In the real estate market, there is a growing trend of demolishing old buildings to make way for new developments. This practice, known as “tear-downs,” is becoming more prevalent in commercial real estate, particularly in rapidly expanding cities like Austin.
One such example can be seen with Flats on Burton, a developer seeking to replace a two-story apartment complex with 134 units built in 1972. The proposed plan includes constructing a high-rise building that will house 385 multifamily units and offer office and retail space on the same land.
To move forward with this project, Flats on Burton has petitioned the City of Austin for a zoning change. This would allow them to proceed with their redevelopment plan which includes either paying an affordable housing fee or providing affordable options within the development itself. According to city code requirements, at least 10% of residential rental units must be designated as affordable housing for individuals earning below 80% of the region’s median family income (currently $84,150 for three-person households).
This upcoming development showcases how tear-downs are becoming increasingly common not only in residential but also commercial real estate markets across growing cities like Austin.
