Another Northwest Austin office building worth $44M breaks ground
Jan Buchholz covers commercial and residential real estate, construction and architecture and retail and restaurants for the Austin Business Journal. Office development in Austin continues at a torrid pace with Cousins Properties (NYSE: CUZ) announcing that it will break ground in November on the final installment at Research Park Plaza.
Research Park V, at 12301 Research Blvd., will be delivered in 11 months, according toTim Hendricks, senior vice president of Cousins Properties. The building will encompass 173,000 square feet and cost about $44 million.DCA Construction LP is the contractor and STG Design is the architect. Both were involved with the development of the other buildings at Research Park, which began delivering space in 1995. The four existing buildings are owned by two large investment groups.”We really feel there’s a need for new product in the northwest market where occupancy rates are over 90 percent,” Hendricks said.Though Hendricks is Austin-based and has overseen the development of as much office product as anyone else in the market, the company is headquartered in Atlanta.Cousins also is building Colorado Tower at 303 Colorado St. in downtown Austin, which will begin delivering space in December.The company under Hendricks’ direction built the iconic Frost Bank Tower at 401 Congress Ave.Spear Street Capital LLC in San Francisco owns Research Park Plaza I and II. Union Investment Group in Frankfurt, Germany owns Research Park Plaza III and IV.Currently, Charles Schwab Corp. is a major tenant at Research Park Plaza. That company will be relocating to new corporate headquarters in 2016. Schwab’s departure should have no impact on Cousin’s development and leasing of Research Park V.”We’ll be built and leased by the time they leave,” Hendricks said.Rachel Coulter and Kevin Kimbrough with JLL — they recently left Oxford Commercial/Cushman & Wakefield— will handle leasing.