“How do we make New Urbanism flourish in the suburbs and boomtowns of high-growth America? How can regions preserve their local character and environment while creating vital new and renewed communities? From new rail systems to infill transit-oriented development to the downtown high-rise boom, Austin is the place to see how New Urbanism is making a difference on the front lines of American growth. Attend the premier gathering of new urbanists April 3-6, 2008.

New Urbanism takes hold in one of the Nation’s fastest growing cities. See how the principles of New Urbanism are finding their way into projects, public conversations and City policy.” -cnu.org/cnuxvi

 

Related Post: 51 Reasons Why Downtown Austin is Home to New Urbanism.

Video provided by: russhea

Usually I shy away from quoting an entire article in my post, but I’ll indulge myself just this once. Here’s the scoop on Google’s new digs in downtown Austin:

By Lori Hawkins and Shonda Novak
AMERICAN-STATESMAN STAFF

Google is headed to downtown Austin.

The Internet search leader has leased the second floor of the historical Scarbrough Building for an engineering center, said Office Leasing Advisors Inc., the Austin firm that represented Google Inc. in the deal.

Google will occupy 25,000 square feet of the art-deco-style building at Sixth Street and Congress Avenue, Office Leasing said.

Mountain View, Calif.-based Google did not respond to inquiries about the Austin office.

In recent months, Google has posted Internet job listings for an engineering director in Austin to head up a group of 100 or more engineers. It also has posted listings seeking software engineers in Austin. The Scarbrough office could hold 125 to 150 people, according to real estate brokers.

The entrance of a high-profile, national tech player like Google is a coup for Austin’s technology industry, tech recruiters and executives said.

“Google is another marquee name in the technology world that we can say we have in Central Texas, and in addition to getting the Google name, we’ll probably get some good-paying jobs with it,” said David Porter, senior vice president of development for the Greater Austin Chamber of Commerce.

The Google news follows announcements by other California-based firms to relocate or expand in Austin, including PayPal Inc., an eBay-owned online payment system that is locating a data services center in Austin that could have up to 300 workers by next year. Also, Borland Software Corp., a personal computer software company, is moving its headquarters to Austin from Cupertino, Calif., and expects to have 150 to 200 employees in Austin this year.

High-tech recruiters said Austin is a natural fit for Google, which has nearly doubled its work force every year for the past four years and now has about 12,200 employees worldwide.

In addition to the specific technical skills that match Google’s personnel needs, Austin’s youthful, freewheeling attitude that encourages risk-taking makes it a good cultural fit, said Kim Butler of Greywolf Consulting Services Inc.

Google, which has become a high-powered recruiter on college campuses and has opened a number of research and development centers near university communities, stresses that it looks for ability more than experience when it hires.

“It’s a tremendous match for the city,” Butler said. “They’re looking for innovation, and that’s what Austin brings to the table.”

In turn, Google will accelerate growth in Austin, he added, saying, “It’s like if you’re trying to start a fire, you can twirl the stick in the pit and wait for friction or you can get one of those Duraflame logs and light it up with a match. That’s the kind of impact that a Google can have on a city like Austin.”

Google’s choice of ZIP code is also a boost for downtown, which is undergoing major changes, from the new shops and restaurants in the Second Street retail district to a residential building boom that is adding hundreds of apartments and condominiums. Tech companies expanding downtown include Silicon Laboratories Inc., the chip design company that has 430 employees at its headquarters on West Cesar Chavez Street and is negotiating to buy a neighboring six-story building.

“Downtown has always been home to state government and accountants and attorneys, and now we’re becoming a destination for tech companies,” said Molly Alexander, associate director of the Downtown Austin Alliance, which represents downtown business and property owners. “They’re looking for unique and unusual spaces that are reflective of their culture.”

When a player like Google lands downtown, Alexander said, “it raises the profile for others to say, ‘If we want to go to Austin, we need to go downtown.’”

Scarbrough Building history

• The Scarbrough Building was Austin’s first skyscraper and marked the beginning of Austin’s downtown business district.

• It was built for Emerson Monroe Scarbrough, a successful merchant.

• It was designed in the Chicago style by Fort Worth architects Sanguinet and Staats and opened in 1910.

• Bets were taken on whether it, the city’s first steel and concrete structure, would stand or fall.

• Art deco elements were added in 1930.

• The second story, which will be home to Google, housed the Scarbroughs department store for years until its closing in 1983.

