AUSTIN | Waterline (98 Red River) | 1,022 Feet | 73 Floors | U/C

[The ATX]

This is somewhat positive. From Jan:

My confidential sources tell me that We Company has very little skin in the game. The big player is PSP, the Public Sector Pension Investment Board headquartered in Ottawa, Canada. With $168 billion in assets under its management, PSP is a financial heavyweight that can carry this through to completion. In its most recent annual report, PSP states that “the strategy behind a number of acquisitions in North America and emerging markets was value-add and opportunistic.” It lists seven projects, including “Waller Creek Center, a development project in Austin, Texas.” So there you have the under-the-radar information.

https://atxrealestatenews.com/2019/1...019/#more-2147

[The ATX]

Here's PSP's annual report for investors. They very briefly mention their "acquisition" of Waller Creek Center in Austin on page 48. Something may finally happen with this project.

https://www.investpsp.com/media/file...-report-en.pdf

[Austin1971]

SoftBank to take control of WeWork

https://www.bizjournals.com/austin/n..._news_headline

"Like elsewhere, it was growing rapidly in the Texas capital before it apparently halted all new lease agreements last month, according to reports, but there are signs that the company is proceeding with a massive tower-building project in downtown Austin."

[austlar1]

Originally Posted by Austin1971

SoftBank to take control of WeWork

https://www.bizjournals.com/austin/n..._news_headline

"Like elsewhere, it was growing rapidly in the Texas capital before it apparently halted all new lease agreements last month, according to reports, but there are signs that the company is proceeding with a massive tower-building project in downtown Austin."

Probably proceeding to maximize permitting and consequent land value. Soft Bank is very reluctantly taking over We Company. It was the best option for them in order to try to save their investment. I doubt that they will pursue aggressive real estate development plans at this point. They will be too busy trying to unwind multi billion dollar lease obligations around the country. If Lincoln and Kairoi(tell again, who or what is Kairoi?) have any spare development dollars (which I kind of doubt given Lincoln's commitments elsewhere in Austin), maybe this project will move forward under their helm. My guess is that it all hinges on the strength of the local and national economy going forward.

[The ATX]

Originally Posted by austlar1

If Lincoln and Kirol have any spare development dollars (which I kind of doubt given their commitments elsewhere in Austin), maybe this project will move forward under their helm. My guess is that is all hinges on the strength of the local and national economy going forward.

PSP (Two & three posts up) may be the money. They are at least part of it.

[The ATX]

Core sampling going on right now on the SW corner of RR & CC.


https://app.oxblue.com/open/endeavor/redrivertower

[austlar1]

Originally Posted by The ATX

PSP (Two & three posts up) may be the money. They are at least part of it.

Interesting. Wish they provided more details. They mention their investment almost in passing. Maybe Austin Towers or somebody will do some fishing for more info. What does core sampling usually indicate? Is it related to construction only or is it required for permitting as well?

[The ATX]

A good article from CoStar:

WeWork Pushes Forward With Skyscraper Plans in Fast-Growing Texas Capital

https://product.costar.com/home/news...utm_content=p7

WeWork is "moving forward with us on this particular project," Mike Lynd, CEO of Kairoi Residential, said in a phone interview. "We’re super excited."

Lincoln and Kairoi are running day-to-day operations for the Austin project at the corner of Red River Street and East Cesar Chavez and have selected an architect but Lynd with Kairoi declined to say which company.

[We vs us]

Originally Posted by The ATX

A good article from CoStar:

WeWork Pushes Forward With Skyscraper Plans in Fast-Growing Texas Capital

https://product.costar.com/home/news...utm_content=p7

Nice find. Still amazed that this is still in motion with WeWork attached, especially when there are projects in other cities on hold or dead (the article mentions a project in Seattle, for instance).

Something big's afoot here . . . space enough for 4 significant towers isn't just a new concept. It's an HQ.

[urbancore]

Originally Posted by We vs us

It's an HQ.

you thinking an HQ for WeWork, or they develop it for another company's HQ?

Anyone aware of other large nationwide searches for a corporate HQ?

On another note, I think it would be smart for Dell to set up something big in downtown Austin. Prolly never happen, but if Austin was to ever have a super tall signature tower, it should be a Dell Tower, IMHO.

Happy days boyz. Happy dayz.

[We vs us]

Originally Posted by urbancore

you thinking an HQ for WeWork, or they develop it for another company's HQ?

Anyone aware of other large nationwide searches for a corporate HQ?

