Businesses close and prepare to move due to I-35 expansion project
AUSTIN (KXAN) — We're starting to see major changes impacting local businesses in the path of the I-35 Capital Express Central Project.
PREVIOUS COVERAGE: I-35 Expansion Project
This week, a U-Haul location shut its doors for good after 20 years in business. It was located at I-35 and Airport Boulevard.
Another longtime shop is making plans to relocate soon as well. Nature's Treasures is an Austin staple that's been around for nearly 25 years.
But this local gem will one day turn to gravel. It'll be torn down as a result of the expansion project.
PREVIOUS COVERAGE: Displaced I-35 businesses given 90-day notice to pack up and move
'They had to annex a portion of our property. At that time, we decided, well, we can't operate our business with just two-thirds of the property,' said General Manager Michael Kallstrom.
It's one of 107 other residential and commercial properties facing displacement due to the interstate's expansion.
'Moving 14,000 square feet of rocks and small mineral specimens that are fragile and jewelry and all of those different types of things, definitely takes a lot of work.'
Michael Kallstrom, Nature's Treasures General Manager
The project will remove I-35's upper decks and lower the highway, as well as add new high-occupancy managed lanes, east-west cross-street bridges and new pedestrian and cyclist paths.
PREVIOUS COVERAGE: Austin eyes I-35 project as 'once-in-a-generational' chance to reconnect downtown, eastside
The Texas Department of Transportation (TxDOT) told KXAN that preparations started for the demolition of the Martin Luther King Jr. Boulevard Bridge. Crews will remove the north side of the bridge for reconstruction in the next month or so, and that should take about eight months to complete.
'We know that a lot of businesses, especially ones that were renting and didn't necessarily have their landlord on their side, experienced a very different set of circumstances and a very different timeline than we did,' Kallstrom said.
When it comes to their move-out date, Kallstrom said TxDOT has been flexible with them while construction continues on their new space.
'Our build has kind of been where we've seen the most delays and the most setbacks,' Kallstrom said.
Kallstrom said they're taking this situation as an opportunity to expand. Their new building will have an extra 11,000 square feet and offer more amenities than their current space.
'We're still on the highway, so it's still very convenient, but we're tucked back just enough to where we're not having that constant noise, the constant pollution, the constant trash blowing around,' Kallstrom said. 'We have a huge green space, so we have a lawn. We have trees.'
Kallstrom said their new building will be completed by the end of April. They hope to be fully moved in by the end of May.
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
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