Nature at Work: How Developers in Austin Are Utilizing Nature & Wellness to Attract Top Tenants
It’s no secret Austin has long been a hotspot for the latest health and wellness trends, and developers are now hopping in on the action. With over 2,000,000 SF of newly available office space coming online in the city from Q3 2024 to Q1 2025, biophilic design is at the heart of nearly every one of these projects. The transformation of the Rainey Street District up to the Red River District follows the current of Waller Creek, while other developments play off the hub, the Ann and Roy Butler Hike-and-Bike trail.
Foundational Wellness:
Highly amenitized office buildings are rising, and landlords are achieving their desired outcomes via two routes. New developments are building them into the foundation, like The Republic, which features 25,500 SF of outdoor terrace space and 348 bike storage lockers, complete with its bike elevator access coming in Q1 2025. Older buildings are undergoing massive renovation projects to update their dated buildings well beyond a new paint job in the lobby. Rialto is an excellent example of integrating sought-after wellness trends into their renovated common spaces. Seeking to appeal to the trinity of wellness (mental, physical, and spiritual), Valor Capital brought in new spaces ranging from a modernized fitness center to a tenant lounge and self-serving vending cafe. The same can be seen down the MoPac corridor with Riverside’s renovations of The Barton, featuring an elevated coffee bar experience that pairs well with the Greenbelt access.
Win-Win Tenants On The Rise:
Projects like The Bouldin at 1301 S Lamar Blvd partnered with LifeTime Athletic Country Club and Postino Wine Cafe to bring next-level amenity access that most buildings can’t compete with. The same can be seen in Historic buildings like Littlefield, with Capital One Cafe and Scarbrough having Punch Bowl Social and Ze Crepes offering unique opportunities for tenants to interact outside the traditional office space. There has been an increase in landlords seeking wellness-centric tenants to attract future tenants. While it doesn’t have to be a full-on country club, more landlords are considering first-floor mixed-use tenants to offer an additional amenity to other tenants while getting the benefit of filling vacant space.
Long-Term CRE Opportunities:
With over 80% of employees working in wellness-oriented workplaces reporting job satisfaction, this trend is just starting. Mixed-use developments have long been on the rise, and those with prime access to pre-existing amenities like the hike-and-bike trail have an advantage. Look for office space to continue to take a synergistic approach in 2025 as Landlords look for new ways not to attract new tenants but to retain existing ones for the long term.