The Austin rental market is very very strong right now. People continue to flood into Austin, and very little central Austin capacity has been added over the last couple of years. In particular, there remains a shortage of units in downtown Austin and in South Austin — both of which are highly desirable high rent markets.
Now, a new 298 unit apartment complex is set to rise across Lamar from the South Alamo Drafthouse just south of downtown. According to the Austin Business Journal, “The planned Post South Lamar project will total 298 apartment units with an average 852 square feet each. The ground floor will also house about 8,555 square feet of street-level retail space. Officials said they expect to complete the project by the third quarter 2012.”
A separate report indicated that the project would include multiple buildings and would be 4-5 stories tall. The project will cost $41M to develop. According to the Statesman, “Austin’s apartment market is booming, as population and job growth create demand. Average rents per-square foot hit an all-time high of 98 cents at the end of 2010, according to Capitol Market Research.
Occupancy rates averaged 94.8 percent, a multi-year high.”
The new complex will replace a smaller existing apartment building on the site.