Lucky Austin residents will soon be able to experience the city’s first major team sports franchise, the Austin FC of Major League Soccer.
While no launch date has yet been set, construction was recently approved for the 24-acre, $240 million dollar mixed-use project at McKalla Place in North Austin.
So what does this mean for homebuyers and investors targeting the Domain and surrounding vicinity?
“Those areas are increasing in value pretty rapidly,” according to Austin real estate agent John Martin, as quoted in The Statesman. “The ripple effects are going to be huge.”
Overall, the city of Austin just recently set a new monthly record for both the number of homes sold and the median price.
The general housing market is absolutely cooking, but there’s additional evidence to suggest that appreciation will concentrate in a few areas, including Austin’s “second downtown.”
One notable item is that Austin FC has already received 30,000 seat deposits for a stadium with just over 20,000 seats. Given Austin’s status as the number one U.S. television audience for women’s world cup soccer, this probably shouldn’t come as a surprise.
But home buyers and investors alike should note that demand for tickets is already outstripping supply, and the team isn’t even expected to begin play until 2021.
Add that to Apple’s $5 billion dollar North Austin campus expansion and Brandwine Realty Trust’s nearby redevelopment of the 66-acre former IBM campus, and you’ve got a breakaway path to rising prices for Austin’s second downtown.