The site on East Cesar Chavez Street is now zoned commercial and multifamily. Council will consider a recommendation from the city planning board to make the site part of the CBD, Greg Guernsey, a principal planner with Austin, told GlobeSt.com. "The rezoning will allow for greater height and density in the area," he says.

Vignette Corp., a software company which employs 2,300, plans two to three, 25 to 30 story office buildings. Earlier this week, the city had suggested a $25 million incentive plan to sweeten Vignette's move from its west Austin headquarters to downtown. Council members also will consider the incentive package, which includes waiving and reimbursement of fees, at their Dec. 14 meeting.

Vignette Corp. is proposing to spend up to $7 million for improvements to the downtown site. The city's offer would reimburse Vignette for the company's planned improvements and clean up of Waller Creek, a neglected stream that runs through the five-acre site.