Two areas of Austin are set for significant development following recent city approvals. In the area near the University of Texas, plans are moving forward for two high-rise towers on a full city block along West Martin Luther King Jr. Boulevard and West 18th Street. According to city filings, one tower is expected to be 37 stories tall and will include a 287-room hotel with 61 condominiums, while the other tower will reach 34 stories and contain 318 apartments. Both buildings will have approximately 11,400 square feet of retail space at street level.
The site currently includes several low-rise businesses such as Jack Brown Cleaners, the original Tiff’s Treats location, a Jimmy John’s restaurant, and small apartment buildings. The Austin Planning Commission approved zoning changes for the project on January 27. The developer has not been publicly named; however, the applicant is seeking increased height allowances through Austin’s Downtown Density Bonus Program, which requires City Council approval. The land is owned by entities including 1806 Group LP, Jack Brown Family II Limited Partnership, Triple Play Properties LTD, and Scott Sayers.
In South Austin’s St. Elmo Arts District at 4201 South Congress Avenue, another major project has received approval to proceed. The city granted a site development permit on January 23 for an eight-building mixed-use concept known as “4201 S Congress.” This project allows construction to continue through January 2029.
The plan calls for about 200,000 square feet of retail, restaurant, and office space distributed among mid-rise buildings at South Congress Avenue and Industrial Boulevard. Ownership records show that the property belongs to 4201 S Congress Ave Owner LLC, which shares an address with Redcar Properties—a California-based developer active in other parts of the St. Elmo Arts District.
Project details indicate a variety of building sizes and uses: restaurant and office spaces ranging from around 10,500 square feet up to nearly 68,000 square feet; multiple standalone office structures; and a six-story parking garage offering ground-floor restaurant space along with parking for almost five hundred vehicles.
While Austin’s office vacancy rate was about twenty-six percent at the end of last year according to CBRE data (https://www.cbre.com/), new construction has slowed significantly but leasing activity has started to increase slightly. By the time this South Congress development is completed in several years’ time, current market conditions could shift considerably.
