KNOXVILLE, Tenn. — Crews broke ground Thursday on the third phase of a project to build a new mixed-income, affordable housing community near downtown Knoxville named First Creek at Austin. It is being built by Knoxville's Community Development Corporation.
The first phase of construction resulted in 105 total housing units — 57 of which were multifamily buildings and 48 were smaller, townhome-style buildings. The second phase is expected to officially open soon and will provide 180 units ranging from one-bedroom to three-bedroom. It will also result in a new fitness center, outdoor green space and indoor community spaces.
"It's very close to jobs. It's close to transportation. It's close to beautiful parks and schools," said Knoxville Mayor Indya Kincannon.
The third phase began on Aug. 1 and will result in 161 new housing units. Fifty of those units will be supportive housing for low-income seniors. Those units will be available to people 62 years old and older. The other housing units will be built in large buildings and townhomes, offering options ranging from one-bedroom to four-bedroom homes.
"This is the third and final phase of First Creek at Austin groundbreaking," said Ben Bentley, the CEO of KCDC. "It's a big moment. We master planned with the community starting back in 2019, and this is the third phase of housing at this site culminating in about 450 units of mixed-income housing. A really big deal. We know that socio-economic diversity at the neighborhood level produces better outcomes for children that grow up in a place mainly based on upward mobility."
Seniors in the the First Creek at Austin community will also be able to use a telehealth room for virtual health meetings, stop by a fitness room designed to promote mingling and have access to gardens and a park.
Crews will also build new parks and connect the community to downtown and South Knoxville areas through the Reconnecting Communities and Neighborhoods grant — a federal grant provided to help Knoxville address lingering inequity from Urban Renewal projects decades ago.
"Through the reconnecting grant from the Department of Transportation and funding from the City of Knoxville, we will soon be connected to the East Knoxville Greenway back to the baseball stadium, Old City and downtown," said Bentley. "So both entertainment and employment opportunities as well as schools are all within walking distance."
He said around half of all people who live in KCDC properties have a car. So, many rely on transportation such as buses, bikes or simply walking on the sidewalk.
A release from Knoxville's Community Development Corporation said the city spent around $14.1 million so far on infrastructure improvements in the area, such as improving sidewalks and building new roads and utilities. Bentley also said KCDC is working to develop a partnership with a healthcare provider and with early childhood education organizations to increase resources for residents.
Kincannon said building housing like this helps with the housing crisis in Knoxville.
"The city's put in $14 million towards infrastructure around here — beautiful sidewalks, planting of trees. Making sure that the way we design our streets and streetscapes connects people well and makes it a safe place to get around," she said. "So this is just a really happy day and a big step forward in our way, solutions to the affordable housing crisis."
The First Creek at Austin community is being built on the site of the former Austin Homes — a site spanning 23 acres near the Old City and downtown area. People who lived there before construction began had the chance to move to other KCDC properties, such as the Five Points community or The Vista at Summit Hill. KCDC said they will be able to return to the site once the First Creek at Austin community is open.