6500 Lynch Ln is our first major residential development in the Montopolis neighborhood of East Austin. This project was originally panned for subdivision using the neighborhood plan’s infill development tools. However, in December of 2022, the City of Austin passed a zoning ordinance allowing for residential units to be placed on some commercially-zoned lots. This changed our plans for 6500 Lynch dramatically.
Liquid is currently seeking equity-financing partners to help contribute to the construction of 6500 Lynch Ln. Debt financing for the full construction budget is currently being sought from our preferred lender. However, because the project will require a full commercial siteplan, we don’t anticipate bringing on single-project investors until Q4, 2023.
6500 Lynch Ln was acquired during 2023. Our intention is for it to be a long-term hold property, leased and managed by our real estate team.
The site was originally only able to support three units through the use of a cottage-lot subdivision. However, last year’s zoning ordinance forced us to consider building out a larger project with four large two bedroom apartments, one two-story one bedroom apartment and a single MFI-restricted unit.
With the support of our architecture and civil engineering teams, we have been able to double the unit count for the site. The addition of both 1 bedroom and 2 bedroom units to our rental portfolio provides optimal diversification.
To achieve this level of density, Liquid’s design team is working on a siteplan featuring two buildings with parking at the front of the property. Each building will contain 2 two-bedroom units and a one-bedroom unit. The MFI-restricted unit will have all the same features as the standard one-bedroom unit making it a real jewel for potential renters on fixed incomes in Austin.
With debt-financing secured, our development team is moving forward with architectural and civil engineering. We anticipate having the full commercial siteplan submitted during Q3, 2023. We will be accepting equity partners in the project through our opportunity zone fund.