Crews began tearing down the former Auto World dealership at SH 3 and FM 518 on Monday, Sept. 7. The demolition clears the way for a $4.7 million intersection overhaul in League City.

League City Communications Director Sarah Osbourne told KGTX 7 the work is the first physical step in the SH 3 at FM 518 Intersection Improvement Project, which will expand turn lanes, upgrade signals and add sidewalks at one of the city's busiest corridors.

The city acquired two parcels from Auto World to clear the way: the dealership's parking lot and its office building. Osbourne said the city and the property owner agreed on a purchase price and coordinated a timeline for the business to vacate. The purchase price has not been publicly disclosed.

What changes for drivers

The project will reshape how traffic moves through the intersection in several ways, according to the city's project page:

  • About 230 feet added to the existing southbound SH 3 left-turn lane, plus a second left-turn lane
  • About 400 feet added to the northbound SH 3 left-turn lane, plus conversion of an existing through lane into a second left-turn lane
  • A new right-turn lane onto northbound SH 3
  • Extended left-turn and right-turn lanes on FM 518 in both directions
  • Raised curb medians to manage driveway access along FM 518
  • Traffic signal upgrades

Osbourne said the changes will give more vehicles room to line up at the intersection and reduce congestion during peak travel times.

New sidewalks and trails are also planned to improve pedestrian connections around the intersection.

Funded by 2019 bond

The project is funded through League City's 2019 Bond Program under Proposition B, which covers streets, roadways and mobility improvements. Design was awarded in March 2021 and completed in August 2024.

The city's project page, last updated in June 2024, lists the bid date and construction notice to proceed in fiscal year 2026, with substantial completion targeted for fiscal year 2027. Those are planning targets. Osbourne said she is working with the city's project management team to confirm when construction will begin and how long it will take.

Streets affected by the project include FM 518, SH 3, Dallas Street, Magnolia Street, League Street, Houston Avenue, 2nd Street, East Galveston Street and West Galveston Street. Scott Tuma is the city's project manager and can be reached at 281-554-1431.