Buda, Texas, a small city south of Austin, is rapidly becoming a hub for aerospace and defense companies, according to a recent episode of The Building Texas Show. The episode, titled "The Aerospace & Defense Companies Picking Buda Over Austin," features host Justin McKenzie in conversation with Jennifer Storm, CEO of the Buda Economic Development Corporation, and Monica Davidson, CEO of the Greater Buda Chamber of Commerce and a Buda City Council member. The discussion challenges the prevailing narrative that Central Texas aerospace and defense growth is centered in Austin, arguing instead that the real footprint is landing in smaller I-35 corridor cities like Buda.
Storm emphasized that companies are seeking 10,000 to 20,000 square foot spaces rather than large greenfield developments, and they find Buda offers right-sized space, workforce access, and lower rent compared to Austin, Round Rock, or Pflugerville. "People are saying aerospace and defense is coming to Austin, but that's not true. It's coming to Buda and Bastrop and Lockhart and Kyle and San Marcos," Storm recounted a recent caller telling her.
The episode also highlights Buda's entrepreneurial ecosystem, including The Hive incubator, which has moved 60 entrepreneurs through four cohorts in its first year across industries from salons to AI apps to drones. A new retail incubator is opening in Buda's restored 1884 train depot on Main Street. Additionally, the Hays CISD teacher externship program placed 17 educators inside local businesses this summer, fostering workforce development.
Storm discussed the Buda EDC's incentive approach, using rebates rather than abatements, paying incentives only after jobs are delivered—a low-risk taxpayer investment tied to a single mandate: economic prosperity. Davidson, who has doubled Chamber membership in two years, described her role bluntly: "I want to be where business begins in Buda." She detailed how the Greater Buda Chamber rebrand widened its tent to include South Austin, Mustang Ridge, Luling, and Lockhart businesses, while partnering with anchors like US Foods, Texas Lehigh, and Jardine's.
The pair also unpacked the origin of Buda's trademarked title as the Wiener Dog Capital of Texas, a Lions Club idea from the 1980s that is now the city's largest annual event. The episode provides an insider look at how Buda built momentum in under a year, positioning itself as a key player in the region's economic development.
The Building Texas Show, hosted by Justin McKenzie, spotlights the founders, civic leaders, and operators shaping the next generation of Texas communities and companies. Each week the show travels the state to unpack how economic development, entrepreneurship, and local leadership intersect on the ground. New episodes release weekly across YouTube, Facebook, Instagram, and LinkedIn. This episode is available now wherever podcasts are heard.
