The Austin Revitalization Authority is developing the building as part of the redevelopment in the East 11th Street corridor which includes renovation of historic commercial buildings and homes for affordable housing. The authority recently updated Austin City Council on its activities. Council liked what it heard and what it has seen along 11th Street and approved an extension of its contract with the authority.

Byron Marshall, the authority's executive director, said ground breaking for the office project, called Eleven East, should be in October. The renewed contract requires construction get underway before December.

The authority earlier this year reached an agreement with the city to lease 22,000 sf of the building to Austin's housing department for 10 years. The city can sublease space with the building owner's approval. It also has a five-year option to renew at 95% of the market rate at that time.