Downtown Austin Rental Project Secures $173M
The development team includes PGIM Real Estate and Genesis Real Estate.
A partnership between Genesis Real Estate Group and PGIM Real Estate has landed construction financing for The Travis, a 423-unit high-rise rental project in Austin, Texas. JLL Capital Markets represented the borrowers and secured $173.4 million provided by JPMorgan Chase, according to Travis County records.
Slated for completion in the fall of 2024, the 50-story building will encompass studio, one-, two-, three-bedroom apartments and penthouses, with luxury finishes, ranging from 601 to 2,700 square feet. Common-area amenities are set to include a fitness center, business center, clubhouse and pool.
Located at 80 Red River St., within the Rainey Street District of Downtown Austin, the development is close to the Colorado River and next to the Waller Beach at Town Lake Metropolitan Park. The community is also less than half a mile from Rainey Street, the city’s historic avenue that offers access to dining and entertainment options. Interstate 35 is half a mile northeast of The Travis, connecting it to the CBD and other high-density employment hubs.
JLL Senior Managing Directors Campbell Roche and Robert Wooten led the transaction and mentioned, in prepared remarks, that The Travis will offer great views of the city, being Austin’s tallest single-purpose and BTR community.
Austin’s thriving multifamily market
The Austin multifamily market remains a veritable force, with the average rent up nearly 1.0 percent in just one month, according to a recent Yardi Matrix multifamily report. Year-over-year as of January, the metro’s average rent hit a staggering 22.0 percent hike, one of the highest in the country and way above the already unprecedented 13.9 percent U.S. figure.
Roughly 150 properties including some 37,800 units were under construction as of early February across the market, or the equivalent of 9.7 percent of the metro’s total inventory, according to the same data provider. That puts Austin’s pipeline in the third spot nationally, behind only much larger Dallas-Fort Worth and Washington, D.C., but ahead of places such as New York, Miami, Los Angeles, Atlanta or Boston.