Sources: Austin History Center, American-Statesman archives

There’s no doubt the downtown Austin buzz is growing. It seems there are more than a few people considering a lifestyle change by moving out of the suburban areas and into downtown. Until recently, there hasn’t been a large supply of downtown residential space available. Predictably, demand for condos and lofts in the urban core continues to swell.

For example, the W Hotel & Residences saw 80 percent of their units reserved within a week of breaking ground and the sales center opening its doors (1 reservation = $10,000.00 deposit per unit). That’s remarkable given the expected completion date is still 3 years away… But even if you’re not willing to wait 3 years for your condo, there are at least 10 other projects under construction and roughly 2,000 units due to be complete by the end of next year. All of this begs the question… How much will it cost to own a downtown condo?

 AustinTowers rightly points out, “The price of a condo is only one component of the final cost. In addition, you’ll need to think about monthly condo fees, property taxes, utilities, etc. the good news is that the price is relatively fixed: unlike owning a single family house, you won’t need to worry about surprise maintenance projects like a new roof or new AC that can cost thousands of dollars.”

It is true condo owners don’t have to worry about as many maintenance issues when compared to owning a single-family residence. However, it is crucial for condo buyers to carefully investigate the financial health and viability of the owner’s association. Otherwise, you may be subjected to surprise assessments down the road. I will expand on this in a future post. 

Here is a breakdown of what you might expect to pay for three common floor plans in a high-rise condo development in downtown Austin. My assumptions are noted below the charts.

These calculations assume an average price of $350 / sq ft. Owner’s association dues are calculated on an average of $0.34 / sq ft. The mortgage principal and interest payment is based on a 30-year, fixed rate mortgage with a down payment of 10 percent at an annual interest rate of 6.25 percent. Assumes tax rate of 2.5% annually.

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Related Post :: Urban or Suburban: Where Should You Live

Last week the W Hotel and Residences officially broke ground. To be honest, it’s the first time I’ve seen the letter “W” downtown without an anti-symbol displayed with it. In fact, this seems to be a W that many Austinites are happy to welcome to town.

Block 21 of the 2^ND Street District is now the construction site of a $260 million dollar project that once completed, will be home to a 35 story, Platinum LEED-certified structure designed by Arthur Andersson of Andersson-Wise. Here’s what’s planned for the site: 

• 250 hotel guestrooms

• 196 condos  

• Austin City Limits Studio Theater (2,200 seats)

• Spa and Pools

• Signature bar and Restaurant

• 25,000 sq ft of ground floor retail space (The sales staff shared with me a list of possible tenants including Uchi, Eddie V’s, and a high-end grocer)

Unfortunately, I probably will not become a lucky resident of the W Austin anytime soon, but that doesn’t stop me from daydreaming about the legendary “Whatever/Whenever” service the home owners will enjoy. If you’re unfamiliar with the experience, W/W stands for pretty much anything and everything you could possibly request… so long as it’s legal, which some would argue is a relative term here in Austin… Here are few examples of that delightful W/W service:

“You’re at a dinner meeting and your beloved Golden Retriever is at home. Why not send us an email from your BlackBerry® and let us know? We’d be happy to take Ginger for a stroll around Lady Bird Lake.”

 “Your old college friend is in town for a taste of Austin. Where better to kick off the weekend than at the new Austin City Limits Studio Theater? Let us arrange for some last minute tickets.”

 “Long workdays rarely leave time for grocery shopping. Drop off your list in the morning and we’ll have everything in your fridge—from Belgian cheese to Oaxacan tomatillo salsa—when you return home.”

Overall, I think the project will be a positive addition to the 2^ND Street District and the broader urban fabric by not only improving a key piece of real estate to its highest-and-best use, but also uniquely contributing to the district’s growing sense of place.  City officials, I’m sure can already smell the sweet scent of tax revenue from Austin City Hall, across the street.

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 Should you live downtown or in the burbs? With the re-emergence of downtown living, this question is on the minds of many in Austin. There are obvious advantages and disadvantages to both the urban and suburban way of life. But ultimately, it comes down your preferences.  

So what are the top 3 advantages to urban and suburban lifestyles in Austin? I’ve lived in both Austin’s urban and suburban environments. Here’s what I think.

3 advantages to living in downtown Austin

Entertainment. Like any great city, there’s always something going on downtown, be it a concert, an art gallery or some type of festival. It isn’t difficult to find something, to keep you entertained. Music lovers, not much is left to be said about finding shows any night of the week. From salsa lessons to cooking classes, to having a cup of coffee at Progress or JO’S and watching eccentric people pass by, there are so many things to keep boredom at bay.

