space. For the city’s housing mix, 300 units add to multifamily inventory in a dense, walkable part of Houston.
Potential pros and cons for residents
Pros include more housing choice, modern amenities, and activation of a long-vacant lot. Cons include added density, construction impacts, and potential downward pressure on rents for existing nearby apartments during lease-up. Community stakeholders and city planners will watch parking, deliveries, trash collection and curbside activity as the development progresses.
- When will Artis Montrose open?
The developer targets late 2027 for completion and initial leasing. - How many units and what sizes?
About 300 units with studio-to-two-bedroom layouts from roughly 550 to 1,600 sq ft. - Will the project affect local rents?
Expect short-term pressure on rent growth in Montrose while the building leases up; long-term impact depends on demand recovery. - Are any retail or public spaces planned?
Details on ground-floor retail haven’t been finalized publicly; the project emphasizes an internal 20,000-sq-ft outdoor courtyard for residents.
Practical takeaway: Montrose residents should follow permitting and leasing announcements — the Artis Montrose will change pedestrian patterns and rental inventory, so early visibility on rents and ground-floor uses will indicate how the neighborhood dynamic will shift by 2028.
Artis Montrose Apartments Replace Disco Kroger
