Karlin Real Estate announced on Mar. 20 plans for a $610 million redevelopment of the former 3M campus, now known as Highpoint 2222, located at 6801 River Place Boulevard in Northwest Austin. Recent filings suggest that SB Energy, a Silicon Valley-based company, may be involved in the project, which aims to transform the long-vacant office property into a major digital infrastructure hub.
The redevelopment is significant due to its potential impact on Austin’s technology and energy sectors. The proposed upgrades include improvements to substations, private electrical systems, and utility connections across the campus. These enhancements indicate that the site could support tenants with substantial power needs.
Industry speculation about the identity of a key tenant began after state filings revealed plans for extensive interior buildouts and infrastructure upgrades for a user codenamed “Cosmos.” A fiscal surety filing linked to an SB Energy affiliate has added weight to rumors about their involvement. SB Energy is known for large-scale energy projects and recently partnered with OpenAI and Oracle on an $18 billion data center initiative elsewhere in Central Texas.
In addition to SB Energy, sources have indicated that semiconductor firm Arm Holdings may also be considering space at Highpoint 2222. Arm already maintains a significant presence in Austin but has not commented on these reports.
Karlin acquired the 107-acre campus out of foreclosure in 2021 and has been repositioning it for life sciences and office users. Planned renovations include a new amenity hub, an expansive atrium, and updates to buildings dating back to the 1980s. However, the scale of current infrastructure work suggests that more power-intensive uses are being considered.
Construction timelines extend into 2027 with key permits still under review. The full scope of Karlin’s transformation remains uncertain as industry observers await further details.
