Redevelopment of the former HealthSouth site in downtown's Medical District could be on hold for a while.
The Austin City Council in September the city manager to explore new options for redeveloping the former site, but several members expressed their inclination to postpone action at a recent working session, the Austin Monitor reported.
Council members at the Feb. 28 work session were presented with four development scenarios for the properties at 1215 Red River Street and 606 East 12th Street. which the Housing Department and the Economic and Planning Systems consulting firm created in response to the Council memo.
A January 31 memo details the analysis of four development scenarios by Economic and Planning Systems, which was hired to evaluate ways to balance affordability, subsidies, density, and a mix of uses on the site. The options focus on the creation of affordable on- or off-site housing such considerations as Capitol View Corridor restrictions, as well as incentives including the Downtown Density Bonus Program.
The need to rework plans for the redevelopment arose after yearslong negotiations with Aspen Heights Partners sputtered out, in part over the amount of affordable housing to be provided.
