MBS Urban Initiatives backs El Bolillo Bakery’s San Antonio expansion

MBS Urban Initiatives closed financing on July 1, 2026, to help El Bolillo Bakery open its first facility outside Houston in San Antonio. The New Markets Tax Credit investment will support a wholesale bakery site in an underserved neighborhood, with 83 jobs expected and broader benefits for local food access and economic activity.

Why it matters: - The financing brings a Houston bakery brand into San Antonio for the first time and is aimed at an underserved neighborhood. - The project is expected to create 83 permanent full-time jobs and add production capacity for affordable culturally significant food. - The investment uses the federal New Markets Tax Credit program, a tool designed to channel capital into community and economic development.

What happened: - MBS Urban Initiatives CDE closed financing on July 1, 2026, to support El Bolillo Bakery’s expansion into San Antonio. - The investment will help fund a new wholesale production facility in South Texas. - The transaction marks MBS Urban Initiatives’ first investment with El Bolillo Bakery.

The details: - The San Antonio site will be El Bolillo Bakery’s first expansion outside the Houston market. - The facility will serve as a regional hub for producing and distributing authentic Mexican baked goods across South Texas. - The nearly 11,000-square-foot property will be renovated and expanded for wholesale production, cold storage, distribution and on-site retail. - The production side will include dedicated manufacturing lines and industrial equipment. - The bakery plans to make pan dulce and savory breads, including bolillos, teleras, conchas, empanadas, tortillas, tamales, cakes and other traditional baked goods. - The retail portion of the project will be financed separately. - The project is expected to hire 83 new permanent full-time workers for production and distribution roles. - Hiring will focus on residents from the surrounding community, including people living in deeply distressed census tracts. - Jobs are expected to include livable wages, benefits, on-the-job training and advancement opportunities. - Open roles will cover baking, production, packaging, logistics, inventory management, quality control, facility maintenance, sanitation and management.

Between the lines: - El Bolillo Bakery’s Houston track record in workforce development appears to be a key reason the expansion is structured around local hiring and training in San Antonio. - The project also points to continued use of NMTC financing by community development entities to support food supply chain infrastructure, not just traditional retail or service businesses. - MBS Urban Initiatives framed the deal as both an economic-development play and a way to expand access to affordable food products.

What’s next: - El Bolillo Bakery will renovate and expand the facility before beginning wholesale operations in San Antonio. - The company plans to apply its school, nonprofit and workforce-agency partnerships in San Antonio to support hiring and training. - McCormack Baron Salazar and MBS Urban Initiatives will continue using NMTC financing for projects tied to jobs, education, healthcare, healthy food and neighborhood revitalization.

The bottom line: - The deal gives El Bolillo Bakery a foothold in a new market while steering community development capital into jobs, food production and neighborhood investment.