Up, up, and away

Tallest high-rise in Texas to tower above Austin in late 2026

Waterline is scheduled to open in late 2026 as the tallest tower in Texas.

Courtesy of WAX

Texas’ tallest building is set to grace the Austin skyline three years from now.

At 74 stories tall and 1,022 feet high, the downtown mixed-use project – carrying the new name of Waterline – is scheduled to open in late 2026. Construction is underway at 98 Red River St., near the Austin Convention Center.

Developers of Waterline released specifics about the project September 6. Word surfaced in June 2020 that the Red River site would be home to the state’s tallest building, but the developers hadn’t confirmed the height.

The height of Waterline will eclipse that of Texas’ current titleholder by 5 feet. Houston’s 75-story JP Morgan Chase Tower stands 1,002 feet tall, making it the state’s tallest high-rise.

Of course, Waterline also will reign as Austin’s tallest building. The 66-story, 875-foot-tall Sixth and Guadalupe tower under construction in downtown Austin will temporarily hold the title of Austin’s tallest building.

In verifying the height of the building, developers Lincoln Property Co. and Kairoi Residential, along with investment partner PSP Investments, also unveiled details of Waterline such as:

700,000 square feet of office space.
352 high-end apartments.
251-room 1 Hotel Austin, the first Texas location for hospitality company SH Hotel Resorts’ sustainability-focused 1 Hotels brand.

“Downtown Austin offers one of the most dynamic markets and skylines in the nation, and we’re excited to help drive its ongoing transformation,” Seth Johnston, senior vice president of Lincoln Property, says in a news release. “Waterline marks a new milestone for downtown not only because of its height but also because of the positive impact this project will have on improving connectivity, enhancing public amenities, and attracting more people to this beautiful area of downtown.”

Developers say Waterline will serve as a new gateway from the Central Business District to the Rainey Street entertainment district. The developers will add two pedestrian bridges over Waller Creek from the west, as well as three pedestrian and bicycle access points to Waterloo Greenway from the east.

The development team is contributing $1 million to the Waterloo Greenway initiative to help pay for improvements to the 1.5-mile trail connecting the University of Texas to Lady Bird Lake.

Designed by renowned architecture firm Kohn Pedersen Fox, Waterline will feature floor-to-ceiling windows, warm textures, and native stone.

“Waterline will offer a truly unique experience with unrivaled views, world-class amenities, and a thoughtful design that connects the building’s interior with the project’s unique natural surroundings throughout the building,” says Michael Lynd Jr., CEO of Kairoi Residential. “We’re thrilled to introduce Austin’s next iconic project.”

The building’s ground floor will offer 24,000 square feet of retail and restaurant space overlooking Waller Creek and the Waterloo Greenway.

1 Hotel Austin will occupy the next 13 floors, with a ballroom and meeting spaces on the 14th floor, and a rooftop pool with food and beverage service on the 16th floor.

The office portion of the tower will occupy 27 stories, with a 14th-floor amenity deck offering 24,000 square feet of landscaped outdoor space along with a bar and lounge, indoor meeting spaces, and a prep kitchen for special events.

The apartments will take up the top 33 stories. Residents will enjoy access to two pools on the 41st floor, along with a lounge, bar, kitchen, and co-working space. A movement studio, workout studio, and steam room will be one floor above, in addition to soaking tubs, hammocks, a barbecue pit, and a dining area.

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hottest headlines of 2025

Here are the 10 hottest Houston real estate headlines of 2025

Photo courtesy of NewQuest

The new Texas Heritage Marketplace will be located along Interstate 10 and the newly completed Texas Heritage Parkway in Katy.

Editor's note: The top real estate stories of 2025 were heavy on buzzy suburbs. Fulshear earned special recognition for its jaw-dropping population growth over the last five and 10 years, while Sugar Land entered the spotlight for its livability and its surprisingly high rental rates. A Houston billionaire was revealed to be one of the top 100 landowners in the country, and a local restaurant duo put their illustrious farm on the market. Read on for the top 10 real estate stories of 2025.

1. Totally sweet Houston suburb triumphs as No. 3 best place to live in U.S. Relocation marketing platform Livability.com named Sugar Land the third-best place to live in America thanks to its appealing size and affordability. The list was restricted to small and mid-size cities with populations between 75,000-500,000 residents.

2. Surprise Houston neighbor was No. 1 fastest-growing U.S. city in the last decade. Fulshear's population growth surged over 1,000 percent from 2014-2023, the report found, and the U.S Census estimates the city now boasts a population of more than 42,600 residents. More on Fulshear's booming population later.

3. Houston oil-and-gas billionaire ranks among America's top 100 landowners. The Land Report revealed that approximately one-quarter of the country's mega-owners of private land have ties to Texas.

4. 2 Houston suburbs rank among fastest-growing affordable cities in U.S. SmartAsset analyzed 50 U.S. cities to find the most affordable places with large population growth. League City and Pearland ranked No. 7 and No. 11, respectively.

5. Cozy Houston neighborhood ranked No. 1 best place to live in Texas. Master-planned community Cinco Ranch was given an"A-plus" rating for its family-friendliness, public schools, diversity, and other factors. The area is able to maintain a close-knit community while having a sprawling population of more than 19,000 residents.

6. Houston developer breaks ground on $400 million, 165 acre Katy project. Houston-based commercial real estate firm NewQuest commenced work on a $400 million, 165-acre, mixed-use shopping center in Waller County at the end of January. The project, called The Texas Heritage Marketplace, will include 750,000 square feet of retail and restaurants, along with 550 apartments in two communities.

7. This wealthy Houston neighbor is the fastest-growing suburb in America. In a narrowed-down analysis of the top American suburbs that have had the highest population increases from 2018-2023, Fulshear once again came out on top.

8. 2 Houston-area ZIP codes top 2024 list of hottest U.S. housing markets. Real estate marketplace Opendoor crowned Katy's 77493 ZIP code as the No. 1 hottest U.S. housing market in 2024, while Cypress' 77433 ZIP secured the No. 2 spot. Affordability was cited as the primary factor that drew newcomers to these suburbs.

9. Houston restaurateurs' 353-acre farm hits the market for $29 million. The sprawling Goodthyme Ranch, owned by Goodnight Hospitality partners Bailey and Pete McCarthy, went on the market in early September. The farm is situated about an hour from downtown Houston in Bellville, and offers a 5,220-square-foot, five-bedroom main house and a 4,560-square-foot, five-bedroom guest house, as well as extensive agricultural and recreational amenities.

10. This Houston suburb had the highest apartment rent prices in June. Zumper's monthly rental report found Sugar Land apartment prices were more expensive than any other Houston-area city over the summer. Despite having the most expensive rent in the metro in June, the asking rent for a single-bedroom apartment in Sugar Land was technically lower than it was in June 2024.

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