Development plans go from neighborhood-friendly to ‘Death Star’

Change is fast approaching for the old Rosedale School site, a prime 4.6 acre piece of Austin real estate surrounded on three sides by small single family homes. After eight decades as a school, the site at Rosedale Avenue and 49th Street has seen three development proposals, each bigger than the last.

After its students moved to a new facility in 2022, the school district initially sought community input on how to convert the old site to a new use. From those conversations, the first proposal emerged to use the site for teacher housing, with the Austin Independent School District retaining ownership.

But when hit by budget woes in 2025, the school system changed course. It decided to sell the land outright, and opened the process up for sale to the highest bidder. From 11 developers’ proposals, AISD administrators selected OHT Partners, an Austin-based builder of luxury apartments. It bid $23 million to build a 350-unit apartment complex on the site. Administrators publicly touted the developer’s sensitivity to neighborhood concerns.

When the parties met privately to negotiate a contract, a third, even bigger proposal resulted. This one discarded the neighborhood-friendly remnants of the previous plan.

Here is a detailed comparison of the three plans.

Summary: 3 proposals for old Rosedale School land

Proposal 1
Teacher housing
Proposal 2
Big but tree-friendly
Proposal 3
Huge Texas donut
Housing units50350435
Density11 units/acre76 units/acre94 units/acre
Height35 feet60 feet75 feet
Square footage51,250350,000Not specified
Public park space1.25 acresNot specified0.46 acres
% affordable100%10%0%*
Traffic impactLowMediumHigh

Proposal 1, September 2023:
Teacher housing

Housing units: 50
Density (units/acre): 11
Height: Maximum 35 feet
Type of housing: Two styles of single-family homes (35 at 1,100 square feet, 15 at 850 square feet)
Square footage: 51,250
Price: No price. AISD retains ownership of land, hires development partner
Affordable component: Preference given to teachers and AISD employees who meet income standards.
Parking: Individual home on-site parking
Traffic: Uses existing streets
Parkland: 1.25 acres

After a quartet of community listening sessions, the Austin Independent School District unveiled its plan for the closed Rosedale School in September 2023. AISD told community residents its development plan reflected their wishes.

“The community is supportive of building housing on the site but not density,” the plan said. Also important: preserving park and green space, a preference for single-family or townhomes, and minimizing the impact of traffic.

Among the project requirements, school officials listed “Engage the community throughout the process.”

Read the AISD Teacher Housing proposal

Proposal 2, February 2025:
Big but tree-friendly

Housing units: 350 units
Square footage: 350,000 square feet
Density per acre: 76
Height: 60 feet (5 stories)
Type of housing: 4 townhomes, 346 apartments
Purchase price: $23 million
Affordable component: 35 affordable units
Parking: On-site parking garage
Traffic: All traffic flows out a single exit on 49th Street.
Parkland/green space: Dedicated public park (size not specified), plus green space woven throughout.

Budget woes prompted a dramatic turn in development plans for the elected AISD Board of Trustees. The board authorized its administration to sell the land, and to select and negotiate with a builder to develop the property. Officials sought no community input.

The luxury apartment developer, OHT Partners, beat out 10 other bidders in the AISD selection process, and the board of trustees blessed the selection in March 2025.

Trustees were told the company has a history of successful collaboration with neighborhoods.
The Austin-based developer’s initial proposal called for substantial density, but did make significant nods to neighborhood concerns.

For example, preservation of all 15 of the site’s live oaks and four heritage trees is a “key design consideration,” according to OHT’s initial proposal.

“We believe these trees, combined with the surrounding parkland setting, will create a vibrant and inviting community that enhances the neighborhood. To further embrace this natural setting, we have intentionally designed amenities that maximize open space, fostering an authentic and welcoming environment for both residents and visitors.”

Read OHT’s original, 350-unit proposal

Proposal 3, September 2025:
More height, density, and traffic; goodbye trees

OHT proposal for 435 luxury apartments in a six-story building that pushes out to the property’s edge.

Housing units: 435
Density per acre: 94
Height: 75 feet (6 stories)
Type of housing: Luxury apartments, mix not specified
Purchase price: $26 million
Affordable component: None specified; vague verbal offer*
Parking: On-site parking garage
Traffic: Traffic flows out into three exits into the neighborhood.
Parkland/green space: Originally 0.25 acres, boosted to 0.46 acres. Three heritage trees on the site will remain intact, one will be moved. The substantially larger footprint of the building means few other trees will survive.

The current proposal, which strips out all vestiges of neighborhood concerns, was developed behind closed doors in negotiations between AISD administrators and OHT.

The design is a full “Texas donut” (sometimes called a “Dallas donut”). It is a style of design that consists of a ring of apartments built around a central parking lot. Amenities are internal and walled off. Developers maximize profit in this style of design by building as tall and as close to the property edge as possible.

Neighbors take to calling the design the “Death Star.”

*After initially saying no to any affordable housing, an OHT attorney made a verbal offer during the city’s March 2026 Zoning and Platting Commission meeting to include an unspecified number of affordable units through partnering with the HomeBase nonprofit.


Daniel Ray

Daniel Ray, former editor in chief of the financial websites Bankrate.com and CreditCards.com, lives in Rosedale.

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