Property Overview

This exceptional downtown Austin property at 1105 3rd ST represents a rare redevelopment opportunity in one of the city's most sought-after neighborhoods. Currently generating income from two dwelling units—a 1,617 square foot main residence and a 300 square foot efficiency apartment—the 5,837 square foot lot sits positioned for substantial value creation. With HOME Phase 1 and 2 already cleared, the property is zoned and ready for transformation, whether through vertical expansion of the existing structure, complete repositioning, or full redevelopment into multiple units.

The fully fenced lot with gated access at both front and rear entrances provides security and flexible parking options that enhance its utility for current operations or future development. Professional architectural plans have already been commissioned for a three-unit configuration featuring two townhomes with garages plus a single-family residence, offering a clear roadmap for expansion-minded investors or developers. The location places residents within minutes of Rainey Street's vibrant dining and entertainment scene, Lady Bird Lake's recreation, and Congress Avenue's walkable urban core.

Priced at $572 per square foot—27 percent below the area median—1105 3rd ST combines immediate cash flow potential with significant upside for strategic investors. This downtown Austin property delivers both operational income today and substantial redevelopment possibilities for tomorrow.

Agent Description

Exceptional redevelopment opportunity in the heart of downtown Austin. With HOME Phase 1 and 2 already passed, this property is primed for development or expansion. The single parcel currently features two income-producing dwellings: a front house of approximately 1,617 sq ft and a detached 300 sq ft efficiency unit, both currently rented. The property offers a fully fenced perimeter for privacy and security, with gated access at both the front and rear, allowing for secure on-site parking and flexible access. The owner has commissioned architectural plans for a full redevelopment consisting of two townhomes with garages plus one single-family residence, allowing for a total of three new units. The lot may be fully scraped and rebuilt, or alternatively, the existing front home can be expanded vertically or reconfigured to maximize value. Ideally located just minutes from Rainey Street, downtown dining, nightlife, and Austin’s most popular hotspots. Tree Survey and Zonability Report available. A rare opportunity to capitalize on location, density, and long term upside in one of Austin’s most desirable urban cores.

Neighborhood: Downtown Austin

This property is located in Downtown Austin, Austin, TX. The area is known for 6th Street Entertainment, Lady Bird Lake, Congress Avenue, High-Rise Living, Walkable Urban Core.

At $572/sqft, this listing is priced 26% below the Downtown Austin median of $768/sqft.

Property Details

Listing data last updated: March 25, 2026

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