On June 8th, the Mississippi-based real estate firm EastGroup Properties Inc. was unanimously approved by the city of Round Rock for incentives up to $125,000 to aid the firm’s upcoming industrial redevelopment. The redevelopment itself is estimated to cost $9 million and will focus on a 9-acre site at 350 Texas Avenue. Fondly nicknamed “the Texas Ave” project, this Round Rock development is expected to span over 125,000 square feet.

The continued approval of this project is contingent on the demolition of the current building by March 31, 2024, with an expense of at least $125,000, with a completed replacement by the end of 2026 at a minimum of 100,000 square feet. 

The demolition alone will cost anywhere between $120,000 and $135,000, while the capital investment in this project will be approximately $9 million. Currently, two small structures reside on the property, with a combined square footage of 15,000 square feet. EastGroup Properties Inc. aims to demolish these structures and redevelop with two class A light industrial buildings, which will span a total of 128,700 square feet, one with 70,000 square feet and the other with roughly 58,000 square feet. Recent conceptual plans showcase both buildings clearing over 28 stories in height.

David Hicks, the vice president of EastGroup Properties Inc., has confirmed that no tenants are currently secured for this project but that construction is expected to begin later this year.

“Part of our program of work on the economic development team is to work with developers who identify properties that we can potentially use for future economic development projects and more so even working with them to find redevelopment opportunities, so when we’re recruiting companies we have the appropriate real estate,” said Jordan Robinson, CEO and president of the Round Rock Chamber, during the June 8th meeting.

What does this mean for Austin? Stay tuned by following my blog for more information on the latest Austin developments, commercial projects, and local real estate. Feel free to email me at  tmcneil@kw.com to chat more about this “Texas Ave” project and if you’re curious why Austin is my favorite place in the world!