Texas’ Tallest Tower Is Now Open in Austin
Waterline brings 352 apartments, 703,000 SF of office space and a 252-key hotel to downtown Austin.
In Partnership with:
Good morning. Lincoln Property Co. and Kairoi Residential have completed Waterline, a 1,025-foot mixed-use tower that is now the tallest building in Texas. The project adds another major luxury multifamily asset to an Austin market facing rising apartment supply and declining rents.
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Market Snapshot
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Austin’s Waterline
Texas’ Tallest Tower Is Now Open in Austin
Photo: Waterline Austin
Lincoln Property Co. and Kairoi Residential have completed Waterline, a 1,025-foot mixed-use skyscraper in downtown Austin, two months ahead of schedule.
A vertical mixed-use heavyweight: Waterline rises 74 stories with 352 multifamily units, 703,000 square feet of office space and a 252-key hotel. At 1,025 feet, it is now Texas’ tallest building, 23 feet higher than Houston’s JPMorgan Chase Tower.
A $742.5M financing package: The project is backed by a $742.5 million self-financed construction loan originated in June 2022 and maturing in June 2027. DPR Construction led construction, with KPF as designer and HKS as architect of record. The team completed the project two months early.
Luxury living at Bosque Residences: Waterline’s residential component offers 352 one- to three-bedroom units ranging from 701 to 2,803 square feet, including penthouses. Amenities include coworking and conference spaces, a podcast studio, golf simulator, poker room and multiple pools.
A growing downtown skyline: Waterline joins several new high-rise developments in downtown Austin, including The Travis, a 50-story, 414-unit tower, and Paseo, a 48-story, 550-unit community. Austin’s zoning changes and reduced parking requirements have helped accelerate multifamily development.
More supply, softer rents: Austin’s apartment inventory grew 5.4% over the trailing 12 months through July, according to Yardi Matrix, while rents fell 3.7% year over year. The growing supply pipeline could create more competition for new luxury communities like Waterline.
➥ THE TAKEAWAY
Austin’s vertical bet: Waterline underscores Austin’s transformation into a high-rise market, but its biggest challenge may not be reaching new heights—it will be standing out in a city where apartment supply is rising, rents are softening and competition among new luxury properties is intensifying.
Around Texas
➥ Texas data center developers are split over Gov. Greg Abbott’s grid freeze, with some warning of delays while others say audits could weed out speculative projects and improve transparency.
➥ Texas celebrated the grand opening of NYSE Texas in Dallas, reinforcing the state’s growing role as a national hub for capital markets and business.
➥ Fort Worth approved Black Mountain Power’s $10B data center plan after the developer reduced the project to four buildings and doubled the residential buffer to 300 feet.
➥ H-E-B named the Dallas Cowboys its exclusive grocery and pharmacy partner as the San Antonio-based retailer accelerates its major North Texas expansion with new stores on the way.
➥ Northmarq hired three prominent Houston retail brokers from CBRE, adding a team with more than 1,300 transactions and $9B in combined deal volume across Texas retail markets.
➥ Bass Pro Shops plans a 100,000 SF. College Station store for 2028, bringing its Texas footprint to 20 locations as the outdoor retailer continues its Lone Star State expansion.
Follow the Money
| REAL ESTATEDALLAS Dallas-based Crow Holdings is targeting $3.25B for its largest real estate fund yet, having already secured nearly $1.1B from 49 investors, signaling strong backing for its value-add strategy. |
| OFFICEDALLAS Hall Group acquired a 112,000 SF Dallas office building, planning renovations and a dual headquarters as demand for quality office assets remains strong across the Metroplex. |
| OFFICEHOUSTON LaSalle and 3Edgewood acquired a stake in Houston’s 1.5M SF CityWest campus, highlighting continued demand for quality, well-leased office assets. |
| RETAILAUSTIN Trademark and Cohen & Steers acquired Austin’s 115,512 SF Oak Hill Plaza, betting on strong retail fundamentals and further property upgrades. |
| OFFICEPLANO Selerix Insurance Services signed a 28,000 SF Plano lease, nearly doubling its headquarters and bringing its teams together under one roof for future growth. |
| INDUSTRIALEL PASO Provident completed Gateway Logistics Park’s final phase, bringing the cross-border industrial project to 1.42M SF across six modern buildings serving logistics, distribution and manufacturing users. |
📈 CHART OF THE WEEK
Houston’s quarterly apartment deliveries moved above the four-quarter average, but strong demand continued to absorb new supply, with net absorption outpacing deliveries by 21% and supporting improving occupancy despite elevated construction activity.
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