Public transportation. Austin’s public transportation and infrastructure isn’t nearly as robust as San Francisco’s or Seattle’s, but it is improving. The bus system is a great alternative to driving around the core of town. This aspect will only get better once the rails are further developed. But when it comes down to it… The real advantage to being downtown is simply being within walking distance to your most visited destinations. 

Culture. Anytime a large group of people are living close to one another, diversity is bound to flourish. Yet in the midst of so many differing ideas, there’s something uniquely Austin that transcends it all. To better understand what I mean, take a walk down South Congress Ave or go to a Gospel Brunch at Stubb’s. Also, the Farmer’s Market is a great place to experience the culture.  Something different everyday, that appeals to me big time.

3 Advantages to living in suburban Austin.

Price ($).Price per square foot for homes outside of Austin’s core is commonly 2-3x cheaper than homes in central Austin. For example, a newer 1,500 sqft home in Southwest Austin may cost $187,500 where a similar sized, and likely much older home in  central Austin would cost at least $360,000. What’s more, the southwest area is a short 8 minute drive away from downtown Austin (sans rush hour traffic). By living a little farther out, you can enjoy all the offerings of the city and not be forced to eat peanut butter and jelly for every meal in order to fund your monthly mortgage payment. Hopefully, you didn’t finance your urban digs with an adjustable rate…

Space. By space I mean a few things. More house for less money. A space to park your cars or SUVs if you prefer (I read a statistic that Austin averages 1.4 cars per person). Space to have family and visiting guests to stay the night (in their own bedrooms). Space to have a home office, music or art studio. Space to hang your stuffed deer head or whatever else you’re proud of. Whether you have a big back yard or a great front porch, chances are you will likely have a great space to entertain your friends and neighbors.

Yards & pets. Austin is an extremely pet friendly place, even in the urban area. However, one of the reasons we purchased outside of Austin’s core, was to have a yard. We have a cat and a dog that are right at home in the shade of the live oaks in our back yard. The pets are much happier outside while we’re at work during the day. Also, we have a great area in our yard to grow vegetables. The crop isn’t overly abundant right now, but someday soon it will make an incredible garden.

Bottom line… when you’re considering urban versus suburban, carefully analyse both. Write down your preferences and decide which lifestyle appeals to you more and don’t forget to check the price tag.

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Related Post :: Urban or Suburban: How Much Does it Cost to Own?

Take a 4 minute tour of Downtown stopping at a few key destinations including, Waterloo Records, Fado Irish pub, BookPeople and 6th street. Enjoy.

Provided By: jellybeanempire

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“Austin’s efforts to create a denser and more active urban core have helped it land a major conference that will draw an estimated 2,000 attendees next year to learn what the capital of Texas is doing right. Austin has been selected as the host city for the 16th annual Congress for the New Urbanism, a leading national forum dedicated to advancing the urban density model and promoting alternatives to sprawl” (Austin Business Journal).

Why did they choose Austin? Here are 51 reasons. Email me to request a copy of the latest downtown emerging projects map and information regarding downtown living [Jason.M.Groves(at)gmail.com].

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 The Austin urban landscape has been changing drastically every day so far in 2007. We’re not developing at the rate of Dubai, but my how things are changing. Most of the attention lately has been focused on two new urban villages, The Domain and Mueller Redevelopment which seemed to sprout overnight, but my attention is elsewhere.

 I had the privilege of meeting with John Rosato, managing partner for Seaholm Power, LLC earlier this week. John spoke to me and a few associates at my brokerage about a future (re)development that will be focused around my favorite architectural landmark in all of Austin, the Seaholm Power Plant.

After hearing about the effort to preserve the historic, art-deco structure in addition to creating 275,000 sqft of luxury, residential condominium space (right on Town Lake), I couldn’t help but think about the many ways I will begin saving up for a down payment in 2009 when completion is expected. After studying the plans and talking to John, I believe this site will be particularly significant to the urban core of Austin as a result of the transit oriented approach the development team is taking. 

The Seaholm Power Plant has sat dormant for nearly 20 years. I’m excited to see the site will soon be restored and functioning as a power source for community building and social capital in Austin for many years to come. (Someone please inform Robert Putnam, we’ll no longer be Bowling Alone!)

John Rosato mentioned, “The units could cost from about $450,000 for about 1,200 square feet to more than $1 million for the largest 3,000 square foot units.” So maybe I should’ve said, ”Those who can afford the down payment won’t be bowling alone…” I’m hoping to get the Seaholm pioneer discount.

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