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A 261-unit luxury apartment building is under construction along the North Burnet corridor, adding a bit more density to an area that’s been transformed by recent development.

Atlanta-based Wood Partners LLC is developing the project with funding partner ParkProperty Capital GmbH, a multifamily investment company that operates out of Germany and Atlanta. This is ParkProperty Capital’s first investment in the Austin market.

The architect for the project is EDI International PC. The general contractor is an affiliate of Wood Partners, and the civil engineer is WGI Inc. The building will be located at 8528 Burnet Road, near where Burnet meets Rockwood Lane.

The apartments will range in size from one to three bedrooms. The starting price for a unit is in the $1,400 range. The overall median rent in Austin was $1,475 in June, according to ApartmentData.com. However, the median rent for the submarket where the new Wood Partners project is located is $1,509.

Developers expect to finish the first phase of construction at the end of 2022.

“We strongly believe in the long-term prospects due to the business-friendly environment and quality of life that the city has to offer,” Brendan Whalen, managing director of ParkProperty Capital, said in a statement. “This is our fourth investment with Wood Partners as we continue to target similar development opportunities throughout the major markets in the US Sunbelt.”

Burnet Road has seen a significant amount of development over a relatively short period of time. As city officials encourage more transit-oriented development, builders have flocked to the area, which sits along a Capital Metro rapid transit bus line.

In the Northwest Austin submarket, where the new building is located, there are 106 apartment communities in operation, totaling 29,770 units, according to ApartmentData.

The Bowen, a 340-unit high-rise in The Domain managed by Stonelake Capital Partners LLC, is currently accepting applications. Affordable housing community Waterloo Terrace, which opened in the area this spring, has been nominated for both a ULI Impact Award and one of Austin Business Journal’s 2021 Commercial Real Estate Awards.

Another project underway in the corridor is Presidium Group LLC’s 283-unit development adjacent to U.S. Highway 183 and MoPac Expressway.

More broadly, North Austin been a popular target for development in recent years, due in large part to the confluence of tech companies setting up shop in the area. Apple, Vrbo and Amazon all have a considerable presence in the area, meaning more job opportunities for residents outside of the urban core.

The completion earlier this year of Q2 Stadium, home to Austin FC of Major League Soccer, has added fuel to that transformation, bringing more bustling activity to the area.

“Convenience for our prospective residents played a major role in our decision to target the North Burnet corridor,” Bart Barrett, managing director at Wood Partners, said in a statement.

He added that proximity to MoPac and U.S. 183, as well as the job opportunities in the area, helped solidify the Burnet corridor as a target for development.

 

Publication: Austin Business Journal

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