Margaritaville Plans New Beach Houses as $700M Galveston Project Moves Forward

A substantial $700 million Margaritaville Resort initiative on Galveston’s East Beach is poised to commence construction in the coming month, introducing hundreds of new beach cottages and an expansive amenity complex to one of the island’s most frequented locations.

Dallas-based developer RREAF Holdings LLC announced that construction will start on a 278-unit beach house community, marking the initial phase of the multiyear development at 317 East Beach Drive. 

Houston's Tellepsen is set to spearhead the construction of a sprawling 31,000-square-foot amenity deck, elevated 20 feet above sea level. The impressive space will feature a 400-foot lazy river, an infinity pool, and pickleball courts, as well as various dining options, bars, and retail areas.

“The strategy involves constructing the cottages in four distinct phases,” RREAF CEO Kip Sowden shared with the Houston Business Journal, noting that the initial 100 homes are anticipated to be completed next year.

Off-site production is currently underway for the elevated beach houses. Aura Home Remodeling & Construction is currently fabricating the foundational elements at its Houston facility, which will then be transported to the East Beach location for assembly.

Designed for enthusiasts and beachgoers seeking a getaway on Galveston's coast, the cottage community marks a significant milestone in the broader Margaritaville Resort initiative.

Construction on the resort is underway, reflecting a surge of new developments on the island’s east end, where interest from visitors continues to thrive. Developers announced that the phased construction approach will enable certain sections of the project to be completed and opened to the public sooner, while the full build-out remains in progress.

Further information is anticipated as the initial phase progresses, with construction expected to begin within the next 30 days.