Jay Symcox, president of Symcox Development, tells GlobeSt.com that the project's 7.3 acres is the highest point on South Congress. "It's got great views of the Capitol and of the Hill Country," he says. And, being just a half-mile from Ben White Boulevard, it offers easy access to Austin-Bergstrom International Airport as well as the CBD. He estimates the project will run $30 million to $35 million.
The South Congress multifamily submarket has sustained strength despite the slower economy. "This market has maintained some of the highest rent and occupancy levels in the city," Symcox says.
A market study done about a year ago called for rents averaging $1.25 per sf. Symcox says he'll commission another study as construction nears, but expects to make money at $1.25 per sf or even lower. He says apartment complexes further north on Congress are getting $1.50 per sf.
With the project, Symcox is making a foray into apartments. His recent projects include the 33-unit Bouldin Creek Cottages and the Laurels of Legend Oaks, a 129-unit town home and garden home development in southwest Austin. The Bouldin project won a 2002 "Best in American Living" award from the National Association of Home Builders and Professional Builder magazine.
Symcox says the South Congress development could be a mix of loft condominiums and apartments, but a final decision hasn't been reached. It could go entirely apartments.He says the costs for other Symcox projects portend well for the South Congress development. "Pricing is more competitive. The lumber and sheetrock markets have been really low for the last few months and labor's margins are a little bit better," he explains.
Symcox Development has worked with the neighborhoods and the city to get zoning to use the property for a high-density urban residential development with a commercial component. Symcox expects approval for the site plan to come in late summer, with construction starting before the end of the year.
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