You’ve probably seen the Sail Tower—Austin’s shiny, curvy office building that was meant to illustrate Austin’s tech muscle by being filled entirely by Google. But in true 2020s fashion, the pandemic threw a wrench in those plans, and the building ended up being a gorgeous, mostly-empty question mark on Lady Bird Lake.
Well, here’s the plot twist: Cousins Properties just bought the entire building for $521.8 million. That makes it one of the priciest real estate deals in Austin this year, but when the architecture is that unique, shouldn’t it be a trendsetter? And now we’re all left wondering: who’s going to use the space? Google still has it leased down until 2028, but they’re sitting on it like an Porsche left unclaimed at the valet. Hopefully Cousins finds someone with as much need and as much gravitas to fill it as Google would.
A Big Move for Austin’s Commercial Scene
This isn’t Cousins’ first rodeo. They’ve been shaping Austin’s skyline for decades, from the Frost Bank Tower to their empire at The Domain. But the Sail Tower is their latest flex, adding 804,000 square feet of prime office real estate to their downtown portfolio.
And they’re not the only ones making waves. PayPal is doubling its space in The Domain, new tenants are moving into the under-construction Republic, and the National Veterinary Association is setting up shop in South Austin. After a rocky year, the commercial market is showing signs of life.
Why This Matters for Housing
Here’s where things get interesting: when office buildings fill up, so do neighborhoods. More companies mean more jobs, and more jobs mean more people looking for homes. This could be the spark Austin’s housing market needs to heat back up.
If the Sail Tower’s rebirth is any indicator, betting on Austin remains a long term winning bet. Big money players don’t spend over $500m acquiring an asset if they fear it will never be filled. Whether you’re eyeing a modern condo downtown or a cozy spot in Tarrytown, now might be the time to make your move before the tide shifts.
Curious what’s out there? Check out homes for sale in Austin.
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