Phase Three of First Creek at Austin Breaks Ground to Bring Additional Affordable Housing to Downtown

Rendering of a Portion of Phase III of First Creek at Austin
Rendering of a Portion of Phase III of First Creek at Austin

Last week, First Creek at Austin broke ground a short walk from the heart of downtown on the third phase of the affordable housing community. I first wrote about the plans (which were already underway) over three years ago in July 2021. At that time, Phase one was underway and the hope was to complete all three phases by the end of 2023. That didn’t quite happen, but we’re close.

The community replaces the old Austin Homes which was torn down to make way for the current development by the Knoxville Community Development Corporation or KCDC, an arm of the city. Phase one opened in December of that year with 110 homes going to people or families with an income ranging from 30% – 80% of Average Median Income, or about $17,700 to $47,280 for a couple. It is fully leased.

Phase two is in the final stages of completion and leasing starts this summer. Included are 180 homes offered to a mix of the same income levels as phase one. The homes should be ready for move-in this December (over half are already leased), bringing the total homes on site to just under 300. While the lost of about 120 homes in the previous development was, no doubt, felt strongly by the residents who had to leave, the new homes offer far more housing on the site and the families who left before were given first opportunity on the new homes.

Rendering of Austin Homes Future Site

The final phase, which is just starting, will include 161 additional homes similar to the others, with similar apportionments for a range of lower to working-class incomes. The development represents the first time the city has offered mixed-income housing in one development, an idea that has been successfully deployed in Nashville and other cities. Unique to the final phase, 50 of the homes will be designated for “low-income seniors age 62 and over.”

Knoxville needs more housing and we need it at every income level. A lack of affordable house, every study I’ve seen suggests, is at the root of much of our homelessness. More people than we like to think are a paycheck away from being on the street. The best-intended housing voucher programs won’t help if there is no housing.

First Creek at Austin, Knoxville, August 2024
First Creek at Austin, Knoxville, August 2024

It’s important that, beyond bemoaning the inadequate housing supply, which has been produced nationally by a range of issues, we also acknowledge that work — good work — is being done to address the issue. This being a case in point, is an additional (when it is finished) 450 0r more new homes for those who need them most. That isn’t small and it isn’t nearly the only low-to-workforce housing being produced. Building housing on the public dollar is difficult and expensive and Knoxville is attempting to step up to the task.

Regarding downtown specifically, as I often write about new developments downtown which are very expensive and reflect market rates, it’s worth noting that downtown as a neighborhood includes hundreds of affordable and workforce housing units just a ten minute walk from the Old City and the heart of downtown. In addition to these 450 homes, the hillside between the Civic Auditorium and Summit Hill, again a ten minute walk from the heart of Gay Street, includes hundreds more. Pinnacle Park Apartments, alone, which are visible from buildings fronting Gay Street, includes 200 homes for low income families and individuals. It’s hard to imagine there are many other neighborhoods in the county that include more low income and affordable housing options.

Here’s hoping that our community and city continue striving to provide a home for everyone who needs one.

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