Industry UPDATE

CELEBRATING 60 YEARS OF GROWTH AND CHANGE: THE AUSTIN APARTMENT ASSOCIATION’S DIAMOND ANNIVERSARY

BY CARRIE SMITH

In 1964, when the Austin Apartment Association (AAA) was founded, the landscape of Austin, Texas, was vastly different. The city had a modest population of 217,000, and the median income for all families hovered around $6,6001 The political climate was reflective of the times, with an all-white male city council and mayor Lester Palmer serving from 1961 to 1969.

The early ‘60s marked a period of urban renewal, including the controversial Kealing neighborhood project and the expansion of the University of Texas at Austin through eminent domain. The civil rights movement was making strides, with the desegregation of schools and the landmark Civil Rights Act of 1964 outlawing racial discrimination in public accommodations. As the city’s foundation solidified around government and education, the 1960s laid the groundwork for the tech-centric Austin we know today

Fast forward to 2023, and Austin is celebrating the AAA’s Diamond Anniversary against a backdrop of remarkable transformation. The city’s population has surged to 966,292, with the metro area reaching 2,228,000 residents2. Austin has become a tech hub, attracting major players like Apple, Google, and Facebook, contributing to the city’s economic growth and cultural vibrancy.

The AAA has played a vital role in shaping the multifamily industry over the last six decades. Austin’s population growth and economic prosperity have been key factors in the devel- opment of the multifamily sector. The association has actively engaged in advocating for policies that align with the interests of its members and the broader community.

Political Changes and Advocacy

In the 1960s, Austin experienced a significant shift in ethnic relations, marked by sustained efforts to combat segregation and discrimination. Local leaders and political-action groups fought for desegregation in schools and services. The Civil Rights Act of 1964 played a pivotal role in outlawing racial discrimination, but challenges persisted in areas like employment and housing.

The AAA, over the years, has supported initiatives promoting fair housing practices, aligning with federal and state laws to prohibit discrimination based on race, color, national origin, religion, sex, disability, familial status, sexual orientation, transgender status, gender identity, and gender expression.

As Austin’s political landscape evolved, so did the AAA’s engagement. From its early years to the present day, the association has navigated the changing dynamics, contributing to the city’s growth while advocating for fair housing and landlord-tenant regulations.

Economic Transformation and Housing Trends

Austin’s economic landscape has undergone a remarkable transformation. The city’s growth trajectory, from the ‘50s to the present day, has been punctuated by the emergence of the technology industry. IBM, Texas Instruments, Dell Computers, and, more recently, major tech giants have established a significant presence, driving commercial and residential development.

The AAA has been a key player in addressing the housing challenges that accompany such rapid growth. Advocating for affordable housing initiatives, engaging with policymakers on regulatory matters, and supporting smart growth and development policies, the association has been integral to ensuring the multifamily industry meets the demands of Austin’s evolving population.

Housing Market Dynamics: Then and Now

In 1964, less than 1,100 multifamily units were constructed in Austin, with average rents nationwide ranging from $71 to $108 per month3. Fast forward to 2023, the Austin-Round Rock area has around 288,453 units, with thousands more in the pipeline. The median family income for Travis County in 2023 is $122,300, reflecting the changing economic landscape4. With an average rent of $1,806 per month, the housing market has witnessed significant shifts5 Austin currently ranks 8th in the country for the most multifamily units under construction in 20235. The city has become a magnet for new residents, prompting various multifamily projects throughout its neighborhoods.

The Austin Apartment Association has been a steadfast advocate for the dynamic growth of Austin, actively engaging with the community to address diverse needs. Through advocacy efforts, the association has played a crucial role in providing housing solutions for the myriad residents who call this vibrant city home, contributing to the sustainable and inclusive development of Austin’s multifamily landscape.

Looking Ahead: Challenges and Opportunities

Austin’s journey over the last 60 years has been one of resilience, growth, and adaptation. From political changes to economic transformations, the AAA has been a constant force advocating for the multifamily industry.

As the city faces challenges associated with its booming population, the AAA remains committed to addressing issues of housing affordability, regulatory frameworks, and community engagement. The association’s role in shaping the future of Austin’s housing landscape will undoubtedly continue to be a vital one.

As we celebrate the Austin Apartment Association’s Diamond Anniversary, we reflect not only on the changes of the past but also on the shared commitment to building a vibrant, inclusive, and sustainable future for Austin’s multifamily industry. Cheers to 60 years of progress, advocacy, and community impact!.

For more information about AAA’s advocacy in action, contact Carrie Smith, Director of Government Affairs at carrie@austinaptasscoc.com.

1 Texas State Historical Association. “Austin, TX (Travis County).” Handbook of Texas Online. https://www.tshaonline.org/handbook/entries/austin-tx-travis-county.

2 U.S. Census Bureau. “Austin, Texas Population 2023.” MacroTrends. https://www. macrotrends.net/cities/22926/austin/population.

3 Travis County Health & Human Services. “Community Development Block Grant (CDBG) - Income Eligibility.” https://www.traviscountytx.gov/health-humanservices/cdbg/income-eligibility.

4 Rent.com. “Austin Apartments Rent Trends.” https://www.rent.com/texas/austinapartments/rent-trends.

5 Urbanize City Austin. “Austin Apartment Construction: How Many?” https://austin. urbanize.city/post/austin-apartment-construction-how-many.