NewQuest Properties has broken ground on phase II of Townwest Commons, a community services-driven mixed-use development strategically positioned at the bull's eye of residential growth in northeast Austin.
The two new buildings, totaling 15,560 sf, are rising on the last retail tract fronting TX 79 in Hutto, a high-growth market fueled by affordable housing and easy access to the state's quickest route north and south around the capital city. Phase II will deliver in early 2020.
"Hutto is one of the last places to get a house for under $300,000 in Austin," says Meredith McLeod-Cobb, an associate and development partner of Houston-based NewQuest.
Anchored by Lowe's Home Improvement, Townwest Commons has been 100% occupied or close to it for several years. The 32-acre retail center is bordered by TX 79 and Ed Schmidt and Alliance boulevards in Williamson County, a mere 22 miles from Austin's city center. About half of NewQuest's land has been developed to date.
Phase II is getting underway with 53% of the class A retail space preleased – Castle Dental, 3,360 sf, Go Wireless, 2,100 sf, and Sport Clips, 1,260 sf. Their building has one vacancy. There are deals already working for the second structure, totaling 7,350 sf.
"We are seeing a lot of interest in phase II from the medical community," McLeod-Cobb says, "as well as NewQuest developing a professional office building to accommodate the unmet demand in the Hutto market."
With medical services' demand so high, McLeod-Cobb had no down time between tenants in backfilling a 2,500-sf dentist's office in phase I. Ranch Orthodontics is the new occupant, with Dr. Gerard DeSantis inking a long-term lease in a direct deal with NewQuest for ready-to-occupy space with a class A finish-out.
Fueling demand for community services are 63 residential subdivisions, totaling 19,500 lots, located within a six-mile radius of Townwest Commons. In recent years, Gen Y and Millennial families have been moving to Hutto because of its housing costs and lifestyle amenities, with the city's median age now just shy of 35. Within the three-mile trade area, the population has climbed 91.2% in nine years due in large part to its affordable housing and proximity to continuously expanding employment centers, including tech hubs, in Austin, Georgetown and Round Rock. Hutto's median price of a home is $220,500, according to Sperling's Best Places.
"This is the most active housing market in Austin," McLeod-Cobb says, "and it appears it will continue at this pace for years to come."
Phase II's general contractor is Austin-based Workman Commercial. NewQuest's in-house architectural team designed the new buildings.
Dean Vandergriff of RETELL Advisors LLC represented Castle Dental in its long-term lease negotiations. David Adams of the Woodmont Co. was Go Wireless' tenant representative. Sport Clips' broker was Greg Stanislawski of Retail Strategy Real Estate Group.
CENTRAL TEXAS LEASES
Castle Dental has preleased 3,360 sf of retail space in Townwest Commons, located at the intersection of TX 79 and Ed Schmidt Boulevard, Hutto, from NewQuest Properties. Meredith McLeod-Cobb of NewQuest Properties represented the landlord. Dean Vandergriff of Retail Advisors represented the tenant.
Ranch Orthodontics has leased 2,500 sf of retail space in Townwest Commons, located at the intersection of TX 79 and Ed Schmidt Boulevard, Hutto, from NewQuest Properties. Meredith McLeod-Cobb of NewQuest Properties represented the landlord in the direct deal.
Go Wireless has preleased 2,100 sf of retail space in Townwest Commons, located at the intersection of TX 79 and Ed Schmidt Boulevard, Hutto, from NewQuest Properties. Meredith McLeod-Cobb of NewQuest Properties represented the landlord. David Adams of the Woodmont Co. represented the tenant.
Sport Clips has preleased 1,260 sf of retail space in Townwest Commons, located at the intersection of TX 79 and Ed Schmidt Boulevard, Hutto, from NewQuest Properties. Meredith McLeod-Cobb of NewQuest Properties represented the landlord. Greg Stanislawski of Retail Strategy Real Estate Group represented the tenant.
NewQuest Properties, founded in 2001, is a privately owned, full-service commercial real estate firm specializing in development, land brokerage, leasing, tenant representation, investment sales and property management services. Headquartered in Houston, NewQuest owns a portfolio encompassing more than 60 retail and mixed-use projects valued at $2.2 billion and provides leasing services for more than 12 million square feet of commercial space in Texas, Louisiana and throughout the U.S.
