"This project proves that evolution doesn’t mean that you have to lose; it means that you can gain," AISD Superintendent Matias Segura said. "Today we aren’t losing a site, we are gaining new homes, we are gaining green spaces, we are gaining new opportunities for our Austin ISD families and staff and communities to have a home.”
The big picture
AISD has been planning to bring affordable housing to the old school and Alternative Learning Center campus for years. Under a partnership with developer The NRP Group, the multiphase project will bring almost 700 apartment homes and nonprofit space to about 18 acres at 4900 Gonzales St., Austin.
New housing will be split between market rate and lower-income tenants. Ten percent of units are set aside for those making up to 60% of the local median family income, or MFI, and 40% are for residents earning up to 80% MFI. The Austin-area MFI, which scales based on household size, is currently $133,800 for a four-person family.
All apartments will all feature stainless steel appliances, quartz countertops and other high-end finishes, according to NRP. Community amenities will include a resort-style pool, fitness center, co-working lounge, green space and playground, and art installations. The redevelopment's first phase with 341 units will be completed by late 2027.
The project's amenities, affordability and mix of apartment sizes—more than 300 either two- or three-bedroom units—are geared toward workers and residents within the district.
"What was really important to the district and to the trustees and to the community was ensuring that we could prioritize the AISD teachers and staff members and bus drivers, but also AISD families and community members. And so the income levels are set such that a first-year teacher can actually qualify to live here," said Nick Walsh, NRP's vice president of development.
The multiphase Anita Ferrales Coy Facility redevelopment will bring nearly 700 apartments to East Austin, with half reserved for lower-income earners. (Rendering courtesy Studio Schafer)
The old AISD facility housed the learning center, offices and nonprofit spaces. The new development will include 5,000 square feet to be leased rent-free to a nonprofit, Walsh said, and it's now planned to house the dual-generational education group Todos Juntos. AISD is also retaining a portion of the project site for a future district use.
What they're saying
AISD District 1 Trustee Candace Hunter said she was initially skeptical of district leaders becoming "landlords" under Texas' public facility corporation, or PFC, model that was used for the redevelopment. Now serving as president of AISD's PFC, Hunter said she believes the property will become a "community hub" rather than a standard residential complex.
“This site carries the name of Anita Ferrales Coy, a dedicated educator and leader. By transforming this space into a hub for housing and learning, we are honoring her legacy of service," she said. "We aren’t just building a foundation of apartments, we’re building a foundation for families to stay in East Austin."
State Rep. Lulu Flores, D-Austin, also highlighted the PFC approach as an important tool used by school districts statewide. The model allows AISD to lease the site to NRP and earn rent revenue, while the developer can support added affordable housing thanks to property tax exemption. Flores also noted project revenue isn't subject to the state recapture system that draws hundreds of millions of dollars from AISD each year.
City Council member José Velásquez, who represents the area, said the redevelopment represents progress through creative thinking.
"Preserving a historic school [site] within the AISD community and turning it into homes for the very people who serve this city—our teachers, our bus drivers, our parents, our public works crews—this isn’t just policy, it’s a promise kept. It’s a declaration that the people who hold Austin together deserve to live here," he said.
What else?
While the new affordable units will be open to any qualifying tenants, Walsh said district staff and families could see some preferential treatment like waived leasing fees. NRP also plans targeted marketing about the housing opportunity across the AISD community.
"There are probably 10 Austin ISD campuses within a 10-minute driveshed of this site. And so leading up to when we begin pre-leasing, actually going to those campuses. And because we have the partnership with the district, we’ll have that access and that ability," he said in an interview. "To the extent that we can get the word out, we’d love to maximize the number of teachers and staff members here."
The new housing is rising after AISD secured DB90 zoning for the east side site. The city density bonus designation allows mixed-use projects up to 90 feet tall, and has sparked some criticism from residents and officials that's leading it to be revised.
DB90 was needed to expand the project's scope, Walsh said, but community feedback during the rezoning led to development that's "more harmonious" with the surrounding neighborhood. The project won't reach a full 90 feet; he said buildings are planned at a maximum of five stories with lower heights closest to single-family homes.
"We did want to make sure we maximized the density ... because what the district really wanted to see the maximum number of units that was financially feasible. Because they also knew the more units we built, the more units that would be affordable at workforce levels," he said.
