Future Development Planned for North Austin
Austin, Texas, is set to see a significant change on a 12-acre tract along the MoPac Expressway. The site, located at 8200 N. MoPac Expressway, currently hosts solely office buildings, but plans have been approved to zone the area for mixed-use development that will potentially add residential and retail spaces in the future.
Recent Zoning Change Approval
OakPoint, a real estate investment firm with offices in Austin and Nashville, recently received the green light from the City Council for a zoning change on the property. The zoning has shifted from an office and commercial type to community mixed-use zoning under Austin’s new density bonus 90 (DB90) program. This change aims to encourage a mix of uses while boosting affordable housing options in the area.
The new DB90 zoning will allow buildings to reach heights of up to 90 feet and will enable a mix of retail, office, and residential uses, as long as at least 12% of the housing units are affordable. With this approval, OakPoint has plans to enhance the existing site by incorporating residential units and **ground-floor retail** spaces.
Current Usage of the Site
Luke Wood, a partner at OakPoint, shared that while there are plans for future development, they do not intend to demolish the existing office structures. The site enjoys a high lease rate of around 95%, which means it is performing well in its current state. Wood explained that the timeline for any new construction is uncertain and will likely take a few years to materialize. Factors such as construction costs and the overall performance of the real estate market will play significant roles in the timeline.
Future Development Projections
Even though OakPoint is not moving forward immediately with construction, they have projected that the future development may bring an estimated 10,000 square feet of retail space and at least 200 residential units to the area. Wood anticipates that the introduction of a mixed-use development will enhance the quality of the office space already present on-site.
He pointed out that integrating residential units with high-quality office and retail spaces could lead to a better environment for tenants. Wood further commented, “If you can give an apartment community access to nice offices and retail, I think the apartments do better. And certainly, if you can give office tenants access to the amenities that apartments offer, or retail, it seems to do a lot better.”
Community Impact and Expectations
The proposed changes aim to blend residential life with commercial offerings, which could ultimately foster a vibrant community in North Austin. As more people seek living situations close to their workplaces, this type of development may become increasingly important in the city.
For now, though, the focus remains on understanding the dynamics of the real estate market and how conditions may influence construction timelines. Community members and stakeholders will be eager to see how this site evolves over the next few years.
As Austin continues to grow and adapt, developments like this one shed light on the ongoing changes in urban planning and land use. With the new zoning in place and the potential for mixed-use spaces, the future looks promising for this section of North Austin.
