Austin's iconic skyline is getting more distinct with two new towers under construction with Trammell Crow Co's 38-story apartment tower almost done and a 29-story office tower going up across the street. (It's where Google will hang its hat in 200k SF). They’re just a few of the reasons we’re thrilled to have Trammell Crow principal Adam Nims talking Downtown development at Bisnow’s Downtown Austin event on Dec. 8 starting at 7:30am at the Austin Music Hall at 208 Nueces St.
Adam tells us the two towers make up half of the four planned TCC projects in the redevelopment of the former Thomas Green Water Treatment Plant. Once completed, the entire master planned project will make up more than 1.7M SF of mixed-use commercial development. Northshore, the apartment project being developed in a JV of TCC, Hanover and Pacific Life, will feature 439 units, 27k SF of office and 28k SF of ground-floor retail at 110 San Antonio St. The first units should be turned over in March. Construction on 500 W Second (with Google as the anchor tenant) has reached the 11th floor of the planned 29. It will feature 500k SF of office, 10k SF of retail and is targeted for a February 2017 completion, Adam tells us. The office tower is being developed in a JV with Principal Real Estate Investors. Pictured: Adam and his three daughters in Cabo.
Adam says TCC is also working on the infrastructure for the remainder of the project. The third tower, Austin Proper, should get started in the spring. It’s a 35-story hotel/condo project in conjunction with LA-based KOR, which will operate the hotel. Austin Proper will include 244 hotel rooms with 99 condos on top. The fourth project at Green Water will likely be another residential tower, but that won’t get started for another year or two, Adam tells us.
Of the Texas metros, Austin’s Downtown is the only one that has all the components for a thriving CBD: mature retailers and restaurants; increasing residential population; and the demand for more office space, Adam tells us. Those dynamics, coupled with the recent push into downtown by technology companies, seems to indicate that there is a lot of runway left for the CBD. There’s a lot of development in Austin, but it’s happening judiciously with a lot of pre-leasing by healthy companies with steady revenue streams, Adam says. There'll likely be a tipping point when there is too much on the ground, but even then, Adam doesn’t see a crash. It'll more likely be a flattening of rental rates as tenants gain the edge in lease negotiations. Away from work, Adam is hoping for a good matchup and bowl game for his Texas Tech Red Raiders. If the matchup is right, it may mean a road trip with his wife and three daughters, age 8, 5 and 4. Pictured: Northshore construction.
Don’t forget to register for Bisnow’s Downtown Austin event on Dec. 8 (7:30am start) at the Austin Music Hall at 208 Nueces St. Register here.
