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Teslas, trains and automobiles: 5 things to know about Austin’s major transit projects
(Emma Freer/Austonia)

This year has proven to be a critical one for transit investment in Austin. Despite the pandemic, the metro welcomed its latest corporate resident, Tesla; received billions of dollars in state funding to expand I-35; and watched as city voters overwhelmingly approved Project Connect, which will transform the local transit system.

The Austin Chamber hosted a virtual regional mobility program on Monday to discuss the impact of these projects, with a special focus on job creation. Here are five big takeaways from the event:

1. Austin's workforce lured the Tesla Gigafactory.

When Tesla CEO Elon Musk announced in July that his electric car company would build its next Gigafactory in Austin, local taxing districts had already promised significant tax breaks to sweeten the deal.

But Rohan Patel, senior global director for public policy and business development, said Austin's most alluring asset was its people.

"One of the major reasons we chose this site is because of the availability of talent among all levels," Patel said during the Chamber event.

Since July, Tesla has begun construction on the Southeast Travis County site of its forthcoming factory, set to open this spring, and posted more than 100 local jobs.

"We're just raring to go," Patel said.

Aside from construction work, Tesla promises to create 5,000 new jobs by the time its factory is fully built. To support those positions, the company is working closely with Del Valle ISD and Austin Community College to build workforce pipelines.

"Even during this really difficult time for the country and the globe, the welcome and the, overwhelming really, reception that we've gotten in Central Texas and Travis County is just fantastic," Patel said.

2. Signs point to the federal government investing in Project Connect.

With decisive victory, next steps are to appoint Project Connect oversight board and secure federal funding.

(Capital Metro/Twitter)

Project Connect, a $7.1 billion transit system overhaul, will be paid for primarily by 1) a property tax rate hike for city of Austin residents and 2) as-yet-unsecured federal grants.

In the run-up to the Nov. 3 election, opponents of Project Connect worried that banking on federal funding in the midst of a pandemic and economic downturn was akin to building a house on a sand foundation.

U.S. Rep. Lloyd Doggett, D-Austin, acknowledged that federal funding largely hinged on the results of the presidential election.

Now, with President-elect Joe Biden poised to take office next month, transit supporters are optimistic that Capital Metro will be able to secure the federal funding its needs to bring light rail to Austin.

"We know public transportation will have a friend in the White House come January," American Public Transportation Association Chairperson Nuria Fernandez said.

Austin Mayor Steve Adler feels similarly, adding that he has spent time with members of Biden's transition team.

"I know it's a priority," he said.

3. Mass transit is a top consideration for companies considering a move to Austin.

(Capital Metro)

Companies looking to relocate look for two big things in a potential new home: talent in the form of a ready workforce and mass transit options, said Jerry Sweeney, CEO of Brandywine Realty Trust, which has partnered with Capital Metro to redevelop the IBM campus in North Austin.

"The economic impact of a mass transit system on value creation is fairly significant," he said.

In addition to its economic development benefits, public transit investment also correlates with increasing real estate values for both commercial and residential properties and job creation, Sweeney added.

With voter approval of Project Connect and state funding committed to the I-35 expansion project, Austin is more appealing to companies looking to relocate than ever.

"We need to stand on three legs: transportation, economic development and talent," said Shaun Cranston, vice president and director of land development services for the Dallas-based engineering firm Halff Associates. "When one of those three legs is weak, the other two cannot stand. I am proud and pleased to say that all three legs are strong and that we have a great future ahead of us."

4. The I-35 expansion projects offers more than congestion relief.

TxDot has proposed three expansion plans as part of its I-35. expansion project. This is one.


The Texas Department of Transportation touts its $7.5 billion I-35 expansion project, which proposes to expand the highway to up to 20 lanes between Hwy. 290 and Ben White Boulevard, as a salve for traffic congestion.

Critics of the project dispute this claim, arguing that cities cannot build their way out of congestion and pointing to recent expansion of the Katy Freeway in Houston, which increased capacity but also led to induced demand. In other words, more lanes drew more drivers.

Regardless of where people stand on the congestion debate, supporters of the project say it offers other benefits. By burying a portion of I-35—between Airport Boulevard and Cesar Chavez Street—underground, it could allow for a reconnected downtown street grid.

A February report from the Urban Land Institute proposed building a surface-level boulevard over the underground portions of the interstate, which would allow for public plazas and other amenities.

"Thank you, TxDOT, for taking the main lanes below ground," Adler said during the Chamber event.

5. The Broadmoor development offers proof of some of these claims.

5. The Broadmoor development offers proof of some of these claims.(Brandywine Realty Trust)

Broadmoor, a 66-acre, $3 billion master-planned community underway in North Austin, hints at the transit-oriented development that could come as a result of Project Connect.

Brandywine Realty Trust, a Philadelphia-based developer, is behind the project, which will transform the IBM campus near the Domain from a 1-million-square-foot office park to a 7-million-square-foot mixed-use destination by 2036.

Brandywine partnered with Capital Metro on the project, which is oriented around the forthcoming Broadmoor commuter rail station. When completed in 2022, it will be served by the red line and accessible to some 25,000 employees within a half-mile radius.

"We are big believers in mass transportation," Brandywine CEO Jerry Sweeney said.


Bites & Sips: what's new in food and drink
Consumable Content

  • San Marcos favorite Industry Burger opens "mid-October" on E. 5th, featuring "low key healthy" Texas fare.
  • Cinnaholic at The Arboretum opens Friday, October 14, serving "create your own" cinnamon rolls and other sweet treats.
  • San Francisco's Marufuku Ramen opens next Wednesday, October 12, in the Mueller District.
  • Carpenter Hotel announces its popup food truck, Lil Carpenter, open Fri-Sun both ACL weekends, serving what you want, early to late, coffee to donuts, to dogs/burgers/fries/beer.
Airport braces for high traffic this month with ACL and F1 drawing in travelers

(AUS airport/Instagram)

With major entertainment events slated for October, the Austin-Bergstrom International Airport is gearing up for a busy month.

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