As Downtown Austin continues to evolve into a more mixed-use, experience-driven urban center, staying connected to real-time market dynamics is more important than ever. This monthly update is designed to keep you informed, bring you key updates and share the latest market data.
1. Austin Convention Center Redevelopment Advances
The $1.6 billion redevelopment of the former convention center site continues to move through final design and construction phases, with the project remaining on schedule for reopening in 2029. The redevelopment will nearly double rentable space, restore portions of the downtown street grid, create new public spaces, and significantly reshape the southeast quadrant of downtown. Link
2. New State of Downtown Austin Report Shows Strong Development Pipeline
The latest downtown market report found:
- Six projects totaling approximately 2.9 million square feet are currently under construction
- Twenty-one additional projects in planning
- Approximately 9.2 million square feet of future development in the pipeline
- Continued long-term confidence from developers despite office market challenges
Read the release here: PR Newswire
3. Waterloo Greenway Opens Major New Downtown Segment
The Confluence, a 13-acre addition to the Waterloo Greenway system, opened this month, connecting Waterloo Park to Lady Bird Lake through new trails, public spaces, landscaping, and pedestrian infrastructure. The project represents a $91.5 million investment in downtown public realm improvements. Waterloo Greenway
4. New Leaders in Austin’s Economic Development
City of Austin Economic Development Director, Michael “Mac” Cummins, starts July 27
City of Austin Downtown Strategy Officer, Jonathan Stone, started June 1
5. Business & Investment News
May 2026 TDLR recap of Downtown permitting activity: 6 permits filed (one was for the CAUDI section at 200 Congress). Total square footage: 23,319 SF. Total listed cost: $5,384,117
- One Eleven Congress sold (unknown buyer and sales price) – ABJ article
- ACL Fest 2025 economic impact of $557.8M – Statesman
- IHOP site sold at auction – ABJ article
- Austin Proper Hotel named Top 500 best hotels in the world by Travel & Leisure – Statesman
- Driskill Grill reopened – Statesman
- CardVault by Tom Brady opened – ABJ
- Brick Row purchased 823 Congress – ABJ
- Austin Central Library Named One of TIME’s 25 Buildings that Represent America – Time
- Apollo Global Management chooses Austin for second HQ – ABJ
6. Density Bonus Program Updated
The Austin City Council voted on May 21 to update its citywide density bonus program to create four new bonuses. They can be used to boost the maximum heights for properties across the city. The four different density bonuses can boost a property’s maximum height by 15, 30, 45 and 60 feet from base entitlements. Read more about the bonus – ABJ
7. Downtown Austin User Survey
The 2026 Downtown Austin User Survey has been released, capturing insights from 706 residents, employees, visitors, business owners, and property owners. Findings highlight cautious optimism about downtown’s challenges and opportunities. The report offers timely, data-driven insights to inform downtown investment and real estate decision-making. Read the full report here.
As always, you can contact us at economicdevelopment@downtownaustin.com for economic development opportunities in Downtown Austin.