Peachtree Group has announced the ground-breaking of a new studio-suite Residence Inn by Marriott, which will have 171 rooms, in downtown San Antonio, Texas, US.

Located near the Riverwalk, the hotel is scheduled to open in the second quarter of 2026. It will introduce an upscale, extended-stay option to the San Antonio market, blending comfort and convenience with local attractions.

The new Residence Inn is set to replace an older property, capitalising on its proximity to the Riverwalk's leisure activities, the expanding University of Texas at San Antonio, and the corporate and government demand from nearby offices.

It is strategically positioned to serve a variety of accommodation needs in the city's dynamic environment.

Located within a Qualified Opportunity Zone, the project aligns with Peachtree's strategy of driving growth in underserved areas.

The company already launched nine properties and another five are under construction, including the new property, Residence Inn.

Merritt Development Group will oversee the construction of the Residence Inn.

The hotel will feature a contemporary design with spacious, home-like facilities, such as kitchens that are equipped completely, and separate living and work areas in each suite, targeting extended-stay travellers, business professionals, families, and long-term guests.

It will also feature an on-site fitness centre and outdoor space for relaxation, as well as flexible meeting rooms to accommodate business events.

Additionally, it will house a Caribou Coffee, enhancing the coffee experience for guests and locals alike.

This development is part of Peachtree's ongoing expansion in Texas, following the ground-breaking of a new dual-branded property last month in Uptown Dallas, which will offer 264 upscale rooms and modern amenities.

Peachtree managing principal and CEO Greg Friedman said: "San Antonio is a unique market with a growing need for extended-stay hotels.

“By building within a QOZ [qualified opportunity zone], Peachtree's Residence Inn will create lasting economic impacts, from job creation in construction and operations to sparking further interest in nearby retail, dining and entertainment—vital elements for a thriving downtown community.

“We are optimistic that Washington, DC, will recognise the QOZ's impact on job creation and economic activity within these zones and will extend the programme, enabling us and other developers to deliver new commercial real estate projects across the US.”