I mean . . . I don't know anything, and am only speculating . . .

But it makes sense for WeWork to either split HQs or move what they have entirely out of NYC as a long term cost saving. Or even just have a strong satellite presence.

I've worked to help bring their all-hands meeting to the city for a couple of years now, and while we haven't won it (and they've honestly now outgrown our CC space) Austin is consistently one of their favorite places. You get a sense that there's a strong culture fit here, an aesthetic fit. A WeWork HQ/satellite wouldn't need a lot of pure tech workers (it's not a tech company), but it would need workers who are tech-adjacent, and who feel like they're part of that world.

And that parcel that they've assembled is exceptionally high profile -- for all intents and purposes it's a gateway to both to Rainey and to downtown proper (via Cesar Chavez). It'll comfortably fit four towers, which is as big as anything DT's seen since Greenwater.

I mean really -- It's a signature piece of the fastest growing city in the nation -- and seems to be the only thing WeWork is actively moving forward with. I could be wrong, and maybe it's really just the prototype of whatever WeWork is going to become, but it feels like a lot more than that.

[the Genral]

Originally Posted by We vs us

I mean . . . I don't know anything, and am only speculating . . .

But it makes sense for WeWork to either split HQs or move what they have entirely out of NYC as a long term cost saving. Or even just have a strong satellite presence.

I've worked to help bring their all-hands meeting to the city for a couple of years now, and while we haven't won it (and they've honestly now outgrown our CC space) Austin is consistently one of their favorite places. You get a sense that there's a strong culture fit here, an aesthetic fit. A WeWork HQ/satellite wouldn't need a lot of pure tech workers (it's not a tech company), but it would need workers who are tech-adjacent, and who feel like they're part of that world.

And that parcel that they've assembled is exceptionally high profile -- for all intents and purposes it's a gateway to both to Rainey and to downtown proper (via Cesar Chavez). It'll comfortably fit four towers, which is as big as anything DT's seen since Greenwater.

I mean really -- It's a signature piece of the fastest growing city in the nation -- and seems to be the only thing WeWork is actively moving forward with. I could be wrong, and maybe it's really just the prototype of whatever WeWork is going to become, but it feels like a lot more than that.

did you have anything to do with the naming of the company or did the company have anything to do with your forum name? Seems too obvious to be coincidental albeit inconsequential to the discussion. Just had to ask out of curiousity.

[StoOgE]

The likelihood that wecompany will resemble their current form in 18 months is zero. I don't think companies on the verge of semi-hostile takeovers from seed capital are in a position to build new HQs.

I think it's just a solid development that they got their hands on a sliver of

[The ATX]

More core sampling going on today.


https://app.oxblue.com/open/endeavor/redrivertower

[austlar1]

Originally Posted by StoOgE

The likelihood that wecompany will resemble their current form in 18 months is zero. I don't think companies on the verge of semi-hostile takeovers from seed capital are in a position to build new HQs.

I think it's just a solid development that they got their hands on a sliver of

The linked article (https://therealdeal.com/2019/11/01/w...-building-buy/) is of interest only because it details a major problem troubling WeWork's real estate investment vehicle know as ARK. ARK holds whatever remains of the We Work Austin real estate investment. ARK is currently struggling with a big mess arising from the purchase of the old Lord and Taylor building on Fifth Ave. in NY. They paid way too much (maybe $200 million too much) and can't find any tenants for the property. ARK has to find a way out of this mess and will probably be selling assets to do so. I don't know who or what entity might be planning to build on the 4.7 acre Austin parcel, but I doubt it will be a We Company project when it is all over.

And then there is this: https://www.nytimes.com/2019/11/02/b...&region=Footer

[We vs us]

Core sampling ongoing in the dusty parking lot.

[The ATX]

This may or not be related to the Block 190 project, but they took down the large tree on the CC side of the lot today. This is the one that had a cement planter built around it in the cement wall along CC,


https://app.oxblue.com/open/endeavor/redrivertower

[We vs us]

Huh. That was a pretty big tree. A little surprised they didn’t try to move it.

[corvairkeith]

I would imagine a large portion of the root system runs under Cesar Chavez so moving it would be a logistical nightmare.

[Jdawgboy]

Originally Posted by corvairkeith

I would imagine a large portion of the root system runs under Cesar Chavez so moving it would be a logistical nightmare.

This is true. The tree would die if they simply pulled a portion of it's massive root system without digging up a good chunk of S.1st all the way around the tree by several feet. Unfortunately in this case, they had to cut it down.