Austin City Council approved on Mar. 31 a major redevelopment project that will bring two towers, each more than 400 feet tall, to a downtown block near the University of Texas campus.
The council granted additional entitlements for the development, which is located along West Martin Luther King Jr. Boulevard and West 18th Street. The approval allows for building heights up to 445 feet and higher floor-to-area ratios through the city’s Downtown Density Bonus Program.
Rundog Real Estate Group, based in Austin, is leading the project on a block bounded by Rio Grande and Nueces streets. The north tower is planned to be 37 stories with a hotel containing 287 rooms, 61 condominiums, and about 5,000 square feet of retail space. The south tower will have 34 stories with 318 apartments and another approximately 5,000 square feet of retail frontage.
Currently, the site contains several low-rise buildings including Jack Brown Cleaners, Jimmy John’s, and the original Tiff’s Treats location. Scott Sayers owns the property and has held land there since 1985; he said during the council meeting that this redevelopment fits with Austin’s growth strategy for downtown and university areas.
City staff had recommended limiting building height to no more than 200 feet due to proximity to neighborhoods where zoning typically caps heights at around 300 feet. However, council members said prioritizing density was necessary for tax revenue and municipal services support. “Big buildings like the one being proposed, not only do they pay big density bonus fees to the city, they also write big property tax checks,” council member Jose “Chito” Vela said during the meeting. Vela added that such projects are critical for sustaining public safety, libraries and parks as Austin faces future financial challenges.
The development is expected to contribute $3.3 million toward affordable housing initiatives in Austin but faced opposition from groups including the University of Texas administration as well as neighborhood associations concerned about building height and possible environmental issues related to chemicals used at an existing dry cleaning facility on site.
Leah Bojo from Drenner Group previously said there was a contract deadline of March 31 for securing these entitlements; however no construction timeline has been announced.
