Kilroy announced today that North America’s leader in sustainable real estate has further expanded its Austin, TX portfolio with the off-market acquisition of a 2.9-acre development site in Austin’s Domain submarket. The site is fully entitled for approximately 493,000 square feet of new Class A office development. The transaction represents the company’s ongoing expansion within the Austin market, following last year’s purchase of Indeed Tower.
The site is located near the intersection of Burnett & Braker and is adjacent to numerous amenities, including Austin’s Q2 MLS Stadium, the Domain Mall, and the future McKalla light rail stop which will connect from Northwest Austin through Downtown. The Domain office submarket has long been one of Austin’s most coveted locations for the world’s most innovative companies including Amazon, Meta, Indeed and Expedia. Class A vacancy in this submarket is approximately 1%.
The company acquired the site for a gross purchase price of $40 million. Entitlements have been fully secured and construction could commence as soon as mid-2022, with delivery occurring in 2024. Upon completion, the company will own approximately 1.2 million square feet in Austin.